As we mentioned before in the first and second post of this series, creating an effective marketing plan is crucial for both the agent and the customer in luxury real estate. By assessing your marketing budget and goals, it is easier to identify the specific resources that will be useful and worth investing in for each individual property.
Although every home or luxury property requires a different approach, creating a multi-level marketing plan can help narrow down the top priority marketing tactics that are worth the time and investment.
While tier one and two cover many of the marketing strategies used by luxury professionals and their clients, the third level of the plan adds extra incentives and really solidifies the effort and professionalism of both the agent and the seller.
More importantly, the third tier provides a sense of security and reward that the buyer might not receive from lower tiers. The point of marketing is to find out the best way to appeal to future clients and buyers. Some buyers may need more incentive to invest in expensive luxury properties and taking your marketing plan to the next level would make those buyers more comfortable and trusting.
A great option for third tier marketing is to provide a home warranty for the buyer. This security feature would be a great option for large investment properties or new homeowners. Just knowing that there is a warranty already included relieves pressure from the fact that you are investing a large amount of funding.
Another addition to the last level of your marketing plan is to choose a more creative route. The first and second levels do implement some online and media based marketing resources. However, the third tier produces specific content for social media including ads and promotions and other digital media such as brochures and email newsletters to give you the opportunity to reach a large number of people outside of your usual circle or client base. Investing some more for digital advertisements and exposure on the web can be extremely beneficial and great exposure for your personal brand as well.
Lastly, another incentive-based marketing tactic is to offer an incentive or bonus to the selling agent or firm. This extra push is a great reward for real estate professionals and will encourage them to sell the property quicker.
As with all three tiers, there are possible fees to take into consideration when examining your budget:
- Three and one-half percent paid to selling brokerage firm and agent
- Two and one-half percent allocated to marketing costs
- Two percent allocated for time and professional services delivered by the brokerage firm and
There is no doubt that you will see success with even just using the first and/or the second tiers of creative marketing, but with the third level you are pushing more reward which could lead to a more trusting and willing buyer and provides more incentives for the seller and agent.
Regardless of what level your budget lies within, it is good to be able to look at all of your marketing options. Think outside of the box and be sure to truly understand what you as the agent, and what the seller needs and wants to get out of the marketing.
For more information and assistance in setting up your multi-level marketing plan, visit the Institute for Luxury Home Marketing website for useful resources and training and gain access to the Institute’s multi-tier marketing level guide to help take your luxury marketing to the next level.