As I was filling up today ($62, thank you very much), this truck pulled into the lot…
The first thing that popped into my head was, “Wow, there is a niche market for anything”. (followed closely by, “Wonder what it would cost to put “PhoenixRealEstateGuy.com across that truck?”)
Real estate coaches, brokers and whatnot will frequently preach, “Find a niche! Find a niche!”
And they are right. When Francy and I started out in real estate, we tried to be the be-all-to-end-all agents for everyone, everywhere. We’d go anywhere, and try to sell anything.
We can’t do that. Phoenix is a big giant city. Some real estate transactions need specialized knowledge. We take listings now on the east side of the Valley — roughly defined as east of Central Avenue. With buyers we’re even more focused geographically. We don’t ignore requests on the west side. We’ve found some agents that work that part of town that we know and trust and refer to them.
(soon, we’ll have a little announcement about Thompson’s Realty expanding that will greatly increase our coverage area. But mums the word for now!)
We are constantly thinking through this business, which is evolving fast. How “niche” do you go? What niche? A niche market in real estate can be geographical, demographic, size/type/style/age/cost of home, and more.
Selling phone service to jails and prisons is an awfully focused niche. I have no idea if they are making money (but the “skin” on that truck was not cheap). But it begs the question — do we narrow our niche even more?
Maybe. One of the beautiful things about opening our own brokerage is we can run our business however we see fit. And if we find a niche we’re not in that we think needs to be covered, we can recruit the right person to cover it.
That, is a beautiful thing.
.
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{ 15 comments… read them below or add one }
Genuine Chris Johnson 05.10.08 at 5:51 pm
Nice post. I like the idea of a brokerage built of specialists. That’s kind of how commercial works; when I had a team built (go to the wayback machine for proof), I had the idea of scalling and hyperspecializing. I hit the dip that I’ve hit before and it didn’t take, but you’ve got a chance of really doing it. And I wish you massive success @ it.
Jay McGillicuddy 05.10.08 at 6:59 pm
Broker friend of mine has a truck just like that. He allows his clients to use it when they list or buy.
Jay 05.10.08 at 7:23 pm
jaybird,
I wrapped the back of our Honda Odyssey and have had several people register at my website (that I know of) and I’m sure others have who have not told me as much. 1 sale from wrapping an auto makes it worth buying and wrapping another vehicle….It must be focussed on the website though–no cheesy pics of a realtor, etc.
I just added the formbox per your post a month ago on how you increased greatly the number of comments you were receiving….Thanks for the inspiration and it is working!
jay
p.s. go sun devils!
Las Vegas High Rise Guy 05.10.08 at 8:02 pm
I ran across a business here that will pay you $250 if you let them wrap your car with their ad. I haven’t seen any of them around town (yet) but their approach is interesting. “Let us pay for your gas for a month” is there big advertising phrase. I’m interested to see if it catches on.
Tucson Michael 05.10.08 at 8:36 pm
I think specializing in a type of sale is the way to go (within certain boundaries of course) 1031’s, short sales, divorce, 1st time buyers, million dollar +, in my opinion its the type of sale that you know about that takes an agent from being a commodity and making them a professional. That’s my thinking and I’m slowing working on locking down one specialty then maybe learn another for diversity.
John Wake 05.10.08 at 11:54 pm
Damn, I’ve been looking for one of those kind of phones! Thanks Jay.
Austin Real Estate Blog 05.11.08 at 12:41 am
I always wonder about small niches like cell phones to people in jail. And if broad based advertising (like a truck) works since over 90% of the people that see dont need the service. I dont know maybe they know something I dont.
Charleston Real Estate Blog 05.11.08 at 5:41 am
How does Sheriff Joe (is he still there) feel about those phones
Chantal 05.11.08 at 8:36 am
OMG that is hillarious. I suppose everywhere there is a problem or a need, there is a niche waiting to be unfolded.
I’d say you’ve found your niche in writing Jay. You have a great sense of humor and I enjoy reading your posts.
Jenise | Ridge View Media 05.11.08 at 9:32 am
Hello, Jay!
I found your blog when I was searching social networks. I found your Video #18 by VendAsta and NoMoreDoorKnocking. It’s now on my blog:
http://ridgeviewmedia.com/blog.....th-200805/
What an interesting idea in this post. Yes, I can see you renting a sign-truck to promote your brokerage. You seem to me to be on the cutting edge of things!
~Jenise
Online Writer and Trainer
http://www.RidgeViewMedia.com
info@RidgeViewMedia.com
Kevin Boer 05.11.08 at 9:51 am
In a previous life I did a short tech consulting project for a company that sold phone services to prisons and I can confirm that it is — or at least was back then — a VERY profitable business. You have a captive audience — literally — and typically only one vendor allowed to provide said services. My understanding was that they charged something like 4X the going rate for a pay phone call, and split the money 50/50 with the prison.
Jennifer 05.12.08 at 6:10 am
Thats an awesome photo! Though, I have to wonder how effective that marketing effort is. They are marketing to persons that are IN PRISON, so how likely are they to see that advertisement? I suppose they are trying to reach the prisoner’s family members/friends - so that they can tell the inmate to use that service, but with gas prices the way they are, I’d think that there would be a more efficient, effective and cheaper way to promote that business.
Dining Room Set 05.12.08 at 7:55 am
That is an interesting way to learn. Keeping your eyes and ears open to new ideas. Great post.
CD Junior 08.05.08 at 10:14 am
That is one of the funniest pictures I’ve seen lately. Great idea for a post. And you do bring up a great thought about a niche marketing effort and the possibility of focusing too narrowly. Prisons are a growth business in AZ… but it’s tough tryign to get paid sometimes.
Bloomsbury Estate Agent 08.05.08 at 9:08 pm
I like niches. There is a shop in central London that only sells stuff made from eel skin.