Marketing proposal

Prepared for Mr. and Mrs. Paul Kierce

Hiring a Broker to Market Your HomeShould be a Business Decision

Hiring a Broker to Market Your HomeShould be a Business Decision

Broker selection is the most important element in the

process

You Could Hire a Real Estate Brokerat a Reduced Rate

You Could Hire a Real Estate Brokerat a Reduced Rate

You may think the money you’re saving is going into your pocket

Reward

Sales Side Listing Side

Marketing Fee

What the Public ThinksWhat the Public Thinks

Total Fee

Survey of recent home sellers indicate that 85% felt the selling agent earned the fee.*

85%

* Survey by NAR

Survey of recent home sellers indicate that 87% felt the listingagent did not earn the fee.*

87%

The “Tangibles”The “Tangibles”

• MLS

• Key Box

• Advertising

• Public Open Houses

• Signs

• Feature Sheets

• Magnets, Pens and Pads

• Broker Open Houses

• ‘Just Listed’ Announcements

• Real Estate Magazine Advertising

• Internet Advertising

• Home Warranties

• Corporate Relocation Affiliation

• Property Preparation Consultants

• (800) Telephone Number on Signs

• Advertising Your Home Every Week Until Sold

• Advertise Your Home on Video

• National Advertising in Real Estate Publications

Example: Gardenburger spends 2/3 of its advertising budget on SuperBowl ad and created an overnight success

Real EstateProduct vs. CommodityReal Estate

Product vs. Commodity

Seller establishes price

Direct relationship to advertising and marketing of product.

Product

Buyer establishes value

No relationship to advertising

Commodity

Example: Have you ever seen an ad for the saleof soy bean futures or IBM stock?

With a commodity, prices go upwhen there’s more than one buyer.It’s the price point which creates

positive and negative energy.

FACT:Buyers Buy When They Perceive Value

FACT:Buyers Buy When They Perceive Value

Inventory sells at its highest pricein the first days of exposure

The Buyer PoolThe Buyer Pool

Perception:Fewer buyers in the marketplace = Buyer’s Market

The Buyer PoolThe Buyer Pool

Perception:More buyers in the marketplace = Seller’s Market

The Buyer PoolThe Buyer Pool

Scale of Value

The Paradigm Shift

The Reality:The buyer pool remains relatively constant.

Prices go UP and DOWN

The First 14 Days Are the Most Criticalin the Marketing of Your Property

The First 14 Days Are the Most Criticalin the Marketing of Your Property

We’ll show you the statistics

The Importance of Market PositioningThe Importance of Market Positioning

What is it worth? Buyers wanting to buy

What will it take? Buyers prepared to buy

Buyers just entering market

% of Buyers

14-Day Listing Follow-Up14-Day Listing Follow-UpPROPERTY ADDRESS: ____________________________________________ AGENT: ________________________ Open House Date: ______________ List Price: _____________

Day #13Shows:Repeat Shows:Feedback: Day #14Shows:Repeat Shows:Feedback:

Day #5Shows:Repeat Shows:Feedback: Day #6Shows:Repeat Shows:Feedback:Day #7Shows:Repeat Shows:Feedback:Day #8Shows:Repeat Shows:Feedback:

Day #9Shows:Repeat Shows:Feedback: Day #10Shows:Repeat Shows:Feedback:Day #11Shows:Repeat Shows:Feedback:Day #12Shows:Repeat Shows:Feedback:

Time to re-evaluate property and arrange personal meeting with seller (set date): Time to re-evaluate property and arrange personal meeting with seller (set date): ____________________________

Results of meeting: Results of meeting: __________________________________________________________________________________________________________________________________

Three Phases of Showing:

3. NO SHOWS3. NO SHOWS: home is above the market; no perception of value

1. REPEAT SHOWINGS:1. REPEAT SHOWINGS: home being shown continuously with second looks

2. SHOWINGS BUT 2. SHOWINGS BUT NO SECOND LOOKS:NO SECOND LOOKS: home being shown but not perceived as a good value

Day #1Shows: Repeat Shows:Feedback: Day #2Shows:Repeat Shows:Feedback:Day #3Shows:Repeat Shows:Feedback:Day #4Shows:Repeat Shows:Feedback:

Newspaper Advertising vs. the InternetNewspaper Advertising vs. the Internet

Over 75% of today’s homebuyersbegin their search on the internet

Inventory coming on… Inventory going off…

What is the Market Doing?What is the Market Doing?

Inventory coming on… Inventory going off… Prices go DOWN

Prices go UP

Depreciating Market

Appreciating Market

Abundance of energyand no inventory

Abundance of inventoryand no energyCompetitive pricing makes your home look good compared tothe other inventory and createsthe same environment as anAppreciating Market.

Our Job as Marketing Consultants:Our Job as Marketing Consultants:

• Educate seller–– To market conditions and marketing concepts

• Create a perception of value–– To stimulate the buyer pool to make offers

• Negotiate the sale–– To net the seller(s) top dollar for their home

Market StudyMarket Study

• Uses current market data

• Analyzes buyer criteria

• Requires in-depth inventory knowledge

• Assists in choice of initial market position

• Assists in repositioning