As agents feel the effects of the novel coronavirus on their business, they’ll instinctually want to cut spending on digital advertising – but our latest analysis implores worried agents to do the opposite.
In our latest whitepaper, “Agents Need Online Advertising Now More Than Ever and They Should Double Down on Facebook and Instagram,” we analyzed recent advertising data on four online advertising platforms: Facebook, Instagram, Google and Waze. It makes sense that online advertising would become more lucrative as consumers are spending more time at home to mitigate the spread of the coronavirus – but what digital advertising networks can move the needle for real estate agents who need quick strategies for keeping their business running?
Our biggest takeaways:
1.) Advertising costs are steeply dropping on Facebook and Instagram, so agents should invest there now
Because consumers are flocking to Facebook and Instagram for social interactions during social distancing, the supply there is exceeding demand – leading to a drastic drop in advertising costs on these two networks. Agents who are able to invest can expect a higher ROI and many more leads, to the tune of up to 40% more clicks for every dollar.
2.) Advertising costs on Google are staying constant
ROI on Google is remaining relatively flat, because there’s no significant change in the number of people using the search platform. So you can invest in Google advertising, but consumer traffic isn’t increasing in the same way it is on social networks like Facebook and Instagram.
3.) With fewer people driving right now, Waze costs are on the rise
Waze is seeing higher advertising costs as a result of social distancing. Less travel means fewer cars on the road, which means fewer consumers using Waze, which means fewer eyeballs on ads there.
For any agent who is looking for a cost-effective way to stay relevant with buyers and sellers right now, you should invest your advertising dollars in Facebook and Instagram. You’ll get more eyes on your ads, remain visible while you can’t meet face-to-face with prospects and clients, and keep building that pipeline of leads so you are prepared when things return back to normal.
We hope this latest research helps agents who are looking for ways to manage their business while clients are social distancing, or even while they remain at home themselves. Agents can also explore Homesnap Pro Ads to start immediately running ads on Facebook and Instagram, as we can instantly set up and run campaigns so you remain front of mind for your sphere.