Impact of Social Media in the Luxury Market

Earlier today I got my hands on a survey that the Institute of Luxury Home Marketing (ILHM) did of their members around how they are using social networks.

institute of luxury home marketing logoOne of the reasons I really like this survey is that the number of emails and calls I get from luxury agents and brokerages has ramped up lately, and yet, I haven’t had a great source of data to at least anchor the conversation in terms of social media presence within the luxury market.  This survey will definitely help me jump-start many of those conversations.

ILHM asked their members questions like:

  • Which social networking websites do you use?
  • If you had to choose just one social networking site for the member networking group, which would it be?
  • Have you ever given or received a referral, or generated business via a social network?

The answers to these questions and more from the 473 members who responded can be found within their survey results document (PDF), but I’m gonna summarize what I think are some of the more interesting findings:

  • LinkedIn (30%) and Facebook (28%) about equally dominate the mind-share of luxury agents
  • Over 80% of the agents said they were using social networks
  • When asked where ILHM should have a member group, people were equally divided between LinkedIn and Facebook
  • 20% of respondents said they had generated business out of social networks
  • Non-real estate social networks like Twitter and MySpace didn’t register much interest, while ActiveRain was the only real estate specific site mentioned that had any real traction
  • The social networks offered by Zillow and Trulia didn’t even hit the radar on the survey.  I’m not sure if this is because agents think of Trulia and Zillow as search sites and the idea of Trulia Voices or Zillow Advice being social networks didn’t occur to them or because the agents surveyed simply aren’t using these services.

I’m a bit surprised to see Facebook register just as high as LinkedIn only because LinkedIn seems like such a natural fit for luxury agents, but with so much buzz around Facebook in the press lately, in retrospect I shouldn’t have been surprised.

I’ve been telling agents for a long time now that they should be using LinkedIn to market themselves (that article is over 2 years old already)… and that advice rings even more true in the luxury market where it seems like agents are often extremely concerned with their image.  Especially if you have years of experience, then you really have to try to look bad on LinkedIn.

And, by the way, if you’re looking for one more person to connect with on LinkedIn (or better yet recommend!), I’m always looking to connect up with interesting real estate people!

Update: I hadn’t noticed before posting, but John C’s comment prompted me to check out ILHM’s blog: Luxury Insight, where I see that they also posted information on the survey.

Because favicon love is so easy to give

If you’re running a website, did you give your favicon any love?  Do you even know what a favicon is?

A favicon is simple a mini-logo (icon?) that shows up next to your URL in most address bars. (Favicons also show up on the tabs of browsers and are often included next to articles you write when being pulled by other news sites, such as this business week page about online real estate that pulled the favicons when linking to articles from Rain City Guide and Inman News). and

Here is the favicon I created for 4realz.net: 

In terms of a icon, I don’t like it as much as the 4realz logo that I generally use on my marketing materials:

but it shows up so much better when displayed at a really small size and kept the site’s color scheme. The idea is that people who know the site will quickly start to relate the favicon to 4realz.net.

Before creating a favicon for a different site (not yet launched), I decided to do a bit of research and look at the favicons for a variety of real estate sites. Here’s a peak at some of the sites I looked at:

There are some really good favicons there in that they are instantly recognizable for the website they represent, but just as many are pretty bad… and without the help of a little text, it’d be hard to know what site they represent.

So what makes for a good favicon?

A good favicon is:

  1. Really simple
  2. Limited to two or three colors
  3. Recognizable in place of your logo

However, as the examples form above show, using your logo is almost never a good idea.

For example, the blue/green “Z” house of the Zillow logo, just doesn’t cut it for me at the small size of a favicon.   Ditto for the landscape scenes used by Altos Research and Real Central Virgina.

Something more likely to work is a cute play on the logo, such as the tomato from the Real Estate Tomato, the owl’s eyes of Roost, the explosion from Blown Mortgage, or (I like to think) the rain drop of Rain City Guide.  At the same time, the “R” of Realtor is so recognizable that the realtor.com team was smart to keep their favicon that simple.

Looking through the list of favicons from above, it’s also obvious that the “home” metaphor is way overdone. Phoenix Real Estate Guy, Redfin, The Real Estate Bloggers, Move, HotPads, Estately, Altos Research, and Zillow all feature homes in their favicons…

Create your own Favicon!

So, you’re inspired to create a nice looking favicon for your site.   Here’s how I created the 4realz favicon in a few minutes using nothing more powerful than Microsoft Word (or in my case, Mac’s Pages app):

Step 1: Using a document processer (Microsoft Word will work), create your image. For the 4realz logo, I create a grey circle and put a blue “4” in the center.   If you feel like you need something more complex than simple graphics and simple text, then you’re probably making your favicon too complicated!

Step 2: Take a screenshot of the image

Step 3: Upload your screenshot to Genfavicon, and follow their simple instructions in order to create an “*.ico” image. (as mentioned in a recent hotlist post!)

Step 4: Rename the file “favicon.ico”and upload it to the root file of your server.

That’s it! Once you’ve created one favicon, I think you’ll see that the entire process can be done in less than 10 minutes.

It’s worth noting that in order to have a personalized favicon, you MUST be using a self-hosted website where you can add files to the server.  Folks using blog platforms like ActiveRain and WordPress.com can’t have their own favicon. 🙁

Of course, if you have photoshop you can get way more advanced and create really killer favicons directly from the app, but if you know what you’re doing in photoshop, then you probably wouldn’t read this far!  😉

Finally, favicons are important because they show just how much effort you put into the details.  They’ll never be a big thing (they’re way too small!) and they’ll never bring success to your website, but with a little effort, it’s not hard to create a fun, recognizable icon that will help you make a better connection with your readers.

Sharing some Hotlist heat

I’m a huge fan of releasing interesting projects and seeing where the community will take things.    In terms of experimentation, the Hotlist has been a huge success, and I want to thank the dozens of folks who have signed up… and especially those who have posted microposts and/or comments.

In the past day, we’ve had some great posts and I found out about some great posts that wouldn’t have otherwise crossed my plate.   Here’s some highlights:

Again, I want to thank everyone who’s started playing with this tool.  I’m sure there’s lots more fun to come!  😉

And if you want to receive a weekly email that will include the best of The Hotlist, you can sign up here!

UPDATE:  I added some links to note the author of the micropost if if wasn’t written by me. 🙂

LA Times Examines Local Home Search Options

Over two days in June, we searched each site for three-bedroom, single-family homes on the market in Santa Monica.

The results:

These numbers are always in flux, but from what I’m seeing I think there are between  90 and 100 MLS listings on the market and around 45 to 50 foreclosure listings.

Finally, it’s kind of a waste to do this kind of research unless you’re willing to do a quality analysis. My experience has been that the sites that do not have direct access to MLS info tend to have more listings that are out-of-date and/or listed with outdated prices.

zillow homes in santa monica

* It’s worth noting that I’m pretty sure the reporters messed up with their Zillow numbers… When I just did a search that limits the results to 3+ bedrooms in Santa Monica, then there’s a little graphic that says there are 166 listings for sale, but those are for ALL homes for sale and only 64 of the homes match my criteria.   The Zillow results should probably have been closer to 64 listings which would put them slightly below Trulia.