So you started flipping houses in your area, things are exciting and your hands are certainly full with work. A few months go by, house come and go and you find your business on a plateau… what next?
Marketing. Specifically Direct Mail Marketing. We’ve recently invested time and resources into a direct mail marketing campaign and here’s how we did it.
Like most other business ventures, the first thing you need is a budget. Mail Campaigns can be costly and the fees of putting it together and implementing one can quickly add up. The time and money needed can be a lot so balancing it is important to the health of your investments and personal time. If your network isn’t very extensive, there are paid services to have lists, of potential leads. From here, the design, and printing of the actual mailers, stamps and envelopes, add into the budget for a grand total sometimes in the tens of thousands… yep… So let’s break it down.
Many investors outsource all the work in direct mail campaigns so that don’t even see the mail.. definitely an option if your time is very limited and you have a large budget. But back to that balance of budget and time here’s a few ways to even out the see-saw. Ordering during sales of printing companies or working through local print shops are ways to cut down on costs. Have you ever licked 1,000 envelopes shut? Well hand written letters and mailers, even addressing your own envelopes, although time consuming yes.. can save you some serious cheddar.
So you have a budget, you have a list of leads, and now you have the mailers and now you’re ready to mail out hundreds of letters across your city.. sounds pretty straight forward so far, so what’s the secret? The best way to imagine a homeowner getting mail from you is to put yourself in their shoes (important during the design phase of the campaign). Someone who receives your letter may be impressed, but that doesn’t mean they will contact you. That is why it is so important to plan on mailing multiple times. Ideally you will get a few phone calls from your first wave of letters, but the majority won’t come until after you send it a few times. If you get discouraged by a lack of initial response, it may lead you to scrap your plan altogether. This is the worst move you can make. Regardless of how many people contact you, it is important to send a letter to the same address multiple times. You can tweak some minor aspects of the presentation, but you can’t give up. This is the single biggest area where most mailing campaigns are either successful or not. If you are not prepared to commit to the process – regardless of the initial results – your marketing money is probably better spent elsewhere.
Direct mail is a great way to generate business, but sending out letters alone does not mean you will get deals. There is success to be had with mailings, but you should have a plan in place and be willing to execute it regardless of the results.