To understand how Web 3.0 will change digital marketing for real estate agents, will need to take stock of where we are at now.
We are currently in the world of Web 2.0, a place where social media has provided real estate agents with the ability to tap into the power of modern Real Estate Marketing. Buyers, sellers, and real estate agents, all have the ability to communicate with each other through social media, email, or the internet using a variety of intermediaries.
These ‘intermediaries’ are Google, Facebook, listing sites (like Zillow, Real Estate.com, TradeMe, etc) and the various email providers where you can communicate with your seller or buyer through a variety of platforms is what we currently understand as being Web 2.0.
Web 2.0 has allowed us all to add content for it to be discoverable to everyone across the globe, much like this blog through search engines like Google and others. Following Facebook’s launch in 2004, it rapidly accelerated to many other platforms and channels making it the golden era of the information age, where information could be shared from one person to many with the click of a button.
However, to understand where we are moving into (and why you must prepare for change, or be prepared to be left behind), we must first uncover the reason to sit up and take notice.
There have been a series of events across the world, from big corporations being embroiled in large lawsuits, to data sharing and explicit consent being demanded from consumers which have led to a general distrust of the oversharing of data. Large corporations like Apple, the move from the European Union to enforce GDPR in EU countries, and Facebook’s iOS14.5 update are some of the large changes that have been a response to what is being demanded by consumers across the globe.
What this means is that we are now living in a time when distrust of people and big tech is at an all-time high. So while we were already well on our way to a decentralized Web 3.0, these recent events have accelerated the process of what might have taken even longer to evolve.
How will Web 3.0 be different and what does that mean for real estate marketing?
Web 3.0 will allow real estate agents, sellers, and buyers to communicate with each other directly. Now, this might take a bit of getting used to and visualizing what it actually means or truly look like. We currently operate within walled gardens of listing sites, email providers, and even google for information on all things. Web 3.0 will mean users can communicate directly with real estate agents without the need for ‘middlemen’ like Facebook, Google, or any other space currently hosted on the internet as we currently know it.
Selling houses with a valuable non-fungible token (NFT) might become a new way to increase the value of a house, or it might be that a house can be traded and paid for with an NFT. Whilst this might be a way away as there is no crystal ball gazing into what this might actually end up being but one thing that is for certain is that there will be a shift towards rewarding those real estate agents who adopt and adapt to new technologies by becoming valuable to their own customer avatars rather than treating the client like a transaction.
Interestingly, Web 3.0 was a term first coined by a reporter named John Markoff from The New York Times. Web 3.0 is how the founder of the World Wide Web, Tim Berners-Lee originally imagined the internet to be, an open information center without a central controlling authority. So we are going ‘back to the future’ in a sense.
So how do Real Estate Agents stand to benefit from the change to Web 3.0?
The good news is that real estate agents still need a license to operate transactions and that is where those who put in the effort to build their own brand and by way of differentiating themselves, will be in a stronger position to leverage the opportunities of Web 3.0. Let’s deconstruct what this means.
We’re currently reliant on digital marketing for real estate agents as we know them to bring our skills, expertise, trade information, sell things, etc on Web 2.0. We are reliant on ad platforms like Facebook, Instagram, TikTok, Youtube, or Google which have collected user data in order to bring real estate seller leads.
This information currently is not volunteered by the user. It’s collected using pixels and cookies using aggregated data from the tech giant’s data centers to build a user profile (aka a digital customer avatar) that then gets matched to other similar people with similar browser behavior, shopping trends, lifestyle, and a range of other factors.
This data is then used by third-party ad platforms to trade the user data in exchange for money. Moving forward, users who have a particular problem, such as a house to sell, will volunteer their data in exchange for service directly to those who help meet their needs without the need for middlemen like the large ad platforms. This provides an enormous opportunity for real estate agents to stand out and be the go-to person and become an authority in their market.
Here are three ways in which real estate agents can differentiate themselves now to get ready for the future.
Whilst some of this might seem rudimentary and back to basics, the importance of this cannot be overstated. It will prepare real estate agents for what’s to come so that they can be best placed to better serve and sell through trust being the most valuable commodity. Leveraging the following points into a digital marketing strategy for real estate agents will help keep a consistent brand presence and help set real estate agents up for being top of mind with referrals, their sphere of influence or network, and buyers and sellers.
Invest in your brand.
Specialize in something, stand for something. Is it the best-personalized service? Can you build unique experiences for your sellers and buyers that not many people currently do? Can you invest time in educating your market? If you are just starting out, can you form a community of like-minded people (even as small as 10-15 initially) to discuss real estate, bring in experts, and do what you do best? All of these efforts will help shape your brand.
Form communities and a strong audience.
For real estate agents, this should be easy with having a tight local farm, local community initiatives, and being found to be the trusted go-to expert. This means those who are genuinely prepared to invest in the future of buyer and seller transactions will be rewarded with volunteered customer data, and direct leads without having to pay third parties. The only thing that will matter in the future of real estate marketing to really stand out is the content that is produced.
Embrace automation and technology.
Whilst Web 2.0 is here to stay, for now, it’s those who embrace communication via automation to stay top of mind that will benefit in the transition.
