E-Mail Marketing 101

With a small investment and a little time, you can use e-mail to leverage your marketing efforts.

by Bridget McCrea   Steve and Dee Dee Trosclair had been using e-mail to communicate with clients for years, but it wasn’t until September 2002 that they decided to launch an e-mail marketing campaign. Just six months into the campaign, the pair had already brought in $700,000 in sales volume as a direct result of their efforts

To get their program off the ground, this pair of REALTORS® with Keller Williams Realty in Dallas divided their target market into three groups: previous clients and sphere of influence; conversion of the traditional geographic mail-out farm areas; and real estate agents. Their first e-mail campaign went out to what they referred to as "captured clients," those who had visited their Web site and requested property information.

Today, those people receive automated e-mails that include property information and reminders to check the Trosclair’s Web site for updated information on a one-, three-, five-, nine-, 15- and 30-day basis. These automatic messages are generated on that schedule, which the recipient cannot change. However, all recipients are offered the ability to opt out, which will automatically stop any future transmittals.

"We also develop e-mail newsletters and send them monthly to all groups, on the same day," says Steve Trosclair. "The e-mail contains a link to our newsletter, which contains broad real estate-related issues from the Inman News Group. It is the same for all groups and it’s more of a ‘bonding’ type e-mail that makes the recipients feel closer to us. Using one newsletter saves time and still accomplishes our purpose of maintaining contact with the recipients," he says. Using Microsoft Outlook for database management, the Trosclairs send e-mail only to those recipients who "opt in" or specifically request the information.

Because the Trosclairs already had a Web site in place before launching their e-mail campaign, they say the learning curve and cost involved with the new strategy was minimal. Maintaining their client database is the biggest challenge. "Updating e-mail addresses and the database is an ongoing challenge," says Steve Trosclair, "but the results we’re already seeing make the effort well worth it."

Get the message?

The Trosclairs are a prime example of how REALTORS® are using e-mail to leverage their existing marketing efforts in a time- and cost-effective manner. "E-mail marketing is one of the most popular methods of reaching new and existing customers in today’s real estate market," says Desiree Savory, owner of Houston-based Technography Solutions, which provides personal and group computer-software coaching to REALTORS®. "Targeted e-mail marketing is a lean and effective process that will keep clients and customers connected to you."

To make sure that connection sticks, Savory says an e-mail campaign must provide clients with valuable, pertinent information like marketing statistics, listing activities, and neighborhood or community information. By customizing your e-mail campaign to fit your specific audience’s needs, she says the messages will not only get their attention, but will also "keep them asking for more."

"Don’t send them recipes–send them something they can use," adds Amy McGee, president of RealtyeZine in Houston. She says every e-mail campaign must be personal, anticipated, and relevant. In other words, no form letter-style messages, no surprises (i.e., spam), and no information that doesn’t mean a thing to your recipient.

"People who find your information relevant will welcome it," says McGee.

Even better, they’ll probably forward it to other family members, co-workers, and friends–something that doesn’t happen with paper-based marketing materials. "Without any extra effort on your part, you can empower your target audience to spread the word about what you’re doing," says McGee.

Find a format and frequency

To create the message, your options include plain text, HTML (with graphics and color), or an attachment like a PDF (Portable Document Format). Creating HTML requires some knowledge of coding, so for agents who want to write their own messages and not hire a technology expert, the best bet may be a simple text message written in the body of the e-mail. There are also several services like RealtyeZine and The Real Estate Update that provide content and help you manage your distribution list.

"Anything that requires that the recipient take an extra step to be able to view the content greatly diminishes the likelihood that the recipient will read it," says McGee. "A hyperlink to a Web page, for example, is a step that a lot of people won’t take. And most people are leery of attachments and just won’t open them unless they’re essential."

Frequency of the e-mail messages is another important consideration. McGee suggests one mailing per month. Be sure to include an opt-out choice in all messages, and keep your mind open to sending messages to other audiences in addition to customers and clients.

At Keller Williams Lake Travis in Austin, for example, A.J. Farrer uses e-mail marketing with her pre-market campaign. After listing a home, she creates a Web-based virtual tour and sends it via e-mail to about 600 other agents for a pre-market tour. "I sold my last three listings this way," says Farrer, "before they even hit the MLS."

The cornerstone: a good list

At the heart of any good e-mail campaign is a well-maintained database of contact information. Getting this piece in place is no easy task, says Gina Monroe, senior vice president of marketing and technology for LandAmerica American Title in Dallas.

"Starting a database is the most difficult aspect, mostly because it’s not a habit for REALTORS®," says Monroe, whose firm creates e-mail campaigns for agents.

To get in the habit, Monroe says agents need to ask for e-mail addresses along with the typical contact information when they talk to clients. And, when someone sends you an e-mail message, be sure to add the sender’s name right to your address book. To keep that contact information up to date, dedicate two hours a month to going through the database, updating the information on the existing entries, and adding any new ones.

Savory, who recommends Microsoft Outlook, ACT!, or Top Producer to REALTORS® in search of a good database- management program, says every entry should include at least a name, address, contact number(s), e-mail addresses, present and future home information, family birthdays, and anniversaries.

Agents looking for an easy way to populate their database may be tempted to purchase a list of e-mail addresses, then send out messages en masse to those recipients, hoping that a handful will turn into prospects. Savory says this strategy can work, but warns that it doesn’t do much to lend a personal touch to the recipient.

McGee warns REALTORS® against lists, mainly because a 0.3% return that comes from alienating 99.7% of the list isn’t worth it, particularly not for people who make their living on solid relationships and community connections.

"E-mail marketing done incorrectly can be extremely detrimental," says McGee, who has had agents sign up for her e-mail marketing service with just 10 contacts in their database. "If your own database isn’t full, you’re not alone. Most people start with a dozen or so, then grow it by adding few at a time."

Jerome Wilkerson, a REALTOR® with Realty World John Horton and Associates in Austin, started with about 300 contacts in May 2002. He spent the last year populating his database with the contact information collected from visitors to his Web site. Today, about 1,200 people receive his monthly e-mail marketing message, which is generated through RealtyeZine.

Wilkerson has yet to measure the specific results of the campaign, but says he knows it’s working because he frequently receives responses from people who find the e-mail messages useful, or who move out of their "holding pattern" and are motivated to buy as a result of the messages’ useful market information.

Strictly a buyer’s agent, Wilkerson feels that the more he reaches out to clients, the better the odds are that they’ll call him when they want to buy a home. A structured e-mail campaign has helped him achieve that visibility. "Real estate is a real numbers game," he adds, "and the more frequently you keep your name in front of people, the more they’ll think of you."

Bridget McCrea is a freelance writer in Dunedin, Florida. She has written articles for Florida REALTOR®, Illinois REALTOR®, Journal of Property Management, Fortune Small Business, and other publications.

Photo © PhotoDisc.

home   current issue    top 10    resources 

discussions   contact us   search

Buyers & sellers, visit www.texasrealestate.com.
REALTORS®, visit www.texasrealtors.com.