Real Estate Marketing Exam 2

Blogs

"Web logs" where one person writes a post that is usually a couple of paragraphs long about a relevant topic.

Three Market Segmentations

1. Demographic segmentation: Age; Income; Gender; Family life cycle; Marital Status; and Career Fields 2. Geographic segmentation: Population Locations; Residence Locations; Climate; and Regional Preferences. 3. Psychographic segmentation: Lifestyles; Needs; Motives; and Attitudes and Perceptions

Steps Used to Identity the Target Market

1. Identify and describe the subgroup. 2. Estimate the size of the subgroup. 3. Evaluate the accessibility to the subgroup.

Marketing Mix

4 P's, (product, price, promotion, and place)

Web Counters

A device that adds up the amount of hits a website receives. The web counter may also provide answers to the following questions: Where are your visitors located? How many hits does your site get each day, week, month, and year? Which of your content pages gets the most visitors? Which search engines do your visitors use most often? What keywords do your visitors enter into their searches? There are many websites that offer counters. Choose one based on service, need, and cost.

Social Media Marketing

A form of marketing on the internet via social media networking sites, e.g., Facebook, Twitter, etc.

Social Networking

A means to meet and connect with other people, often over the internet. It can be referred to as any type of networking among professionals and acquaintances. Networking is talking to other people. It can include friendly banter or business communications. To begin using social networking, do the following: Sign up for each social networking site with which you want to belong. Connect with others. Post something interesting about you or your work (write your own posts; do not delegate this task). Update it every day. Social media is fluid; it moves and changes daily.

Syndication

A method in which brokers subscribe to distribute their listings to various advertising venues, internet, or print, on a per-site basis.

Internet Data Exchange (IDX)

A method participating brokers use to advertise by sharing listings on their public websites.

standardized output.

A perception that no matter where a product is purchased, its quality and other attributes do not change. This is a difficult concept in real estate and other services, where the output of one agency is different from another.

Selfie

A quick photo of and by the person in the photo. Selfies are often used in social media to show an activity of the user.

Home Page

A salesperson's home page should have basic information about the salesperson and the services offered. It should include appropriate company data. A salesperson's contact information and company should be on every page of the site.

Search Engine Optimization (SEO)

A strategy for improving the visibility of a website in search engines, often through the use of keywords. One way is through unpaid search results, but other forms of search engine marketing use paid listings. In general, the earlier and more frequently a site appears in a list of results from a search engine, the more visitors it will receive.

Web Browser

A web or internet browser is a computer software application for accessing information on the web, including webpages, images, videos, or other types of resources. Hyperlinks allow users to navigate web browsers to related resources.

Hashtag

A word or phrase preceded by a hash (#) used to identify posts with specific topics. When searching the social media site, entering a hashtag makes it easier to search by topic or theme.

Stage 3: Social/belongingness needs

Acceptance by family and friends; belongs to groups and clubs and conforms to the standards of others Marketing Strategy: Point out places of worship, entertainment areas, golf courses and country clubs, and schools in the community.

Price Niche Strategy

Agents who specialize in properties within a certain price range empoy this

Social Media by Age Group

Ages 18-29, 84% use Facebook, 31% use Twitter, 37% use Instagram, 27% use Pinterest, and 15% use LinkedIn. Ages 30-49, 79% use Facebook, 19% use Twitter, 18% use Instagram, 24% use Pinterest, and 27% use LinkedIn. Ages 50-64, 60% use Facebook, 9% use Twitter, 6% use Instagram, 14% use Pinterest, and 24% use LinkedIn. Ages 65+, 45% use Facebook, 5% use Twitter, 1% use Instagram, 9% use Pinterest, and 13% use LinkedIn.

Real Estate Market Analysis

Any marketing mix that is developed must take the market environment into consideration. Agents should take a moment to define the market environment, as it currently exists. When agents define the nature of the market, they take into account many elements that were discovered during their research, such as the direction of interest rates, access to credit, costs of materials (residential, commercial, industrial, acreage), types of properties selling, and the current geographic areas under development. For new opportunities, agents should examine the direction of growth, the population growth rate, and the expansion or contraction of the job market.

Thirteenth Amendment

April 8, 1864, the Thirteenth Amendment passed in the Senate and advanced to the House, where it passed on January 31, 1865. By the end of that year, on December 6, 1865, the amendment was ratified and slavery was made illegal

Three elements of a promotional campaign

Branding Differentiating the product or service Positioning

Comparative Market Analysis (CMA)

Completing a Comparative Market Analysis by hand is so archaic that it is barely acceptable in the real estate industry. Computers have made this task easier and faster than in the past. Software can pull data directly from MLS databases and manipulate that data into a professional CMA. The cost of this type of software has dropped enough to make it accessible to any real estate professional. Also, some database management software has the CMA capability built in. The fewer programs a salesperson has to use, the better.

Websites necessities

Correct grammar and contact information

Uniform Resource Locator (URL)

Directs to a resource on the internet. A URL can also be referred to as a web address.

Domain Name

Domain names identify websites. They are formed by the rules and procedures of the Domain Name System (DNS). Free hosting services provide website addresses, but they are not typically professional because they are not clear and are usually long and cumbersome. People find it difficult to type or remember long addresses. No one remembers long addresses. The best URLs are a person's name or business name.

Segmentation

During the segmentation process, agents group people by the characteristics they have in common, such as age, income, lifestyle, and their motivations to purchase. Marketers in all industries use the commonalities of group segmentation or target marketing to create marketing mixes that influence purchase decisions. Agents who tap into this reservoir of information find that they can adjust the marketing mix on a single listing to make it attractive to multiple target markets. The result is higher productivity from their marketing mix strategies.

Personal Pricing Decisions

Enhanced value Quality Expertise and professionalism Profit Performance What the market will bear

Extras

Give the consumers extras, and they will come back often. The extras could be mortgage information, loan calculators, buying and selling tips, and current area market reports. This information will encourage return visits to your site, even from past clients.

Components of a Professional Website

Home Page Properties for Sale Area and Community Information Electronic Form Extras

Handle

In Twitter, another term for username.

Favorite

In Twitter, favoriting a post is equivalent to liking a post in other social media forums.

functions of promotion

Inform Persuade Remind

Must-Have Tech Tools

Laptop computer or tablet Electronic thank-you cards Smartphone PowerPoint Presentations Global Positioning Systems (GPS)

Psychographic Segmentation

Offers agents a powerful tool in both marketing and sales because it discovers how values and needs motivate people.

Share

On Facebook, to share a post is to choose the "share" option to send the post out to other Facebook members and friends.

Like

On a Facebook Business Page, a consumer has the option to like a business page, allowing the consumer to follow and receive posts via his personal page.

Database

One of the most valuable business assets a real estate salesperson can have is a database. The days of index cards in a box are over. That may still work, but it is an outdated and inefficient system. Access to a computer is a must for a salesperson, and that computer should have a software program for database management. It's not as important which database management software the salesperson chooses as long as the software is easy to operate. The minimum requirements of a database include the following: Data (client) input Ability to place in groups Ability to market to a specific group Ability to search Ability to tag for follow-up Ability to access by smartphone

Differentiated Market

One that is made up of different recognizable segments that can be attracted by creating multiple marketing mixes.

Demographic Segmentation

Organizes the entire market by multiple factors including age, income, gender, occupation, family life cycle, education, and household size.

Geographic Segmentation

Organizes the total market by the political makeup, population density and migration, and actual location of property within a geographic area.

Internalists

People that do things based on experience and who are not necessarily influenced by the opinions of others.

Externalists

People that try to conform to or impress the outside environment.

four elements of the promotional mix

Personal selling Advertising Publicity Sales promotion

Stage 4: Self-esteem needs

Prestige, sense of self-worth, success, accomplishment Marketing Strategy: Wants to help others as well as impress others; very status oriented. Properties should reflect these goals; must look good.

speed

Prospects want to know how long the real estate transfer may take, what to expect during loan processing, and how agents can save them time when looking for a home. From the agent's point of view, speed describes how quickly information can be disseminated to the public.

Inflation

Rising demand for a product that is in declining or stable supply is one of the more common reasons that prices rise in the real estate market. As demand increases, prices decline.

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Advantages of Building Your Own Website

Saves time Saves money Can be updated or modified easily Can be a fun and rewarding experience

Stage 5: Self-actualization

Self-fulfillment; a feeling that you are doing what you were meant to do, using your talents to their fullest Marketing Strategy: Enjoys sports, education, cultural events, cooking, and other hobbies. Property selections should inspire these activities.

four elements of place

Speed Convenience Condition Channels of distribution

Transactional File Management

The ability to manage a transaction from inception to completion and beyond. The minimum requirements of transactional file management are the following: Ability to track a transaction Ability to use the data for tax purposes Ability to access the data from remote places

Marketing Mix

The combination of the right product or service at the right time, given the right promotion through the best channels of distribution that produces a buyer that is ready, willing, and able to buy your product or service.

Motivators for Real Estate Prospects

The desire to make new friends in a new neighborhood Precision and craftsmanship The recognition for one's success and accomplishments The ability to control the final look of the home A house design that saves time

HyperText Transfer Protocol (HTTP)

The foundation for communication on the internet. It is the protocol for websites to request and deliver information from web servers.

Family Life Cycle

The stages that people go through in their lifetime. These stages generally include singles, couples, and parents.

Web Server

The web server has a large disk capacity for accessing a volume of files for a large number of users. A web server can be referred to as either the hardware (the computer) or the software (the computer application) that helps to deliver content that can be uploaded or accessed through the internet.

Properties for Sale

The website should have a section with properties for sale with prices, features and benefits, photos, virtual tours, and a locator map or link to a map.

Area and Community Information

The website should include schools, shopping centers, places of worship, demographics, major thoroughfares, and local amenities. This information can be shown as content the salesperson provides or as links to other websites.

Electronic Form

The website should provide an electronic form that consumers can submit to receive community, housing, school, or additional information. The site should not demand information from consumers. You will have a better response rate if you design your site to ask only for names and email addresses, and state that the information will remain confidential and will not be shared with anyone.

Federal Reserve

Through the open market operations and other tools at its disposal, the Fed takes steps to encourage thrifts to increase interest rates. Higher interest rates make it more difficult for people to afford a home. Sellers who must sell should reduce their prices to compete with the higher price of money (interest rates

major factors that influence the decisions companies make about the price of their services

Time and expenses Turnover Market share

Website Address

Users access a website through its "address," which is technically known as its universal resource locater (URL). Here is an example of a URL: http://www.includeyournamehere.com.

Web Traffic (Hits)

Web traffic includes all data sent and received by visitors to a website. Web traffic is measured by hits, or by the number of visitors and the number of pages they visit. Websites may monitor incoming and outgoing traffic to see which parts or pages of a site are most popular and whether there are any apparent trends that indicate preference by a specific group of people. There are many ways to monitor this traffic, and the gathered data can be used to help structure sites, highlight security problems, or indicate new marketing strategies upon which a real estate salesperson could capitalize.

Website Architecture

Website architecture describes the design and planning of websites through various aesthetic and functional criteria. Creating an ideal website requires attention to other web content, a company's business plan, general usability, interaction, and overall web design. A website needs to be well designed to ease navigation and to quickly load pages. The information desired by the salesperson's target audience needs to be accurate and thorough. You should plan the site architecture before you begin to create your website. Determine your goals for the site and what your concept will be. Site concept is the overall theme and purpose of a website. A salesperson needs to remember that people search the internet looking for information. A website must be driven by the following two factors: Good-quality, useful information that is of interest to a broad group of people is provided. Content can be found easily and quickly. Most people will not keep searching, looking at every site. Most stop after the first few listings. If they do not find what they are looking for, they change their search keywords and try again. It is critical for a salesperson's site to be one of the first listed or at least among those on the first page.

Perceived Utility Value

What someone will pay for a property or a service is often based on

positioning

When a market segment thinks of one agent or one agency, that is the result of. ranks the agent or agency into the minds of consumers. helps attract an element of the market to your product.

Keywords

Words or phrases employed by users of search engines to locate information. Place these keywords in your page title, page description, file names, link names, and text itself. You can do a keyword search yourself to find the frequently used keywords that best describe your services. You should also verify that the keywords you use are not overused. Overused keywords could result in placing your site at the bottom of a search results page and not at the top. For example, use these sample keywords: Homes Homes for sale Homes for sale in Tarrant County Real estate in Fort Worth How to buy a home

Antitrust

antitrust law is dependent on a conspiracy, which means that two or more people must be involved.

Promotional Mix

combination of personal selling, advertising, publicity, and sales promotion with the purpose of informing, persuading, and reminding prospects of your products and services. Personal selling has the advantage of direct communication with the prospects. Personal selling is the element of promotion most familiar to agents.

Convenience

convenient and easy transfer of property to prospects (good working order and title too) The condition of the property and title are both part of the place strategy

Branding

creates the reasons people identify with the product.

Civil Rights Act of 1866

defined citizenship in the United States as belonging to anyone born in this country.

Channels of Distribution

describe the processes used by agents to deliver the promotional message to the public. how the message reaches the public via television, newspapers, radio, and other sources

Total Product

describing a quality product or service that exceeds the customer's perceived expectations.

Promotional Campaigns

distribute information in a coordinated way. The campaigns seek to position the company or the licensee ahead of all competitors, differentiate its services and products, and characterize (brand) the reasons people identify with its listings and services.

packaging

draws attention to the product—it creates curiosity and encourages comparison

Preparation

helps agents effectively compare the advantages of their services or selected properties to those of other products or services on the market.

Research

helps agents understand their market and the strengths and weaknesses of their competitors. Salespeople use a tool from their market research called SWOT when analyzing the competition

Planning

helps anticipate needs or expectations and puts into place strategies to satisfy them. puts into motion sales strategies to take advantage of those weaknesses.

Enhanced Value

helps prospects perceive and understand that they are receiving more than what they are paying for. The added benefit involves two elements. The first is the mechanical aspects of the service, and The second is the emotional aspects of the service

sales promotion

includes activities that persuade, remind, or inform but do not involve personal selling, advertising, or publicity. Sales promotions can be more than ink pens and calendar giveaways.

value

indicated by price. Value is also a perception that buyers and sellers may hold of the products and the services they buy.

Communication

information is the foundation of a promotional strategy.

Prospecting

is the method used to find potential customers who can benefit from your product and who are ready, willing, and able to make a buying decision. Preparation and knowledge set the stage for prospecting and the remaining steps in the sales process.

Qualifiying

means discovering both their property and emotional needs. helps agents understand the unique wishes of a specific customer.

quality service

measured by letting prospects know what to expect, telling them what you will do, and then doing it. Tangible, quality service generates referrals—the most productive way to increase sales.

turnover

measures how long it takes to sell homes in a particular price range in a given year.When the turnover ratio is high, then the profit potential for the firm and its agents increases. turnover of 2 means that it took 6 months to sell the property.

Publicity

message that is not paid for by agents. educates the public about issues involving the real estate industry or the image of the agent or agency

four elements of promotion

personal selling, advertising, sales promotion, and publicity. Personal selling is the best-known aspect of the promotional mix and is treated in more detail in the next section.

Advertising categories

product advertising that promotes listings and institutional advertising that promotes the firm.

Ethics and morals

provide the basis on which we attempt to make the business and social environment a better place to work and live.

The Sherman Antitrust Act of 1890

provided an interstate connectivity that was not there before. The act encourages the preservation of competition in the marketplace. trusts and monopolizing trade a felony

from a marketing standpoint, place

requires that agents organize the activities needed to speed the delivery. Place also explains how the marketplace learns about the property or service. Place ties in well with promotional strategies because it provides the vehicle, or the channels of distribution, needed for the promotional strategy to be heard.

Price Elasticity

suggests that it is not unusual for some sellers and agents to be slow in accepting market price declines.

Digital File Storage

the ability to store documents on a disk, flash drive, or in cloud storage to remove the need for paper. This may not be something for a salesperson but is valuable to a broker.

Place and promotion

these strategies have one thing in common. They all attempt to successfully communicate with prospects, persuade them to take action, and through repetition, remind them of who the agents are and what services they provide.

Place

to include not just the location of the property but also how fast the property can be transferred to the prospects, and how the prospects learn about the availability of property listings.

Group Boycotting

two or more competitors conspired to follow any of these actions,