Yellow Letter Sucess ?
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I have a bunch of data to write up regarding my yellow letter campaign, but the quick and dirty version looks like this:
I won`t say "it doesn`t work" but my trial did not produce any motivated sellers.
- 1000 letters sent
- 23 sellers with houses "for sale"
- cost: ~$2500cost per "for sale" lead = $1080 deals
I won`t say "it doesn`t work" but my trial did not produce any motivated sellers.
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QUOTE (JimWhitelaw @ Feb 19 2010, 02:35 PM) I have a bunch of data to write up regarding my yellow letter campaign, but the quick and dirty version looks like this:
I won`t say "it doesn`t work" but my trial did not produce any motivated sellers.
My experience would be identical to Jim`s.
I would add 7-10 people called the police, 5-7 people left messages that they are informing the "neighborhood watch" about those letters. Many, many hang ups and none motivated sellers. Most people requesting a call back are just curious, but nothing more. Overall not the best advertising dollars spent.
- 1000 letters sent
- 23 sellers with houses "for sale"
- cost: ~$2500cost per "for sale" lead = $1080 deals
I won`t say "it doesn`t work" but my trial did not produce any motivated sellers.
My experience would be identical to Jim`s.
I would add 7-10 people called the police, 5-7 people left messages that they are informing the "neighborhood watch" about those letters. Many, many hang ups and none motivated sellers. Most people requesting a call back are just curious, but nothing more. Overall not the best advertising dollars spent.
Thank you for sharing your experiences with these yellow letters, truthfully when I heard the Ron LeGrand cd`s a few months before his Alberta event I thought the idea was absolutely brilliant however I didn`t realize the cost to personalize and mail the letters would be so high..
I have tried Door hangers with similar success (or lack thereof) and I am tempted to try 4" x 6" post-it notes but the delivery logistics seem a bit excessive..
I have tried Door hangers with similar success (or lack thereof) and I am tempted to try 4" x 6" post-it notes but the delivery logistics seem a bit excessive..
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QUOTE (jseib @ Feb 20 2010, 08:51 AM) Thank you for sharing your experiences with these yellow letters, truthfully when I heard the Ron LeGrand cd`s a few months before his Alberta event I thought the idea was absolutely brilliant however I didn`t realize the cost to personalize and mail the letters would be so high..
I have tried Door hangers with similar success (or lack thereof) and I am tempted to try 4" x 6" post-it notes but the delivery logistics seem a bit excessive..
How many weeks did you target a specific area? Depending on what you read, you ll have to get your ad piece infront of someone 6-10 times before they react.
Is spending 10k in advertising worth it to buy a house 30k below market worth it? Maybe it will take 20k to get that 30k.....
I have tried Door hangers with similar success (or lack thereof) and I am tempted to try 4" x 6" post-it notes but the delivery logistics seem a bit excessive..
How many weeks did you target a specific area? Depending on what you read, you ll have to get your ad piece infront of someone 6-10 times before they react.
Is spending 10k in advertising worth it to buy a house 30k below market worth it? Maybe it will take 20k to get that 30k.....
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Thank You everyone for your input. I have been trying to decide if I want to keep spending money on the personalized yellow letters or to try some other means to target my area. I do beleive that someone has to see your advertising 6-10 before they react, but I think if we can get creative maybe we can find a less costly alternative. ( at least until we can start making extra enough profits to cover this expense. )
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Is there an exact end point of this marketing campaign that most users have? And minimum success needed to continue on at certain points?
What is this set at? $10 000? 6 sets of 1000 letters? 1 deal done in the next year?
How is everyone approaching this?
What is this set at? $10 000? 6 sets of 1000 letters? 1 deal done in the next year?
How is everyone approaching this?
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QUOTE (housingrental @ Feb 21 2010, 01:04 PM) Is there an exact end point of this marketing campaign that most users have? And minimum success needed to continue on at certain points?
What is this set at? $10 000? 6 sets of 1000 letters? 1 deal done in the next year?
How is everyone approaching this?
Don`t get me wrong. I think that the "yellow letter" is great, but it works with "targeted" mailing lists. Say you have a 200 addresses that you know are pre-foreclosures. Sending 200 letters to those owners 3-6 times over 6-8 weeks may be a good idea. Unfortunately in Canada it is difficult, if not impossible, to obtain such lists.
Sending 1000 letters to non-targeted list, "shotgun" approach, based on postal code is very, very expensive.
My lesson is to use less expensive marketing for "shotgun" campaigns and more expensive marketing for "targeted", "sniper" campaigns. I think "try and adjust" is the rule in marketing for everyone, all the time.
What is this set at? $10 000? 6 sets of 1000 letters? 1 deal done in the next year?
How is everyone approaching this?
Don`t get me wrong. I think that the "yellow letter" is great, but it works with "targeted" mailing lists. Say you have a 200 addresses that you know are pre-foreclosures. Sending 200 letters to those owners 3-6 times over 6-8 weeks may be a good idea. Unfortunately in Canada it is difficult, if not impossible, to obtain such lists.
Sending 1000 letters to non-targeted list, "shotgun" approach, based on postal code is very, very expensive.
My lesson is to use less expensive marketing for "shotgun" campaigns and more expensive marketing for "targeted", "sniper" campaigns. I think "try and adjust" is the rule in marketing for everyone, all the time.
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QUOTE (Ssmith @ Feb 19 2010, 11:12 AM) Just wondering what format members are using and the sucess rate they are having with the yellow letters ?
I question my sanity posting on another one of these "yellow letter" threads but here it goes.....
I have sent out zero yellow letters! But I have taken out a very effective Kijiji ad View Here
I have paid about $10 to have this ad stay on top of the stack. I have let is slide lately as I am not in buying mode but I am still getting great calls. Handed a lead off to another REIN member today for his birthday.
I purhased my last investment property with that ad Veiw Here, have secured a JV partner and currently have my Property Manager filling it as we speak. Base hit....next.....
This isn`t that hard folks.
Do you look at any flyers that come in the mail? Ron`s system may have worked back in the day but the world is online now.....blasting out flyers in my opinion is a waste of money and more importantly.....time!!
Pay $20 dollars to put up a good ad online. Ask for exactly what you want and let the phone ring once a day. Simple, measurable, cost effective and wastes as little time as possible. Don`t put up a "we buy homes" because I call B.S. You don`t buy homes. You might by town homes under 150k in such and such a neighborhood with a large driveway and pink siding that is close to schools but you don`t buy homes and we all know it! So quit wasting your time and everyone else`s and ask for what it is that you want.
The same things goes for the yellow letters and blasting them out to entire cities. Drive through a neighbourhood find the house you want to buy and knock on the door! Certainly better then some flyer blast.
That is my rant for the day!
PS there will be no reply to anyone regarding this thread
I have shared my two cents and you won`t get four cents out of me
I question my sanity posting on another one of these "yellow letter" threads but here it goes.....
I have sent out zero yellow letters! But I have taken out a very effective Kijiji ad View Here
I have paid about $10 to have this ad stay on top of the stack. I have let is slide lately as I am not in buying mode but I am still getting great calls. Handed a lead off to another REIN member today for his birthday.
I purhased my last investment property with that ad Veiw Here, have secured a JV partner and currently have my Property Manager filling it as we speak. Base hit....next.....
This isn`t that hard folks.
Do you look at any flyers that come in the mail? Ron`s system may have worked back in the day but the world is online now.....blasting out flyers in my opinion is a waste of money and more importantly.....time!!
Pay $20 dollars to put up a good ad online. Ask for exactly what you want and let the phone ring once a day. Simple, measurable, cost effective and wastes as little time as possible. Don`t put up a "we buy homes" because I call B.S. You don`t buy homes. You might by town homes under 150k in such and such a neighborhood with a large driveway and pink siding that is close to schools but you don`t buy homes and we all know it! So quit wasting your time and everyone else`s and ask for what it is that you want.
The same things goes for the yellow letters and blasting them out to entire cities. Drive through a neighbourhood find the house you want to buy and knock on the door! Certainly better then some flyer blast.
That is my rant for the day!
PS there will be no reply to anyone regarding this thread
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Hmm you sound sick of yellow letters
Why the hate if you`ve not ever used them?
QUOTE (wgraham @ Feb 22 2010, 03:02 PM) I question my sanity posting on another one of these "yellow letter" threads but here it goes.....
I have sent out zero yellow letters! But I have taken out a very effective Kijiji ad View Here
I have paid about $10 to have this ad stay on top of the stack. I have let is slide lately as I am not in buying mode but I am still getting great calls. Handed a lead off to another REIN member today for his birthday.
I purhased my last investment property with that ad Veiw Here, have secured a JV partner and currently have my Property Manager filling it as we speak. Base hit....next.....
This isn`t that hard folks.
Do you look at any flyers that come in the mail? Ron`s system may have worked back in the day but the world is online now.....blasting out flyers in my opinion is a waste of money and more importantly.....time!!
Pay $20 dollars to put up a good ad online. Ask for exactly what you want and let the phone ring once a day. Simple, measurable, cost effective and wastes as little time as possible. Don`t put up a "we buy homes" because I call B.S. You don`t buy homes. You might by town homes under 150k in such and such a neighborhood with a large driveway and pink siding that is close to schools but you don`t buy homes and we all know it! So quit wasting your time and everyone else`s and ask for what it is that you want.
The same things goes for the yellow letters and blasting them out to entire cities. Drive through a neighbourhood find the house you want to buy and knock on the door! Certainly better then some flyer blast.
That is my rant for the day!
PS there will be no reply to anyone regarding this thread
I have shared my two cents and you won`t get four cents out of me
Why the hate if you`ve not ever used them?
QUOTE (wgraham @ Feb 22 2010, 03:02 PM) I question my sanity posting on another one of these "yellow letter" threads but here it goes.....
I have sent out zero yellow letters! But I have taken out a very effective Kijiji ad View Here
I have paid about $10 to have this ad stay on top of the stack. I have let is slide lately as I am not in buying mode but I am still getting great calls. Handed a lead off to another REIN member today for his birthday.
I purhased my last investment property with that ad Veiw Here, have secured a JV partner and currently have my Property Manager filling it as we speak. Base hit....next.....
This isn`t that hard folks.
Do you look at any flyers that come in the mail? Ron`s system may have worked back in the day but the world is online now.....blasting out flyers in my opinion is a waste of money and more importantly.....time!!
Pay $20 dollars to put up a good ad online. Ask for exactly what you want and let the phone ring once a day. Simple, measurable, cost effective and wastes as little time as possible. Don`t put up a "we buy homes" because I call B.S. You don`t buy homes. You might by town homes under 150k in such and such a neighborhood with a large driveway and pink siding that is close to schools but you don`t buy homes and we all know it! So quit wasting your time and everyone else`s and ask for what it is that you want.
The same things goes for the yellow letters and blasting them out to entire cities. Drive through a neighbourhood find the house you want to buy and knock on the door! Certainly better then some flyer blast.
That is my rant for the day!
PS there will be no reply to anyone regarding this thread
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Thanks Todor
How does one do the targeting of the correct groups with this though?
QUOTE (TodorYordanov @ Feb 21 2010, 07:30 PM) Don`t get me wrong. I think that the "yellow letter" is great, but it works with "targeted" mailing lists. Say you have a 200 addresses that you know are pre-foreclosures. Sending 200 letters to those owners 3-6 times over 6-8 weeks may be a good idea. Unfortunately in Canada it is difficult, if not impossible, to obtain such lists.
Sending 1000 letters to non-targeted list, "shotgun" approach, based on postal code is very, very expensive.
My lesson is to use less expensive marketing for "shotgun" campaigns and more expensive marketing for "targeted", "sniper" campaigns. I think "try and adjust" is the rule in marketing for everyone, all the time.
How does one do the targeting of the correct groups with this though?
QUOTE (TodorYordanov @ Feb 21 2010, 07:30 PM) Don`t get me wrong. I think that the "yellow letter" is great, but it works with "targeted" mailing lists. Say you have a 200 addresses that you know are pre-foreclosures. Sending 200 letters to those owners 3-6 times over 6-8 weeks may be a good idea. Unfortunately in Canada it is difficult, if not impossible, to obtain such lists.
Sending 1000 letters to non-targeted list, "shotgun" approach, based on postal code is very, very expensive.
My lesson is to use less expensive marketing for "shotgun" campaigns and more expensive marketing for "targeted", "sniper" campaigns. I think "try and adjust" is the rule in marketing for everyone, all the time.
- Joined
- Aug 26, 2008
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- 731
QUOTE (housingrental @ Feb 22 2010, 02:26 PM) How does one do the targeting of the correct groups with this though?
One way would be to send to a list of foreclosures. Wade Fenner used to market such a list, but I understand he no longer does that.
One way would be to send to a list of foreclosures. Wade Fenner used to market such a list, but I understand he no longer does that.
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QUOTE (wgraham @ Feb 22 2010, 01:02 PM) Don`t put up a "we buy homes" because I call B.S. You don`t buy homes. You might by town homes under 150k in such and such a neighborhood with a large driveway and pink siding that is close to schools but you don`t buy homes and we all know it! So quit wasting your time and everyone else`s and ask for what it is that you want.
I get that you`ve expended your $0.02 budget for this thread, but I wanted to respond to this anyway. I call B.S. on your calling of B.S, because I AM buying homes from my "I Buy Houses" campaign (No pink siding, though). What I want from that campaign is not a particular type of property to add to a long term buy and hold portfolio but the right kind of DEAL that I can transact on and make a profit. The property details are mostly irrelevant. What you`re doing is great for your objective, but I think you might be missing the objective of the broader "we buy houses" approach.
I get that you`ve expended your $0.02 budget for this thread, but I wanted to respond to this anyway. I call B.S. on your calling of B.S, because I AM buying homes from my "I Buy Houses" campaign (No pink siding, though). What I want from that campaign is not a particular type of property to add to a long term buy and hold portfolio but the right kind of DEAL that I can transact on and make a profit. The property details are mostly irrelevant. What you`re doing is great for your objective, but I think you might be missing the objective of the broader "we buy houses" approach.