Foundational Lead Generation Systems: 8x8, 12 Direct, and 33 Touch

Introduction: Foundational lead❓ Generation Systems: 8x8, 12 Direct, and 33 Touch

Lead generation, at its core, is a behavioral science discipline. It fundamentally relies on principles of social❓ psychology, communication theory, and data analysis to influence prospective client behavior. Three foundational systematized approaches, the 8x8, 12 Direct, and 33 Touch programs, aim to establish and maintain consistent communication with potential clients, leveraging principles of familiarity and frequency. These systems are designed to increase brand recall, build trust through repeated positive interactions, and ultimately, drive conversion.

The scientific importance of studying these systems stems from their potential to provide quantifiable insights into the effectiveness of various communication strategies. By tracking key performance indicators (KPIs) such as contact❓ rates, engagement levels (e.g., email open rates, response rates), and conversion rates (lead-to-client ratio), the efficacy of each system can be empirically evaluated. This data-driven approach allows for iterative optimization of communication strategies based on verifiable evidence, aligning marketing❓ efforts with demonstrable results. The concepts surrounding the 8x8 touch campaign is the use of immediacy, wherein the agent❓ makes contact immediately with a lead upon obtaining their information.

Learning Objectives:

Upon completion of this lesson, participants will be able to:

1. Describe the theoretical basis for each lead generation system (8x8, 12 Direct, and 33 Touch) including the communication cadence and types of interactions involved in each.
2. Explain the importance of consistency and personalization, with citations to literature on marketing in support of the theories.
3. Identify the key performance indicators (KPIs) relevant to each system and discuss methods for tracking and analyzing these metrics.
4. Contrast the 8x8, 12 Direct, and 33 Touch, including potential applications and disadvantages.
5. Articulate strategies for customizing each system to specific target audiences and market conditions.

Foundational Lead Generation Systems: 8x8, 12 Direct, and 33 Touch

I. Introduction: Systematized Lead Generation & Behavioral Economics

Effective lead generation relies on consistent and predictable communication. This leverages principles of behavioral economics, particularly the concept of availability heuristic (Tversky & Kahneman, 1973) where repeated exposure to a brand or agent increases its memorability and perceived trustworthiness. Systematized approaches like the 8x8, 12 Direct, and 33 Touch campaigns are designed to capitalize on this and other cognitive biases. These systems aim to increase the mere-exposure effect (Zajonc, 1968), where repeated exposure to a stimulus increases liking.

II. The 8x8 Lead Generation System

A. Definition:
The 8x8 system is an intensive, short-term lead nurturing campaign designed for immediate implementation upon acquiring a new lead. It entails 8 communications over 8 weeks.

B. Psychological Basis:
The initial high-frequency contact aims to establish a strong connection and move the lead further down the sales funnel. This aligns with the reciprocity principle (Gouldner, 1960), where initial investment of time and effort encourages reciprocation from the lead.

C. Components and Strategies:

1. Personal Visits (PV): Face-to-face interaction builds rapport and trust more effectively than other methods.
   • Application: Meeting a For Sale By Owner (FSBO) to offer market analysis.
   • Experiment: A/B test conversion rates of FSBOs contacted with and without an initial personal visit.
2. Phone Calls (PC): Direct communication allows for personalized interaction and addressing specific concerns.
   • Application: Following up on a website inquiry to qualify the lead and understand their needs.
3. Items of Value (IoV): Providing valuable, relevant information positions the agent as a knowledgeable resource.
   • Application: Delivering a comparative market analysis (CMA) to a prospective seller.
   • Content Examples:
     • Market Trends Report.
     • Home Improvement ROI Guide.
     • Local School District Rankings.
4. Handwritten Notes (HWN): A personalized touch that demonstrates genuine interest and effort.
   • Application: Sending a thank-you note after a meeting or phone call.

D. Customization:
The 8x8 system is highly adaptable to different lead sources and target audiences.

1. FSBOs: Focus on demonstrating the value of professional representation.
2. Expired Listings: Highlight strategies for successful re-listing and addressing previous obstacles.
3. Buyer Leads: Provide information on financing options and the home-buying process.
4. Seller Leads: Share insights on current market conditions and effective marketing strategies.

E. Formula for Contact Frequency:

Let C represent the total number of contacts in the 8x8 system (C = 8). Let W represent the number of weeks (W = 8). Let T_i represent the type of contact i, where i ∈ {PV, PC, IoV, HWN}. The system must satisfy the condition:

∑ T_i = C, over i = 1 to n.

F. Data Tracking and Optimization:

Track the conversion rate of leads engaged with the 8x8 system. Analyze which contact methods are most effective for specific lead types.
KPI: Lead conversion rate (LCR) = (Number of leads converted / Total number of leads engaged) * 100

III. The 12 Direct Lead Generation System

A. Definition:
The 12 Direct system involves sending a series of 12 targeted direct mail pieces to a specific geographic or demographic area over 12 months. This system aims at the “Haven’t Met” group.

B. Psychological Basis:
This strategy uses repetition priming to familiarize potential clients with the agent’s name and brand. Consistent delivery reinforces the message and builds brand awareness.

C. Components and Strategies:

1. Targeted Mailing List: Identifying the right audience is crucial for campaign success.
   • Segmentation Criteria:
     • Demographics (age, income, family size).
     • Homeownership Status.
     • Property Value.
     • Life Stage (e.g., empty nesters, growing families).
2. Compelling Content: Each mail piece should provide value and grab attention.
   • Content Ideas:
     • Market Updates: Statistics on recent sales and property values in the area.
     • Home Maintenance Tips: Seasonal advice for homeowners.
     • Community Events: Information on local happenings and activities.
     • Success Stories: Testimonials from satisfied clients in the neighborhood.
3. Consistent Branding: Maintaining a consistent visual identity across all mail pieces reinforces brand recognition.

D. Branding vs. Junk Mail:
Ensuring that the direct mail is perceived as valuable information rather than unwanted solicitation is critical.
Value Proposition (VP) = Relevance / Intrusion
To increase the VP, the content must be highly relevant to the recipient while minimizing the perceived intrusiveness.

E. Examples of Practical Applications:
Host events in the target area.

F. Frequency and Reach:
One direct mail piece per month over a 12-month cycle establishes consistent presence in the target area.
Total Reach (TR) = Mailing List Size * Number of Mail Pieces

G. Evaluation Metric:
Tracking metrics such as response rates, website traffic, and appointment bookings allows for campaign optimization.

IV. The 33 Touch Lead Generation System

A. Definition:
The 33 Touch system is a year-round contact strategy designed to maintain ongoing communication with prospects, business contacts, and past clients in a database.

B. Psychological Basis:
This system is built on the principle of relationship marketing, emphasizing long-term engagement and loyalty. It combats the forgetting curve (Ebbinghaus, 1885) by reinforcing connections at regular intervals.

C. Components and Strategies:

1. Mailings, Letters, Cards, Emails, or Drop-offs (14 Touches): A mix of physical and digital communications keeps the agent top-of-mind.
   • Examples: Newsletters, market updates, holiday greetings, event invitations.
2. Thank You or Thinking of You Cards (8 Touches): Personalized gestures demonstrate appreciation and care.
   • Application: Sending a thank-you note after a referral or a “thinking of you” card on a client’s birthday.
3. Telephone Calls (3 Touches): Direct conversations allow for building rapport and addressing specific needs.
   • Focus: Engaging in meaningful conversations rather than simply checking in.
4. Personal Observance Cards (4 Touches): Acknowledging significant life events strengthens relationships.
   • Examples: Sending a card for a birthday, anniversary, or the birth of a child.
5. Holidays (4 Touches): Seasonal greetings provide an opportunity to connect in a festive and relevant way.
   • Timing of Holiday Touches should align with cultural sensitivity and relevance to the recipient.

D. Customization:
Tailoring the 33 Touch system to individual contacts increases its effectiveness.
*Segmentation: Categorize contacts based on their relationship to the agent (e.g., past clients, prospects, referral partners).

E. Mathematical Representation of Touches:

Total Touches (TT) = Mailings (M) + Thank You/Thinking of You (TY) + Telephone Calls (TC) + Personal Observance (PO) + Holidays (H)

33 = 14 + 8 + 3 + 4 + 4

F. Key Principles:

1. Consistency: Adhering to a regular schedule of communication is essential for maintaining momentum.
2. Personalization: Tailoring messages to individual contacts demonstrates genuine care and builds stronger relationships.
3. Long-Term Focus: The 33 Touch system is a long-term investment in building lasting connections and generating future business.

V. Contact Management Systems (CMS) and Automation

A. Necessity of CMS:
Managing the 8x8, 12 Direct, and 33 Touch systems efficiently requires a robust contact management system (CMS). A CMS enables automation, tracking, and personalization of communications, maximizing the impact of these lead generation strategies.

B. Features of an Effective CMS:

1. Action Plans: Automated workflows for scheduling and executing contact activities.
2. Marketing Material Integration: Easy access to pre-designed templates for emails, letters, and cards.
3. Prompts and Reminders: Automated notifications to ensure timely follow-up.
4. Contact History: Detailed records of all interactions with each contact.
5. Email Integration and Automation: Seamless integration with email providers for sending and tracking messages.
6. Lead Sourcing and Tracking: Ability to track the origin of leads and measure conversion rates.

C. Formula for Time Savings:

Let T_m represent manual time spent per contact per year (without CMS). Let T_a represent automated time spent per contact per year (with CMS). Let N represent the number of contacts. Total time saved (TS) = (T_m – T_a) * N

D. Importance of Data Hygiene:

Regularly updating and cleaning the database is essential for maintaining accuracy and maximizing the effectiveness of lead generation efforts.
Data Decay Rate (DDR) = (Number of outdated records / Total number of records) * 100

VI. Ethical Considerations

A. Transparency:
Be transparent with contacts about the nature and frequency of communications.

B. Opt-Out Options:
Provide clear and easy opt-out options for contacts who no longer wish to receive communications.

C. Data Privacy:
Comply with all relevant data privacy regulations (e.g., GDPR, CCPA).

VII. Conclusion: Integrating Systems for Optimal Lead Generation

The 8x8, 12 Direct, and 33 Touch systems are foundational lead generation strategies that, when implemented effectively, can drive significant business growth. By understanding the psychological principles underlying these systems and leveraging the power of automation, real estate agents can build lasting relationships and achieve sustainable success. These systems are not mutually exclusive; they are most effective when integrated strategically to nurture leads at different stages of the sales funnel. Continuous monitoring, analysis, and adaptation based on data-driven insights are crucial for maximizing the return on investment from these lead generation efforts.

VIII. References

• Ebbinghaus, H. (1885). Memory: A contribution to experimental psychology. Teachers College, Columbia University.
• Gouldner, A. W. (1960). The norm of reciprocity: A preliminary statement. American Sociological Review, 25(2), 161-178.
• Tversky, A., & Kahneman, D. (1973). Availability: A heuristic for judging frequency and probability. Cognitive Psychology, 5(2), 207-232.
• Zajonc, R. B. (1968). Attitudinal effects of mere exposure. Journal of Personality and social❓ Psychology, 9(2, Pt.2), 1-27.