When deploying social media advertising, agents often make the mistake of casting a wide net to capture potential clients.
Targeting too broad of an area can result in poor ad relevance and lead to unqualified leads as well as wasted time and money. Using hyperlocal targeting, however, ensures the right people see the right social media ads, at the right time.
In real estate, hyperlocal targeting refers to targeting an audience in a well-defined geographical area or neighborhood, and then providing that target audience with content and marketing messages that resonate with that particular community’s specific wants and needs.
It’s important to remember that hyperlocal targeting doesn’t just include location. Agents can narrow their target audience even further, including criteria and demographics based on consumer behavior, lifestyle, interests, income, etc. When agents combine all of these criteria, they increase their ad relevance and the likelihood of attracting high-quality leads.
According to The HyperLocal Movement in Real Estate white paper by WAV Group, 95% of real estate professionals agree that local market knowledge is essential to their clients. Despite this, their targeting strategy does not reflect a hyperlocal focus. Instead, most agents are casting larger nets. More than 60% of agents say they “specialize” in a large regional or metro area.
The WAV group’s white paper reports that the trend of hyperlocal targeting has grown significantly in recent years due to the rise of social media, mobile device adoption, and marketing automation.
These three elements have fueled the growth of hyperlocal targeting and continue to define this trend, making it an effective strategy to secure new leads and connect with consumers across all industries, including real estate.
Here’s a look at why agents should focus on hyperlocal targeting when using social media advertising.
Hyperlocal targeting allows agents to showcase their local expertise and knowledge. Agents who focus on a geographic area where they live or know exceptionally well can leverage themselves as an expert on a specific neighborhood or community. This helps build trust and brand recognition with potential clients.
Sellers and buyers tend to choose real estate agents who are best informed about the local market and understand its unique value. According to the WAV Group, 45% of consumers said the number one reason they picked an agent was that they knew the market and the neighborhood.
Agents can make social media ads hyperlocal by adding details on local schools, market data, neighborhood businesses, and more. Using the language and stats that appeal to their target audience helps agents create laser-targeted social media ads that convert.
The WAV Group survey found that agents who specifically focus on hyperlocal targeting are more successful than those who do not. In fact, 21% of agents using hyperlocal targeting sold more than $10 million in properties last year versus 15% of non-hyperlocal agents. In terms of closings, 26% of hyperlocal agents had 30 or more transactions, while just 14% of non-hyperlocal agents were able to achieve that level.
Social media ads using hyperlocal targeting drive audience engagement. Potential clients perceive them as relevant and personal. Therefore, they are more likely to engage with hyperlocal social media ads.
An additional advantage of hyperlocal targeting is it allows agents to connect directly to customers, so they do not have to wait for them to find them.
By focusing on a hyperlocal market, real estate agents can attract highly qualified leads. Instead of wasting time and money on unqualified leads, agents are more likely to reach prospects who are interested in a particular area or type of property.
Social networks such as Facebook and Instagram offer agents the opportunity to target audiences based on a specific geographic area. Agents can target the radius of a particular neighborhood and demographic based on interests, lifestyle, and other criteria. With the right message and product appeal, agents can send the right ad, to the right prospect, at the right time.
Using hyperlocal targeting, agents can create social media advertising campaigns that promote open houses, property listings, free seminars, and more to a targeted audience in a specific location.
Hyperlocal targeting is indeed one of the fastest and most cost-effective ways for agents to build a successful real estate business. When used in social media advertising, it helps agents reach the right audience, differentiate themselves from competitors, drive engagement, and generate high-quality leads. Without a hyperlocal targeting strategy for social media ads, agents risk leaving money on the table.