Market and consumer behaviours have changed dramatically in the last few decades. Back in the day, the market has totally relied on media such as newspapers, radio, and television for information.
Now, people are no longer content with simply being told about products they need to buy. Instead, consumers are now demanding information about a service or product they hope to buy. With modern technology such as the internet, access to information has become easily attainable and widely available.
How does this affect the real estate industry?
Information regarding real estate was once confined within the four walls of a real estate agency, it was up to the trained salespeople to provide the information to potential buyers. The frontlines were the real estate agents and it was their responsibility to convince the buyers to make the purchase.
Today, it’s a different ball game. The salespeople or the real estate agents become the final destination because generally most of the information has been soured by the potential buyer through the internet or from other reliable information sources.
This is evidenced by the proliferation of online reviews today. People are more comfortable about finding someone they can count on based on the feedback from others, such as the online community.
How is the community changing the real estate market environment?
Have you ever noticed that before a home buyer or seller makes a decision, they have already gone through articles regarding home improvement or tips on how to look for their ideal property, etc?
They have also researched on similar properties available in the market, or options to buy or sell in an auction or other means of selling or buying property, taxes and duties, property investment options, and so much more.
At this point of their activity, the prospect has already gone through 60% to 90% of the decision-making process, before they decide to go online and search for their real estate agent. This is supported by a recent study by Forrester Research where buyers have already made up their minds before talking to an agent or a salesperson.
This is further supported by a study made by Hubspot where 77% of consumers have conducted extensive research on a product before contacting a salesperson.
The deciding factor is who among the real estate agents they searched has the most number of good and high-quality reviews. These reviews are found on online sites such as Google.
How should marketing be done then?
Let’s cut to the chase, everything that was done by the prospect prior to getting a real estate agent was done by members of the community through their experience, knowledge, and ideas regarding the real estate industry.
Real estate agents need to focus more on building and fostering professional relationships and the ones who do so have been getting the most benefits from the community that promotes them before the customer even gets to them.
They have shifted their attention away from traditional advertising and promotions to establishing long-term professional relationships.
The community is the force that has driven this change in the real estate market and one that revolutionised the real estate marketing landscape.