Blind Offer Mailer Campaign Competition in 2022 (LA 1760)
Blind Offer Mailer Campaign Competition in 2022 (LA 1760)
Transcript:
Steven Jack Butala:
Steve and Jill here.
Jill K DeWit:
Hello.
Steven Jack Butala:
Welcome to the Land Academy Show, entertaining real estate investment talk. I’m Steven Jack Butala.
Jill K DeWit:
I’m Jill Dewitt, broadcasting from the Valley of the Sun.
Steven Jack Butala:
Today, jill and I talk about blind offer mailer campaign competition in 2022.
Jill K DeWit:
Well, I guess that’s it. We’re done. Just kidding.
Steven Jack Butala:
I’m so sorry, but you’re not the only person sending mail out. It used to be like that. I used to be one of two people that sent out mailers.
Jill K DeWit:
That’s true. I do know that.
Steven Jack Butala:
We used to talk to each other all the time, me and Steve Seal.
Jill K DeWit:
Mm-hmm. That’s good.
Steven Jack Butala:
Before we get into it, let’s take a question posted by one of our members on the LandInvestors.com online community. It’s free.
Steven Jack Butala:
Last year, a ton of Land Academy members came to Jill and I, needing extra help getting their blind offer campaigns in the mail.
Steven Jack Butala:
Jill and I took a look at it. We took a look at how we personally send out mail, why it’s so efficient. And we realized that we had some staff that rock at doing mailers effectively and getting them out, right to the point where then I would go in and price it.
Steven Jack Butala:
Well, we made that available to the public, well to Land Academy members. We’re calling it Concierge Data Plus.
Steven Jack Butala:
It’s a year later. Hundreds of members are outsourcing their entire mail process with this product.
Steven Jack Butala:
Whether you’re brand new and you don’t want to go through, it’s good, it’ll work for you. Or if you’re five, 10 years into this and you’re sick and tired of doing mailers yourself, you can outsource it.
Steven Jack Butala:
This is a good product for you. Check out Support@LandAcademy.com or offers the number two, owners.com. See if it’s for you.
Jill K DeWit:
Cool. Aiden wrote, “If anyone in the group doesn’t like the sales aspect of this business, we need to chat. My partner and I joined the group last summer and have been able to close approximately 65 deals since last July.
Jill K DeWit:
We partner with another member of the group, for the data and the mailing aspects and our team handles inbound leads, due diligence, sales, transaction coordination, acquisitions, and dispositions. We all feel like we’ve built a pretty decent system, and we have a great team in place.
Jill K DeWit:
We’re currently sending out 30,000 mailers a month and have a bandwidth to handle more inbound calls, analyze more deals and get more contracts. If anyone here is potentially interested in partnering up, we’re looking to do the data, mailing, preliminary due diligence and the sales aspect of business and partner up with someone who’s more interested in experience in the second half of the process. I’m located in…” Do you want me to even say?
Steven Jack Butala:
It doesn’t matter. Sure. It’s okay.
Jill K DeWit:
“East coast state. We would like to partner with someone who is also in east coast states,” although it’s sprinkled around the country. So, it doesn’t really matter.
Steven Jack Butala:
Yeah.
Jill K DeWit:
“And then send me a message, if you’re interested.” This is cool. This is clearly in Discord, probably in the Partners Wanted section in there. That’s cool.
Steven Jack Butala:
On Monday we talked about, this is not the place to save time or money. These guys are not doing either. They’re not saving time or money because it’s their full-time job. So, let’s do some math.
Steven Jack Butala:
They’re sending out 30,000 mailers. That costs about $15,000 a month. Oh my God, Jack, $15,000 a month. Where there’s a will, there’s a way. $175,000 a year, but they did 65 deals.
Jill K DeWit:
Mm-hmm.
Steven Jack Butala:
So our average probably group-wide, the average net on a deal is what?
Jill K DeWit:
50?
Steven Jack Butala:
20 grand?
Jill K DeWit:
Oh, I thought it was higher.
Steven Jack Butala:
Maybe 30.
Jill K DeWit:
All right. I think that the average is actually higher, but okay.
Steven Jack Butala:
Okay. That’s millions of dollars.
Jill K DeWit:
Yeah.
Steven Jack Butala:
I think, probably I’m just being [inaudible 00:03:50]
Jill K DeWit:
You’re being conservative and I appreciate that.
Steven Jack Butala:
That’s like a million two. So yeah, they spent $150,000, $170,000 on mail, all of their time, full-time work, and they generated 1.2 to 1.6 million.
Jill K DeWit:
Yep. It’s amazing. That’s this group, by the way. You’re just listening. You’re like, what do you mean?
Jill K DeWit:
So if you’re not good at one part of it, don’t worry about it. Figure out what you are good at and find a partner. Together, you guys can kill it, like many people in Land Academy and like us, by the way.
Steven Jack Butala:
Exactly. This is great setup for today’s topic, blind offer mailer campaign competition in 2022. This is the meat of the show.
Steven Jack Butala:
On the first Tuesday of every month, jill and I have an advanced member closed call, once a month.
Steven Jack Butala:
The purpose of the call is for all of us to get together. I don’t know. There’s probably 25 of us at this point, 30 maybe. 25 that show up for it, anyway.
Jill K DeWit:
Right.
Steven Jack Butala:
If you join Career Path, you automatically are in the advanced group forever.
Jill K DeWit:
That’s cool. Uh-huh.
Steven Jack Butala:
So we all talk about how we’re doing, what’s working, what’s not working, how we might need to change our operations.
Steven Jack Butala:
It always comes up, mail competitions. This is why I wrote this topic. It always comes up. There’s always one or two people that say, it’s just not like it used to be.
Steven Jack Butala:
My grandfather used to say, oh, times have changed. In 1929, you could do this. You can’t do it anymore.
Jill K DeWit:
Right. Yeah. Thank goodness.
Steven Jack Butala:
That’s the nicest way I can say that, and I’m old or getting older. Yeah, there’s a lot of stuff-
Jill K DeWit:
We didn’t have cameras everywhere.
Steven Jack Butala:
There’s a lot of stuff you can do in the eighties, that you just can’t do anymore, like be a criminal, because-
Jill K DeWit:
Yeah, there’s cameras everywhere.
Steven Jack Butala:
Can’t do that anymore.
Jill K DeWit:
Oh.
Steven Jack Butala:
What’s happening to this business as we grow further, is that there’s more people sending mail.
Steven Jack Butala:
Do people who own properties get 50 offers a month, like some places, homeowners do? No.
Jill K DeWit:
No.
Steven Jack Butala:
We own tons of property, Jill.
Jill K DeWit:
I’m here to tell you. Yeah.
Steven Jack Butala:
Tons and tons of property. We get two or three or four offers a month.
Jill K DeWit:
I’m shocked at how little I get.
Steven Jack Butala:
Me too.
Jill K DeWit:
It’s interesting. And it’s cute because I usually know who they are.
Steven Jack Butala:
It doesn’t say Jack and Jill on the ownership record.
Jill K DeWit:
No, they don’t know it’s me.
Steven Jack Butala:
It’s some obscure LLC that Jill and I own. So, we’re not special.
Steven Jack Butala:
Once in a while, and we’re going through this right now, we get somebody who calls Jill back and says, “We’re selling our property and let’s do the deal. We’re all set to go, on your price.”
Steven Jack Butala:
They call back two or three or four days later and say, “I got another offer,” to which Jill says, “Oh, that’s too bad. Well, thanks for looking. Good luck. I’ll see you later.”
Jill K DeWit:
I do not. That’s hilarious.
Steven Jack Butala:
That’s the problem. That’s the problem, if you’re going to cower.
Jill K DeWit:
Well, I got two things to say about those.
Steven Jack Butala:
There’s this thing called competition.
Jill K DeWit:
Yeah. Yeah.
Steven Jack Butala:
Go ahead.
Jill K DeWit:
You’re right, so this is the truth. Because I’ve got one right now, I’m like, “Fine. What’s it going to take?,” because I know there’s more money in this.
Jill K DeWit:
It’s funny because there’s a deal right now that he’s like, “Oh, I don’t want to be that guy.” I’m like, “You’re exactly being that guy to me, because you told me we had a deal. Now you’re calling back and…”
Jill K DeWit:
We opened escrow, we would’ve closed by now. I’m not kidding. But he’s dragging his feet because this other offer. I said, “All right.”
Jill K DeWit:
I’m here. I’m checking with him three times a week to say, “Hey, how are you? Have you heard anything? Oh, they’re going to flake out.”
Jill K DeWit:
Here’s my point here. So to follow up with you, do you mind if I just-
Steven Jack Butala:
No, jump in, please.
Jill K DeWit:
I’m running with it now.
Steven Jack Butala:
Sure.
Jill K DeWit:
I have two offers. I’m not kidding. Well, people don’t follow up and they don’t do it. They don’t get these deals. There’s so much on the table that people are not acting on.
Jill K DeWit:
So, you think there’s competition? People may send out letters, but they do nothing. I’m going to get to that in a second, too.
Jill K DeWit:
Here’s an example. I have two offers right now, on my desk. One person I know, in Land Academy, one I don’t know.
Jill K DeWit:
What’s really funny is these offers are pretty high because we’ve actually had these… They’re two properties I’ve had my inventory, you kind of forget about buying.
Steven Jack Butala:
They’re tax sale properties.
Jill K DeWit:
Yeah. I’ve had them in there forever. I’m like, “You know what?” They’re smaller. They’re not real deals that I’m doing right now. I’m like, “You can have it.” So, I signed them. I’m not kidding. I signed them and sent them back. That was 10 days ago.
Jill K DeWit:
One of the guys, I got a followup. I got automated response email that said, due to heavy volume, we’re a little bit behind, and we’ll get back to you soon. I’m like, are you guys kidding me?
Steven Jack Butala:
That’s an outrage.
Jill K DeWit:
I know. And the other one, he was immediately responsive, but then he went dark. I’m like, do you want these or not, kind of thing.
Jill K DeWit:
So here’s what you need to do. Are people sending out mail? Yes. Are they getting the deals? No.
Steven Jack Butala:
That’s right.
Jill K DeWit:
It’s not hard. So here, you have three things you have to do. Number one, answer the phone.
Jill K DeWit:
These guys are not responsive. They’re not answering the phone. They are not responding to email. It’s too easy. This is why I know that Land Academy people are killing it.
Jill K DeWit:
Number two, win them over. It’s not that hard. Make friends with them. It doesn’t need to be an hour. You can befriend someone in five minutes and figure out what they’re interested…
Jill K DeWit:
“My wife and I we’re going to do this because it’s near this place I love to fish.” “Oh, how cool is that? What kind of fish you guys do?”
Jill K DeWit:
There’s how you befriend them, and you could have a little conversation. It’s that easy. You don’t have to be into fishing too, by the way. Sometimes the less you know and the more they tell you, the more important they feel, and then the more they like you. So, it’s easy.
Jill K DeWit:
And then number three, act fast. You answer the phone, you win them over, you find out the property. You say, “You know what? Let’s do this deal,” even if it’s a different number.
Jill K DeWit:
They say, “You know what? Eight doesn’t work for me, but can you do 10,000?” “You know what? I can do 10. Here’s what I’m going to do. I’m opening escrow tomorrow morning, because it’s six o’clock now here. So I’m going to open escrow tomorrow morning. I’m going to give you a call between 10 and 11. You’re going to be around?” “Yep.” “Good. I’ll get the escrow number, and so you can watch for emails. Let me make sure I’ve got everything here, dah, dah, dah,” and then follow through and do it.
Jill K DeWit:
You need to push, push, push, push until these are in your name. And if you need to relax a little bit like, whoa, that was a lot of work, fine. Once you own them, you can chill out a minute, if you need to, seriously.
Jill K DeWit:
I want you moving them through the system, but if you need to catch your breath a little bit, ’cause you got so much coming at you, you need to suck it up and do it and buy all you flipping can right now and then take a breath.
Jill K DeWit:
Okay, now I got to get a guy to sell this one. I need to do this. I need to do that. Figure that out. It’s fine. That’s fine.
Steven Jack Butala:
If they call you back, no matter how mad they are about your pricing, somewhere deep in their soul, they are a seller.
Jill K DeWit:
Yep.
Steven Jack Butala:
Somebody, just on the most recent advanced call, told this story. We sent an offer out on a property for $7,000. They were livid. They called back in a huff and said, “You’re off your rocker,” to which they said, “What’s your number?” “$150,000,” that was their response.
Jill K DeWit:
Yep.
Steven Jack Butala:
Well, the property’s worth 250.
Jill K DeWit:
Yep.
Steven Jack Butala:
So they bought it and resold it for 250.
Jill K DeWit:
I think they got them down to 120 or something like that.
Steven Jack Butala:
Yeah.
Jill K DeWit:
I made a joke about, can we meet in the middle? It was just joking, but that was it. 7,000 became a hundred and something.
Steven Jack Butala:
Please hear me on this and what Jill’s really saying. She’s so in the middle of it, that she doesn’t see this. This is a compliment. You have to do these deals. They don’t do themselves.
Steven Jack Butala:
Some of them take a huge amount of work and babysitting and handholding and sending notaries to their door and all and some of them don’t. Some of them get signed and sent back and you open escrow and the deal’s closed in a couple weeks, depending on a lot of variables.
Steven Jack Butala:
This is not the place to save time or money. This is the place to get deals done and get them resold.
Steven Jack Butala:
It’s a full-time job. You don’t have the personality like me, to call people back and go through all that, it makes you want to pull your hair out. That’s truly how I feel about it. Find yourself a partner like Jill.
Steven Jack Butala:
If you’re just like Jill, and you can’t wait to answer the phone and you wake up in the morning just to see who’s on the other line… truthfully, that’s what Jill does, but you can’t stand doing the other part, find yourself a Jack. We’re all over. Both types are all over Discord.
Jill K DeWit:
Mm-hmm. Exactly. If you do this stuff, by the way, you will have no competition.
Steven Jack Butala:
We’re in the very, very first inning of competitive land acquisitions, against each other. If you think about how many real estate agents there are, licensed real estate agents, for every house that gets sold, it’s staggering.
Jill K DeWit:
Brilliant.
Steven Jack Butala:
It’s thousands of real estate agents, trying to get listings in one market. Usually, one or two real estate brokerages get 80% of the listings. Why? Because they know what the hell they’re doing. They’re not afraid of competition.
Jill K DeWit:
They’re aggressive.
Steven Jack Butala:
They don’t wake up and say, “Well, the party’s over. There’s too many real estate agents.” Yeah, they do whatever it takes, advertising, having a dynamic personality, [inaudible 00:13:17].
Jill K DeWit:
Trolling the neighborhood.
Steven Jack Butala:
Absolutely. Sending out flyers, sending out mail, getting on the phone, cold calling, whatever it takes.
Jill K DeWit:
Yep.
Steven Jack Butala:
They do it to get deals done. That’s what we do.
Jill K DeWit:
Yep.
Steven Jack Butala:
There’s a bunch of people in Land Academy that do the same thing that. It just cracks me up when this competition thing comes up, it’s that.
Jill K DeWit:
I love it.
Steven Jack Butala:
People say stuff like this. “Well, last year my mailer response was 38% and now it’s 32% this year. It’s over.”
Jill K DeWit:
Yeah. Every person that says, “Oh, I’m not going to do this. There’s too much competition,” I’m like, “Thank you. And now there’s one less.”
Steven Jack Butala:
By the way, I’m going to end on this.
Jill K DeWit:
You keep thinking that.
Steven Jack Butala:
When Jill and I started Land Academy, we looked at each other for about a week and said, “Why are we letting the cat out of the bag here?”
Jill K DeWit:
Are we nuts?
Steven Jack Butala:
This is going great.
Jill K DeWit:
Yeah. Why would create competition for ourselves?
Steven Jack Butala:
We finally decided together, that Land Academy is a way for us to create partners for ourselves. Whether it’s deal funding, land funding, like we do on the money side or whether it’s partnerships to go in together, buy big pieces of land, which we were involved in on a bunch of them, where we all together are… we’re either better together or we’re not.
Steven Jack Butala:
We decided that we were going to give it a shot and it worked. We have tons of partnerships now.
Jill K DeWit:
Well, I’m going to say, we also took a look back and really did some numbers because that’s who you are and said, “Look, look at the universe of properties that are out there. There’s no way we could even conquer one state. There’s no way.”
Steven Jack Butala:
There’s 55 million properties out there.
Jill K DeWit:
I’d die before we got through the whole state. I could spend my career in a county.
Steven Jack Butala:
There’s 55 million properties out there. And every single day, every single day, people wake up in the morning and they either need money or there’s a life decision that goes on.
Steven Jack Butala:
Maybe somebody got ill, somebody passed away. This stuff happens. Life happens. And they decide, today’s the day I’m going to sell that piece of land because I know we’re never going to use it.
Steven Jack Butala:
And then they open a letter from Jill and I or any land Academy Member. And they say, “Yeah. Well, here’s the answer.”
Steven Jack Butala:
The week before, maybe they would’ve called back and yelled at us.
Steven Jack Butala:
The timing was right. That’s what you’re looking for. You’re looking for a person in a circumstance in their life, that’s going to say, yeah, today’s the day I’m going to sell.
Jill K DeWit:
Exactly. Happy to join us today. Five days a week, you can find us here on the Land Academy show.
Steven Jack Butala:
Tomorrow’s Jack Thursday. I’m going to talk about five things I refuse to spend money on. You are not alone, in your real estate ambition.
Jill K DeWit:
Oh, I’m dying to know. Is it all business stuff or is it life stuff?
Steven Jack Butala:
Well, it’s all life stuff.
Jill K DeWit:
Okay, good. Don’t tell us. Don’t tell me any. Is that okay?
Steven Jack Butala:
Sure.
Jill K DeWit:
All right. Save it. I think this is good.
Steven Jack Butala:
Some of it’s not legal.
Jill K DeWit:
Hello. All right, [inaudible 00:16:15]. Well, now I’m personally interested for tomorrow. So, this thought to be good.
Jill K DeWit:
Hey, thanks for tuning in. By the way, did you knew you can connect with us on Clubhouse? Yep. Jack and I are live on Clubhouse, on the first and third Thursday of every month, at 12:00 PM Pacific Time.
Jill K DeWit:
So log onto Clubhouse. Get the app if you don’t have it. It’s like a radio show, if you want to think about it.
Steven Jack Butala:
Yeah. It’s like an old school radio show. You can call in, the whole thing.
Jill K DeWit:
Exactly. You kind of raise your hand. We bring you on stage. You ask questions. You chat with us. Pretty darn fun. We do it for an hour, twice a month. So, go on to Clubhouse, find the Land Investing Club, follow that, follow us and you’ll get notified.
Jill K DeWit:
We are Jack and Jill.
Steven Jack Butala:
We are Jack and Jill. Information-
Jill K DeWit:
And inspiration…
Steven Jack Butala:
… to buy undervalued property.
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