Modern Marketing Marvels: 3 Ways Your Business Can Benefit from Artificial Intelligence
It’s obvious that we’re living in a technologically modern world. Consider how many “smart” technology objects you own: your cellphone, television, and even your car all come with certain features automatically built in. One of those core components – artificial intelligence – can do a lot more than simply answer your questions when you’re feeling too lazy to Google them!
The application of artificial intelligence in marketing, especially in real estate, can greatly boost both your lead generation and conversion rates. Before we dive into the benefits of AI and how you can utilize it in your real estate business, let’s break down the types of leads you’ll be dealing with.
There are four main types of leads in the real estate industry: social media leads, forced registration leads, organic leads, and premium leads. Lead source matters because it determines how you follow-up and engage with prospects as they come in and affects how warm or cold they are.
Social media leads, understandably, come from social media platforms. Facebook, Instagram Twitter, TikTok, and LinkedIn are the most popular sources, but you never know when a new one is going to pop up and take the world by storm! Statistically, leads from social media are some of the coldest and require consistent follow-up, only converting between 1% and 3%. However, they are also relatively cost-effective and provide a great way to build your database and brand.
Forced registration leads are leads that require visitors to provide their contact information in order to access information. This is a common trend in the real estate industry with Google PPC being a great example. The conversion rates are between 3% and 5% for forced registration leads, but they offer a great ROI if you follow-up with them properly.
Organic leads tend to be every agents’ favorite because they are so low cost! However, you’ll need a fully optimized website and marketing plan in order to start driving qualified leads to contact you. Provided you have SEO experience, you can convert between 3% and 5% of organic leads. Fortunately, even if these leads don’t convert, they’re still getting to know and trust your brand.
Premium leads have the highest conversion rate – between 5% and 10% – but they are much more expensive than other leads. If you’re not following up with them correctly, they could slip through the cracks and end up costing your business a significant amount of money. Google LSA is a great option for premium leads but any lead that you have to purchase (such as those from Zillow or referral sources) is premium.
Benefits of AI in Real Estate
No matter where your lead is coming from, following up (and in the right way) is the most important part of getting it to convert. There’s a reason they say “the fortune is in the follow-up!” Artificial intelligence can play a major role in follow-up by accurately determining where someone is in the sales cycle based on their behavior.
This knowledge can trigger certain campaigns; for example, if a cold lead suddenly starts making inquiries into local home costs, a follow-up campaign designed for that specific stage will automatically turn on to put you directly in front of the prospect with information that may be useful to them. Importantly, AI can also determine leads that are at risk of slipping through the cracks and begin a re-engagement campaign.
Speed to Lead
We all know that getting to a new lead as fast as possible can have a major impact on whether they convert (approximately 75% of home buyers choose the first agent they meet), but the ability to analyze data in real time and make adjustments is beneficial as well. With artificial intelligence in digital marketing campaigns, agents no longer need to wait until a campaign has finished to make decisions; AI and machine learning are able to come to accurate conclusions and recommend or make changes much faster.
Real estate is a relationship business. Because understanding what your customers want is essential to conversion, AI can help you sift through a variety of customer data, from online behavior to language patterns, channel preferences, and much more.
AI in digital marketing also eliminates the need for you to manually compile data, preventing mistakes made by simple human error and providing a much faster (and, of course, accurate) customer profile. Since you’ll have a better idea of what your customers want and need, you’ll be able to give it to them and begin building trust.
The combination of all of these translates to one thing: an increased ROI. If you want to make the most out of your leads, regardless of where they came from, artificial intelligence will save you time and money.
Types of AI in Real Estate
So, you know how valuable artificial intelligence in digital marketing can be for your real estate business, but how exactly are you supposed to implement it? You have many options, but let’s take a look at three that can have the biggest impact in your business.
- Chat Bots: AI marketing bots and chat bots have been around for a while, but they’re becoming more sophisticated every year. They provide instant and reliable customer service, eliminating frustrating wait times and immediately collecting useful information about the lead.
Natural language advancements create a high quality experience that many people think is real; they can ask questions that have been proven to increase conversion rates and even upsell if the situation makes sense. By improving the client experience, AI marketing bots and chat bots can begin building a positive relationship with customers before you ever actually come into contact with them.
2. AI-Written Blogs: Real estate agents are notoriously busy people with jam-packed schedules and very little wiggle room for interruptions or distractions. This can present a major problem when you consider the power of blogs: approximately 79% of people who have a blog report a positive ROI for inbound marketing. Combined with well-researched SEO, they can help your website rank on Google and organically generate leads.
Unfortunately, they require a considerable amount of time and effort to produce – between two to six hours if they’re done well. AI-generated blogs, however, are fast and relatively inexpensive; as long as you’re using an AI that knows SEO, you’ll get the same benefits while saving yourself a lot of time.
3. Lead Ranking: We can all agree that hot leads are often the easiest to convert and, therefore, many agents’ favorite type. However, every lead is at a different point in the sales cycle depending on their source and need to be treated in their own way. For example, cold leads from social media need to be consistently exposed to your brand in order to warm up, while premium leads need to be acted on with speed and urgency.
Artificial intelligence in digital marketing can sort through a mountain of online data and behaviors to figure out where a lead is in the sales cycle, ranking them as cold, warm, or hot. As a result, you are immediately able to launch the correct campaign at the correct time to produce the highest rate of conversion.
Artificial intelligence represents a massive opportunity for real estate agents everywhere. With the right technology, you’ll be able to effectively generate new leads, market to your database, and increase your conversion rates without wasting your precious time on the nitty-gritty details.
Unsure where to get started? Real Estate Nexus has a product and package for you with everything you’ll need to succeed – AI included. With the right tools and resources at your disposal, you’ll be able to save time and money, prevent frustration, and start growing your business to exponential heights. Plus, our team is always available to help you out along the way.
So, what are you waiting for? Try REN for free today and see for yourself how artificial intelligence can revolutionize your business.
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