What if you could do just one or two things every day that would practically guarantee your success? What if when you did these things consistently, you would do one or two deals each and every month? Would you be interested in that? If so, you’re in luck. Here, I talk about the importance of creating a marketing plan and why it’s so important to me. As I like to say, we’re not in the real estate business, we’re in the marketing business.
To get your marketing done for you, in spite of you, having a simple marketing plan is key. I’ll show you how to create a simple marketing plan that isn’t overwhelming but forces you to focus on what’s most important to you in your business. One of the biggest advantages to having a marketing plan is accountability. It helps you track your KPIs and stay on top of your numbers. I’ll also show you how to outsource some of your marketing tasks to free up some time.
Joe: Hey, guys. How are you doing? Joe here. What if I could show you if you just did these 1 or 2 things every day would practically guarantee your success. Would guarantee that you would do a deal. And if you did them consistently, you would do 1 or 2 deals every month. Would you be interested in that? Well, I'm going to talk to you on this video today about the importance of creating a marketing plan. And let me tell you kind of first why this became so important to me. I got started in real estate doing deals part time here and there. I was kind of a professional student, studying a lot, buying a lot of courses and programs and coaching programs and spending a lot more money on my education than I was making. And I was getting really frustrated. And I remember my coaches at the time telling me, hey, Joe, you're not in the real estate investing business, you're in the marketing business, and you need to figure out, okay, how do you get this marketing done for you in spite of you.
Joe: So to get the marketing done for you, in spite of you need to have a plan. You need to have a marketing plan. And I'm going to be talking about that on this video. How to create a real simple marketing plan that's not overwhelming, but forces you to focus on what's most important in your business. You know what's more important to your business? Creating a website is getting a business card, getting a logo, getting a business plan. No, what's most important is marketing. Everything is marketing, and marketing is everything. So I'm going to show you how to create a real, simple marketing plan that will keep you focus. Now there's a lot of advantages to having a marketing plan, but one of the biggest advantages is accountability. It forces you to focus on the most important thing. So you start tracking your numbers, you start tracking your KPIs, your key performance indicators, and you should know your numbers. In fact, I tell a lot of people who are experienced already in doing a lot of deals. If you don't know your numbers, you don't have your business. You need to know your numbers. So if you want to make five grand, ten grand a month, you should know how much marketing you have to do to get to that target. All right. So a marketing plan basically starts with that starts at the numbers your revenue targets. And it works backwards from there. So the biggest advantage to having a marketing plan is it keeps you focused on what's most important. And I hold you accountable to what's most important. Because now you're going to start tracking your numbers every day. You're going to know every day, every week. If I do 1 or 2 of these things, maybe 3 or 4, the better that you get, the more experience to get. If I do these things every day, every week, then I'm going to do deals. I'm going to make money eventually. Get to a place where you now give this marketing plan to a virtual assistant. You give it to your kids, you give it to somebody and you say, hey, I want you to do this for me, all right? So many times I'll say, when you get a virtual assistant, first thing that they should be doing for you is all of your marketing. They should be focused on number one. Job priority is getting you leads. Because if your pipeline is full of leads, you're going to do deals. All right.
Joe: So the marketing plan holds you accountable, gives you helps you track your KPIs, your key performance indicators. It helps you focus on what's most important. So many investors get tripped up where they're worried about steps seven and eight and thinking about, well, what if you know, what if the seller says no? What if they say yes, right? What if I get a deal under contract and it's a bad deal? Or what if it's a good deal and I need the money to close? How am I going to close out? How does the paperwork work? Do I have to have my license? Do I have to blah blah blah blah blah. And they're worried about all of these steps seven and eight things. You know, what am I going to do what ifs instead of step one and two? What's next? So I say this often we'll stop asking what it start asking what next. So the marketing plan answers the what next question. You understand. So now you know every day. All right. Me or somebody is going to do this marketing every day and you're going to track those numbers. All right. So my coach is telling me this stuff early on and I didn't understand. It kind of went over my head. Well I started having some success, started doing deals. And this is what happened to me. I would do a bunch of marketing, get excited, get a bunch of leads coming in and start making a bunch of offers, getting overwhelmed pretty quickly, and I'd shut the marketing off so I could work these leads that I was having, right? And I'd start getting making offers and start getting deals under contract. I'd start selling them and then fast forward a couple, three months is that's sometimes how long it takes to sell these deals. Once you get your money back, I turn around, I make some money, I'm great, I'm all excited and happy, and I'll turn around and my pipeline is empty. There's no new leads coming in. And I'm scratching my head thinking, oh no, what's going on here? And then that money quickly dries up, and now you're going through this vicious roller coaster, this up and down cycle, making a lot of money and not making money, making money, not making money at all. Because your marketing isn't consistent. Your marketing isn't consistently going out the door. You don't have a marketing plan in place with somebody. If it's not you, it's maybe a virtual assistant, maybe it's a direct mail company, maybe it's a Facebook ads company or whatever. Somebody is doing that marketing for you, in spite of you. It just gets done. Then you go through those ups and downs and you weather the storm. That's how you grow as well, right? So we're not about just learning how to do a deal. We're learning. We're all about let's build a business that does deals. Do you understand the difference there? I don't want you to treat this like a hobby. I want you to treat this like a. Business. A first step into treating this like a business is to have a marketing plan. And this is so simple. I'm going to walk through one example in here the second, but it's so simple. It can be done on a napkin. It doesn't have to be done on a spreadsheet. It doesn't have to be done on anything fancy, just on a napkin so you can figure out, okay, if I want to make this amount of money, breaking it down from things you can control down into things you can control. These are the 1 or 2 things that I need to do every day. Every week. All right. So I'm going to walk through I got it right here on my iPad. And I'm going to walk through an example. Just high level numbers here to show you how it works okay. All right.
Joe: So I'm on my little spreadsheet here on my iPad just to kind of show you what we're doing here. And I want you to understand that this is very simple. Even though I'm doing this on a spreadsheet, just kind of that's the way I like to work. But you can do this on a piece of paper. And again, focusing on breaking down from your revenue goals backwards into something you can control. What are the things you need to do to make 5000 a month or $10,000 a month? Okay. And by the way, this marketing plan is in my Land Flippers toolkit. So if you want this spreadsheet right now, you can get it for free at Simple Land Kit dot com, simple land kit.com. And it's a spreadsheet that I have with maybe 5 or 6 tabs on the bottom that kind of helps you come up with a marketing plan, and helps you then make offers and evaluate deals and stuff like that. Okay, so let's say your monthly goal for gross income is $10,000 a month. That's $120,000 a year gross. And most of you can quit your job with that, right? Well, let's say your average net profit then is $5,000 per deal. That's your net profit after marketing, after virtual assistance and stuff like that. I can tell you inour in the last 12 deals that I've done, vacant land deals, our profit has been about $10,800. Now, I'm not promising or guaranteeing anything. We do a lot of marketing. I've been doing this for a long time and so my results aren't typical. Okay, I have a lot of students that are doing deals, but I also have a lot more students that aren't doing deals. So very few people actually succeed in this business. I just want when I talk about numbers like this, I have to be real careful. I'm just not. I'm not guaranteeing that it's going to happen to you or to anybody because it may not. And in fact, it probably won't. Because, again, most people who buy homes study courses, don't do anything with them and don't make any money. So just like any business, I want you to take this seriously. And I don't want you to treat this like a hobby. I want you to treat this like a business. Makes sense. All right? So you can't control that. You're making ten grand a month. You can't control that your average profit is $5,000, or you're actually having to do two deals a month. But let's just say, all right, you need to make 30 offers to do one deal. We're averaging our numbers again, just our numbers. We're averaging about one out of every 15 offers that we make on vacant land gets accepted. And now we're doing something different. You know, I don't want to get too deep into the weeds here, but when you're making when you're doing direct mail and you're sending the seller to a voicemail. So we like to send neutral letters, it just says, hey, if you want to sell your land, call us. Call this voicemail. They leave a voicemail. Then when you send them an offer without talking to them, we do about one out of every 30 offers. Get accepted. Now when we talk to them first, we're getting about one out of every 15. Let's say one out of every 20 accepted. So it's a numbers game. Even if it's one out of 100 offers, get accepted, then make 100 offers. If your goal is to do two deals a month and make 200 offers a month, it's not a big deal. It just kind of depends on what you want to do. So let's say you need to do two deals a month and you're you need to make 30 offers to do one deal. So how many offers do you need to make a month. 60 right now. So you work backwards in that's about 15 offers a week. Or if you're working five days a week taking weekends off, you spending time with your family, right? You're making three offers a day. I have a student and a friend. His name is Eric. He's killing it right now. He's working 10 to 20 hours a week. He makes an average of 15 to 20 offers a week. And guess who's doing deals? This guy Eric is doing deals, right? Just keeping it super simple. He's not talking to sellers. He's just making a lot of offers. I say, you know, there's no problem in business that making offers can't fix it. It doesn't matter what business you're in.
Joe: So this is why we're doing this stuff, okay? If you want to make money, right, you got to do deals. If you want to do deals, you've got to make offers. If you want to make offers, you got to talk to sellers. If you want to talk to sellers, you got to do marketing. So we're coming back down to this marketing, the fundamentals of everything. All right. So let's say now you know all right. If I want to make ten grand a month, I need to make three offers a day, five days a week, 15 offers a week. Let's say you make offers on 85% of the leads that come in, which means then you need about 70.6 leads per month, 17 leads per week, or 3.5 leads a day. So what kind of marketing are you going to do to get 3 to 4 leads a day? It's really simple. I just don't I don't want you to think that you've got to do 500 things. I want you to just do 1 or 2 things every day or every week. And this is where we kind of go into this. Okay, so my spreadsheet now you break this up into leads from direct mail and leads from prospecting. So I love direct mail. But sometimes you guys, you know, you're just getting started. You may not have a lot of money to spend on direct mail, and I get it. So if you're just getting started, maybe you don't do as much direct mail, but you do more pre types of marketing, which I call prospecting. That's where you're outbound trying to reach people. Direct mail is more inbound. So let's say 25% of your leads that you need every week comes from inbound direct mail. And then 75% comes from outbound prospecting. So that means you're going to need about 4.4 leads per week from direct mail. And if your average response rate is 3%. And maybe I should do a video on this later. But one of my favorite forms of marketing is a crumpled up yellow letter. And this is awesome, where you basically are writing a letter and I'm married, and I find that letters that come from a woman get a higher response rate than letters that come from a man I know. Sexist, but this is the way it is. It works. All right, so I'll make a letter. Handwritten letter. Hey, this, um, my husband and I are looking to buy a house. We're looking to buy some vacant land in the area, and we wondering if you wanted to sell your property at one, two, three Main Street, or if you wanted to sell your 0.5 acre lot in X, Y, z town. If you're interested, please call me. Thanks, Victoria. And it's just a handwritten letter and you know, you can have your kids do this. Or you could just handwrite one of them and photocopy 20 or 30 of them every day and send it out. But then this is the thing I like to do it on yellow pad legal paper, write the letter out and you crumple it up, and then you fold it back out into fourths, into quarters, and you stick it in an invitation envelope and you hand address the envelope with a live stamp on it. Okay. Now normally with our letters, our, you know, typed letters, you know, in a window envelope, we get a couple 2% response rate, maybe with those. Okay. With these handwritten crumpled up letters, we're getting 5 to 10% response rates. And I've had students I get 20% response rates. It works crazy. Why? Because the envelope is a little thick. It's got some thickness to it. Right? Because the crumpled up paper. And when they open up the flap, well, first of all, the envelope is handwritten with a real stamp on it. And that increases their curiosity factor. And they open the flap and they see that there's a crumpled up piece of paper and they're like, what is this? You know? And then they open it and they read it. So the response rates are much higher because it's personal and it's coming from a woman. My husband and I are looking to buy some land. We're looking to buy a house or whatever, and we just want to know if you're interested in selling or, you know, if you and I used to do this for a house, we do this with lease options. We'd send these letters and say, hey, uh, my husband and I are looking to buy a property, but we want to rent it for a year or so first. It's. That might work for you. Please call me. Okay. That letter works like crazy anyway. So if you don't have a huge budget, what if you just did 15 or 20 of those every night while you're watching TV, right? Just handwrite these letters or handwrite one of them. Make a photocopy of them, handwrite the envelopes. Put some stamps on it. It works like crazy. Trust me, I promise you. All right. So if you're doing, you need 4.4 leads per week doing direct mail, and you're getting a 3% response rate using that crumpled up letter that works out to be about 30 letters a day that you send. Now, if you bump your response rate up to 5%, then you need to send 17 or 18 letters per day. So somewhere between 20 to 30 that you could do every day, five days a week or one on a Saturday, sit down and do 150 of them or whatever. Okay. You're going to get enough leads to then meet your goals. Now prospecting. Let's say what you're going to need on this example here. You're going to need about 13 leads per week from prospecting. And on average, you're going to spend when you do for every hour of prospecting that you're doing, depending on who you're targeting and whatnot, you're going to get 1 to 2, maybe three leads per hour.
Joe: Now, I just did a Saturday workshop for my students and we went and picked a new market. We did a bunch of marketing and this was awesome. We picked a market, we pulled a list, we skip traced it and we had my VAs cold calling them. We got I had two Vas doing cold calling and within one hour we had ten leads. So that's about five leads per hour. Isn't that right per VA? I couldn't believe it. So you know those numbers are and again I'm not promising that. But if you're doing cold calling yourself or if you have VAs do it, you should get one or 2 or 3 leads per hour. And the thing I love about cold calling for vacant land is our response rates for mail and for cold calling are three, four, five times higher for vacant land leads than there are for houses, because there's just not as much competition for that. Let's say we get one and a half leads per hour from outbound prospecting and then prospecting. That could be cold calling, texting, voicemails, you know, personalized one off voicemails, not voicemail blasts and that kind of stuff. All right. So that means what you need to do 1.8 hours or two hours a day cold calling. So now you scroll down here and this is what I want. This is the whole point of what I'm saying here. You should have written on a napkin, on a post-it note or something. What are you now going to do every day? Maybe it's as simple as send 20 letters a day and do one hour of prospecting a day, okay? Then you're going to start tracking your numbers every day. How many letters did you send that day, that week? How many hours of prospecting did you do? How many calls did you make? How many text messages did you send? How many emails did you send? How many voicemails did you send? Things like that. Okay. That's where you start tracking your numbers. And then the most important number, because I say this all the time, if you want to have success in this business, I'm gonna do another video on how to talk to sellers. But you should be talking to three or 4 or 5 people a day, right? And maybe that's all that's in your scorecard, right? You're talking to five people a day. You're going to do deals, and then you make at least our spreadsheet here says we need to make three offers a day. All right. So that's like the most important number to track in all of this marketing.
Joe: Now that you know what marketing you need to do every day and you start doing it, you're going to see what works and what doesn't. You may find out, man, cold calling is horrible. I hate doing it. I'm getting better results with texting. I'm getting better results with emailing. I'm getting better results with letters. So you do more of that. You start tracking your numbers and you start to see where your deals are coming from. And the more you do this, you're going to start realizing, all right, if I want to make $10,000, I need to send 5000 postcards, right? I need to make I need to do ten hours of cold calling. I need to do I need to send a thousand text messages or contact 50 realtors on average. You're going to learn these numbers as you start tracking your KPIs. Okay, so this is the most important thing I want you to get out of this. You need to have a marketing plan, okay? Break down your income goals down into things you can control. Keep it simple. Keep it on a napkin. All right. If you want to do two deals a month, if you don't want to do one deal a month or ten deals a month, it doesn't matter. You track your numbers and then you realize, all right, I need to send 20 letters a day, 5000 postcards a week, or I need to do. I need to have VAs do four hours of cold calling a day or whatever it is right now. You've got your action plan. Now you ask yourself, how can I do none of this? How can I get somebody else to do this all for me? How can I get my marketing done for me in spite of me? Now you take that, you build a system around it, and then you give it to somebody else to do. Maybe it's a direct mail company, maybe it's software, maybe it's virtual assistants, maybe it's cold calling VAs, whatever it is. Now you get that off your plate as soon as possible and you give it to somebody else to do for you. All right. I hope this is helpful for you because this is so critically important for your success. Okay? We're not in the real estate investing business. We're in the marketing business. So the sooner you get that marketing done for you, in spite of you get those 1 or 2 things. Start off small. Don't give six things under your list. Don't make it. Keep it simple, not overwhelming. 1 or 2 things. Learn how to do those 1 or 2 things yourself. Okay? Then hire a virtual assistant to do it. Have a mail company do it or whatever. Does that make sense? I hope that helps. And if you want this marketing plan, the spreadsheet that I was just sharing with you again, go to Simple Land kit.com right now. Check it out. It's completely free and there's a bunch of other cool things in there as well. We'll see you later.