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Real Estate Internet Advertising 2007 |
Real Estate Internet Advertising - Real Estate Entrepreneurs "Real Estate Agents" are an interesting part of the U.S. Small Business Market (SMBs).
As marketers; real estate agents are more aggressive and uniquely creative than most SMBs. Nationally, local real estate agents are now embracing the Internet in huge strides.
Real estate ad spending is worth approximately $12 billion in the United States annually, according to the National Association of Realtors.
Borrell Associates estimates that online real estate spending is currently worth $2.9 billion but that the category will also see slowing growth ahead. Traditional newspaper real estate spending was up in 2006, representing just over $5 billion in advertising according to the Newspaper Association of America. However, in 2007 real estate classifieds were off in 20%. Part of this is due to the housing slump and "sub-prime" mortgage crisis. But some of the explanation has to go to a structural shift in real estate sector advertising.
In late 2006 newspaper analyst firm Classified Intelligence conducted an in-depth survey of realtors about their advertising spending and attitudes toward print and online media. Among the findings of the survey were the following:
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36% of surveyed realtors spent 10% or less of their total budgets in their local newspapers.
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19% spent less than 20% of their total budgets on newspaper print ads.
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17% didn’t advertise at all in print newspapers.
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52% of survey respondents reported promoting their services on free classified sites.
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61% of respondents said they weren’t spending any marketing dollars on newspaper websites.
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