Real estate professionals across the globe use Google AdWords as their trusted advertising platform.
That’s not surprising considering Google and Facebook own 60% of all global Ad spend according to statista.com.
Google AdWords can generate a great deal of real estate leads.
However, using Google AdWords is expensive, and if not configured correctly, it can be a waste of money.
Google AdWords requires a deep level of understanding and training to yield the best results and to make a profit.
Google AdWords isn’t cheap, however knowing the tricks of the trade for their ad tool will help any real estate professional access new leads and receive substantial payments.
Fast Fact: When using Google AdWords, real estate agents spend (on average) $40 per real estate lead.
This might sound like a lot, but it is more than worth it to spend $40 per lead if you are in the real estate business.
Even better, if you know how to use Google AdWords correctly, the amount you spend per lead will more than likely go down.
Why Is Google AdWords So Effective?
Google AdWords creates hot real estate leads by giving people what they want through advertisements.
When someone types a phrase or questions in Google’s search bar, Google displays the ad that matches the keywords of that search and that ad will display above or below the search results.
I’d also like to add that Google is the globally the largest search engine.
In fact, 90% of all searches conducted are on Google.
When people search for real estate or for a realtor, they will more than likely search on Google than search anywhere else.
If a real estate professional wants 100’s of new leads PER MONTH, Google AdWords is the right advertising avenue to work with (if used correctly).
However, one must be prepared to spend $2,000- $5,000 a month to access these real estate leads.
From Viewing An Ad To Becoming A Client: How Google AdWords Works
I’m sure that it can be agreed on that the ultimate goal for any real estate professional is to convert a lead into a customer.
It’s absolutely critical to follow up with the lead within a short time frame to maximize the lead to customer conversion.
When you have a 100+ leads coming in per month, it’s challenging for a working agent to drop what they are doing a make a call to a lead/potential customer.
Some agents/brokers will employ a call service or leverage entry level agents to help facilitate this process.
It is essential for every real estate professional to manage only what they can handle to keep every customer and lead happy.
How Google AdWords Conversion Rate Is Measured
A potential client uses Google to perform a search.
Ex: “Minneapolis Home for Sale”
Potential client selects real estate web site via the Google Ad. The agent’s website ad was triggered because he/she has that exact keyword text “Minneapolis Home for Sale”
Potential client lands on real estate website. He/she navigates on website until they find a home they are interested. When the potential client clicks “home” (or something similar) to see home images the system will prompt a form asking for contact info. Their phone number will be required to complete the form.
The real estate website will have a system set up that verifies the phone number through text message.
Once verified, system will do the following
Send lead to CRM.
Update Google Adwords on a lead conversion.
Send text message notification to agent pool that a new lead is available.
Once this notification occurs, the agent should contact lead via phone within 30 minutes and attempt to convert to a customer.
If the real estate lead converts to a customer, the system sends info to Google Adwords letting them know of the customer conversion.
At the end of the workflow the agent can all the keyword investments.
||Minneapolis Home for Sale
Considering an agent can make north of 10k on a sale, spending 5k a month to collect 100 real estate leads might be worth it assuming the agent has a good end to end process.
Are There Any Downsides to Using Google AdWords?
I can think of two.
Google AdWords is only effective if someone understands the tool as well as Landing Page Optimization.
Google AdWords also doesn’t share ads for anyone who isn’t actively searching.
Read Our Complete Digital Marketing Guide for Real Estate Agents
The Two Important Types of Ads You Can Do with Google AdWords
Google Search Ads
This is basic search engine advertising where an ad shows up in the Google ad results. Google AdWords levels the playing field with small business versus the big guns.
Small businesses can be on the first page of Google along with big companies. This depends on how competitive your bids and landing page optimizations are.
Google Display Network (GDN)
GDN is the banner ads that follow an internet user to other websites. These types of ads increase brand awareness and don’t require payment unless clicked on.
Before You Begin, Draft Your Strategy
Start by making a budget. What can you afford? Make some room in your advertising expense for Google AdWords and try to stick to that budget.
You can get clicks and real estate leads almost immediately after you set up your campaign and launch it.
However, you need to make sure that you know your financial limit.
Once you figure out what you can afford, you need to look at keywords.
Carefully Selecting Keywords
Knowing what keywords to use for a campaign is crucial. If inappropriate keywords are chosen in a Google AdWords campaign, there is a high chance that the campaign will not be successful.
Why is that?
As discussed earlier, Google matches a person’s search terms with the keywords in an ad to bring up the most relevant ads.
If a business does not use the proper keywords that are related to their industry, they won’t see positive results.
This is called being niche specific.
To find the correct keywords, a business needs to make sure that the keywords they wish to use are relative to their industry.
That’s the easy part.
To make the most out of an ad, a business also needs to make sure they find keywords that are labeled as “low competition” (this is very important).
Not only do keywords need to be niche specific, but they also need to be low competition.
If a real estate professional decides to spend a great deal of money on keywords with high competition, it is more likely that little or no profit will be made from the campaign.
Another important goal in selecting keywords is making sure that the keywords chosen are “money keywords”.
Money keywords are keywords that people search for on a search engine with the intent to buy or purchase something or a service.
One final keyword tip and this is also an important one. Any business needs to be aware of negative keywords.
What are negative keywords?
Negative keywords are keywords that aren’t allowed to be included in an ad campaign.
They are also known as a negative match.
Negative keywords can easily be discluded from an ad campaign by going to the keywords section in Google Ads.
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What If Someone Isn’t Familiar with Keyword Optimization?
Google AdWords has a keyword finder to assist anyone with their keyword search.
Furthermore, one can allow Google AdWords to choose the keywords for them by crawling their website and finding relevant keywords for their ad.
However, it is more beneficial for a real estate professional to understand how keyword optimization works and choose the keywords themselves.
Being Precise with Location
In real estate, it’s all about location. In Google AdWords, there is an option to choose the location that sees an ad.
A significant feature of Google AdWords is its ability to put ads in precise locations.
It’s like the digital billboard, but with more options.
For example, a Google AdWords user can select a particular county, city or even select neighborhoods to display an ad.
This feature works exceptionally well with real estate.
If a real estate professional wishes to access clients in wealthy neighborhoods, they can share their ads to the specific neighborhoods where they see fit.
Creating A Catchy Ad
The wording of any ad is what attracts clicks.
An ad must always have the business name in the title, as well as make it very clear what the service is that they are advertising.
Some great words to use in a Google Ad for real estate are “top”, “honest”, “reliable”, “save time”, and “fast” just to name a few.
One more ad tip, ads that offer something free (such as a homebuyer’s guide or trial period) have great success compared to ads that don’t.
Try A/B Testing to Experiment with Ads
A/B testing is an awesome strategy for making sense of the best marketing techniques, and this technique can be used on Google AdWords.
It does take time, but the benefits that A/B testing gives are beyond worth the extra time it takes.
Doing A/B testing right will reap incredible benefits.
How is A/B testing done? Google AdWords has a setting where you can quickly perform A/B testing.
It’s called “AdWords Experiments”. Google AdWords Experiments are similar to A/B testing in the way that they measure different variations of the same ad to test how successful they are.
To Sum It All Up
Google AdWords is a powerful advertising platform if used wisely.
Google is the number one search engine, and its users search on Google for anything from how to cook a chicken to how to sell a house.
With that in mind, it’s easy to see how Google AdWords is an amazing advertising tool.