5 Metrics You Should Be Tracking for Your REI Business
One of the downsides of traditional marketing is that it has always been difficult - in some cases, impossible - to track the success of your marketing campaign. As a result, you never know if your marketing dollars will pay off. Thankfully digital marketing allows you to gather measurable data to see if your marketing strategy is effective.
The question you may be asking yourself is how to track your data. What tools should you use? What data is important for your specific market and field (i.e., your real estate investment in your location)? Furthermore, what metrics will provide the most accurate and relevant information? Our team compiled a list of 5 metrics you should be tracking for your REI business.
1. Number of User Sessions (Visitors)
Using tools like Google Analytics, you can monitor and analyze website traffic such as users, user sessions, and visitors. You can break down the data by differentiating between users and user sessions. What’s the difference?
Users and Visitors
Users are the number of unique visitors to your site. They are the actual people landing on your website. It means that if someone were to visit your site 100 times on the same device or browser, they would still only count as one user. Google Analytics counts these repeat customers as Returning Users.
Google Analytics defines sessions as the total number of visits to your site. It includes both new and repeated visits. The same person who visited your site 100 times on the same device is one user, but 100 sessions.
Knowing the difference between users and sessions can give you insight into how well you are expanding your market and reaching fresh leads.
2. Click-Through Rates and Bounce Rates
When someone visits your website, you want them to stay on your site as long as possible. Two ways to monitor the length of website visits are click-through rates and bounce rates.
Click-Through Rate (CTR)
Click-through rate is the ratio of users who click on a specific link to the number of total users who view a page, email, or advertisement. You can use it to measure the success of an online advertising campaign for your REI website. How many people are viewing your web page or email and clicking on the links provided?
Bounce rate represents the percentage of visitors who enter your website and leave rather than continuing to view other pages within the same site. For instance, someone may land on your Home Page, stay there for a few seconds and then exit to another website without clicking on any other page on your site. The bounce rate tells you how many people are landing on your website and leaving versus how many are clicking through to another page on your website.
3. Marketing Costs and Budget
If you use tools such as Facebook Ads and Google Ads, these platforms provide an array of metrics tools. You can establish your ads budget and then determine how well your campaign is performing. Some of the costs that you can monitor and measure include
- Campaign conversion rate (how many clicks/visitors to get one lead)
- Cost per lead
- Cost per qualified lead
- Cost per cash offer
- Cost per deal
- Lead conversion rate (How many leads you go through to get one deal)
Having instant access to your cost and budget data allows you to tweak your campaign as you go instead of starting all over.
4. Leads Versus Qualified Leads
As a real estate investor, you know that not everyone who calls or emails your company is someone you want to spend time with. Some sellers are a complete waste of your time. Fortunately, you can track all leads to differentiate between all leads and qualified leads.
A lead is anyone who has interacted with your company. Leads can come from variousa variety of sources such as ads, social media pages, Google searches, referrals, or people in your network. They may or may not become a customer.
A qualified lead is anyone who has gone through qualifying criteria to assess their quality as a lead, their fit as a seller, and their readiness to sell their house to you. Although there is no guarantee of a real estate transaction, they meet all the qualifications of the ideal seller.
Based on their demographics and tracked behavior, you can categorize leads based on a range of factors. Categorizing leads makes them easier to sort.
5. Goal Completion
The Goal Completion Rate (GCR) metric measures the number of people (in this case, sellers) that complete a specific marketing goal, such as number of closings, number of qualified leads, or conversion rates. A high completion rate shows that your campaign is triggering your target audience to act. A qualified lead rate shows that your campaign is generating highly qualified leads for your sales team.
You can use GCR metrics to optimize your website and A/B testing (also called split tests) since GCR is a leading indicator of how well your website resonates with your target audience. Use your site-wide GCR as a baseline value to compare all the pages on your website. Pages below the threshold require optimization, while you should analyze pages above the threshold so you can repeat your success elsewhere.
Contact Magnyfi for Automated Lead Follow-Up Solutions
Magnyfi can help you get more qualified leads through Spark, our fully customizable lead generation tool. Learn more about how we can help you implement the Motivated Seller Prospects Marketing Program in your area.
To check the availability of your market, fill out our application form or contact us at (877) 404-1161, and we will walk you through the process. We work with a limited number of real estate investors per market, so claim my market today.