Real estate. Maybe not the first choice for a market to hunt for prospects considering it's pretty much in the top three of "most cataclysmically tanked niches in the America," … or at least that used to be the case. Sure, four years ago, it wasn't the best idea to head to your local ReMax and ask, "Hey you guys got an extra ten-grand lying around for like, some pens and whatever?" But now? It's totally a different story. Sort of.
While the market is in no way booming, the relevant parts of the economy have recovered enough to create a level of stability. The residential market may never be as strong as it was in the early 2000s, but in its place there are now banks that need to promote mortgage refinancing, real estate firms that need an affordable way to communicate tax break information to potential customers, and dozens of service companies that cater exclusively to investors who deal with flipping foreclosed properties.
There's a lot out there, and it can all seem kind of crazy if you're new to the market. But, with a little research, planning and understanding, cornering opportunities in this market is far from difficult. Still stumped? Let us get you started with the quick primer below.
Next: Thinking Outside the Office
1. Think Beyond the Local Real Estate Office
It's perfectly fine to sell to your local realtors (like any sales/service provider, they have a high need for products to give away that get and keep their name out there), but there is so much more to the real estate market than your local agency. Excluding other obvious parts of the market, such as banks and property management firms, there are numerous other businesses meaningfully related to real estate, such as construction companies, investment firms, market-focused news websites and magazines, local and state governments, and even ecological protection groups.
Compare the real estate market to the promotional products industry. To people on the outside, their understanding of how the promotional industry works is, "Go to the store that sells things with names on it, buy a thing with a name on it." Without meaningful research or experience, they would have no idea that it's a multi-billion dollar industry that's an enormous commerce driver, or that it supports a huge web of businesses, from apparel decorators to marketing magazines to some of the last few true American manufacturing companies.
Try and think of the real estate market in the same way. Dig for the "hidden" web of businesses that sprawls out from this niche and find a thread you can tug. Do you have an in with a bank that might want to promote its mortgage offerings or find buyers for foreclosed properties it can't move? Have you done some great promotional work for magazine and think you might be able to replicate it for one in the real estate field? Do you know a construction company that might be looking to partner with real estate investors or a property management company? There is a lot of breadth to this niche market, and once you find your angle, breaking in should not be all that difficult.
Next: Know What Matters in the Market
2. Study the Parts of the Market that Matter to You
Figuring out how your current client list and business network intersect with the real estate world isn't the only way to break in to the market. The market itself is very much researchable and can be a great way to find opportunities. Some examples:
- Looking at property trends at the state or local level can reveal market hotspots where your services might be needed. Are there a ton of new apartment complexes popping up in your downtown area that desperately need renters? Do you live in states like Florida or Texas, where there is an extreme amount of foreclosed or pre-foreclosed property? Is your state or township buying up land for conservation purposes? These are all issues that offer marketing opportunities, and are all findable with minimal research.
- Activity along particular property types can another useful way to study the market. For example, undeveloped land foreclosures have become common nationwide in recent years: What businesses are trying to make a profit or ease a pain off that fact, and how can you help them promote their services?
- Price is another way to think about the market. If there is a lot of cheap property being bought and sold quickly, there may be a heat you can capitalize on with related businesses. Conversely, if there is low movement of expensive properties, maybe there is a way you can help a business sell some painful assets.
Thankfully, though there are many things obscure and difficult about the real estate market, tracking the movement of properties is not one of them. Anecdotal research, such as browsing real estate classifieds or even driving around town can reveal plenty, but know that there are comprehensive digital search tools as well. Websites like NewArce.com can tell you with a few clicks the week-to-week flow of distressed and pre-foreclosed properties at the national and state level, others like Bisnow.com provide through coverage of the commercial real estate market.
Next: Putting Product in its Place
3. Start Thinking About Product
Once you have an idea of some of the businesses you'll be targeting, it's a good idea to start thinking about product. Not that you should ever approach a client product-first (the conventional wisdom of focusing your sales efforts as a means of solving problems for clients, and not their product needs, of course still holds to the real estate market), but having an easy list of helpful products ready for your pitches will of course be of help. Below is a small list of pointers collected from past Promo Marketing articles on products that can be helpful with different parts of the real estate market.
For open houses, consider food gifts:
Mike Shulkin, president of Chicago-based A La Carte, mentioned that food is the most popular product at these open-house events. "When prospective tenants visit the [senior living] buildings, the landlords want to give them a promotional packet including some snacks," he said.
(From Oct. 2012's Age Ain't Nothing but a Number: 8 reasons selling to senior care is easier than you think)
Investment always takes planning:
Bill Mahre, president of ADG Promotional Products, Hugo, Minn., listed the best markets for planners are office workers and note-takers. "Traditional strong markets like real estate, education, law firms, accountants and banks still use large quantities of planners since they are a good value and ideal for note-taking," he said.
(From June 2012's Penciled In: The 11 must-knows of designing a perennial calendar or timeplanner promotion)
Portable computing is a must:
"A key market that has been overlooked is college bookstores," Richard Flashenberg, managing director of the Colemax Group, Glen Rock, N.J. said. He also suggested corporate events where tablets or e-readers are given to attendees, as well as industries that rely heavily on iPads and tablets, such as real estate, logistics and hospitality.
(From Oct. 2012's Plugged-in Promotions: A guide to the best electronics and accessories)
- Companies:
- A La Carte