Internet Essentials 2010

1. Internet Essentials2010 Presented by the Florida Association of Realtors® Presented by the Florida Association of Realtors®

2. Objective By the end of this course, you will be able to understand the proper tools, resources & skills needed to better operate on the Internet. Presented by the Florida Association of Realtors®

3. Table of Contents Presented by the Florida Association of Realtors®

4. Chapter 1Evolution of the Internet ObjectiveTo gain a better understanding of how the growth of the Internet has effected the Real Estate Industry so you can better incorporate it into your business plan. Presented by the Florida Association of Realtors®

5. The Evolution of Real Estate The real estate industry has been radically changed in the last 15 years by the advent and rapid growth of the Internet. It is now an integral part of every step of the real estate transaction process from the initial consumer research to closing. Presented by the Florida Association of Realtors®

6. The Evolution of Real Estate Due to the growth of the Internet and the introduction of IDX, the public now has resources readily available to them (MLS Search, Property Tax Role Information, Recent Area Property Sales Data, etc.) that were formerly only accessed through a real estate agent. Information Data eXchange (IDX) – NAR rule that allows each REALTOR® to have the entire MLS search* on their site & receive lead information on any listing * It is not 100% of listings, just all listings agreed to be published by each listing broker, but in most markets IDX participation exceeds 98% compliance. Presented by the Florida Association of Realtors®

7. The Evolution of Real Estate • Additionally, sites like Zillow, Craigslist, FSBO.com, Postlets & more give consumers information & tools that empower them and make them think they can sell their property without the REALTOR®, thus making the job of the REALTOR® harder than ever before. • Not only do you have to convince the consumer why to choose you over your REALTOR® competition, you also have to sell your value as a REALTOR® and be able to over come new objections due to the tools & information (often wrong or misleading) readily available. • Today’s principal/customer demands & expects more services & knowledge from their real estate agent. Presented by the Florida Association of Realtors®

8. Group Discussion Discuss what impact the Internet has had on the Real Estate Industry & Your Personal Business Presented by the Florida Association of Realtors®

9. Understanding the Consumer ObjectiveTo gain a better understanding of who your potential customers are and what they want so that you can better promote yourself, your business & your website presence. Presented by the Florida Association of Realtors®

10. The Consumer Research Phase • 84% of consumers search for properties on their own for 2-weeks before contacting an agent • 78% of Home Buyers find their real estate agent online & at a site that had listings they were interested in 88% of the time • 84+% of real estate leads originate from the Internet making it the #1 source of leads for the REALTOR® & #1 source used by Consumers in their search/research process. • - Source: 2007 National Association of REALTORS® Profile of Homebuyers and Sellers Presented by the Florida Association of Realtors®

11. The Consumer Research Phase Information Sources Used in Home SearchReal estate agent - 84% Internet - 84%Yard sign - 59% Newspaper - 50%Open house - 48% - Source: 2007 National Association of REALTORS® Profile of Homebuyers and Sellers Since 2004 the Internet has increase by 10+% while all other medias have continuously lost their effectiveness Why does it continue to Grow? Younger age of consumers involved in the RE process Barrier to Entry = Lower cost of computers & Internet access Ease and satisfaction consumers have using the Internet Presented by the Florida Association of Realtors®

12. Make the Experience Easy • Nearly all Internet homebuyers (96 percent) are very likely to use the Internet the next time they purchase a home. • - New Report Shows Gap Between Internet & Traditional Homebuyers, Blanche Evans How they first learned about the home purchased: 34% real estate agent 29% the Internet 14% from yard signs 8% from a friend, neighbor or relative 8% home builders 3% a print or newspaper ad 3% directly from the seller 1% a home book or magazine - Source: 2007 National Association of REALTORS® Profile of Homebuyers and Sellers Presented by the Florida Association of Realtors®

13. Where are They Looking? 82% of Internet users eventually purchased a property through a Realtor® versus only 65% of non Internet users who are more than twice as likely to buy from a builder or FSBO or a friend/acquaintance. - Source: 2007 National Association of REALTORS® Profile of Homebuyers and Sellers What kind of real estate websites are buyers looking at: Local metropolitan MLS web sites 54% Realtor.com 49% Real estate company sites 44% Agent web sites 40% FSBO sites 20% Local newspaper sites 12% - Source: 2007 National Association of REALTORS® Profile of Homebuyers and Sellers When looking online, what were buyers looking for?  96% looked for properties on the market 21% wanted general info about the area 4% were looking for an agent. - Source: 2007 National Association of REALTORS® Profile of Homebuyers and Sellers Presented by the Florida Association of Realtors®

14. Who Are Your Customers Over __% of real estate leads come from the Internet 84 ___% of consumers find their property themselves online 29 Presented by the Florida Association of Realtors®

15. What Do You Need? ObjectiveTo gain a better understanding of what hardware & software products you need to be able to function properly to fit your technical needs Presented by the Florida Association of Realtors®

16. Definitions You Might Need Internet – IP protocol used to connect one computer to another includes the world wide web, e-mail, text/sms messaging, FTP & more Web – is the protocol used to connect computers via a browser such as Internet Explorer, Firefox, Chrome or Safari Presented by the Florida Association of Realtors®

17. Equipment – What Do You Need Portability is King • Being able to access the MLS, customer information, leads, files & more while on the move allows you to be more efficient & provide optimal customer service • Options these days include Laptops, Tablet PC’s/Netbooks, Web-Enabled Cell Phones, etc. • You can utilize Wi-Fi, Bluetooth & Air Cards for the Internet Connection • The main negatives are: • They are typically proprietary or sealed, so enhancing the product with more memory, RAM, etc. is typically harder & more expensive to do. • They tend to be a bit more expensive (especially if you need a higher end unit) & have shorter life-spans. • May not be able to operate everywhere (poor service or networks) Presented by the Florida Association of Realtors®

18. Equipment Desktop Computers • Goes beyond the capabilities of a portable computer as they typically have better processors (RAM) so are able to do more functions at the same time • Better fit for an agent who does more high end functions like graphic design, programming &/or likes to multi-task functions while on the computer. • Can be easily integrated into networks to do additional functions • Tend to be a bit less expensive & have better life-spans • The main negatives are: • Not portable, tied to one location Presented by the Florida Association of Realtors®

19. Hardware Suggestions (minimums) • If all you want to do is get on the Internet, do basic office functions, etc. than you will be fine getting an Portable &/or Basic Computer. • If you want to use hi-resource programs to work with design/ music/videos/virtual tours/etc. you will need a more Advanced Option Presented by the Florida Association of Realtors®

20. Hardware Suggestions Other Options You May Want to Consider • CD &/or DVD drive (with Write/burning capabilities) • External Hard Drive (to back up your data) • Digital &/or Video Camera • Media Card – to transfer images from a digital camera • Network Card (wireless for sub/notebook) • Speakers (get quality speakers) • Surge protection for system, broadband and telephone • Router (if using broadband connection) • USB ports (minimum 2) Presented by the Florida Association of Realtors®

21. Software Suggestions • Website provider • Contact Management Program • Customer Relationship Management Program • Virtual Tour Stitching Software • Listing syndication solution • Blog provider • Anti-Virus Suite Presented by the Florida Association of Realtors®

22. Internet Service Providers (ISP) ISP – Internet Service Provider is the company you pay (typically monthly fee) to have access to the Internet options include dial up, broadband (cable, DSL or satellite), WiFi or Air Card • The speed of your upload & download connection will depend on the bandwidth allocation provided to you by your ISP. • ISPs have a wide range of prices & packages to choose from, choose the package with the bandwidth allotment that meets your online needs & usage. Presented by the Florida Association of Realtors®

23. Internet Service Providers (ISP) • You should ask around and find out what are best ISP options in your market as the options and performance typically differ from place to place much like cell phone reception. • Keep in mind when selecting an ISP that this is for business, not social, so a strong consistent connection is important. Presented by the Florida Association of Realtors®

24. Test Your Internet Knowledge Game Which of these is not part of the Internet • Web • E-mail • Fax • SMS/Text Messaging C. Fax Presented by the Florida Association of Realtors®

25. Group Task Name advantages & disadvantages of using a portable & desktop computers. Presented by the Florida Association of Realtors®

26. Risk Management on the Internet Objective To understand the rules & policies you need to incorporate into your Internet Strategy to ensure you are compliant and successful Presented by the Florida Association of Realtors®

27. Risk Management on the Internet Florida Law - 61J2-10.025 Any Website or Advertisement: • Must include the licensed name of brokerage firm • When using licensee’s name in adv., last name must be used as registered w/Commission • On Internet - Brokerage Firm name must appear adjacent/immediately above or below “Point of Contact Information” Presented by the Florida Association of Realtors®

28. Risk Management on the Internet • When advertising on the web remember FTC advertising requirements regarding mortgage rates, terms, proper and full disclosure. • Be careful not to “frame” content from other web sites without the permission of the copyright holder. Links are generally acceptable. • Copyright & trademark infringement incurs heavy penalties. Presented by the Florida Association of Realtors®

29. Have a Company Computer & Internet Usage Policy A company internet policy statement is essential. If conduct is not defined, any conduct is acceptable. Some examples of items you might want to include in your policy are: • What kind (if any) software can be installed on any company workstation. • What company files may not be downloaded to an associate’s computer. • Define what kind of websites are allowed to be visited & always restrict the downloading or viewing of any illegal, pornographic or hateful material which can be deemed as Criminal Conduct. • Whether an associates website usage history files will be monitored by company IT/management team or tracking software. Presented by the Florida Association of Realtors®

30. Have a Company Computer & Internet Usage Policy A company internet policy statement is essential. If conduct is not defined, any conduct is acceptable. Some examples of items you might want to include in your policy are: • Whether any advertising campaign must be approved prior to submission to the public. • What kind of content may be posted on any other website (ex. blogs, social networks, etc.). • What kind of changes can be made to an existing website & if they need prior approval. Presented by the Florida Association of Realtors®

31. Group Discussion Name items you should consider having on your company Internet Policy Presented by the Florida Association of Realtors®

32. Branding Your Business on the Internet Objective To understand how to best utilize the Internet to build your business brand. Presented by the Florida Association of Realtors®

33. Domain Names Your contact info to the world! A domain has no impact on where you are going to show up on a search engine, pick it based on marketing, what is easy to spell and remember. Some concepts to consider: • Your Name + RE • Geography • Your Marketing Slogan • Some recommendations: • Buy multiple spellings (example the name Terry, Terri, etc.) • Consider other extensions like .net, .info, .us & .biz • Get an e-mail address that ties into the domain so they work together & it looks more professional Presented by the Florida Association of Realtors®

34. Domain Names • NAR Rule to Be Aware Of: • You Can Only Use the Word Realtor® in Your Domain if….: • It is combined with your legal name in the following ways: • first name + last name + Realtor.com (or .net, .org, etc.) • first initial + last name + Realtor.com • Realtor + first name + last name.com • Realtor + first initial + last name.com • You can use punctuation to separate your name from the word Realtor® (ex. johndoe-realtor.com or realtor-jdoe.com). • It can not be used with descriptive words The only exception to this rule is associations. • This rule does not apply to any other word such as real estate, realty, etc. Presented by the Florida Association of Realtors®

35. Domain Names • Own your domain name. • Domain names cost between $8 and $35 per year. Presented by the Florida Association of Realtors®

36. Cross or Free Promotion Remember, by law, on your home page of your website you have to identify your name, brokerage, contact info & your REALTOR® status Most experts recommend you do it on every page of your site so that it is easy for your potential customers to contact you. Presented by the Florida Association of Realtors®

37. Cross or Free Promotion You can also very easily set up a Signature in any e-mail program which will automatically insert all of your contact information into any future e-mail. Other than being a big time saver by not having to retype it each time, it is also a good branding opportunity to put your website address & all contact info in all e-mails to help improve communication flow with your contacts Presented by the Florida Association of Realtors®

38. Cross or Free Promotion • Definition of Promotion – any time you touch someone is an opportunity to promote yourself or your product, so there are no bad ideas • Here are just a few places where you should have your website &/or e-mail address: • Any Promotional Material • Any Advertisement • Incorporate into the Phone (intro or voicemail) • When Networking • Ask customers to send referrals to your site Presented by the Florida Association of Realtors®

39. Cross or Free Promotion • Take advantage of anything free options out there that are available to help you promote you, your business, listings or website including: • All free website solutions • Many free online marketing options (temporary or permanent) • Listing syndication or distribution, give your listings more exposure by placing them on as many sites as possible. • These sites allow you to manually post them for free! • Realize by being in your Local MLS, Realtor.com posts listings to many sites as well (differs by market). Presented by the Florida Association of Realtors®

40. Paid Online Advertising • Banner Advertising • Search Engines – PPC Advertising • Real Estate Site Upgrades • Lead Generation Networks There is only one way to guarantee success on the Internet just like anything else in life and that is to pay for it. Presented by the Florida Association of Realtors®

41. Leader Board Half Banner Sky Scraper Tile Ad Paid Online Advertising = Branding Banner Advertisements Graphic banner ads may be annoying, but they are excellent for building top of mind awareness (TOMA) or branding. Great for Realtors® new to the business, going through market/office change or just with identity/name recognition issues Presented by the Florida Association of Realtors®

42. Featured Property Upgrade Paid Online Advertising = LEADS Upgrade Features on a Real Estate Network like Realtor.com, Homes.com or HomeGain • Pay for your listings • Featured Properties Presented by the Florida Association of Realtors®

43. Paid Online Advertising = LEADS Upgrade Features • Pay for your listings • Featured Properties on a Real Estate Network like Realtor.com, Homes.com or HomeGain • Need A Realtor Form or Featured Realtor Find a Realtor Upgrade Presented by the Florida Association of Realtors®

44. Listing Display Upgrade Paid Online Advertising = LEADS Upgrade Features on a Real Estate Network like Realtor.com, Homes.com or HomeGain • Pay for your listings • Featured Properties • Need A Realtor Form or Featured Realtor • Listing Display Enhancements • Contact the Agent/Link to Website Presented by the Florida Association of Realtors®

45. Free Listings Paid Listings Paid Online Advertising TRAFFIC = Pay Per Click Ads PPC is popular because you only pay for performance (when the ad gets clicked on), all other exposure is free!! Plus, you control all aspects of the campaign including: • The exact keywords & audience you want • Your Campaign Budget • Your Cost Per Transaction or Click • You can even apply demographic &/or geographic settings Presented by the Florida Association of Realtors®

46. Paid Online Advertising TRAFFIC = Pay Per Click Ads 2 Main PPC Ad Networks: Google AdWords (Google, AOL & Google Content Network) Yahoo! Overture (Yahoo, MSN, Alta Vista, AskJeeves & Overture Content Network) Presented by the Florida Association of Realtors®

47. Online Networking • Build up your Backlinking Network by joining & participating in: • Link Networks – Sites that will allow you to create a profile that links to your website • Web Rings (ex. www.webring.com) –network for reciprocal link exchanges with other REALTORS® from around the US. • Increase Your Online Social Activity by: • Join Social Networks like ActiveRain, FaceBook, etc. • Blog • Tweet Presented by the Florida Association of Realtors®

48. What Kind of Online Advertising Should I do? I am a new Realtor® & need to build up my brand or TOMA. Banner Advertising Presented by the Florida Association of Realtors®

49. What Kind of Online Advertising Should I do? I want to drive traffic to my website Search Engine Pay Per Click (PPC) Presented by the Florida Association of Realtors®

50. What Kind of Online Advertising Should I do? I want more e-mail or phone leads Upgrade feature on a real estate network site. Presented by the Florida Association of Realtors®