Need to catch up? Go to Day 1.
If you follow the marketing budget and plan from Days 27–28, you only need one transaction from all your marketing efforts to break-even. I suggested in Day 29 that your goal is at least two conversions per year. It’s a modest goal that should be easy to achieve. After one to two years of applying your marketing tactics, you’ll be able to understanding that X amount of dollars spent on advertising brings in X amount of revenue. For instance, I know every 100 dollars I spend on Google AdWords, brings in $1,000 in new projects. My Internet marketing has a 1:10 ratio. Pretty sweet! Soon, you’ll be able to look back at your marketing efforts and calculate a ratio. Yours may not be as good as 1:10, but any profit is a sign you’re on your way up!
Keep track of your expenses in an Excel Spreadsheet. You should be able to easily calculate the difference between a one-time project (like business card design, website setup, or similar) versus a monthly or yearly expenditure like Google AdWords and Vista Print postcard credits. I don’t like to add in one-time expenditures into the ratio. After-all, once you have the materials you can re-use them for years!
Keep an excel spreadsheet of all the people that have downloaded your Special Report or contacted you through the postcards and website. These are leads are brought in specifically from your marketing efforts. When you keep these records, you’ll be able to easily look through them and highlight which leads turned into conversions and track the worth of each transaction. This is the easiest way to see how much revenue is coming in specifically from your marketing.
Now you have two tracking systems – Expenditures and Leads. At the end of the year add up your expenditures and separately add up how much revenue you’ve earned from marketing efforts. Now subtract the expenditures from your revenue. This will show your yearly “marketing” profit.
If you didn’t make any profit during your first year, go back and ensure a few things.
- Do my materials speak to my target audience instead of other commercial real estate agents?
- Where am I spending the most money?
- Is there another way I could be spending my money?
- Are all my materials consistent?
- Do all my postcards, letters, and websites advertise my Special Report?
- Is my Special Report something my target market wants to read?
Marketing can be complicated, so be sure to simplify it as much as possible. All materials need to be created in a consistent manner and advertising basically the same thing – the Special Report. A solid follow-up plan will convert prospects to leads, so don’t skimp on email newsletters and postcards. There’s no one trick to gain leads, it’s a combination of materials all working together to convert prospects to leads, and leads to conversions. Keep it simple, keep your money in smart places, and rake in revenue!