Moving the Needle for Realtors
Author: Annette Malave, SVP/Insights, RAB
Source: Radio Advertising Bureau®
Unbelievable. That’s the word you would use if you, or someone you know, has been trying to buy or sell a home. The real estate market is having its moment.
Home sales in the U.S. hit the highest numbers on record in 2021 with home sales 16% higher than 2020. The median home cost was just shy of $347,000. Based on recent figures, the median home price is now higher, and there doesn’t seem to be an end in sight. Buying a home is difficult now for anyone. Low inventory, high prices and rising mortgage rates are making it difficult for home buyers.
These events are creating a perfect storm for both buyers and sellers. Home buyers want to find the perfect home and sellers want to make sure they get the best (and most) for their home. Based on reports released by the National Association of Realtors, both home buyers and home sellers look to and depend on realtor agents or brokers to achieve these goals.
Regardless of age group, home buyers depend on the real estate agent or broker first and foremost to find them the “perfect” home. Secondarily, it’s about negotiation – of the terms and price. Buyers look to agents to aid them in the buying process, note “red flags” in the home, refer service provides such as inspectors, painters, etc., and perhaps introduce them to other areas/neighborhoods they may not have considered.
Sellers look to agents to determine the value and price for their home. While this is common among all age groups, older Gen Y/millennials want their agents to advise them on any repairs or upgrades that should be made on their home that might potentially influence of a higher selling price.
How sellers choose their broker is based on reputation. Honesty and trust rank highest among characteristics and traits. Realtors should make note to mention their reputation as part of their radio campaigns.
Why radio? Because radio works for real estate agents and brokers. Not only does it reach 85% of adults who plan to buy a house, condo or co-op, but it also reaches 87% who plan to sell. Radio also helps to drive traffic to realtor sites – the way that 41% of home buyers search for their new home.
In an analysis of over 281,000 radio ads representing 136 real estate agencies or brokers, radio campaigns generated a 7% lift in site traffic – 195,000 new users after hearing a radio ad. The analysis of 2021 AnalyticOwl data, also discovered that radio influenced behavior beyond the click. There was a 37% increase in in-person (foot) traffic into brick-and-mortar locations.
Advertisers in this category experienced highest site activity on Thursdays followed by Sunday. One could hypothesize that potential buyers and sellers and planning their weekend and using Sunday to do further research on properties they have seen or competitive pricing. As it pertains to time periods, afternoons (10 a.m. – 3 p.m.) has the greatest influence – driving the night number of new visits for every radio spot aired.
Radio is a personal and trusted medium. If home buyers or home sellers hear about a realtor on their local radio station, there is a halo that advertisers will experience. There are just a handful of life events that are as big or as important as buying a home. Using a trusted medium like radio to reach a specific audience is not only the right medium for any advertiser to communicate their honesty and trustworthiness, but also the right medium to drive traffic to realtor sites and locations.
The RAB's analysis shows that radio is proving effective at driving engagement in the active real estate category, both online and at brick-and-mortar office locations. Radio places advertisers inside communities, on stations listeners know and trust - a perfect fit for real estate professionals.