During a conversation with the main partner of a 50-employee real estate firm, we discussed three main problems stopping their business from growing:
- Constantly competing with local realtors or large firms.
- Relying heavily on referrals or word of mouth for new leads.
- Never knowing when their next client will come and where from.
To solve these problems, the real estate firm needed to invest in marketing to attract valuable clients. Pay Per Click (PPC) is one of the best ways to do this because it helps:
- Find potential clients who are in-market to rent, buy, or sell a property today.
- Generates a predictable flow of new clients.
- Ensures affordability if you use the right strategies (read below).
Using our PPC strategies with 200+ businesses, we’ve generated 1000s of new customers for our clients. Read this article to learn how to find new and valuable clients through PPC, and book a call if you’d like an honest digital marketing agency to run your PPC campaign for you.
How much profit can PPC make your estate agents?
It’s very likely one of your competitors is growing rapidly as a result of a well-executed PPC strategy.
But every real estate firm is different. Your estate agents will have different positioning, brand awareness, service offering, and costs compared to a local competitor. That is why you need to have a strategy that is suitable for your real estate business.
Therefore, before you read our winning strategy, it is essential that, with our interactive calculator, you should first work out if PPC will be a profitable method to acquire new clients.
But first, read these three definitions to understand how the calculator works!
How PPC Works
When you run a PPC campaign, you will pay to appear on a search engine every time a potential client searches a specific keyword (which we will define later). Every time a potential client clicks on your ad, you will pay money to the ad platform. This is called the Cost Per Click (CPC). For the real estate industry, CPCs typically range from $1 and $5
|Cost Per Click (CPC)|
Cost per click is the amount of money you pay to an advertising platform, like Google, to have a user click on your ad.
Of the people who click on your ad, some will convert into becoming a client. This is your Conversion Rate (CVR). For the real estate industry, CVR typically ranges from 1% and 5%.
|Conversion Rate (CVR)|
Conversion rate is the percentage of users that convert into becoming a customer after clicking your ad.
We can use this to determine the cost of acquiring a single client. Typically, this is called the Customer Acquisition Cost (CAC). For the real estate industry, CACs typically range from $0.2 and $5.
|Customer Acquisition Cost (CAC)|
This is the cost of acquiring a single customer or client.
Customer Acquisition Cost = Cost Per Click / Conversion Rate
CAC = CPC / CVR
Interactive PPC Profit Calculator
Use this interactive calculator to work out how much profit you will receive from each client acquired through PPC.
We’ve built this calculator using typical CPC and CVR across the real estate industry. All you need to do is enter the amount of revenue a single client generates for you. The calculator then subtracts the marketing costs from the revenue to give you a profit per client. Hence, by using this calculator, you can develop an understanding of the potential profits PPC could generate for your business.
It is important to note that PPC is not 100% predictable, so we have created three unique cases which represent how well your PPC campaign could perform.
Enter how much a single client
generates you in revenue
Visualise how much profit you could make with PPC
Overview of the PPC Strategy
There are three steps to running a profitable PPC strategy.
- Set up PPC campaigns correctly to target the right audience and keywords.
- Design high-converting landing pages. These are the pages that your potential clients will visit.
- Optimise your ads and landing pages to get the maximum profit.
Paid Search + Paid Social
We create and manage ad campaigns on all search and social platforms.
Landing Page Design
We design and implement landing pages that are made to convert.
We perform ongoing analysis and experimentation to optimize performance.
Without experience, a lot can go wrong. Doing even one of the steps incorrectly can result in losing money for every single client you acquire.
That’s because choosing the wrong keywords can result in you paying a massive $200 per click, not a mere $20. It can result in your page converting at a lowly 2%, not an optimised 20%. It’s the difference between you paying $100 for every new client or an unprofitable $10,000.
To not lose money and grow your business profitably, it is important to get each step right. The rest of the article will shed light on how to achieve a profitable PPC campaign.
Should you run ads on paid search or paid social?
There are two ways to advertise your estate agents online:
- Paid Search (Google Ads, Bing Ads)
- Paid Social (Facebook, TikTok, Instagram, Snapchat)
What’s the difference? Paid Search is when your ad appears on a search engine, like Google, after you’ve searched a term. This is a very powerful advertising method because you can choose what keywords your real estate business appears for.
We know which keywords potential clients use when they’re looking to rent, buy, or sell a property, so we can specifically choose to show your business at the top of Google for those keywords. But because of this amazing feature, your competitors will try a similar strategy and make it expensive. You’ll need to optimise all parts of your PPC strategy to ensure costs don’t spiral upwards!
On the other hand, if you use Paid Social, you appear ‘in-feed’. When someone is scrolling on a platform like Facebook or Instagram, ads appear. These ads interrupt the scrolling process. The person scrolling has not said they’re interested in real estate services, but you’re hoping your ad will attract a client. The disadvantage of this technique is your ad is also shown to people who don’t need your services. On the other hand, this advertising method is cheaper.
We’ve mostly seen real estate businesses generate more profit on Paid Search, but there are some cases when Paid Social can work very well.
Hence, it’s not completely black and white which way of advertising will work best for your business. It depends on the following:
- What exact real estate service are you selling?
- Who are your target clients?
- Where do your clients spend their time online?
- How much money do you make per client?
We’re going to discuss Paid Search in this article as it is the most profitable PPC strategy when starting off. Also, sometimes a hybrid strategy using Paid Social can improve effectiveness — if this is something you’d like to discuss, you can book a call.
Running PPC paid search ads
The most common paid search ads are keyword based. When a keyword is searched, ads appear at the top of Google.
For example, here’s a generic keyword ‘Real Estate Agent London’. Notice how the PPC ads appear first, and then the organic results (from SEO) appear second.
By paying for this ad, you can appear above SEO results (which takes longer to achieve). But, there are some pros and cons to this.
Pros of PPC:
- You can get in front of your potential clients quickly.
- You can win valuable clients.
- You can test which keywords bring in qualified leads.
Cons of PPC:
- It can be expensive if you don’t set it up right.
- Most people scroll straight past your ads. They prefer to look at SEO/organic results (however, we can help you counter this by running a hybrid strategy so you appear for both).
Up till now, you’ve learnt and understood:
- How PPC works
- If PPC will generate profitable clients
- What paid search is
- The pros and cons of a PPC strategy
But we mentioned that PPC could sometimes be expensive if you go for the wrong keyword. How do you know which keywords will make you money? Let’s explore this further.
Which PPC keywords should you target to get new clients?
Most inexperienced PPC managers will make the mistake of choosing the wrong keywords. That mistake alone can be the difference between swimming in 10 new clients or drowning in $1000s of debt.
Here’s what wrong keywords look like:
Firstly, the wrong keywords are based exactly on the service you offer. Initially, it may seem perfect, but it can have an adverse impact.
Let’s take the example of the keyword, ‘home appraisal’. There are many competitors bidding for the exact keyword. This means the CPC is higher than is profitable for you to pay for and results in you losing money. Remember, PPC operates on an auction-based bidding model. That means the more competitors that want to appear for the keyword, the more you pay.
Secondly, the wrong keywords have low intent.
For example, ‘what is home appraisal?’. The person Googling that keyword is not ready to instruct a real estate company to carry out a service. They’re in education mode. Typically, these keywords have a very low CPC because no one wants that traffic.
But what do the right keywords look like?
Firstly, the right keywords that have a high intent to purchase services and receive a quote. For example, these could be branded, product, or pain point keywords.
Secondly, the right keywords have reasonable CPCs, which make sense for the services you sell. You can look back at our interactive calculator to figure that out.
We’re going to show you all the types of keywords that can result in a lot of profit for your real estate agents.
|Type of keyword||Examples of keyword||Pros||Cons|
|Branded||Purple Bricks estate agents|
Savills estate agents
|Cost-effective strategy to win new clients when your competitors may not be the best servicer.||The competition usually bids on their own branded keyword to protect against it.|
|Service||Home Appraisal Services |
Auctioning a Property
|High intent keywords for purchase or solving pain point and can be very profitable.||Service-level keywords are usually competitive, and services need bespoke landing pages.|
|Location||New York Realtor |
Estate Agents near me
Houses to Buy in West London
|High intent and very cost-effective. |
The big competitors usually avoid these keywords.
|You’ll be competing with local providers. |
You’ll need to be locally present or have easy ‘contact us’ information.
|Pain point||How to buy a house?|
How to invest in real estate?
What does a property manager do?
|It is possible to capture this lead before they go to competitors. |
You’ll be able to close this client without competition.
|Slightly lower buying intent as the user is in education mode. |
Will need a well-designed landing page.
Excellent PPC ad creative and copywriting examples
Your ads appear next to your competitors, so you have to find a way to stand out. That is why we first analyse the competitive landscape before bidding on a keyword for a client.
Here are some examples of real estate-related ads and what we think of them.
Ad 1: Get Agent appearing for ‘Sell a House London’
Keyword: ‘Sell a House London’
Good areas: Enticing headline. It contains a direct CTA that encourages the next steps. Creates urgency with features like ‘Instant’ valuation and it takes only ‘2 minutes.’
Bad areas: The keyword could be displayed better, perhaps in the title. It feels too generic without the location. Would prefer to see social proof with reviews or data.
Ad 2: June Homes appearing for ‘Apartments for Rent New York’
Keyword: ‘Apartments for Rent New York’
Good areas: Location is very clear and it’s relevant to the keyword. Including the cost will bring in more qualified leads and deter clients with a smaller budget (which saves money on clicks that don’t convert). Good use of features such as ‘Flexible Lease,’ ‘Hassle-Free,’ and ‘Fully Furnished.’
Bad areas: The CTA is hidden within the description and could be clearer.
Ad 3: Connect UK Auctions appearing for ‘Property Auctions’
Keyword: ‘Property Auctions’
Good areas: Headline clearly targets clients wanting virtual auctions, which will make leads more qualified. Good use of ‘Free’ to encourage clicks. Extensions such as ‘FAQs’ offer more information to prompt viewers to click and support their decision-making.
Bad areas: Instead of repeating ‘Free Valuations’ in the description, it could have included additional USPs. Some social proof, like the number of properties, may improve this ad.
Ad 4: Alesco Property appearing for ‘Buy to Let Property’
Keyword: ‘Buy to Let Property’
Good areas: The keyword is clear in the headline and the price transparency can bring more qualified leads. The link extensions also let them funnel the audience to a more targeted landing page based on location.
Bad areas: Doesn’t highlight many USPs and the CTA isn’t clear.
How to create a high-converting landing page for real estate PPC?
A high-converting landing page is one of the biggest factors in PPC success. Without it, you’ll be paying for traffic that doesn’t convert into clients. That’s a huge waste of cash!
We recommend you have a conversion rate expert build out your landing page. Our winning landing page framework is reserved for our clients, but we’ll reveal the most important sections you need.
The first section of the landing page is called the ‘Hero Block’. You can see the whole section as soon as you open the web page. You need to have three things in this section:
- Great headline. For example, ‘UK’s Leading Real Estate Agents’
- Social proof. For example, 5.8/5 stars, 4,000+ reviews, 3000+ properties
- Call to action. For example, ‘Book Free Valuation’
Your hero block needs to simply call out exactly what you offer, who it is for, and why you are a low-risk solution.
High up the page, probably in the 2nd or 3rd block, you will need to explain your services and/or products. You should explain its features and benefits. For example, if you provide property management services, you would have features and benefits as follows:
- Comprehensive tenant screening process
- Regular property inspections and maintenance
- Timely rent collection and accounting
- Hassle-free tenant management for property owners
- Reduced risk of property damage and loss of income
- Increased profitability and peace of mind
Call to Action Block
Every PPC landing page needs a highly compelling call to action block. It is solely designed to get the user to fill in a form or book a call.
We highly suggest including several call-to-action blocks throughout your landing page, such as at the top of your page, one in the middle of your page, and one at the end. You’ll be surprised how much it can increase your conversion rates and reduce your customer acquisition costs!
We include 6+ other high-converting blocks in our landing pages. Reach out to learn what they are and how to implement them.
Engage an agency to run your PPC ads
There are lots of aspects to running a profitable PPC campaign for your real estate business. You can attempt it yourself, or you can engage us, NUOPTIMA. We’ve worked with 200+ businesses and run thousands of PPC campaigns profitably.
A bit about us
We’re an honest growth agency, and our goal is to drive profit for your business.
We don’t work with everyone. In fact, we actively refuse 50% of all businesses that try to work with us. That’s purely based on if we think we can make your campaign a success. We only grow as an agency if we can get you results and you refer us to your friends and family.
Before you choose a PPC agency, reach out to our team. We’ll objectively tell you what we think, and if it’s good, we’ll propose a fair price alongside a set of growth expectations and Key Performance Indicators (KPIs).
Once you start to work with us, you’ll be in regular contact with our team. You’ll be provided with extensive data tracking and will communicate with us on regular calls.
Our PPC capabilities:
- We can service budgets from $100+ ad spend per day.
- Management costs start from $1,000 per month, depending on ad spend, platform, and requirements.
- Work on all ad platforms: Google, Facebook, Tiktok, Snapchat, and Reddit.
- We’ve worked with local service providers to public companies.
- We’ve worked across B2C and B2B, having driven brands to 7 figures in sales, and exceeded B2B SQL quotas.
- Firstly, you should visit our PPC services page here.
- Then, you should read through some case studies here.
- And when you’re ready, send us a message or book a call here.
Pay Per Click (PPC) is an advertising model that lets real estate businesses get in front of potential clients when they are ready to engage with their services. However, with PPC you only pay when someone clicks on your ad.
PPC models, such as Google Ads, can help real estate businesses find potential clients who are in-market for their services and create a predictable flow of clientele. You can ensure it is profitable by using the right strategies and our PPC profit calculator.
Paid Social, such as Facebook Ads, may be cheaper, but it isn’t targeted to people needing your services. Real estate businesses typically generate more profit on Paid Search, but there are some cases when Paid Social can work very well.