I just sent out 400 postcards and got no calls, not even one. I am just wondering if others have experienced this or is it not normal. Maybe I hit the wrong area.
My mailing was pretty open to sellers. Here is what is said.
Sell Your House Quickly!
§Are you behind in payments?
§Do you have back taxes or other liens?
§Is your property vacant or in need of repairs?
§Are you moving and need to sell FAST?
§Do you need cash right away?
I think for a blanket mailing you'll have to send out more than 400 postcards. I believe for a specific list there is a 1% response rate, so for a blanket mailing expect much less.
So there was no marketing plan just shotgun out some cards and hope for the best.
Sell Your House Quickly!
"Are you buying houses or are you reminding people they can sell their house quickly somewhere else."
§Are you behind in payments?
§Do you have back taxes or other liens?
§Is your property vacant or in need of repairs?
§Are you moving and need to sell FAST?
"Do your really feel the negative approach works on people by reminding them they have a problem or would it not be better to present a positive image through your message"
§Do you need cash right away?
"They may need cash right away I wonder where they would get it, because you did not tell them they would get if from you."
If you are going to spend your money on marketing then even if it is only 400 mailers they need to count.
You need to tell people that you are the one with money in your pocket to purchase their property, without reminding them they have a problem. They already know they have a problem they are looking for a solution.
400 cards mailed to the right area with the right message will produce results, however it will normally take 2 or 3 mailings to the same area to get the calls coming in.
There is more to marketing than response rates, two different people can mail to the same area one with the proper message and one with a poor message. There is no coralation in response rates when it comes to poor vs good copy.
When I first started in my real estate career I sent out post cards on a bi-monthly basis to a 400 home area around my neighborhood. (my farm area) In one of those mailings I offered $200.00 off of closing costs. In a year of doing those mailings I got one customer out of it. Maybe it paid for my mailings but not really. Bottom line...mailings are tough! I was taught the following........ The first one or two they throw away without looking.... the third they read..... the fourth one they think "hey, maybe this guy means it". I was taught that it takes maybe five to seven mailings before people remember you and who you are. This is not to be discouraging. It is just the reality.
John, but he doesn't have the cash in his pocket, so how does he address that issue?
Unless I made a mistake, I didn't see anywhere where this guy indicated he's flush and can pay cash for houses.
It brings up a good point. You can create impressions with people that your bank account wouldn't substantiate, but how do you get people to take you seriously? Is it "ok" to tell them you work with cash investors if the deal is right?
Sandbahr is right, you have to be repetitive when it comes to direct mailing. You should probably create a generic postcard or a targeted postcard for specific audiences. If you are sending post cards to homeowners in foreclosures, then would you send a post card geared toward tired landlords? NO.
You need to devise a marketing plan and be very aggressive when it comes to mailings. You also can't limit yourself to the type of marketing you do, what about bandit signs? or business cards? or flyers? How many times have you actually sat down and read ALL of the junk mail you receive everyday? I don't even look at them, I shove them right back into the mailbox. I have one of those "community" mailboxes, which look like apartment mailboxes. So I shove them right back in the mail slot for outgoing mail. If everyone was like me, then you would have a heck of a response rate!
It is my personal opinion that there is not one person on this board who does not have enough cash in their pocket to buy a house.
If they don't then have the seller pay them to take the house, this is if you are really broke.
Remember I purchase houses the Subject To way, so my methods are different from those that need serious money to buy houses.
I target my marketing to the majority of people who are looking to give me their house for U-Haul money, so money is not a big factor with the way I do creative real estate investing.
However, if any deal is right, there are many ways to find the money if need be, so always take the approach that money is not a problem when you are dealing with properties.
My comments the the original poster was to give him a heads up on his marketing methods, as I do not know what type of investing he does. But whatever it is he should tartget his market and not take the shot gun approach.
I say target people in foreclosure with mailings, use bandit signs, fliers and ads to get to every one else. I have never used postcards but they just sound like a wast of marketing money. As far as letters go, keep it short, simple and to the point.
Bill,I agree with John Locke you gave out a negative message. Try this on your next mailing I am a real estate investor looking to buy 10 houses in your area this month. No Brokers,no realtors,no b.s. Can pay cash or make payments. Name and Phone #. Use the k.i.s.s. principle=keep it simple stupid.
I also liked John's postcard. My question is where do you all get the mailing lists from? I tried to call a couple of title companies to get foreclosure listings and they all stated that they do not sell or offer mailing listings.
Quote:
On 2004-04-01 04:16, Stockpro99 wrote:
personally my favorite card is John's and is free to download on this site!@
If you are just targeting an area, how about door hangers (flyers) instead of mailings? Door hangers are cheaper (but take more time) and have a more personal touch. I feel they seperate you from other mailings. For the postage saved you could maybe pay someone to hang them. But again, you should hit the area more than once.
I send three letters and space them 6 weeks apart. With the 2nd and 3rd letter I remind them that I have previously sent them a letter. I target certain groups and have never done a shotgun approach. Although it is on my list of things to do. Write to certain subdivisions in the really bad areas of town to get really cheap houses to sell to the rehabbers (really bad areas in Orlando are not all that bad).
Also for shotgun, I find it interesting that most foreclosures are in the first two years of owning a home. I have thought of sending to subdivisions that are about three years old and in the lower income areas.
billfaith,
Glad to meet you.
Who was your target audience with your marketing plan?
John $Cash$ Locke
My mailing was pretty open to sellers. Here is what is said.
Sell Your House Quickly!
§Are you behind in payments?
§Do you have back taxes or other liens?
§Is your property vacant or in need of repairs?
§Are you moving and need to sell FAST?
§Do you need cash right away?
I sent them to an area I am interested in.
I think for a blanket mailing you'll have to send out more than 400 postcards. I believe for a specific list there is a 1% response rate, so for a blanket mailing expect much less.
billfaith,
So there was no marketing plan just shotgun out some cards and hope for the best.
Sell Your House Quickly!
"Are you buying houses or are you reminding people they can sell their house quickly somewhere else."
§Are you behind in payments?
§Do you have back taxes or other liens?
§Is your property vacant or in need of repairs?
§Are you moving and need to sell FAST?
"Do your really feel the negative approach works on people by reminding them they have a problem or would it not be better to present a positive image through your message"
§Do you need cash right away?
"They may need cash right away I wonder where they would get it, because you did not tell them they would get if from you."
If you are going to spend your money on marketing then even if it is only 400 mailers they need to count.
You need to tell people that you are the one with money in your pocket to purchase their property, without reminding them they have a problem. They already know they have a problem they are looking for a solution.
400 cards mailed to the right area with the right message will produce results, however it will normally take 2 or 3 mailings to the same area to get the calls coming in.
There is more to marketing than response rates, two different people can mail to the same area one with the proper message and one with a poor message. There is no coralation in response rates when it comes to poor vs good copy.
John $Cash$ Locke
Thanks
Any suggestions on how to change this?
When I first started in my real estate career I sent out post cards on a bi-monthly basis to a 400 home area around my neighborhood. (my farm area) In one of those mailings I offered $200.00 off of closing costs. In a year of doing those mailings I got one customer out of it. Maybe it paid for my mailings but not really. Bottom line...mailings are tough! I was taught the following........ The first one or two they throw away without looking.... the third they read..... the fourth one they think "hey, maybe this guy means it". I was taught that it takes maybe five to seven mailings before people remember you and who you are. This is not to be discouraging. It is just the reality.
John, but he doesn't have the cash in his pocket, so how does he address that issue?
Unless I made a mistake, I didn't see anywhere where this guy indicated he's flush and can pay cash for houses.
It brings up a good point. You can create impressions with people that your bank account wouldn't substantiate, but how do you get people to take you seriously? Is it "ok" to tell them you work with cash investors if the deal is right?
Sandbahr is right, you have to be repetitive when it comes to direct mailing. You should probably create a generic postcard or a targeted postcard for specific audiences. If you are sending post cards to homeowners in foreclosures, then would you send a post card geared toward tired landlords? NO.
You need to devise a marketing plan and be very aggressive when it comes to mailings. You also can't limit yourself to the type of marketing you do, what about bandit signs? or business cards? or flyers? How many times have you actually sat down and read ALL of the junk mail you receive everyday? I don't even look at them, I shove them right back into the mailbox. I have one of those "community" mailboxes, which look like apartment mailboxes. So I shove them right back in the mail slot for outgoing mail. If everyone was like me, then you would have a heck of a response rate!
Tanya [ Edited by tanya1215 on Date 03/26/2004 ]
davehays,
It is my personal opinion that there is not one person on this board who does not have enough cash in their pocket to buy a house.
If they don't then have the seller pay them to take the house, this is if you are really broke.
Remember I purchase houses the Subject To way, so my methods are different from those that need serious money to buy houses.
I target my marketing to the majority of people who are looking to give me their house for U-Haul money, so money is not a big factor with the way I do creative real estate investing.
However, if any deal is right, there are many ways to find the money if need be, so always take the approach that money is not a problem when you are dealing with properties.
My comments the the original poster was to give him a heads up on his marketing methods, as I do not know what type of investing he does. But whatever it is he should tartget his market and not take the shot gun approach.
John $Cash$ Locke
I say target people in foreclosure with mailings, use bandit signs, fliers and ads to get to every one else. I have never used postcards but they just sound like a wast of marketing money. As far as letters go, keep it short, simple and to the point.
Best of Luck,
James
Bill,I agree with John Locke you gave out a negative message. Try this on your next mailing I am a real estate investor looking to buy 10 houses in your area this month. No Brokers,no realtors,no b.s. Can pay cash or make payments. Name and Phone #. Use the k.i.s.s. principle=keep it simple stupid.
personally my favorite card is John's and is free to download on this site!@
I also liked John's postcard. My question is where do you all get the mailing lists from? I tried to call a couple of title companies to get foreclosure listings and they all stated that they do not sell or offer mailing listings.
Quote:
On 2004-04-01 04:16, Stockpro99 wrote:
personally my favorite card is John's and is free to download on this site!@
If you are just targeting an area, how about door hangers (flyers) instead of mailings? Door hangers are cheaper (but take more time) and have a more personal touch. I feel they seperate you from other mailings. For the postage saved you could maybe pay someone to hang them. But again, you should hit the area more than once.
I send three letters and space them 6 weeks apart. With the 2nd and 3rd letter I remind them that I have previously sent them a letter. I target certain groups and have never done a shotgun approach. Although it is on my list of things to do. Write to certain subdivisions in the really bad areas of town to get really cheap houses to sell to the rehabbers (really bad areas in Orlando are not all that bad).
Also for shotgun, I find it interesting that most foreclosures are in the first two years of owning a home. I have thought of sending to subdivisions that are about three years old and in the lower income areas.
Just some thoughts.
Brenda