Not all metrics are created equal. So, while online marketing continues to promote an ultra-competitive environment for real estate agents, it’s becoming increasingly important for you to gain every advantage possible from data-driven marketing metrics.
Many real estate marketing metrics are too narrowly focused and miss the big picture. I’ve put together five unique metrics that supplement for this lack of clarity and are designed specifically to help you grow your business.
Table of Contents:
- Effort by Lead Source
- Time Per Engagement Activity
- Average Time Spent to Gain a Face-to-Face Meeting
- Percent of ‘Active’ Database
- Days Since Last Touch
1. Effort by Lead Source
What core metrics are important besides ‘number of leads’ and ‘number of closed leads’ for evaluating lead source?
“Effort” is an important, but often overlooked, variable when it comes to evaluating your real estate marketing success. This metric gives you insights into how much time and energy you spend converting each new lead into an opportunity based on the lead source, so that you can allocate your marketing dollars and follow-up efforts more effectively going forward.
2. Time Per Engagement Activity
What really sucks up all the time in your day?
Time is perhaps the most important resource for any agent - and any time saved can be used to grow your real estate business or enhance your personal life or, ideally, both. Analyze each lead communication/engagement activity you undertake on a daily basis to have greater insight into how your time is spent, and how to spend it more efficiently.
3. Average Time Spent to Gain a Face-to-Face Meeting
How many hours do you spend working a lead to gain a face-to-face meeting?
Work smarter, not harder. This metric allows you to evaluate your research methods and communication channels from a ‘time invested’ standpoint – so that you can maximize the effectiveness of your lead follow-up and engagement. For example, a phone call may seem more personal – but a quick email or text message may be more effective based on a lead’s communication preferences.
4. Percent of ‘Active’ Database
How healthy is your contact database?
The important thing isn’t how many contacts you have, but how many contacts you have that are responding to your messages. This metric evaluates the overall ‘health’ of your database by considering the number of contacts who have communicated with you in the last 120 days– relative to the overall size of your database. Interestingly, when you create your list of active leads, consider whether you have the personal bandwidth to manage following-up with each of them in a way that maintains a personal relationship that moves quickly or slowly toward transaction as a function of each lead’s unique time frame.
5. Days Since Last Touch
How long has it been since you’ve touched each of your contacts, both the active and the inactive, with a message that was personal, valuable and insightful to the contact?
The adage ‘out of sight, out of mind’ definitely applies to real estate contacts. Of course, there’s a fine line between being annoying (i.e. generic drip email) and being valuable. Tracking the number of days since you’ve last contacted each lead helps you narrow down your database to a particular segment that may warrant attention and follow-up.
Editor's note: This blog was originally published in June of 2014 by Irina Jordan, and has been updated by Brian Lim for accuracy, brevity, and comprehensiveness.