Real estate wholesaling can be a lucrative business as long as you understand how to market to your prospective customers. One key element of your marketing plan needs to be direct mail. You may be reluctant to consider a direct mail program since there are misconceptions that circulate through the industry. Let’s review how a direct mail campaign can help your wholesale business.
Direct mail is about consistency and reaching the best prospects your budget allows. It is better to spread out mailers to a smaller group over time than to send a lot of mailers at one time and not have the money to send a followup. Consider setting up your budget so you can send mailers over six months for an effective campaign.
Once you have your budget set, you need to consider what group will be the best choice for prospective customers. You need to have a clear idea of your target group because that will determine your marketing message. Possible groups include:
- Absentee owners in-state or out-of-state
- Tax default sales
- Divorces
- Probate sales
- Evictions
- Foreclosures current or pending
Along with these general categories, you can then get more specific with zip codes, income levels, age groups, and so forth. It is useful to use smaller geographic mailings — don’t try to cover a large area all at once. This can cost more with less effective returns on your investment.
Keep in mind that other wholesalers are targeting the same lists, so you may have to experiment to find the most effective group. One target group that may be less used is divorces, while absentee owners are often targeted more. Be prepared to change groups if you are getting a low return on your mailings. Also, be very careful to target your message to the group. A big mistake is using the same marketing message for all mailings — customers will not respond to a “canned” message.
If you want a professional direct mail program with a large database of target customers, come to Premium Productions. We specialize in direct mail programs and can put together an effective program for all budgets. Contact us today at 800-297-1990
.