The success of your business mainly depends on the investments made and results achieved, which is often termed as return on investment (ROI). Many companies are moving online and giving substantial importance to paid ads and leads sourced from various portals. However, there are still businesses that rely entirely on traditional marketing. It doesn’t matter whether your real estate business follows a traditional or modern approach.

The thing that really makes a significant impact is tracking ROI for real estate builders and professionals. Monitoring the real estate marketing ROI is essential for making data-driven decisions and optimising marketing efforts. There are multiple ways to identify lead sources, such as paid campaigns and referrals. This blog will guide you on how builders can track ROI from Google Ads and portal leads. Additionally, you will learn why Google Ads and lead tracking for builders are required.

Different Types of Lead Sources

Digital Sources (Google Ads Leads)

In today’s time, the most common platform to source leads is through digital sources or paid advertising campaigns, such as Google Ads. Here, you get hyper-targeted campaigns as per the distinct demographics and user behaviour. The Google Ads tracking for builders facilitates high-potential leads that are most likely to convert into successful clients.

Portal Leads

Portal leads in real estate are a great way to attract potential clients who actively search for properties on online platforms. The portal’s ROI depends on the leads generated each week. The prospects can come from various channels, such as 99 Acres, their own website, and many more.

Methods to Track Leads in Real Estate

Traditional Method

In the traditional method, everything needs to be done manually. Tracking the critical factors that measure the real estate marketing ROI, such as ROAS and CPL, becomes hectic in the absence of software.

Automation

Automation means integrating real estate CRM software that simplifies the lead tracking system. Here, builders can monitor all the key metrics in a single place, without managing them manually.

What is Real Estate Marketing ROI?

Real estate marketing ROI measures the profitability of the marketing campaigns; i.e., how much profit is made through marketing efforts in relation to the money spent. The revenue generated is either from paid marketing or organic marketing channels. The formula to calculate the same is (Revenue Cost – Marketing Cost).

Challenges Faced in Tracking Real Estate Marketing ROI

While measuring the real estate marketing ROI, builders or property developers face several challenges every day. Moving from a traditional approach to a complete digital approach is not simple. Here are some common difficulties faced by builders:

Attracting High – Quality Leads

It’s not necessary that lead tracking for builders will give the desired results. Not every prospect is a great fit for the property or real estate market. Many people just enquire impulsively without any mood or budget to buy a property. They are the unqualified leads on which the sales team’s efforts often get wasted. In the absence of an efficient lead management system, builders and real estate professionals spend days following up on a prospect that may not convert.

Lack of Standardisation

Putting money in real estate is a big decision. Every prospect or buyer wants a complete tour of the property or the place in which they will be investing. However, minimal photos and videos in today’s digital world are not enough to gain trust and convert leads into successful clients. This, in turn, impacts the real estate marketing ROI of the business, and builders find it difficult to scale the business.

Controlling Advertising Costs and ROI

We all know that advertising costs are high. Displaying paid ads on Google, social media, and portals can be expensive if targeting is not done appropriately. Google Ads tracking for builders is of no use if the desired results are not achieved. The reasons can be many, such as inefficient targeting or poor conversion rates. The competition is so tough in the real estate market that optimising bids has become difficult.

Skepticism

Skepticism and scams in real estate are very common. Many fraudsters scam the prospects in place to provide property to the potential leads or buyers. This has increased the distrust among the buyers. Also, a delayed response loses the trust of the clients and results in lost opportunities.

Missed Tracking and Reporting

Inconsistent tracking and reporting neutralise the marketing efforts. Tracking ROI for real estate builders becomes difficult when they rely on multiple platforms instead of a unified platform. In the absence of a centralised system, monitoring performance and generating reports are almost next to impossible.

Inconsistent Lead Nurturing

The task is not limited to lead capturing; there is more to it. Missed follow-ups, delayed responses, or the inability to engage clients are disadvantages and often result in lead leakages. The response rate is negligible if builders and real estate professionals solely rely on cold calling or simple emails.

Working in Silos

There are several real estate businesses and organisations that use different tools for each task instead of a single system. They have distinct lead management systems, marketing tools, document management systems, and many more. Scattered data leads to disorganised sales teams, which gives inefficient outcomes, and the organisation suffers from a blame game.

Role of CRM in Simplifying Real Estate Marketing Challenges

There is no doubt about the fact that an AI-oriented real estate CRM software like HomeLead can handle common challenges. The situations faced by builders in tracking real estate marketing ROI. As compared to other solutions, HomeLead solves the problems faced by builders and real estate professionals. From property management to marketing and automation, you get every possible solution on a single platform.

CRM for Enhanced Customer Engagement

There are several real estate CRMs in the market, but only a few can cater to the user’s needs, and HomeLead is one of them. It offers industry-oriented solutions to builders and real estate professionals that help scale their business effectively.

Automating Marketing for Targeted Campaigns

For improving real estate marketing ROI, builders need a smart plan that converts potential leads into successful clients. To achieve the desired results, builders cannot rely on manual or the traditional approach. HomeLead automates the process, saving time and multiplying efforts. It offers bulk marketing tools and real-time insights that help to measure ROI.

Efficient Tech Stack

An efficient tech stack or a well-equipped real estate CRM, such as HomeLead, contributes to a business’s success. Integrating this CRM as a solution will solve all the problems of builders without any additional cost. It is a win-win situation where you are getting data privacy and security as well as integrations without spending extra.

Optimise Google Ads ROI for Real Estate

Google Ads tracking for builders is an essential step. To receive the maximum output from your ads, one needs to be exceptional from the beginning. Here are some key strategies that builders can optimise for their ads that significantly reduce the costs and improve real estate marketing ROI.

Maximise for Quality

Google algorithms act based on the quality score, as it helps in determining the ad’s relevance and effectiveness. The higher the score, the higher the ad position with minimized cost. To increase the score, you need to ensure that your ad copy and landing pages are aligned and constantly updated.

Adding Negative Keywords

To avoid your ads’ appearance on irrelevant searches, utilise negative keywords for the same. This, in turn, helps in reducing budget wastage and includes only the targeted audience. For example, you can add words like “cheap” to your negative keyword list.

Audience Targeting

Google Ads facilitates precise audience segmentation that helps builders surface their ads based on demographics, user behaviour, and location. In such scenarios, tracking ROI for builders is crucial for enhanced ad performance.

Track Real Estate Marketing ROI

A reputed real estate firm believes in measuring the success of its marketing campaigns. Here are some of the most common metrics to track:

Cost Per Lead (CPL)

CPL signifies the amount spent to generate one lead. Lower the CPL effective for the campaign.

How to Calculate: (Total Ad Spend/ No. of Leads)

Conversion Rate

In real estate, conversion rate signifies the leads that converted into successful clients.

How To Calculate: (Conversion Rate = Leads Converted / Total Leads) * 100

Cost Per Acquisition (CPA)

Cost per acquisition (CPA) represents the costs incurred in closing one real estate deal.

How To Calculate: (Overall Marketing Cost / No. of Conversions)

Customer Life Value (CLV)

Customer lifetime value shows the revenue earned from a client over a period.

How To Calculate: (Average Transaction Value * Purchase Frequency) * Average Customer Lifespan

Return on Ad Spend (ROAS)

In the real estate ecosystem, the return on ad spend (ROAS) is focused on ad-specific performance.

Calculate: (ROAS = Revenue from Ads/ Total Ads Spend)

Optimise Portal Leads ROI in Real Estate Business

As a builder, if you are using property portals, then you need to understand that these platforms generate lead enquiries in bulk. However, the challenge is converting these leads into sales. Optimising portal leads ROI is all about enhanced lead management, automated tracking, and follow-ups.

Measuring Portal Leads Separately

Builders often lose track when the portal leads get clubbed with referral or website enquiries. In such cases, developers or real estate professionals shall track leads by their source. Along with that, performance shall be measured according to the project and platform. In this way, builders can measure the portal leads’ ROI without any hassle.

Using a Centralised Lead Tracking System

Are you still among the list of builders who keep flipping through the spreadsheets for every piece of information? Well, we all know the outcome, i.e., delayed follow-ups and lost opportunities. Real estate developers need a lead tracking system to auto-sync the portal leads and receive instant alerts. Additionally, it ensures that no lead is missed or duplicated.

Optimise Speed and Focus on Follow-Ups

Generally, there is tough competition for portal leads. Even a delay of a single minute can give an edge to competitors and hamper conversions. To optimise speed and the follow-up process, automate the process of lead allocation to real estate sales agents. Additionally, you can also track the response time to improve real estate marketing ROI.

Portal Leads ROI – What to Track

For analysing portal leads, ROI builders need to track key metrics apart from the lead counts. Here is how they can measure the same:

Lead to Response Time

Lead to response time evaluates the response time between the sales team and a potential lead received from the portal.

Lead Qualification Rate

It signifies the number of portal leads that fit your desired criteria, such as budget, allocation, and time. An increased lead qualification rate enhances the overall real estate marketing ROI.

Site Visit Conversion Rate

Site conversion rates measure the portal leads who made an actual site visit. The higher the site visit ratio, the higher the ROI.

Conclusion

Optimised real estate marketing ROI facilitates increased conversions, smarter budget allocation, and gives a competitive advantage to the builders. Google Ads and Portal leads have their own way to optimise ROI. If you are a builder and wondering how you can be the next industry leader, then the answer is simple: opt for an efficient AI-enabled real estate CRM software like HomeLead. For more information, book a free demo session today with our experts.