Database Marketing: Mets, Haven't Mets, and Systematic Plans

Chapter: Database Marketing: Mets, Haven’t Mets, and Systematic Plans

This chapter delves into the strategic application of database marketing within the real estate sector, focusing on a key distinction: “Mets” (contacts with whom a connection has been established) and “Haven’t Mets” (those with no prior direct interaction). We will explore systematic marketing plans designed to nurture lead❓s and build lasting relationships, ultimately driving referral and repeat business. This includes detailed analysis of the “8x8,” “33 Touch,” and “12 Direct❓❓” marketing plans, emphasizing the scientific principles underpinning their effectiveness.

1. Understanding the “Mets” vs. “Haven’t Mets” Dichotomy: A Foundation for Targeted Marketing

The cornerstone of effective database marketing is segmentation. Distinguishing between “Mets” and “Haven’t Mets” allows for tailored messaging, maximizing engagement and conversion rates.

• Mets: These are individuals with whom you have established a connection, whether through a face-to-face meeting, a phone conversation, a previous transaction, or referral. This group represents warmer leads and existing clients.
• Haven’t Mets: These are potential clients in your target market with whom you have had no direct interaction. This group requires a different approach, focused on initial engagement and brand awareness❓.
  Scientific Basis: This segmentation strategy aligns with principles of behavioral economics and social psychology.
  • Social Proof (Robert Cialdini): Mets are more likely to respond favorably to marketing efforts because they have a pre-existing perception (positive or neutral) of you.
  • The Mere-Exposure Effect (Zajonc): Repeated exposure, even subconsciously, increases liking. “Haven’t Mets” require consistent exposure to your brand before they are likely to engage.

Mathematical Representation of Lead Temperature:
We can conceptually represent the “temperature” of a lead (likelihood to convert) on a scale from 0 to 1, where 0 is a cold lead and 1 is a closed deal.

Lead Temperature (LT) = f(Interaction Frequency, Relationship Strength, Urgency)

Where:
* Interaction Frequency: How often you communicate with the lead.
* Relationship Strength: The depth and quality of the relationship with the lead.
* Urgency: How quickly the lead needs to buy or sell.
Mets inherently have higher values for Relationship Strength and often Interaction Frequency, leading to a higher LT compared to “Haven’t Mets.”

2. Systematic Marketing Plans: A Quantitative Approach to Relationship Building

Systematic marketing plans are designed to automate and optimize lead nurturing across different lead segments. We’ll focus on the “8x8,” “33 Touch,” and “12 Direct” strategies.

2.1. The 8x8 Plan: Rapid Relationship Cementation

The 8x8 plan is an intensive, short-term strategy designed for new “Mets” to rapidly build rapport and position you as a trusted advisor. It involves eight touches over eight weeks, utilizing a mix of personal visits, phone calls, items of value, and handwritten notes.
Scientific Basis: The 8x8 plan leverages principles of spaced repetition and multi-channel communication to maximize recall and impact.
* Spaced Repetition (Ebbinghaus’ Forgetting Curve): Repeated exposure to information at increasing intervals strengthens memory retention.
* Multi-Channel Marketing: Reaching individuals through different communication channels (phone, mail, in-person) reinforces the message and caters to different communication preferences.
Example Application: You meet a potential seller at a networking event. Implement the 8x8 plan to quickly solidify the relationship and demonstrate your expertise.
Mathematical Model for 8x8 Effectiveness:

Let E be the effectiveness of the 8x8 campaign (measured by conversion rate). We can model this as:

E = k * Σ (*w_i*I_i)

Where:

• k is a constant representing the overall quality of the lead pool.
• i represents each touch in the 8x8 plan (1 to 8).
• w_i is the weight assigned to each touch based on its perceived impact (e.g., a personal visit might have a higher weight than a mailed item).
• I_i is a binary variable (0 or 1) indicating whether the ith touch was successfully executed.

This equation illustrates that the overall effectiveness of the 8x8 plan depends on the execution of each touch and the relative impact of each touch type.

2.2. The 33 Touch Plan: Sustaining Long-Term Relationships

The 33 Touch plan is a long-term nurturing strategy for existing “Mets,” designed to maintain ongoing communication, build loyalty, and drive referral business. It involves 33 touches over a year, including mailings, thank you cards, phone calls, personal observance cards, and holiday greetings.
Scientific Basis: The 33 Touch plan is rooted in the concept of relationship marketing and the importance of customer retention.
* Customer Lifetime Value (CLTV): Retaining existing clients is significantly more cost-effective than acquiring new ones. The 33 Touch plan aims to maximize CLTV by fostering long-term relationships.
* Reciprocity (Cialdini): Providing consistent value and demonstrating appreciation encourages clients to reciprocate through referrals and repeat business.
Example Application: After closing a deal with a buyer, transition them to the 33 Touch plan to stay top-of-mind and encourage future referrals.
Experiment: A/B test different types of “value-add” content within the 33 Touch plan (e.g., market reports vs. home maintenance tips) to determine which resonates most with your target audience. Measure engagement rates (open rates, click-through rates) and referral generation to assess the effectiveness of each content type.

2.3. The 12 Direct Plan: Reaching the “Haven’t Mets”

The 12 Direct plan is a direct mail campaign targeting “Haven’t Mets” in a specific geographic area or niche market. It involves sending one direct mail piece per month over a 12-month cycle, aimed at creating brand awareness and generating initial leads.
Scientific Basis: The 12 Direct plan leverages principles of frequency marketing and targeted advertising.
* Effective Frequency: A certain number of exposures is required before a message “breaks through” and resonates with the target audience.
* Targeted Advertising: Focusing on specific demographics or geographic areas increases the likelihood of reaching individuals with a genuine need for your services.
Example Application: Launch a 12 Direct campaign in a specific neighborhood you want to “farm,” sending valuable information about the local real estate market.
Equation: ROI of 12 Direct Campaign
ROI = (G-C)/C * 100%
Where:
ROI = Return on investment
G = Gross profit.
C = Total Costs

The above equation is a basic way to calculate return of investment for a 12 direct campaign, with the goal of maximizing gross profit while minimizing costs.

3. The Benefits of Systematization: A Quantitative Advantage

The systematization of marketing plans, while appearing simple, provides significant tangible benefits, and can be tracked and measured for optimization.
1. Consistency: Ensures uniform message delivery❓❓
2. Predefined: Saves time and assures quality.
3. Repeatable: Improves quality of delivery over time.
4. Automatic: contact Management System prompting when actions must be completed.
Quantifiable Results:
* Increased Conversions: Track the conversion rates of leads generated through each systematic plan.
* Improved Client Retention: Measure the rate of repeat business and referrals from clients enrolled in the 33 Touch plan.
* Higher Brand Awareness: Monitor website traffic and social media engagement in areas targeted by the 12 Direct plan.

4. Customization and Optimization: The Key to Long-Term Success

Systematic marketing plans provide a strong foundation, but customization and ongoing optimization are crucial for maximizing effectiveness. Tailor your messaging, content, and channel selection to the specific needs and preferences of your target audience. Continuously track key performance indicators (KPIs), A/B test different approaches, and adapt your strategies based on data-driven insights.

By understanding the scientific principles underlying these marketing plans and applying a data-driven approach to customization and optimization, you can leverage your contact database to achieve “Database Domination” and consistently❓ generate real estate leads.