Old Post WarningThis was written over 2 years ago and may be out of date.
In 2009, Century 21 (C21) Real Estate announced it would stop running national television ads, choosing to spend more online. Earlier this month, C21 announced it would be getting back into TV ads in a big way–with a 2012 Super Bowl commercial, among other TV ads to start running this week. C21 will be sharing how capable their real estate agents are, since they’ve invested considerable resources into education and training.
This news of out-of-TV and back-into-TV for C21 prompted looking into some stats for real estate advertising nationally:
According to Williamsburg, Va.-based research and consulting firm Borrell Associates, companies in the real estate industry spent an estimated $20.1 billion on advertising in 2010. Of that, 44 percent was spent online — the highest percentage of any industry, said CEO Gordon Borrell.
Borrell estimates that real estate agents and brokers spent $8.6 billion on advertising, followed by mortgage providers ($8.2 billion), real estate developers ($1.6 billion) and rental property managers ($1.7 billion).
Within the real estate category, agents and brokers spent the highest percentage of their ad budgets online — nearly 63 percent. Newspapers were a distant second, capturing 21 percent of agent and broker ad spending, while broadcast and cable TV captured only 3.3 percent — less than direct mail (7 percent).
Source: Above text adapted or quoted from “Century 21 buys back into TV ads in a big way: the Super Bowl” by Inman News)
Online Ads vs Television Ads
The stats above show how important online advertising is to the real estate industry. TourKick “kicks” online advertising up a notch by using video online. Video is the richest content type, and countless videos of many varieties are watched daily.
Real estate agents and brokers spent $8.6 billion:
- 63% of their advertising dollars online ($5.4 billion)
- 21% on newspapers ($1.8 billion)
- 7% on direct mail ($602 million)
- 3.3% on broadcast and cable television ($284 million) in 2010.
Determining return on investment (ROI) from each advertising medium is difficult, but the flow of money does indicate online advertising is most effective at delivering the highest ROI. If it didn’t, more money would be spent on newspapers, direct mail, and/or television. Online advertising delivers the highest ROI for real estate, and online video is the most effective type of online content.
What would make your listing something worth looking at amid the billions of promoted items online? At TourKick, we make content worth watching–property video commercials for your listings. And you can use our full-motion videos online, offline, or on TV if you choose. (Yes, we do photos too.)
Order TourKick’s video production and video syndication package today – it’s the best investment for marketing real estate, regardless of the property’s price range.
Please Contact Us if you have any pre-order questions.