Marketing and promoting your real estate investment business are critical to your success. If you thought all you needed to do was look for great deals and flip them, there’s another chapter to the story.
If you want to build your business you’ll need to get the word out. People won’t know you’re there unless you tell them. Marketing your business and promoting your properties will help you do that.
First, let’s discuss the difference between marketing and promoting.
Marketing is an area of business that consists of the four P’s.
- Property (or product)
- Determining the price of your properties
- Placement refers to reaching your market
- Promotion is what you do to get the word out.
When you promote your property for sale, you expect to sell it. But you’re not likely to sell it unless you promote it for sale.
Your marketing plan will look at all of these things, beginning with target marketing. Knowing whom you are going to market your properties to is important BEFORE you invest. Your target market is the niche you point your promotion toward when advertising.
How you will price your property depends on several factors. What is the property worth? What is its value? Yes, these are two different things.
Where is the property located? Neighborhood, city, community, downtown, suburbs? All of this factors into pricing.
Placement refers to where you will market your property. It will have a lot to do with your target buyer too.
And then we have promotion….
Promotion is an aspect of marketing. It is the strategy you use to generate interest by generating visibility. The collateral you produce, such as flyers, signage, postcards, etc. are all used for promotion, which is an aspect of your overall marketing plan.
So this description of marketing and promotion sounds somewhat the same, doesn’t it? There’s definitely overlap. When you promote your property for sale, you expect to sell it. But you’re not likely to sell it unless you promote it for sale.
Confusing? Think of it this way: when you invest in a property, if you want to be a successful real estate investor, your goal is to resell it quickly. The way to do that is to promote!