It seems to me; The more I’m playing this marketing game, the more I document everything. It has become crystal clear that all the money is in the long game. Listen to this: I did a case study over a four-year period with one of my real estate clients. From September 2013 till September 2017. What we did is we tracked the money he spent on marketing and compared it to the money he generated from it. Month by month.
Over that 4-year period, he spent just over $50,000. But get this:
In that same 4-year period, he generated a whopping $543,000. That’s an 11 to 1 return on investment. And before you ask, he did all that ROI using old-school direct mail postcards. Not online. But that’s not even the best part, What really surprised us was that over those four years, he got 22 transactions from the group of people who responded in year one.
However, only 6 of them sold their house in the very first year. The rest of the 16 transactions happened in the three years that followed. Now, imagine if he’d given up on those “bad” leads after the first year of no action? You know, like most people do…Well, luckily, he didn’t. Because that same group of “bad” leads generated almost three times more business for him.
That’s what I call the difference between an expense-based mindset and a capital investment mindset. Or, to put it another way… it’s the difference between lead generation and focusing on front-end sales exclusively.
Think about it
If your front-end sales page converts at, say, 2%… meaning, out of every 100 leads two people buy…How many more sales could you make with a little bit of extension on that front end?
Because, on average, there are at least 3-times more buyers in that 98% you’ve missed out on. Plus, those 2 who bought right away are still going to buy anyway. Because they’re a subset of the larger group. When you do the math, there’s no question that a capital investment mindset is the way to go…
But only if you want a high ROI 😉
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