The image of a typical property dealer in India is that of a person who didn't find any job or business and therefore jumped into realty sector by simply opening a shop in the market. Gradually, by facilitating some small scale deals, he/she moved ahead in brokerage ladder and was now in position to execute large deals with developers by underwriting part of the newly launched project or by investing in distress properties to sell them at later stage making a windfall profit. One would have noticed such a pattern in his/her nearby locality wherein one or few brokers have made it really big.
However, is it the only truth about brokers? Far from it….broker plays an important role in real estate sector. He/she is not only the deal facilitator but also the trust maker between a buyer and seller. People can execute small deals such as renting an apartment/shop without the help of a broker; however, try selling a piece of land/plot or an apartment worth crores and one would appreciate the value of a real estate broker. Not only will broker help in paper works such as preparing papers for registration, title deeds, no dues certificate, and any other legalities; but they will also help in providing the right information related to current market prices, and future potential of the local market. Therefore, it makes sense to verify the broker’s credentials before taking him/her on board. One can find a comprehensive list of things to check about property brokers here.
How do real estate brokers currently generate leads from customers for their business? There are multiple channels to generate leads from customers:
Probably, this is the easiest method to generate leads from prospective buyers. A broker will list properties on these online classified portals by paying a monthly subscription fee or buying a package wherein a broker can list 100 or 250 properties over a period of time. However, all these online classified portals are dynamic in nature and a property listed today in the morning will become old next day as more and more properties are listed by other property dealers. Therefore, bigger the online classified portal, harder it gets to generate quality leads by listing property on it. Therefore, a broker must be careful in choosing the right online classified portal and not jump on the fray because others are doing it as well.
This is the oldest method to generate leads from both sellers and buyers. Buyer or seller looking to buy or sell property will visit his/her local market and list their property requirements with the local broker. If there is a match, then broker facilitates the deal and in the whole process makes commission for the successful execution of the deal. However, this one is expensive because setting up a shop or office in local market will require capital investment at large scale for buying the shop/office, stationary, renovation, etc. Even renting a place will cost property brokers a decent amount. And having an office or shop in remote areas with low rentals will not bring in the desired traffic. Therefore, it will be an expensive proposition for someone looking to start afresh in this business.
Social media is where most customers are and using social media tools carefully such as Facebook, LinkedIn, Twitter, and Blogs can go a long way in bringing regular customers. The key in use of social media is not to pitch always but provide helpful content for people looking to solve their problems. It’s free and all it takes is dedicated and sincere effort on the part of broker to use social media effectively.
Having a web presence is useful these days and listing out your services, properties on the website is a really helpful. However, when there are thousands of websites, it gets difficult to generate leads from the website. But website is still useful for branding purposes.
This is probably the best method among all to generate leads, but not everyone will be able to bring in customers using referrals from friends, colleagues, etc. It takes years of experience to build a reputation in realty business. How many large scale deals one executes, how many customers are satisfied with your services? These are all questions which take time to answer and answering them in affirmative will brings referral leads.
Just like online classifieds, one can use print media for listing properties. This is however more expensive than online classifieds media. There is still a segment of population who is comfortable with print classifieds and having your presence there would therefore target that particular segment of the market. Large brokerage houses however use mainstream print media extensively for exposure and branding and not just for listing properties.
Put together, are these lead generation tactics sufficient? Probably yes, but for someone looking to start afresh in the business, all these tactics will take time and dedication to fructify. There is always scope for innovating new channels for lead generation in realty sector.
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However, is it the only truth about brokers? Far from it….broker plays an important role in real estate sector. He/she is not only the deal facilitator but also the trust maker between a buyer and seller. People can execute small deals such as renting an apartment/shop without the help of a broker; however, try selling a piece of land/plot or an apartment worth crores and one would appreciate the value of a real estate broker. Not only will broker help in paper works such as preparing papers for registration, title deeds, no dues certificate, and any other legalities; but they will also help in providing the right information related to current market prices, and future potential of the local market. Therefore, it makes sense to verify the broker’s credentials before taking him/her on board. One can find a comprehensive list of things to check about property brokers here.
How do real estate brokers currently generate leads from customers for their business? There are multiple channels to generate leads from customers:
- Online classifieds
Probably, this is the easiest method to generate leads from prospective buyers. A broker will list properties on these online classified portals by paying a monthly subscription fee or buying a package wherein a broker can list 100 or 250 properties over a period of time. However, all these online classified portals are dynamic in nature and a property listed today in the morning will become old next day as more and more properties are listed by other property dealers. Therefore, bigger the online classified portal, harder it gets to generate quality leads by listing property on it. Therefore, a broker must be careful in choosing the right online classified portal and not jump on the fray because others are doing it as well.
- Having a physical presence
This is the oldest method to generate leads from both sellers and buyers. Buyer or seller looking to buy or sell property will visit his/her local market and list their property requirements with the local broker. If there is a match, then broker facilitates the deal and in the whole process makes commission for the successful execution of the deal. However, this one is expensive because setting up a shop or office in local market will require capital investment at large scale for buying the shop/office, stationary, renovation, etc. Even renting a place will cost property brokers a decent amount. And having an office or shop in remote areas with low rentals will not bring in the desired traffic. Therefore, it will be an expensive proposition for someone looking to start afresh in this business.
- Social media
Social media is where most customers are and using social media tools carefully such as Facebook, LinkedIn, Twitter, and Blogs can go a long way in bringing regular customers. The key in use of social media is not to pitch always but provide helpful content for people looking to solve their problems. It’s free and all it takes is dedicated and sincere effort on the part of broker to use social media effectively.
- Web presence
Having a web presence is useful these days and listing out your services, properties on the website is a really helpful. However, when there are thousands of websites, it gets difficult to generate leads from the website. But website is still useful for branding purposes.
- Referrals
This is probably the best method among all to generate leads, but not everyone will be able to bring in customers using referrals from friends, colleagues, etc. It takes years of experience to build a reputation in realty business. How many large scale deals one executes, how many customers are satisfied with your services? These are all questions which take time to answer and answering them in affirmative will brings referral leads.
- Print media
Just like online classifieds, one can use print media for listing properties. This is however more expensive than online classifieds media. There is still a segment of population who is comfortable with print classifieds and having your presence there would therefore target that particular segment of the market. Large brokerage houses however use mainstream print media extensively for exposure and branding and not just for listing properties.
Put together, are these lead generation tactics sufficient? Probably yes, but for someone looking to start afresh in the business, all these tactics will take time and dedication to fructify. There is always scope for innovating new channels for lead generation in realty sector.
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