CPN - July 2009 - (Page 26)

INDUSTRY PULSE TECHNOLOGY Going High-Tech Expanding Marketing Through Social Media By Jennifer Duell M arketing options keep multiplying, offering new opportunities for the commercial real estate industry. But measuring the effectiveness of the newest possibilities can be difficult. Whereas commercial real estate companies were once limited to print,TV and radio to market their services and build their brands, the Internet and mobile technology like laptops, handhelds, cameraenabled cell phones and iPods have given rise to a range of marketing tools, noted Peter Boritz, president of New York City-based Real Data Management. Among them are direct e-mail, blogs,Webinars, podcasts, streaming video, and social and professional networking—whether through direct participation or advertising on these vehicles. “This is the way the world is connecting today,” observed Celine Clarke, executive managing director of communications for Cushman & Wakefield Inc., which works with blogs, social media and podcasts. Research conducted by the Pew Internet & American Life Project proves Clarke’s point: Seventy-four percent of U.S. adults use the Internet, and more than 95 percent of college-educated Americans do so. Of those users, 91 percent use e-mail, 81 percent search for information on products and/or services they are thinking of using and/or buying, and 56 percent listen to an audio or video clip. Likewise, the share of adult Internet users who have a profile on an online social networking site—the best-known names include LinkedIn and Facebook—has more than quadrupled in the past four years, from 8 percent in 2005 to 35 percent today. And 11 percent of online U.S. adults said they use a service like Twitter that allows them to share updates about themselves or to see the updates of others. These digital marketing tools can be very effective, used in many different ways to build brands, promote services, share information and opinions, connect with clients and market properties. Blogs, for example, allow people to share information and solicit feedback from readers and others. In doing so, bloggers can promote themselves and their companies while connecting with clients and generating new business. “My blog gives me the ability to talk with colleagues and helps a company to brand themselves as thought leaders,” noted Robert Bagguley, president of Transwestern’s Midwest region, who blogs about the Chicago commercial real estate market on cpnfromtheinside.com. Today, there are more than 72 million blogs in the world. Individuals and companies alike have embraced the practice, recognizing it is a low-cost yet effective way to communicate. And while most executives using them do not measure success or effectiveness, the process of measurement is not complex, according to Orbitz.com founder Alex Zoghlin, who is currently CEO of VHT Inc., a Chicago-based provider of visual marketing services for the real estate industry. He recommends using the free Google Analytics service, which aids in analyzing Web traffic. As written blogs become more common in the commercial real estate space, video blogs will also likely emerge as a marketing tool for the industry. They are already common in other areas, particularly consumer products, stimulating interaction from readers and soliciting feedback. “Video blogs are very dynamic, but they don’t require a high level of production because they are more grainy and viral,” said Boritz, a cpnfromtheinside.com video blogger. “They’re inexpensive to produce, and the video files can be posted on many different sites.” Social networking can serve as a broader method for the relationship-driven commercial real estate industry to connect. Word of mouth and networking are still considered the most powerful marketing tools in the industry, and social media technology reaches a larger audience. The technology used by such Web sites as LinkedIn,Twitter and the real estate-specific CREOPoint allows people to connect and share information about themselves with networks of friends, family and colleagues. On CREOPoint, for example, commercial real estate professionals can connect with other professionals, post questions, encourage discussion and share opinions. “In an age where people get tired of all the clutter, they’re looking for a place where they can talk across professions and across markets,” said CREOPoint founder JeanClaude Goldenstein. Many Americans assume that children and young adults make up the bulk of social networkers, according to the Pew Internet & American Life Project, but the median age of a Facebook user is 27,Twitter 31 and LinkedIn 40. However, social media is still relatively new, and adoption of new technology usually occurs more quickly among younger generations. For example, 75 percent of adults between the ages of 18 and 24 use these networks, compared to just 7 percent of adults age 65 and older. People use social networks primarily for personal, not professional, reasons. But more and more companies are beginning to use the sites to market products, services and more. Sony Corp., for example, recently used Twitter to launch a viral game to promote its new movie, “Terminator Salvation.” And when Ford Motor Co. launched the new model of its compact car, the Ford Fiesta, it focused its marketing efforts in social media. LoopNet expects social networking to play a greater role in the commercial real estate industry, so it is developing new technology tools to help brokers and other professionals take advantage of their own networks, whether marketing a new property or promoting themselves as experts, according to vice president of marketing Mike Manning. Of course, it is important to remember that while social media has the potential to attract and hold the attention of a vast number of people, it can also expose organizations to public criticism. Moreover, measuring success proves difficult because measurement tools are limited to the host site’s provisions,and most social media sites do not provide in-depth metrics. Twitter, for example, allows users to see how many people read their entries, but it does not report which entries were the most popular. “All of these tools are so new,you have to be careful in how you approach them,” Clarke said.“They’re not without risk. But overall, there is no real downside to expanding your ability to communicate both externally and internally.” J 26 COMMERCIAL PROPERTY NEWS • June/July 2009 • www.cpnonline.com http://www.cpnfromtheinside.com http://www.Orbitz.com http://www.Orbitz.com http://www.cpnfromtheinside.com http://www.cpnfromtheinside.com http://www.cpnonline.com

Table of Contents for the Digital Edition of CPN - July 2009

CPN - July 2009
Contents
Starting Line
Buzzworthy
Multi-Family
Data/Analysis
South Florida Profile
Ranking: Most Powerful Brokerage Firms & Networks
Next Stage
Capital Markets
International Profile: United Kingdom
Development
Architecture & Design
Property-and-Casualty Insurance
Technology

CPN - July 2009