Cold calling is a tried and true marketing strategy to get directly to the customer.
In real estate, that means connecting directly with a homeowner who might be considering selling.
It takes strategy and communication skills to succeed at cold calling.
Those that figure it out find it to be one of the best and most cost effective away to get deals.
Transcript
Chris Logan 00:02
Cold Calling has just kind of changed altogether over the last several years. I mean, it went from when we first started cold calling in the real estate business. I’ve done it for every single sales job I’ve ever been a part of. But when we first started cold calling and implemented your real estate business over the last two and a half years ago or three years ago. It was funny when we were first calling them their response initially would be, “No one ever calls me. All I get is these letters in the mail but you’re the first person to actually pick up the phone and give me a call.” That was amazing while it lasted.
There’s still some people that do that. It’s just those types of responses aren’t as frequent now. Now, you have a lot of people like everybody in their brother doing it. It’s really about how efficient is your process. How good is your team and how you stand apart. I think that’s across the board. Right now, for every single marketing channel. We’re in one of the most competitive markets that we’ve seen in a very long time. How you stand apart and this market is how tight your operations are and how tight your team is and the quality of the people on your team. And just how efficient you are in every single dollar that you put out.
Chris Bounds 01:07
Can you elaborate on that? How are you breaking through in that competitive market? Because you just in pretty much any market in the United States. Five years ago, you get a few cold calls a day. I’m talking me personally, now it’s throughout all our marketing numbers combined with my personal cell phone. It’s probably like 30 or 40. How are you breaking through in that competitive environment?
Chris Logan 01:31
Yeah. I mean, at the end of the day, there’s two sides to that coin. Right. Breaking through the competitive environment and cold calling. We’re always hiring people and bring them onto our team. Cycling out the lowest performing reps on our team with a better rep. We make hundreds of thousands of calls a week. At the end of the day, with that, it’s really just about us being consistent. I think that’s how you can break through with any marketing channel. If you’re more consistent than the next guy, then you’ll have success. But on the flip side, as far as how we’re breaking through and being competitive in this market. We’re balancing out our marketing channels now with a lot of self generated opportunities.
We’re doing self generated opportunities, as well as paid marketing. In this market, I feel like you have to have a balance. And it’s kind of funny because every other company out there like roofers, pool guys and all the contractors. Their business model is very interesting because probably 30% of their business actually comes from paid marketing and the other 70% comes from referrals.
In our type of business, we don’t see that happening as much just because of the nature of the business. And so we find that you have to balance out those marketing channels and those paid channels with also some self generated opportunities, which you can only build through networking. That’s networking with other wholesalers, networking with other flippers, networking with other attorneys, realtors and all of that to balance out between paid and non paid marketing. I think now again, that’s just a part of being more efficient with our marketing dollars in an overly competitive market where everybody’s trying to do the same thing.