What is a database?
Def: A Database usually is a large collection of data organized especially for rapid search and retrieval (as by a computer). Webster.com
Databases have been used for customer data in sales and marketing for a long time. We all know that! Why can’t we use the information for much, much more?
So what? You may have always used a hammer to crack nuts, but it doesn’t make it the best tool for the job. Can I use an excel spreadsheet? We’ve Always Used Excel for this...
• Excel is flat • Hard to share
• Easy to disconnect data
Stories – examples of vulnerability
– walk away with their reservation on a spreadsheet for 2000 visitors. – Disconnected sorts (contract data lost for printing night before event)
A database can …
be accessed by more than one person at a time store data more efficiently (relational data) make queries and reporting easier
allows for better data recovery
Allow for lead nurturing without disrupting the sales process AND you don’t have to worry as much about…
– walk away with their reservation on a spreadsheet for 2000 visitors. – Disconnected sorts (contract data lost for printing night before event)
For developers and marketers a database is the foundation of their Sales and Marketing Information System.
A database will generate revenue. (PERIOD) … if it is actively used for prospect and buyer data collection, prospect segmentation, and to execute marketing strategy that builds brand awareness and buyer confidence. Your Marketing database is the tool you will use to Focus on the opportunity to create value for your
We know that one of the biggest changes in buyer behavior over the past 5 years is they have already been researching your community and your competitors before they make that first contact requesting information. They’ve read your website.
From Bill H yesterday:
From 79 up to 92% of today’s buyers (dependent on price point) Usually know what they want and what they are willing to pay for it BEFORE engaging with a salesperson.
How can I manage that process?
1. It starts with good data collection, then
2. Lead Nurturing -- Focus on the opportunity to create value for your prospects as individuals. 3. Customer Lifecycle Management – after the sale
-- friend referrals -- Ambassadors
-- in some cases, maintain that relationship for future listings
Start with Data Collection:
Collect as much relevant and accurate data about your prospects as possible, building a comprehensive profile. Lets be clear though….asking for too much upfront scares prospects away – they will move on or wait and say “ill do it tomorrow”, which of course means they will forget. So you have to build, one brick at a time…
There are implicit and explicit ways we can collect this information now. Remember, your prospects are “selling” themselves through self discovery…
Explicit at inquiry, through surveys
appended by data brokers or other resources. Implicit
Social (mentions, questions, people they friend) Email activity (opens, forwards, etc)
Single Opt-in (check box on web and registration forms) permission to market Determine there preferences:
1. How often would you like to receive communications? 2. Whichtypes of communication (email, direct mail, text, etc.)
Policy
First, lets set level on Leads
What is a lead - basic info required -- training, policy (best practices) Differentiate between what a “prospect” is versus a “suspect”. A marketing database should only contain responders and buyers.
Loading in suspect lists in a marketing database will result in unclear performance metrics. List imports (policy)
List imports (policy)
Don’t overinflate marketing metrics with list imports
Examples of duplicates, spelling, missing address info – verifying be searching too much (pretty common) Don’t market in a vacuum
Keep your team and system info current with marketing events
Example – data entry “website” , “walkin” those usually are how the responded, not what generated their interest
Monitor data entry Policy Identify Who/what/when
Deadlines Mailboxes Landing pages
Old Prospect Data
“I’m not done yet!”
CLEAN IT UP – data append, NCOA.
Test and warm up those leads (that haven’t already moved).
Don’t repeat history (suppress the “dead beats” , but leave them so you have them for future reference)
OPTION 1: STANDARD PROFILE ANALYSIS: Age (2-year increments)
Education Marital Status
Dwelling Type (SFD vs Multi) Home Equity
Estimated Income (maximum income $125K) Net Worth Length of Residence Number of Adults Number of Children Vehicles - Number Vehicles - Type
OPTION2: Enhanced Profile Data:
Real Estate Investor / Number of Properties Own Enhanced Income (up to $250,000)
Home Value (up to $1,000,000) 15 Lifestyles
Population Density
Population Density Categories Very Rural
Small Suburb Large Suburb Downtown Metro Very Urban
With data appending you can score your database based on your profile 1. Responders
2. Visit site (opportunity) 3. Buyer
When do you engage the sales executive? Everyone will feel differently about this – and all communities are not the same. The bottomline is finding the balance of the right number of leads that you know your agent will actively engage to maximize opportunity. Let marketing nurture them until they are ready.
I think we have the data today to support marketing nurturing your leads… -- Unless your SE’s like to make lots of phone calls
-- or you are comfortable with 95% of your database sitting untouched -- or SE’s doing marketing’s job (eblasting)
-- Marketing needs to expand their incoming lead processing campaigns – make a positive first impression. -- Sales and Marketing need to agree on when a lead is “sales ready” –
Again, remember Bill Houghton’s presentation yesterday afternoon (second life study data) Most buyer today know what they want and what they want to pay for it BEFORE they contact a sales agent.
In 2010 we knew branding was important and there was a general push back from the buyer for immediate engagement. Dome of that was the need to build trust – some of that was waiting out the market
a system for continuing a conversation with a prospect from initial contact until the person is sales ready. Building points of contact … nurturing their confidence in choosing your community.
This is it in action. You are doing a lot of this stuff today. In silos. Without connecting the dots. Without telling a story. Without collecting the data, which builds the profile.
Nurturing is about gathering the details to have a conversation – and build a relationship.
If most of the information in your CRM system is more important to the company than the buyer, how can you sell based on what’s important to them?
It should include information that is important to both the developer and the buyer.
Your interests: Budget, Timeline, Product
Theirs: Closer to family, large yard for dogs, a hard-earned goal to achieve their ultimate retirement home – what that looks like to them.
Good article:
“Is Your Sales Force Being Sabotaged By Your CRM?” Forbes
Depending on your product price points, new lead acquisition can cost between $100 to $300 per. Add the cost of a tour ($500 to $1000), the average cost of buyer acquisition can be anywhere from $2,500 to $10,000.
Some leads may inquire 3 to 5 years before making a decision to purchase. You need to keep your name ‘top of mind’.
Marketers best strategy is 1) know your buyer profile 2) target 3)generate 4) nurture and convert.
Build confidence in your brand ("top of mind") Acquire New Customers (referrals)
Salesforce Automation Strategy Managing
Measuring
Why sales executives DON’T HAVE TO (and probably shouldn’t) prospect. MORE STUFF HERE…. The key is, BUILD a profile through nurturing.
So….
1. Ask about their interests at inquiry (in person or online contact form). 2. Surveys
3. Appended demographic/psychographic information
Segment your database based on those interests. Then:
Develop content that is appropriate to those interests. Dog lover? Golfer? Sailboat? Runner? Theater?
Send them local information that will engage them. Events, local vet story, marina owner/operator... golf pro story.
Then develop the contact point: 5. Email templates
6. Blogging. 7.Facebook.
Now that you’ve sent the message out there – capture the feedback - measure the results
Who called in from the direct mail?
Matchbacks, who’s calling, -- don’t market in a vacuum, Who sent an email reply for more info?
Specific reply emails with subject line
Who opened the email, and who clicked thru?
Who spent time on the blog, or clicked on the article from your email?
