How To Properly Analyze Performance
Hey there, welcome to Rokket Science advanced digital marketing for real estate investors. Today I want to talk about the one KPI that matters. It is going to be difficult for you as a business owner to follow this rule, and I’m going to push you on it when we get together, and we talk about digital marketing for your real estate investing business.
It’s really important to have one KPI that matters, one key performance indicator, one thing that we can measure, and we can say,
“If that is happening like this, then we’re successful.”
Now often times for real estate investors, it’s a little easier than some other companies who we’ve worked with that have a different kind of business model. For you, it’s probably going to be the value of a specific phone call. So to get a phone call from the motivated seller, we will want to have you be able to determine what the value of that call is.
AdWords Makes The Picture Clearer
So how much can you pay to get a phone call? Now when you’re comparing AdWords, to sending out letters, or driving doors, it’s often easier to determine what an exact phone call is worth, because in AdWords it’s very specific data. You get to see that, “Well these calls are costing me $125.” Whereas with knocking on doors, or foreclosures, or sending out letters, it’s often more difficult to know what that phone call costs you. You may have gotten a lot calls, but some were sort of tire kickers, or some were people telling you to take them off the list. With AdWords that’s not going to happen.
Consider the Cost of Closing as Well
So we definitely want to make sure that you determine what the exact value of a phone call is for you, and for that matter, the exact value of a form fill, which also has to do with your close rate. So how many calls do you get to close one deal? With many investors it’s one out of 20, sometimes one out of 10. But something I definitely want to do when we get on a phone and talk about your accounts and what we’re trying to do is, to know how much you can pay for a phone call to come into your business.