49 solid leads 1/1/14 - 4/1/14(Leads that left message, we called back and they had a convo with us)
Total ad spend: $2,376.18
Cost Per Lead: $48.49
Closed transactions thus far: 3 (2 more pending)
Zillow is def worth the cost. Plus we are hold for our main zip code so these stats are secondary markets.
9 Million in volume it would put his GCI somewhere in the 225-270K range. I could see it as a reality... 750K in closings monthly on an average. One closing a month at that price point with 2.5% commission would put him at 225K, or at 3% at 270K.
Like most lead generation sites, you get what you put into it. If you are responsive to inquiries, consistent with your follow up and have a decent conversion rate, you will probably do well. However, I would caution you to thoroughly scrutinize the zip code you are purchasing. I purchased a zip code on Zillow that had a large mobile home community in it so many of the leads I received were for mobile home purchases which is a little outside of my wheelhouse!
Best of luck!
10% industry average on advertising
Annual budget for advertising $900,000
It is very likely this mega star is in every real estate book, newspaper, billboard, bus bench, civic organization and little league team in the area. At this level, advertising is as much about denying your competition access as it is growing your business.
I would bet the 9 Mill man is not following up on aggregate website vapors but there is some intern looking to earn their wings developing the ability to work by the numbers, not the outcome.
You need to understand who is using Zillow and/or Trulia.
You must decide if are going to incubate or sort.
With this understanding you must make a business decision...chase vapors or implement the correct strategy for sorting out the duds. It's not rocket science.
You make no money chasing vapors.
You will make money with the proper self-selection mechanism.
Before you hand over your hard earned money, you would be WELL advised to run a shill through the process. This exercise will make clear what is smoke and what is real. Both Zillow and Trulia sales folk sell smoke. YOU MUST IDENTIFY WHAT IN THEIR SERVICE CAN BENEFIT YOU. It is not what they are selling. But, if you respond according to YOUR observation, you will generate the business from the segment you want. If you don't do this you will be spending way too much time responding to people who are unable, unqualified and will never be able to buy or sell. Be the buyer or seller you want to do business with and get the consumer experience. You will then see the fabric behind what others have written regarding the BEST way to leverage aggregate websites.
Best of success to you,
Annette Lawrence, Broker/Associate
Remax Realtec Group
Palm Harbor, FL
I've heard from one or two agents that it's very, very effective, but only if you dominate a particular zip code.
It would be difficult to compare apples to apple with Trulia, no? They are probably both very close on ROI. You can try both at the same time, same budget, and track your results. Personally, I think it will wind up within a few dollars of each other when you finally tally your results.
Boca Raton-Miami Beach, FL