The Value of Marketing
Why is marketing so important?
We often meet sellers who are sold on the idea of selling at a premium price (I mean who isn’t), but aren't sold on the idea of spending money marketing their home. As the old saying goes, you need to spend money to make money, and when it comes time to sell your home, this definitely holds true.
Depending on where you live and the type of property you are selling, marketing fees can differ greatly. In some cases, sellers can spend upwards of $40,000 on their marketing campaign, and others, as little as $1000.
Quite often, sellers feel as if the marketing campaign is a large, initial expense that poses no guarantee of a sale. This, to some extent, is true. When you put your home on the market, there is never a guarantee you will sell it. However, what many sellers fail to understand is that under-marketing or not marketing your home at all poses a much greater risk than not selling. It puts you at risk of under-selling!
Have you ever found yourself scrolling through the sold section of the largest real estate portals and asking yourself, “how did that get that much!”. You’re not alone, it happens quite often, and in some cities, it has become a regular Monday morning occurrence after Saturday’s auction results. Now, ask yourself this question. How many record sales or standout results have you seen that haven’t utilised an effective marketing campaign? The answer is probably none!
There is a very basic reason that this is the case. For any real estate transaction to have maximum impact and achieve a record result, there must be competition in the home. How do we create competition? Through exposure! An effective marketing campaign positions your home in front of as many eyes as possible and in turn, ensures your home receives the highest amount of exposure in the market. As your agent will explain there are many elements that all must fall into place to ensure you achieve the best result, but explaining it as succinctly as possible would look something like this:
- More engagement means more enquiry
- More enquiry means more inspections
- More inspections means more offers
- More offers = higher price.
There is an old saying in the real estate industry that the most important buyer in the marketplace is the one that misses out. In a lot of cases, the agent is not solely responsible for obtaining increased offers, more often than not, it is competition from other buyers that drives the price. The agent is then able to extract the last 10-15% from the highest bidder.
When you appoint a real estate agent, you are employing them to market your home and negotiate on your behalf. If your property is not exposed to as many prospective buyers as possible, how can you expect your agent to find and negotiate with the best buyers in the marketplace and in turn get you the best result?
At Pursuit Real Estate we use the best modern marketing and advertising platforms such as virtual tours and social media campaigns to get the best exposure on your property.