If you’re into the real estate business, you’ve probably heard about market research and read customer satisfaction feedbacks and surveys, you know that understanding your industry’s social, cultural and economic frameworks is essential to your success. And that you must know about your customer’s demographics, the area in which you’re selling and what your competitors are doing.
For some agents, market research can be a bit overwhelming and sometimes its actual benefits are hidden in obscurity. To help separate fact from fiction, we’ve outlined the top five reasons on how market research can boost your real estate business:
① Analyze Customer Data To Tailor Your Business
Simply put, market research is the process of analyzing data about a market, product, or service. And the most obvious benefit is its ability to help you understand your customer. Who are they? What do they want? What do they expect? Through efficient research, businesses are able to establish an open-ended line of communication with their customers. Once you understand your customer’s needs, you will be able to tailor your business to meet them.
② Helps Understand Your Competition
Knowing your competitors and what they offer can help make your products, services, and marketing stand out. Sure, research enables you to set your prices competitively, but it also helps you learn from your competition—and do things better.
③ Enables You to Test for Success
Need help judging whether a new product or service will connect with your customer? Research is the most effective way to test out ideas before you decide to go full-throttle with them. Through metrics, small business owners are able to see which concepts, campaigns and messaging are resonating best with target customers. Market research can boost real estate business.
Don’t spend money on surveys until you’ve done some secondary research. Yes, that means testing and trolling the web for existing studies and research. Why not hit your local library and ask the research librarian. They are an invaluable resource and they have access to databases that you don’t. Contact industry trade associations and publications.
④ Ensures Your Relevancy
As the saying goes, change is the only true constant, and in the marketing world, this is especially true. In order to remain successful, all businesses need to anticipate and react to change in order to stay relevant. By researching the evolving needs of consumers, and analyzing your competition’s reactions, you are securing longevity and relevancy in the market. Market research allows business owners to stay innovative and successful—and change with the times.
The easiest way to stay relevant is to run a tracking survey or an index survey. Simply create a basic survey that you send on a regular basis then in the reporting feature, you can select the date range you want to see. You can also create segments of date ranges and compare your progress.
⑤ Grows Your Business
All small business owners want to grow their company —but many are unsure where to begin. Research is your best tool for any type of product development, launch, or business expansion. Solid metrics can help:
Keep track of trends and future markets
Identify areas for expansion
Draft effective strategies for campaigns
Set realistic targets for business
By anticipating the evolving nature of the market, effective research enables business expansion and growth.
Finally, a great majority of your clients are spending more money on a home, business or investment property than they ever have. The service that you provide, as a real estate agent, is very important, and it is very personal. This is why trust factors enormously into an agent-client relationship, as does being attentive to a client’s budget, goals – and dreams.
If you need to know more information about how market research can boost real estate business, feel free to contact us at 216-619-4387 or go to www.cpdhomes.com. We are here to help!