A recent Active Rain study revealed an eye-opening connection between how much agents invest in technology and their annual income. The study found that agents earning more than $100,000 annually spent 77 percent more on their website and invested 22 percent more on customer relationship management (CRM) software.
About the Research
ActiveRain collected data from the 2012 National Association of Realtors Survey and contacted another 2,000 agents to ask them where they invest their marketing budget. The goal of the project was to help agents allocate resources more efficiently and understand how much they should pay for certain services. Here are some surprising trends:
- 51 percent of agents use a CRM system.
- Agents who earn more than $100,000 annually spent 22 percent more on CRM than those earning less than $35,000 per year.
- 63 percent of agents have a website with home listings.
- Only 21 percent of Realtors used paperless transaction or e-signature software.
- The average Realtor is spending $630 a year on technology and just over $1,000 on marketing.
The CRM Difference
While return on investment is difficult to measure, the statistics are telling. Realtors investing in CRM infrastructure saw more successful sales. An effective CRM connects people with properties faster than the traditional prospect and sales process. Agents are able to efficiently manage prospects, leads and personnel.
Real estate mobile apps allow for this level of efficiency to follow the agent wherever he or she goes. A well-designed CRM allows agents to integrate all of their resources, including their database, MLS listings, or services like Zillow. Combining all these tools in one place provides the platform agents need to quickly access information for clients and track places where more marketing may be needed.