Posted on: November 04, 2020

Ever wonder how far you can take your wholesaling business if you use an amazing marketing channel? Today’s guest closed 7 deals in his first month and is $72,000 richer!

Graylan Stewart has been in the wholesaling business since September of 2018. Since he’s a brilliant marketer, finding and closing deals for him came easy.

However, aside from his superb marketing skills, Graylan credits his current success to the exceptional marketing channel he’s using: radio. In this episode, discover what Graylan’s experience with radio has been like so far.

As a bonus, you’ll also learn how to track your marketing from one of the industry’s best—Chris Arnold. Today’s episode is phenomenal and filled with gold nuggets so don’t miss it!

Key Takeaways

  • How long he’s been in the game and where he’s currently at
  • The strategy he’s focusing on
  • What happened after he closed so many deals in a short amount of time
  • His bread and butter strategy prior to radio
  • What attracted him to try radio
  • His experience setting up radio
  • How much he spends on radio advertising monthly
  • His cost per lead
  • The number of deals he’s had from radio so far
  • How to effectively track marketing
  • What he has observed from a marketing standpoint
  • Where he wants to go with radio
  • What he’ll tell those who would like to give radio advertising a try

RESOURCES:

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Episode Transcription

Chris Arnold:
Welcome to the Wholesaling, Inc Podcast. I’m your host, Chris Arnold, thanks so much for joining us today. I always love interviewing one of our REI radio students. Particularly ones that have come in and you’re just seeing traction in the first 30 to 60 days. And so today we have Graylan Stewart on. And if you’re tuning in today, you’re going to hear what his experience has been. What his dollar per dollar return is. The deals he’s closed. What he’s got in the pipeline.
I mean, we’re going to break these KPIs down today for you. Because again, what we’re seeing now is just kind of student after student coming in, getting the radio up and going, and getting that ball rolling. And then talking about how to actually get it going even faster and reinvesting and getting more and more radio stations. So Graylan, what’s up buddy? Welcome to the show, man. Glad to have you.

Graylan Stewart:
Hey man. Thanks a lot. I appreciate it.

Chris Arnold:
For those that don’t know yet. Give us a quick snapshot; how long you’ve been in the game? Where you’re at? And a little bit about the strategy you focused on.

Graylan Stewart:
Sure. So I discovered wholesaling in September of 2018. So right at two years now. And I own a marketing company. So I was already kind of familiar with dealing with the sales and marketing aspect, which this whole business is all of that, basically. So I just jumped right in. As soon as I discovered wholesaling, I was like, man, that’s exactly what I need to be doing.
I started marketing right away. I had a website built within the first couple of days. And got postcards, because that’s a lot of` what we do in our marketing company is postcards. I ended up getting seven deals my very first month. I actually closed on seven deals in October of ’18.

Chris Arnold:
How in the world did you close on seven deals [crosstalk 00:02:47] back it up.

Graylan Stewart:
Yeah, it was crazy.

Chris Arnold:
What did you do to close on seven deals in the first month? How did you [crosstalk 00:02:48]-

Graylan Stewart:
I know. It was nuts. So, I discovered wholesaling, it was probably close to mid September, maybe early to mid September. So I had marketing out by mid September, for sure. And I was trying to plan it to where the postcards would hit on Monday. Right? Because me and my wife, we had a trip planned to Vegas.
Long story short, I was getting calls on the Saturday in Vegas, the postcards hit early. So I was like, Oh no, this is a call. I was kind of nervous. Because it was like my first seller call. Right? And I was like, “We got to go to the room.” So I ran to the room-

Chris Arnold:
Yeah [crosstalk 00:03:22] the Texas Holdem table and go [crosstalk 00:03:23]-

Graylan Stewart:
Yeah. It was crazy. We were just walking down the strip and I started getting calls. I’m like, “We got to go to the room real fast. I spent money on this. I’m going to make it work.” So anyways, I locked up two deals over the phone in Vegas for Oklahoma City in the first day I got calls, basically.
Once we got back home, we got other stuff coming in, and ended up getting seven deals locked up before the end of September. And our first one closed October 3rd. So it was a pretty quick turnaround, and we closed on seven that month. We did like 72 grand. Yeah, in my very first month.

Chris Arnold:
What did that do for you? [inaudible 00:03:58], people are listening right now, and they’re going, “Wow. What?” I mean, you came out of the gates just flying.

Graylan Stewart:
Yeah.

Chris Arnold:
What shifted in you, whether that was in your head or like emotionally, what happened when that happened?

Graylan Stewart:
Yeah. I mean, it was pretty awesome because my marketing company on a good month would bring in 50, and way less profit margin. You know what I mean? So it was cool. Because I was like, man, this is exactly what I thought it would be. I wasn’t surprised because I knew I could do it. Because it’s already what I’ve been doing just for different things. As opposed to having real estate as the vehicle. It was definitely a light bulb. Like this is it, this is what I’m going to be doing forever [crosstalk 00:04:37]-

Chris Arnold:
That was like the moment you knew, like, “I can’t go back, something has changed.” It’s like that old saying, “You stretch something far enough, it will never return to that same position.” You just can’t go back. So I love that.

Graylan Stewart:
Yeah.

Chris Arnold:
People always love to know, so far, like before radio, what has kind of been your bread and butter strategy? Where have most of your opportunities been coming from?

Graylan Stewart:
Yeah. I started out as direct mail exclusively, because that’s what I already knew. But I did the first four months or so, I mean I was doing 70 plus every single month. But I was like, okay, I got to somehow figure out how to scale this. Right? So I went down that path trying to figure that out. I added cold callers, and that kind of thing. That’s really all I did. I did a little bit of RVM, initially after the first couple months.
But it took me a year to really get down the right path, until really early in 2020. When I really figured it out to where I had the systems in place and people started getting people in place to help. So going forward since January of this year, really it’s been a lot of Facebook, RVM, SMS, cold calling, still doing direct mail, but more targeted. So not just blast list, that kind of thing. And also we’re getting referrals here and there. Do some JVing a little bit. But for the most part, it was RVM and SMS, cold call, Facebook, and then [crosstalk 00:06:04] radio.

Chris Arnold:
[crosstalk 00:06:05] that as well, as I talked to a lot of people, I was just doing another podcast with Paul Azelle, it’s the foundational five. Right? A lot of people are doing cold calling, RVMing, text blasting, some type of digital marketing. Right? Along with [crosstalk 00:06:20]-

Graylan Stewart:
And we do SEO obviously, because we have a marketing companies, so we do that.

Chris Arnold:
Well man, let’s hop in, let’s talk about this radio thing. Right? You’re a guy that’s been out there. You’ve got a lot of marketing strategies. I mean, heck you got a marketing background, right? This makes this podcast even more interesting. What first attracted you to radio? Why give it a try? What were the qualities you’re like, “You know what? This is something I think I’d like to see how this works in my business.”

Graylan Stewart:
Yeah. I mean, I saw one of your podcasts is how I first reached out to you guys. And I was like, it makes sense what you say. It’s like, there’s no competition on radio. I think there is one other guy on the station I’m on. But that’s really it. Whereas SMS, everybody does, RVMs everybody does, cold calling same thing. So that’s what intrigued me. I was like, okay, I don’t even really care what it costs. If there’s no competition, then it’s a no-brainer for me [crosstalk 00:07:14].

Chris Arnold:
It was like, “Hey, let me do something where there’s virtually no competition.”

Graylan Stewart:
Yeah.

Chris Arnold:
Talk about this again and again. I think Graylan, as a marketing guy, you would agree with this. It doesn’t matter how good you are at working the marketing strategy. If it’s saturated, it’s going to be really difficult to get the ROI. Because at some point it’s just going to be hard to pull that out because the competition level just throws everything off. Have you found that to be the case?

Graylan Stewart:
Yeah, that’s definitely true. Obviously, the more saturated it is, the more difficult it is. However, if you have a good team in place and you really do your follow-up like you should, you’re still going to get deals. So that’s what’s cool. Is I was still doing those things and we still get deals from those every month.
But I’m glad we added radio because now we’ve got more, you know what I mean? Because I’m always looking for, how can I add a few more deals per month? Because I’ve already maxed out all these other channels, basically. So what can I do to keep traction, and keep gaining?

Chris Arnold:
And I hope you guys, if you’re listening, heard Graylan on that saying, “Hey, if you’re working something right now, that’s highly competitive or saturated, don’t throw it away.” He’s saying focus on the efficiency, focus on the speed, because you’re going to win that game based on speed and great follow up.
So I think that’s just some wisdom being shared right there as well, which is great. Now everybody wants to know like setting up radio, again, you set up a lot of different things. I always love this question. Scale of one to 10, 10 being super hard, one being easy. How difficult was it to set up radio, this whole program piece?

Graylan Stewart:
So setting up the whole concept behind it is super easy, actually. But, getting on there to get the pricing that you really want, we’re always looking for deals, because that’s just our nature. Right? So getting the right deal was the hardest part, but actually getting it all set up was super easy.
Like I literally recorded my ad one day and two days later I was live. And then we got a call the same day I was live. The first day. So that part was super easy. And then integrating that into our Podio, easier than any other channels because there’s not all these extra things you have to do. You know what I mean?

Chris Arnold:
Yeah. And if you’re listening again, we always like to tell you like the real story of radio. I always used to say there’s one hurdle [inaudible 00:09:29] radio, and that’s negotiating with these radio stations. Because we’re teaching our students how to buy radio like you buy your real estate, at a deep discounted price.
Can everyone run out and buy properties at 70 cents on the dollar? No, that requires some skill level. We’re doing the same thing on the radio side, as well. So you get, obviously your radio set up. Let’s talk about the cost. If you don’t mind me asking, how much are you paying for radio per month?

Graylan Stewart:
We’re paying 1200.

Chris Arnold:
How many ads per month are you getting with $1,200?

Graylan Stewart:
I get 100.

Chris Arnold:
So how much is that per 60 second spot?

Graylan Stewart:
It’s like 20 bucks, I think, roughly.

Chris Arnold:
[crosstalk 00:10:14] expensive. Right? So again, this is what I learned about radios. I was doing it. Would you have ever imagined, you could have got on a radio station, and advertise a 60 second spot for 20 bucks? It’s still crazy.

Graylan Stewart:
No way. Yeah. Yeah. And supposedly, I’ve heard that there’s even deals like that on TV, but I don’t know. I might look into it.

Chris Arnold:
Absolutely, if there is, make it happen. If you’re listening, we always say the thing that pushes people away from things like radio and TV as an assumption, is that it’s not affordable. And I can tell you, Graylan’s at 1200, our student range for the first station is between $500 a month to 2000.
I would say that the majority of our students fall within that range. That’s really reasonable to get up on that first station. And then of course, to start closing deals and snowball that into more stations, which is the goal. So you’ve been live now for 60 days. Correct? And you and I were talking, and in 60 days you’ve gotten 34 calls. Is that correct?

Graylan Stewart:
Yep. 34 actual calls, yep.

Chris Arnold:
And then again, I wanted to break down some numbers. Because here’s the thing I admire about Graylan, I was talking to him, he literally was looking off to Excel office KPIs. I was like, this guy knows his numbers.
So we’re going to talk KPIs, because that’s the way I am. I love tracking everything. So if we do the math on there, you’re spending $1,200 a month, multiply that by two, that’s 2,400, divide that by the call volume, your cost per lead right now is 70 bucks.

Graylan Stewart:
Yep. 70 bucks. And that’s every lead. That includes the people that are like, “Do you have anything for rent?” It’s all those.

Chris Arnold:
Yeah. Every call. So it’s $70. When we say cost per lead, we’re almost saying cost per call here. It’s interesting. Mine in Dallas is $72. So you and I are running pretty close on that as well. Within this timeframe of 60 days, how many deals have you locked up under contract?

Graylan Stewart:
We have six under contract currently. And one other one that’s on the way right now.

Chris Arnold:
Okay.

Graylan Stewart:
[crosstalk 00:12:21].

Chris Arnold:
Okay. I love this by the way. What do you call a contract on the way?

Graylan Stewart:
It’s a cow. Yeah. So we could just talk to our team like, “Hey, we got any cows?” They’re like, “Yeah, I got one or two,” or whatever. [crosstalk 00:12:32] acronym.

Chris Arnold:
I told Graylan, I was like I’m going to use that language in my culture. I think it’s cool, man. It’s like how many cows you got? Contracts on the way. I’m always excited when I hear something that someone hasn’t said before. So again, if you’re building culture, these little things matter. So 6 deals. Of those, one is closed out already. Correct?

Graylan Stewart:
Mm-hmm (affirmative).

Chris Arnold:
And then you have another two deals that are closing. One is 20K. The other one a little bit smaller at 7K. But we were taking everything that you’ve produced in the first 60 days. And we figured conservatively, that your dollar per dollar return is $13. So let me explain that if you’re new.
The way to track marketing is to know your dollar per dollar is turned. If I spend a dollar, how many dollars do I get back? I always tell people with radio to expect three to $4, which is fundamentally tripling to quadrupling your investment. Graylan, right now, because he’s got such a small ad spend in his market. He’s getting $13, right, Graylan? So far.

Graylan Stewart:
Yeah. That’s all right. That’s pretty good.

Chris Arnold:
Yeah.

Graylan Stewart:
I’ll take it.

Chris Arnold:
That’s pretty good. That’s a really good return to start out, one to 13. Now, I will say this. We want to check in with Graylan a few months from now. I think that will drop a little bit, but I think you’ll be way above me. I’m $3.50 in Dallas, which is great. But man, with your ad spend being as little as it is, I think you’re definitely going to stay above probably $4 pretty easily as well. So that’s awesome.
So I have another question for you. Now that you’ve set up radio and again, you’re 60 days in, anything else that’s happened that you’ve liked as a characteristic. Like some people are like, “I love that it’s set it and forget it. Like I don’t have to worry about it.” Others are like, “I love that I feel like I’m becoming an authority in my market. Like vendors are calling me and people are calling me to do business.” Anything that you’ve seen yet in the first 60 days?

Graylan Stewart:
Yeah. I mean, as far as a marketing standpoint, I do love that it’s set it and forget it, because that’s the hardest part about being consistent in what you do in marketing.
Because you always got to set it up for the next month or whatever, whether it’s direct mail or RVMs, or whatever. So I do love that because you record the ad, and they play it, and you’re done. You just wait for the calls to come in. You know what I mean? So, yeah I love that the best.

Chris Arnold:
I think the best way, Graylan, you’re a marketing guy, to be consistent is to automate the consistency. Right?

Graylan Stewart:
Absolutely

Chris Arnold:
And again, you can’t really automate direct mail, things like that because they require a lot of tweaking. But the thing about radio is it’s automated because we’re outsourcing all the work to the radio company. They’re responsible for playing the ads. I mean, Graylan, let me ask you this. Do you have to do anything else other than answer the phone and just pay your bill monthly? Like seriously?

Graylan Stewart:
Yeah. I mean, I don’t even answer the phones. And I don’t even pay the bill because it’s auto-draft, you know what I mean? So it’s a 100% automated for me. So it’s great.

Chris Arnold:
You just [inaudible 00:15:33] my point, which I love. You are actually truly set and forget at this point.

Graylan Stewart:
Yeah. Absolutely

Chris Arnold:
[crosstalk 00:15:41] Now, that’s interesting. I want to hit on that point. If you’re not answering the phone yourself, who’s answering these calls?

Graylan Stewart:
Yeah. I have two acquisition managers that take all the inbound leads, whether it’s calls or Facebook leads or whatever it is. So they’re responsible for that.

Chris Arnold:
What has been their fill on the first 60 days, comparing this lead volume to something like direct mail? Have they said anything to you about the quality of the lead? Or, “Hey, we’re not getting eight calls.” Or, what?

Graylan Stewart:
Right. I mean, they definitely know that those are hot leads. You know what I mean? Because I mean, on occasion you get one that, “Hey, you got something for rent?” Or whatever. But for the most part, it’s somebody that’s ready to sell their house and they trust you because you’re on the radio. You know what I mean? It’s not someone reaching out to you cold by email, text, or RVM, or direct mail. This is actually people wanting to talk to you. So that’s what’s cool.

Chris Arnold:
You find that you’re starting at a different place. Maybe further down the know me, like me, trust me [crosstalk 00:16:43]-

Graylan Stewart:
Oh, yeah.

Chris Arnold:
Than you are with the other sources. Right?

Graylan Stewart:
Absolutely. Yeah.

Chris Arnold:
How much further do you feel like you’re down that road with the radio lead, versus let’s say something that’s cold call, or a text? What’s the difference?

Graylan Stewart:
Yeah. I would say, here’s a good way that I would say it is, because on an average deal that we get, we probably follow up 12 to 15 times to get a contract. On the radio, it’s probably a third to half of that. [crosstalk 00:17:07]-

Chris Arnold:
Really?

Graylan Stewart:
Yeah. Just because you’ve already kind of skipped half of those steps. They already know who you are, and trust who you are, and they reached out to you. You know what I mean? I would say that REI, it probably takes maybe six followups.

Chris Arnold:
That’s great. Which then frees up your system, and your time, because you’re not having to do as much follow up to get this deal back.

Graylan Stewart:
Yep. Exactly.

Chris Arnold:
Yeah. I love it. Now, and again, you and I were talking about just efficiency by nature. And a lot of you that listen, a lot of people have talked to me like, “Hey, I want to expand my marketing strategy, but I don’t want to feel like I launched an entirely job position when I do that.”
And so what Graylan and I are saying, as we’re talking through this is the great thing about radio, it’s set and forget it. But on top of that, right? It’s just a lot less stress on the system overall. But that may be a good way to do it. Like maybe, I like to say like it’s pretty low maintenance versus something that would be high maintenance.

Graylan Stewart:
Exactly. Yeah. That’s a good way to put it.

Chris Arnold:
Very cool, man. So what do you think… And Graylan, I know you’re 60 days in, but where do you potentially want to go with radio? You think you want to add on more stations? Kind of sit where you’re at? Again. I’m sure your wheels are starting to spend a little bit. What do you think your next plan of action is?

Graylan Stewart:
Yeah. I mean, I would love to add more stations because again, that is the hardest part is negotiating these deals. But hopefully, as time goes on, I’ll have stations reach out to me. And then maybe I’ll have the upper hand as far as negotiating goes. So yeah, I’ll add as many as I can. I mean, I’m definitely not afraid to spend money. I want to spend a lot of money because I know I’m going to get that money back. I’m all about that.

Chris Arnold:
The odds are definitely in your favor. And again, I want to speak to that, Graylan, and you’re not there yet. But I’ve recently interviewed Mitch Colussy, he was on a previous podcast. If I remember correctly, somewhere around 11 to 12 stations in his market. Joe Terrio was another guy interviewed on REI radio.
I believe he, somewhere, I can’t remember like 15, if I remember correctly. Those guys have told me, which is the same where I’m at, is at this point, don’t really call radio stations. At that point, you’re being heard all over your market. They call you. And I love what Mitch says. It’s like, I hold the Trump card.
I have the authority at that point because they initiated the call. They’re now calling me to ask me if I would consider advertising on their station. Again, that’s starting at a much different position than that first station, which you’re like, “Hey, I’m Graylan. I’m interested.” And they’re like, “Who are you?” You know what I’m saying?
So all I’m going to tell you is just give it a little bit of time as your message gets out there, as you get on another couple of stations, and before you know it, they’ll be knocking on your door. Again, we always say the stations can sometimes be a little bit cocky, Graylan, and you’ll be able to [crosstalk 00:20:04]-

Graylan Stewart:
Yeah. I can’t wait for that. I mean, it’s just like the leads that’s coming in. You’re skipping the steps, it’s just reversed. With the radio stations, you’re skipping all those steps in this case. [crosstalk 00:20:12]-

Chris Arnold:
And the tables will turn. The tables will turn.

Graylan Stewart:
Absolutely

Chris Arnold:
If you’re listening, right? And you’re getting ready for… Again, this is business planning time. We’re now in October, if you’re not, I’d be telling you, “Man, in fourth quarter, we start our business planning so that we have our plan done. We do everything we need to do to be able to execute and get everything ready to fall through with that plan, come 2021.”
So always want to plant that seed, be doing your business planning in October. And you’re trying to decide what you’re going to do. Radio is the way to go. Here’s the other thing I would say Graylan, too, and I always remind our students, we’re coming out of a very challenging season. And you’re hearing this data coming out of, let’s remind ourselves, of one of the more challenging years that we’ve had, right?
This has not been a normal year. So I just remind people, can you imagine 2021, when things are back to normal? Again, we got elections going on right now, Graylan. You got COVID this year, all of those types of things. And we’re talking about you getting a one to 13 return, during the midst of a crazy time. So now is the time for radio. So again, book a call, find out if your market’s open. Again, we run exclusivity, but go to WholesalingInc.com/REIradio. Again, WholesalingInc.com/REIradio. Book a call. Come into this community.
And Graylan, you’re in the alumni with this as well. We want to take this way further than radio. We want to work with our students past the point of really moving them from being entrepreneurs, in the sense of working in the business to entrepreneurs that work on the business. Really turning them into businesses. And Graylan, you’re kind of already like that. You’re not even taking the calls, which I think is great.
So wrapping up, Graylan, if someone’s listening, going, “Man, I heard about this a couple of months ago, this is now been the third or fourth one. Should I make this decision?” What would you tell someone that may be on the fence, on, “Hey, is this radio a potentially good marketing channel to add to my tool belt?” What would you tell them?

Graylan Stewart:
Yeah, I would say, absolutely it’s worth it, obviously. Your first deal more than pays for it, and you’re getting infinity returns from there on. So it’s definitely worth it. Especially if you can get in now while your city’s open. So you don’t have tons of competitors, which is one of the great things I loved about it.
It won’t get saturated like a lot of other things do. And a lot of times, if you do hear other competitors come on later, you just know that they paid a lot more than you, because they don’t know how to negotiate it. Right?

Chris Arnold:
Yeah. There are copycats way over paying what we payed for it. That’s kind of our secret sauce, and Graylan, I love that you know that. And they’re going to go out of business because they don’t know how to buy radio like we do. [crosstalk 00:22:56]. Well, thank you guys so much for tuning in.
Graylan, thanks for coming on. I can tell-

Graylan Stewart:
Hey, thank you.

Chris Arnold:
You’re a savvy guy. You’re running this thing like a business. And of course you got in with radio, did what you need to do, executed on it. Now you got it out. But now we’re going to talk about how to snowball this thing for you.

Graylan Stewart:
Yes, sir.

Chris Arnold:
To the rest of you guys, thanks for tuning in. Until next time, we will talk to you soon when we add more value. Talk to you later.

Graylan Stewart:
Appreciate it.

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