If you’re just starting out and you’re looking for a very affordable marketing channel, today’s your lucky day. Our virtual real estate investing coach, Lauren Hardy, shared a dirt cheap marketing channel that truly delivers!
In this episode, Lauren shared the truly affordable marketing channel she’s currently using that has given her lucrative returns. If you want to learn all the basics of this easy-to-manage and highly effective marketing channel, this is one episode you should not miss!
- What she loves about texting
- Number of text messages they send in a day
- What a lead is for her
- How much a text message costs
- What she uses to send out text messages
- Where she purchases her lists
- What skip tracing is
- Ideal frequency of follow-ups she recommends
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Hey, what’s up guys, you’re listening to the Wholesaling Inc podcast. I am your host, Lauren Hardy. And today I’ve got an exciting episode about my favorite marketing method of 2020. Today, I’m going to tell you what my team is doing and loving right now in 2020, that’s getting us the best results. All right. Are you guys ready for it? It is mass texting. So in all the years that I’ve been doing this business, eight years, I have been only focused on direct to seller marketing.
I have not done any other type of marketing other than direct to seller. I’ve never purchased a deal on the MLS except for maybe the house I actually lived in. True story, I think I’ve purchased maybe two or three properties from a wholesaler in my career. I have always been the wholesaler, even when I was a house flipper, I was the one going direct to the seller. So my flips were extremely discounted because I was skipping the middleman.
So, if anybody knows direct to seller marketing, it is me. I am obsessed with it. Been obsessed with it for years. And I have to say that by far texting has become one of my favorite methods for a lot of reasons that I’m going to go into in the episode today. So you guys, I love in my episodes, I like to give tangible, practical advice. I want to be able to deliver value so, by the end of this episode, you have some actionable steps that you can take to apply to your business today that is going to multiply your profits.
So, today I promise you I’m going to deliver. So, let’s get right into it. I’m going to keep the lesson very macro. I’m going to give you an overview. And if you really want to deep dive, you want to learn more about texting, you want to learn all the details, like what should you say and how many people should you text and what kind of lists and all the fine details, I will point you to that resource as well.
But for the sake of this episode, I want to keep it super macro. So let’s get into why do I love texting? Well, let’s get into the fact that I’ve tried everything. I’ve done SEO, Facebook Ads, I’ve done direct mail, I’ve done cold calling. And by far texting is a very low cost way to get a lead and it’s also an easy campaign to manage. So, what do I mean by management? I personally have had a call center. I have had in-house cold callers and it was a very difficult task to manage these people. There was a huge human variable.
One thing that I found that would happen a lot with my cold callers is that they would start out strong, they would do really well their first, maybe 90 days to keep their job. But after 90 days, they figured out how to manipulate the system and they would figure out how to make it look like they’re working, but they wouldn’t really be sticking to my script. And they wouldn’t really be trying that hard to give me good qualified seller leads.
And it took me forever to figure out what they were doing. I would actually have to go listen to their phone calls, which would take me hours to figure out why they weren’t a good fit for the company anymore. And it became a revolving door with cold callers. I didn’t love it. It wasn’t my thing. So, I moved over to texting primarily and I do still use some cold calling, but it’s more for very niche lists, very more follow-up type stuff.
But I moved on to texting because it was very easy to train and to see what your staff member is doing. It’s difficult to manipulate the system and it’s very easy to see what they’re doing wrong. So, what do I mean by that? Well, these platforms that we use and I’ll get more into the detail, I’ll give you the names of everything I use and all that and the pricing and whatnot, but the platforms that I use, you can see impulse stats very quickly, and you can tell that something’s wrong.
So, you can look really quickly and look at your delivery rate. If your delivery rate is low, if it’s maybe say below 80%, you know that something’s going wrong. There’s a good chance that one of your phone numbers got spammed, or there’s a good chance that you are not doing the best practices to improve your delivery rate. And that would fall on the virtual assistant that you have doing your campaign.
And if it’s not the VA and you’re doing it all yourself, then it’s you and you’ve got to work on some of these best practices. The KPIs, the key performance indicators to read in texting, it’s very easy, it’s right in front of your face. If you have someone else doing the texting for you, so say you are scaling, you are at a level where you could afford to pay someone else to do the texting, you can open up their texts and just read what they’re saying. And you can see if they’re adhering to your script versus having to listen on the phone and hear what they’re saying. So for that reason alone, I really do love it.
I start out, so just to give you an idea of what a day looks like, I have virtual assistants that are texting for me. I find these VAs on Upwork and we pay them around $5 an hour, which for their country is a good rate. I also give them bonuses based on all the deals we close. So I really want to encourage them to take their job seriously because they will be compensated very well if they do well.
I have them send about 1000 text messages a day. Sometimes it’s 1500. Sometimes it’s less than 1000. It really depends on the day. Sometimes you will get a lot of leads in one day and they’re busy and they can’t quite hit 1500. Sometimes they don’t get as many replies and they’re able to get up to 1500. So I tell them, let’s shoot for 1000 a day and try to stick with that. If you could do more because you have more time and you want more hours, fine. But for the most part, 1000 text messages a day should do it to keep my team busy.
With the type or amount of leads you should be getting with 1000 texts a day really does depend on your territory. So, if you are in a major Metro, you’re probably going to be competing with other investors that are using the same techniques. So, you may get less leads. What I’ve noticed is anywhere from a half a percent to a percent of leads, your lead rate to texting is about right. So if you send 1000, let’s hope you get 10 leads a day.
Now I want to be clear about how I’m defining a lead. A lead is anybody that in a text message says, yes, I’d like to sell and yes I can sell within the next six months. If someone is saying that in a text message, they are considered a lead. You need to get on the phone, pick up the phone, get them on the phone and take them through the qualification process you have and put them in your sales funnel, put them in your CRM and treat them like gold.
It is also very inexpensive to send these text messages in compared to other marketing methods like Google Ad Words. Oh my gosh. If anybody’s tried Google Ad Words, talk about expensive to get one lead or direct mail, direct mail is extremely expensive. In fact, I don’t even recommend it anymore because I’ve seen way too many people go broke on direct mail campaigns. It only costs two cents per text to send these text messages out. I mean, that is nothing, that is very cheap in comparison to a lot of the different campaigns that you could be doing.
Now, let’s talk about where I go to hold my campaign, to send out these text messages. I use www.batchleads.io. Now that’s going to be in the show notes if you guys want to pick those up. batchleads.io, and if you use my code, virtual, you will get 50% off your first month of the service. So use my code, virtual, give it a shot. That’s www.batchleads.io. Try texting out and see if you like it.
Now you probably are wondering next, what list should I use? What are the best lists to text to? Honestly, texting is a data hog. You can text a lot of people if you’re texting 1000 a day. So you are going to blow through your lists. So I actually like to keep my lists very easy, very broad. You don’t have to go super niche. I always like to say, with marketing, the more niche the list, the more expensive marketing method you could use. So this is very inexpensive of a marketing method, so go ahead and use a more broad list.
You can use a basic absentee owner list. If you blow through your absentee owner lists, you could even text message owner occupied. We’ve gotten tons of deals from owner occupied. The only filters that we do is we make sure that they are in areas that we actually want to buy in. So I do research on this, the hot zip codes that I want to be in. I make sure that the house is the type of home that I would want to buy. Maybe it’s a bit older in age, and usually they are smaller homes.
They’re not above 2500 square feet. That’s kind of my sweet spot is below 2500 square feet, older than say 1995. Now that’s from my area. It could be completely different for your area. So when I do a broad owner occupied list, I don’t just do any old house. I make sure that I do put some filters in there. You can buy these lists on batch as well. So it’s all in one place. So at batchleads.io, they actually have a list providing service within the platform. It’s awesome. You can buy the list. You can skip trace to get your phone numbers. That’s what skip tracing means for all you guys that don’t know, you can get your phone numbers from there.
They are the best company for really good data. That’s actually how they started originally. Their original software was all skip tracing. So I personally think their data is the best. So once you skip trace, you can upload into their texting platform, all in one place. It’s pretty amazing. Other lists that you can use and other ways you can use text messaging is actually to do your followup campaigns.
So a secret list I like to talk about it’s called my followup cold. And a lot of people don’t know what this is. I kind of coined it myself. Followup cold is basically anybody that has ever expressed interest in selling when we’ve sent some kind of marketing to them. So it’s anybody that’s ever called us or responded to our marketing. A lot of these people are tire kickers. A lot of these people are the people that didn’t seem very motivated at the time, but believe it or not, they turn around often.
And every time we do a followup cold list and I text them, it is usually good for one or two deals. It’s pretty amazing how many times, what seemed like a tire kicker does change their mind. So make sure you’re always saving your long-term followups in one central place so you can pull that list and you can upload it into your text messaging platform and followup on a very regular basis.
I like to do it about quarterly. I feel like that’s about right for that list. So I know I got super broad. I haven’t got into the fine details of text messaging, but I will tell you and stress to you that I do think it is the best campaign right now in 2020. My company is scaling up and we are doing more texting because it is generating such good results for us. So if you guys want to give it a shot again, try batchleads.io. Use my code, virtual, if you want the 50% off.
And if you want to get more micro on your processes, if you want to learn more about how to set up a virtual wholesaling business, how do you market for sellers in a virtual territory and negotiate these off-market deals at heavy discounts all over the phone, not having to go to the properties, not having to meet the sellers face to face, I’ve got a coaching program. My coaching program is amazing. It’s all things virtual.
I handle the newer investor to experienced investor, but my focus is taking your business virtual. Check out www.virtualinvestingmastery.com. And if you guys like what you hear today, I want you guys to subscribe to this podcast and listen to more episodes because we are coming out with content every day. I hope you guys got a lot out of today’s episode. Take care, take some action. Talk to you soon.