In part one of this series, we heard about the importance of local knowledge, new business models, and research skills for agents who want to provide value in age of online real estate. These are themes that our next two industry commentators are in tune with.

Kelly Millar, CEO of social marketing tool SOBOX and former consumer marketing manager of Australian property portal realestate.com.au, says agents need to position themselves as “trusted advisors” for those looking buy and sell.

“It’s not just about the actual transaction,” Millar says, “but building long term relationships with customers and prospects, and positioning themselves as a credible and knowledgeable resource.”

“Whilst agents have always understood the value of a database of prospects and customers, social media channels provide an avenue for agents to take these relationships to the next level,” Millar adds.

“They can engage with people in the most interactive environments, be it via their blog, Facebook or Twitter page. They can listen to their prospects and customers in ways they never have before, and find opportunities to build their business through online engagement with consumers in a timely and relevant manner.”

1000wattconsulting.com’s Brian Boero has plenty of insights for agents in his blog posts, and says a seemingly obvious yet fundamental shift needs to take place if agents are to stay relevant.

“Agents who want to prosper today must get better at things that are important to their clients,” Boero says. “Better at marketing property. Better at negotiating. Better at pricing. That sounds like a rather obvious statement, but when you consider that real estate has been conditioned to recruit marginally skilled people and train them on selling themselves it’s actually quite radical.”

“Agents that can’t work a spreadsheet, pull the right online marketing levers, and price and negotiate in a manner commensurate to the gravity of transacting shelter are going to struggle,” Boero adds.

What are your thoughts on the role of real estate agents in the online age? Let us know in our comments.

Welcome to our new Agent Strategies series, where we get the inside word on how agents from across the globe are marketing themselves online.

Today’s strategy insight comes from Jim Cheney, an agent who works in Rincon Valley, California. Jim is using a formula that should be familiar to most readers – driving traffic to his website via a regularly updated blog. Jim’s story shows just how effective this simple strategy can be:

“I’ve been a real estate agent since 2003, and mostly advertised in the local newspaper and Homes and Land Magazine. The newspaper was about $400 a month for classified and open house ads, and Homes and Land was $800 per issue for a full page ad. At the end of the year I would have spent thousands of dollars on advertising.

In 2009 I took a technology in real estate seminar presented by Dick Betts, a national real estate trainer. I learned of the positive aspects of blogging, and how and where to blog. I try to blog daily, and am the top blog producer on Active Rain for Sonoma County.

I recently began “hyper local” blogging where my blogs are about local issues related not to my city, buy to my neighborhood (Rincon Valley). My articles are keyword rich, which makes my blog pop up on the the first page of a Google search containing “Rincon Valley property” as the search term.

I get one to two contacts per week from potential clients who visit my web page. When I ask these contacts how they became familiar with my website, they tell me they found it while searching for property on the Internet.

I no longer do print advertising. I get more leads now at a minimal cost ($30 per month for an Active Rain premium membership) and the cost of my website, saintfrancisproperty.com.

I’m lucky that most of my peers have not realised the power of blogging or SEO, and still rely on print advertising. I’d be willing to bet only 10 percent of the agents in my office know what SEO stands for. I laugh when I look at the local newspaper classified section and see seven listings advertised in a city that has hundreds of active listings.

I know that eventually my peers will catch on and I will have more compitition for Internet clients, however I will be far ahead in the game, and to tell you the truth, am not really concerned.”

Got a great online marketing strategy you’re keen to share? Get in touch with us at editor@propertyadguru.com.

If you’re reading this article, chances are you’re well aware of the challenges the online age has created for real estate agents. Those in the property market can now draw on a vast range of tools and resources to help them in their transaction, and not all are convinced working with an agent is the best strategy.

When potential clients can access a vast range of market information and property listings online, and even buy and sell their own properties via the Internet if they choose, how do agents highlight their value? That’s the question we asked a number of industry commentators, each of whom had a slightly different set of suggestions.

Andy Salo, founder of US For Sale By Owner website yigdigs.com, argues that Generation Y will change the way the real estate industry works, but that there are two ways agents can remain relevant.

“Real estate agents should continue to be extremely knowledgeable about their local area – selling prices, trends, areas that are doing well and not so well, and knowing amenities that are appealing to buyers in their area,” Salo suggests. “Being seen as a knowledgeable guru will always be valuable.”

Salo adds that agents need to be open to new business models and compensation structures. “I truly believe that the 6 percent commission will go away as we know it today,” he says. “Buyer’s agent commissions will likely stay in some form, but seller’s commissions will migrate to a la carte services.”

“I believe a forward thinking agent today can get out in front of this trend by offering creatively priced services including flat fee MLS and discounted service packages. A smart agent I believe should brand themselves as an expert consultant rather than sales person for hire on commission.”

Jim Kimmons, real estate blogger for about.com, says that while home hunters now have access to huge amounts of local information, “a lot of it is either inaccurate, of little value, or both.”

“The value of a real estate agent to their buyer in the future will be enhanced by their ability to sift through the information and sources, advising their client as to what is valuable, what is not, and what is actually detrimental to their interests,” Kimmons says. “The real estate professional should visit and learn about the places where their customer is getting information, assess its value and accuracy, and be ready to condense the best of it to help their clients.”

Kimmons goes on to explain that sellers have the same set of problems, as online valuations can use information from sources that aren’t necessarily reliable.

“A thorough set of CMAs from the MLS – one for recently sold properties, and another for currently listed competition – is one of the most valuable services the listing agent can provide,” says Kimmons. “The listing broker can also help the seller to sort through all of the online marketing resources and show them which are actually of value in getting their home in front of the greatest number of qualified buyers.”

We’ll have more advice from our contributors in part two. Until then, let us know your take on the issue in our comments.

If you’ve been running a website long enough, chances are you’ve had an email that reads something like this: “I just visited your website and think your content is excellent. I feel a link exchange between our websites would be mutually beneficial.”

It all sounds convincing at first, but on closer inspection you find the request is from a website that has no connection to real estate whatsoever. So why on earth are these people getting in touch? Chances are, they’re still convinced that link volume is the key to great search engine rankings.

In a way, they’re right. It’s generally agreed that the higher the number of legitimate links to your website, the higher it will rank in search engine results. But the key word these days is “legitimate”. As searchenginewatch.com pointed out back in 2002, search engines have evolved to recognise artificial link building strategies.

Today, good link building means you need to plan rather than spam. Some tried and tested strategies – recommended by SEO experts time and again – include:

1. Great content. In a perfect world, your website would be so interesting and informative that other people would have no choice but to link to it. In this case, all you’ve done is put the effort into making great content, which we’ve discussed in depth here.

2. Guest posts. Ok, so perhaps your website isn’t so perfect that you can simply sit back and let the links roll in. But another way to get relevant websites to link back to you is to offer to write guest posts. As long as what you’re offering is relevant and well written, this should be a win-win situation: less work for them, more links for you.

3. Ask, but do it with care. The link exchange request described above is a bad example of a reasonable strategy. So how do make it work? Rather than sending the same hopeful email to a hundred websites, start by doing your research and find those that at least have a section dedicated to links.

Next, place a link to that website on your links page (as long as it’s actually relevant to your readership). Once you’ve done that, contact the webmaster to let them know you’ve already linked to them, and explain exactly where you’d like your link to be placed. You can even go as far as providing them with the html, making their job as simple as cutting and pasting.

Needless to say, those three tips only scratch the surface of link building. If you’re keen to dive deeper into the topic, we suggest you start with searchengineland.com’s Link Week series, which offers plenty of wisdom and a bit of tough love to those in the link building business.

As a real estate agent, you’re probably all too aware that you’re one of many people offering a similar service. Chances are, there are a number of agents working in or near your area with whom you need to compete. So how do you make sure you stand out?

In any marketplace, the idea of the “unique value proposition“, or UVP, is key. UVP might sound like a hazy marketing term, but all it refers to is the thing you do differently to your competitors. Identifying your UVP can help you focus your business and ensure you don’t waste too much energy covering the same bases as everyone else.

In terms of online marketing, your UVP could be the fact that:

- Your website gives people the best information about a certain area;
- Your website is somewhere people can find trustworthy advice about the buying and selling process;
- You’re an active, helpful member of an online social network who strives to help home hunters;
- Your portal listings are the most detailed of any agent in your market, complete with good photos and great copy;
- You send out a well-written, informative email newsletter once a week that people really want to read.

In defining your UVP, infomarketerszone.com points out that you don’t need to limit your thinking to your own industry. “Study successful companies of all types,” they advise. “Seek to understand their unique value proposition. How are they different in the market?”

One last tip: your UVP should be based on something you’re good at, and ideally enjoy doing. You could aim to be your market’s best real estate photographer, but if that’s not where your strength lies, you’re much better off emphasising areas where you know you can deliver.

Here are the different approaches for each segment:

Non-Internet Savvy

While those who are not Internet savvy will likely know they need to be on the Internet, they probably aren’t sure how it works or what they should do. In this instance, your explanation needs to be simple and straightforward without too much Internet jargon.

Try using analogies they will comprehend. For example, relating online advertising to what they know – newspaper advertising. I would point out that their ad can be out there this afternoon, has the ability to go worldwide (not just the local circulation area), provides far more information and images, is available 24/7 for as long as required, and all for a minimal cost (if anything depending upon your policy).

Internet Savvy

When selling online advertising to the Internet savvy, you need to invest time in explaining what type of Internet advertising you are going to do, the sites that you are using, and the benefits for the seller. It’s easy to say “Don’t worry about the Internet, we are on all portals and have it covered.” While they may not say it outright, sellers will want to know that you have the knowledge to be able to maximise their listing online and handle the enquiry.

If your company has a good presence online, this may well be the reason you are sitting in front of the seller now. Make sure you are able to present to them effectively on how you will manage the sale or rental of their property online and reinforce confidence in your company.

So what can you present to them?

• A concise visual presentation of search pages, detailed property view pages, and basically how you will present their property both on your site and the property portals. (You can do this online by having a predetermined search that best presents your profile. If presenting offline you can use a product like “snag-it” that will assist in capturing images off the Internet.)
• Statistical data in relation to average page views for your properties from each of the property portals.
• Past sales over the Internet.
• The portals you advertise on and their associated content partners and exposure.
• The range of products available to them to enhance their listing and the benefits. (Most of the portals will have marketing support material. If not, develop your own using your own brand.)
• Testimonials of clients who have sold property through you originating from Internet enquiry.

One of the most important areas that you should cover with these prospective customers is your ability to manage buyer leads.

With one of the most common complaints against agents being their delayed or lack of response to emails sent – which these people have more than likely been on the wrong end of in the past – they are going to want to be assured you will not do this to enquiry on their property.

Discuss the ways in which you respond to buyer enquiry and how you will regularly keep them informed of response.

Quick Listing Idea:

You will have a database of potential buyers and the major portals will more than likely have a system for sending out electronic brochures to registered buyers with certain criteria of property and location (at a cost). Do some homework before you present.

“Mr & Mrs Seller, I have had a look at our database and also that of our partner property portals and there are currently a total of 267 registered buyers looking for property just like yours in this area. If you list with us I can have an electronic brochure in their inbox by tomorrow morning.”

This can become a very powerful tool if used correctly.

Avid followers of online trends will already be familiar with Foursquare, the wildly popular location-focused social network that lets its users earn points and unlock “badges” when they visit certain locations and “check in”.

Whether you’re a Foursquare convert or have never heard of location-based mobile social networking before, chances are you’ll be interested in CEO Dennis Crowley’s tips on how to grow a small business.

Crowley, an ex-Google employee, shared his marketing insights with openforum.com, revealing just how effective an informal approach to marketing can be.

Crowley explained that Foursquare leans heavily on Twitter to communicate almost everything the company does. “Keeping users in the know doesn’t take any more than a few seconds and your most loyal users will spread the word via [retweets],” he said.

Foursquare also uses Twitter to find people who are having problems with their service and tries to solve the issue publicly.

“Making yourself part of the conversation shows users you’re listening and care about the issues they have,” Crowley said.

Overall, Foursquare’s approach is open, friendly, and focused on people rather than product. It’s certainly working for them – could this strategy have the same effect on your real estate business?

The results of a recent survey by globaledge.co.uk reveal some interesting disparities between the marketing channels agents see as effective and the channels they actually use.

The survey looked at the marketing habits of over 200 agents and developers, asking them to rate the effectiveness of strategies like search engine optimisation, email marketing, and banner advertising, and to detail the strategies they use.

The top five most effective marketing strategies were seen to be the following:

1. Customer referral programs
2. Search engine optimisation
3. Listing properties with portals
4. Agent and IFA networks
5. Email marketing

The top five marketing strategies the respondents actually used were slightly different:

1. Listing properties with portals
2. Email marketing
3. Search engine optimisation
4. Agent and IFA networks
5. Magazine advertising

Like the recent HomeGain survey of US agents, these results suggest certain habits, like the use of print media, are difficult to break even when agents know they aren’t as effective as other marketing strategies.

If you’re trying to make the shift towards some of those top five most effective marketing strategies, make sure you check out our guest series and Top 10 Tips on SEO, our series on making the most of your portal listings, and our email marketing tips.

The data confirms something many already understand: recommendations from friends often have a much greater impact than those that come from advertisers. But how can real estate agents leverage a network like Facebook to bring in business without coming across as advertisers?

clarkcountryrealestateguide.com provides a perfect example of how to achieve this. Here, agent Dale Chumbley attracted 7,000 Facebook fans in just over two weeks with the simple strategy of publishing 365 things to do in his area over 365 days. So far, he’s written about museums, local cafes, bike trails, fishing – a wide range of topics that’s clearly appealed to just as wide a range of people.

Chumbley’s success backs up our previous advice on Facebook fans: give people a reason to become a fan. Of course, this goes for regular Facebook profiles as well as fan pages. Ask yourself why people would add you to their network of Facebook friends. Perhaps you’re the expert on the local music scene and could list all the upcoming gigs in your area. Or maybe you’re passionate about appreciating the local environment and could post photos and advice on the best hiking and camping spots.

Because it has such a massive worldwide audience, it’s easy to argue that being on Facebook at all is a smart marketing move. But to get the most out of it, you need to be offering something in return. Decide where your strength lies, then get out there and share it with the world.

Is print dead? It’s a question marketers of all persuasions ask themselves from time to time, whether they believe in the power of the printed word or choose to funnel all their advertising dollars into online options.

Here at propertyadguru.com, we’ve argued the case for online advertising over print a few times now. But the question is, do the stats really show that online advertising is the future? Or have the reports of print’s death been greatly exaggerated?

A few days ago, marketing analytics company Outsell published new US-based figures that sent a chill through the print industry. Vice president and lead analyst Chuck Richard summed up the results: “For the first time, advertisers plan to spend more on digital and online marketing and advertising (in 2010), 32.5 percent of the total, than on print, 30.3 percent, an industry milestone crossover event.”

As the Financial Times explains, Outsell surveyed 1,000 advertisers to predict that online spending will rise 9.6 percent to US$119.6 billion, while print spending will fall 3 percent to $111.5 billion.

“Advertisers are directing dollars toward the channels which generate the most qualified leads and most effective branding,” Richard explains. ”As they emerge from the recession, they need more accountability, and they’re spreading their spending over a widening set of options.”

In an interview with wired.com, Ad Age digital lead editor Michael Learmonth argued that Outsell was simply putting a date on something that was always on the cards. “It doesn’t matter whether it’s 2010, 2011 — it’s going to happen,” he said.

In fact, the trend away from print advertising has already gathered speed in both Australia and the UK. digital-media.net.au reported back in October that the Australian online ad industry is set to take away over a billion dollars from traditional media over the next four years. In the UK, the Internet Advertising Bureau saw online taking over from TV in terms of ad spend as early as September.

So, if everyone is moving their advertising dollars online, does print media have a future? The magazine industry thinks so, and has just released a new print-based campaign of its own to prove it. The ad, complete with a picture of olympic swimmer Michael Phelps, compares the print experience to swimming while maintaining we can only ever “surf” online:

It’s a lovely analogy, but the problem for real estate advertisers is that a print property listing offers an experience less like swimming and more like skimming stones. These days, property hunters are getting used to all the extra information they can find online: neighbourhood facts, Street View photos, mortgage broker contact details – the list goes on. At most, a print listing alerts people to the fact that a property is on the market, or was a few days ago.

Despite all this, the latest HomeGain survey shows some real estate agents are still keen to put money into print advertising in 2010. Does this mean agents are still seeing return-on-investment from print options? Or simply that vendors don’t feel comfortable unless their property is in the paper? Whatever the reason, our advice is always to track where your advertising dollars are going and what effect they’re having, so you can fine-tune your advertising strategy to get the best possible results.