Are ads in the local paper worth it?

Hi all

We are trying to come to a decision to do only online marketing or putting ads in the local paper.

We've talked to a few agents about selling the place (it's a structurally sound property that could be quite prestigious if renovated on a large block of land in the Inner West of Sydney) and all of them except the one we have chosen to go with have said that they don't value putting an ad in the Inner West courier. They all said that pretty much only locals look through those papers and actual buyers are online.

Our guy says his recommendation is to do a full page ad, that it is what he did when he sold his house, and that it will get a lift out into the Daily Telegraph from that and we are more likely to get an editorial from the papers as advertisers.

I want to do what he recommends. My reasoning is that the property is worth $2 - 3M (its a tough one to price, by all accounts) and 3K is a small investment in making sure we did all the marketing right and got all the buyers, plus it adds to the branding and prestige of the property.

Other family members would rather save the 3k and keep pointing out that the other agents think it's a waste of money. The thing is we didn't pick the other agents, we picked our guy because he's polished and professional and stood out from the rest. I'm very happy with him being my representative and negotiating on our behalf.

What does property chat think?

 

If you are going to pay somebody for their advice you should follow it.

 

When was the last time you searched seriously in the local paper or any paper?

 

I can't think of a single person, young or older that looks for houses in a newspaper. Real estate free brochure dropped in the letterbox, sure.
But otherwise I reckon that portion of things is dead.. the internet has been, and will contiue to take over all media.

 

Put your $3k into marketing to overseas investors instead

 

Nobody looking at spending that sort of money in the Inner West will be reading the Tele.

 

Often times the buyers are a local.

Depends on the demographics of the area too; a younger person area will be more online, and older person area will still have a decent sized paper-reading element.

 

True, but even 50 and 60 year olds can use the Internet for house hunting, and even 70 year olds if they know how to use a computer (and a very high proportion can and do)

 

That's why the signboard is still effective - locals go past the sign and tell a friend.

Letter boxing is semi-effective but very localised - very low response rate <2%

@bondibch- What is the preferred agent's target market as outlined in the marketing strategy? Scatter gun approach for anyone who has money or is there a strategy specifically designed to target one or more groups: downsizers, upgraders, families, renovators, FHB, investors?

 

I agree....it was more of a general statement; of course; as you say - there are a lot more 50,60's people on the internet now...but this is the age group who still tend to read actual papers in larger percentages compared to their younger counterparts.

 

I'm in that age group. I am addicted to the net and very rarely touch a real newspaper. I personally think the newspaper will only reach a tiny proportion of interested parties, such as impulse buyers. We dont know too many people who will drop $2m on a whim from skimming the junk mail. To us, the local paper is yet another piece of junk that I didn't ask for but I am forced to deal with every week. I go to work five days a week, I usually do not have time to open it before it gets thrown into the wheelie bin with the rest of the junk mail.

Anyone with that much money to spend will be a serious buyer looking online. The agencies like full page spreads because it gets their name plastered around in large print.

 

Hi all,

Thanks for your thoughts. Ultimately, we decided to follow our agent's advice. He said he doesn't think its worth it for all properties, but because ours has such a broad appeal and is on such a large block, it was important for it to be seen, for people who have seen it online to see it again in the paper, be able to rip it out and stick it on the fridge, etc. It gives it prestige. I justified it also by thinking that if it even gets 1 more bidder to the auction who drives the price up 10k, then it paid for itself already. It's very important to myself and my family that all aspects of this campaign are done right.

Thanks again!

 

Mine was an impulse buy too.. we only saw the street sign on the corner saying there's an open house. We weren't actively looking, and I didn't see it in the local paper (it was the cover story in the local paper realestate section though, I later discovered).... having said that, when it comes to sale time, I'd want it to be shown in the Australian, premier displayed in the SMH, highest level internet listing etc. Of course, I have no plans to sell for any forseeable time in the future.

 

People search for properties online. If they see it in they see it in the paper it would probably be in addition to not instead of seeing it online.

good advertising and exposure is vital for getting a property sold, I personally Would rather spend the money on ensuring it is more visible online.

 

It is exactly that type of house!

A few of my friends have remarked that they would love to buy it if they were in a position to do so.

Some properties deserve an announcement. I am subjective, but it really is something that doesn't come on the market very often and people will pay attention, even if they aren't really looking at buying right now.

 

Hi @bondibch .I starting writting this morning and got distracted with work lol but looking through the responses since I think it confirms your thinking :

Firstly I think @Ross Forrester nailed it, here is my reasoning.

Online (ensure it’s a “Premier” listing on both REA and Domain) will cover the majority of the broad based market and it should be complimented with other proven tools like signboard etc.

With most properties all of that will provide you good, cost effective market exposure. But there is still a place for print media in some marketing strategies.

I will only recommend press when I believe the property qualifies for what I call the “Created Market”. (CM)

These are people that aren’t in the market but will be inspired to do something when presented with the right opportunity. They are not online looking or attending OFI’s but there is a very good chance they do flick through the newspapers – particularly the local paper, just as their family and friends do who may report to them about it.

From the outset your agent should be trying to identify and target the “highest and best” buyers. The CM often fall into that category - They are emotional buyers, they didn’t come to you looking for a steal, they came because of the property. They may or may not live in the suburb and there are a multitude of reasons why they might be interested – It could be that it was once owned by a family member, or that they use to drive past it and think “I’d love that house“ etc . From your description, it could be that type of property.

Putting it into perspective, 3K is a minuscule amount in relation to the value of the property and should should push very hard for the editorial. It’s the best value advertising in the world! Spend another $500 on a press release and make sure it’s sent to the online news as well as print. It’s hard to quantify the value of a story but its all exposure and helps with branding, prestige etc as well as putting subtle pressure on other buyers.

The adverts should be big (full page) and BOLD and about the property not the agent. it’s about attracting people’s attention and if it’s a generic looking advert in amongst 20 others, what’s the point? I’ve attached a couple of examples of mine FYI

 

Hey, thanks for your thoughtful response. Everything you said is pretty much where my agent's thinking is at too. He said if it was a 2 bedroom apartment, he'd never recommend a full page ad, but our house deserves attention. It needs to draw every possible buyer in.

 

We sold our PPOR recently and paid for print and online ads- our home was the type however that was likely to attract a "newspaper-only" reading demographic so I felt it was worthwhile to capture a larger pool of potential buyers. Though the final buyers found us online they were impressed by the newspaper "House of the Week" feature and retained copies for their family and friends

 

Now now @Jacque you aren't in a retirement home just yet