Real estate agents need to track where leads come from and measure the full funnel from first contact to closed deal. One agent's radio ads cost $200 per lead a decade ago but ballooned to $2,000, while commissions barely moved. Track your marketing spend like a CFO or you'll waste thousands on channels you can't measure.
About a decade.
About $200.
About $8,000.
Over $2,000.
Not only knowing your lead sources, but knowing exactly how many leads are generated, how many of them are say yes to an appointment. How many of them actually show up for an appointment, how many of them actually sign a buyer loyalty agreement or a listing agreement, how many actually go under contract and close? So how much does it cost you to acquire a lead and then even just sit down for a face to face consultation? If you don't know that number and you're spending money on lead sources, I promise you have no idea where your money is going. We tracked, we did radio for a decade and tracked its effectiveness over time and found that it in the beginning, the early stages of being on mass media, I could spend, you know, $200 to show up at the front door of a listing. This was still when I was back in my days when I was going on listing consultations cost about 200 bucks. So we would run advertising on a couple local stations, people would call up, we'd set consultations, I would show up at their front do. It cost me about $200 to show up for the opportunity to earn at that time an $8,000 commission check. It's pretty decent. I knew my conversion rates, I knew how many listings, you know, conversion to get it active on the market and then on the market to under contract and closed. So it was a good proposition. That number went up to over $2,000. $2,000 to get to the front door of a seller that might be interested in selling. And yeah, granted the commission check might have gone from 8,000 to 12,000 over a decade or so, but the cost to knock on a front door increased tenfold. And so the opportunity wasn't there anymore. And that only came because we were high level trackers. We tracked our numbers, we became CFOs of our businesses. And that's one thing in real estate B school that we will not allow you to spend money on anything unless you track everything in your business.
