How ASTRALCOM Delivers Proven Digital Marketing Tactics That Outperform Homebuilder Industry Standards
Building, marketing, and selling homes is hard work. It takes meticulous craft, a builder’s skills, and a finessed understanding of broad economic, geographic, and behavioral trends to succeed in today’s competitive market. While a home is built with sturdy materials, buyers’ journeys to their future dream homes are built on clicks. According to a recent Axios report, 100% of homebuyers explore the landscape and begin their buying process online.
The digital marketing landscape is daunting and introduces competitive factors into the homebuying process, which requires thorough examination. At ASTRALCOM, we see this challenge as an invitation to make data-driven decisions and unlock a superior return on investment. For homebuilders, leveraging performance benchmarks and conducting a landscape analysis are not just best practices—they’re essential for long-term success. With substantial industry experience in our portfolio, we are in a unique position to assess how well our services perform against industry benchmarks for all homebuilders (spoiler alert: we save our homebuilder clients substantial time and money).
Read on to explore why benchmarking is important for homebuilders who want a sound digital marketing strategy, which benchmarks to investigate, and how to optimize your advertising and SEO strategies to drive more substantial results.
Why Benchmarks and Landscape Analysis Matter
- They help you understand the competitive landscape. Before diving into any digital strategy, it’s crucial to be informed about the broader market context. Analyzing the landscape helps you identify the strengths and weaknesses of your competitors – and prevents you from repeating their mistakes. This could mean looking at other companies’ digital advertising strategies, their website user experience, or how they interact with potential buyers across different channels.
- Benchmarks help you set realistic goals. Digital marketing costs money, and knowing what you’re hoping to gain from your marketing spend is essential. Once you understand the competitive environment, benchmarks offer a frame of reference for what success looks like in your specific industry. In digital marketing, benchmarks help establish realistic goals for cost per click, click-through rates, conversion rates, and overall return on ad spend.
- Compare your metrics regularly. By comparing your metrics against industry standards, you can set more informed, attainable objectives for your campaigns. For instance, the industry average for Google Ads’ cost per conversion for homebuilders is $193.75, and based on our past work, ASTRALCOM’s cost per conversion is $25.79.
- Benchmarks pave the way for continuous optimization. The digital marketing landscape is dynamic, with algorithms, user behaviors, and competition all shifting constantly. By consistently measuring your performance against current benchmarks, you can adapt and optimize strategies to maintain superior results.
When creating a digital strategy, several key benchmarks should be investigated, particularly when working in high-cost sectors like homebuilding. Here is a comprehensive list of the benchmarks homebuilders should investigate.
2025 Homebuilder Benchmarking Data for Website Performance
A homebuilder’s website is the front door to their business. Its purpose is to attract users, keep them engaged, and showcase content that compels them to scroll, click, and stay a while. On average, homebuilder website engagement rates hover around 66%, with users spending 3 minutes and 11 seconds per session and an average session duration of 3-4 minutes. On average, users will reach a page depth of 2.5 pages per session, which suggests a moderately engaged audience, while higher numbers would indicate that users are exploring more content before leaving a site. Meanwhile, the average bounce rate sits at 46.85%, and the user conversion rate averages 2.20%, with a cost per conversion ranging between $200-$500.
So, how does your website compare? To find out, head to your Google Analytics (GA4) or other site platform analytics to track engagement metrics, session durations, and conversion rates. Look for trends over time—are visitors staying longer, exploring more pages, and converting at a strong rate? If not, it’s time to make some website optimizations. You might consider optimizing content, improving user experience, and refining calls to action. ASTRALCOM can help you set new goals based on industry benchmarks to ensure your website is the workhorse you need it to be for lead generation.
2025 Homebuilder Benchmarking Data for Google Ads
There are three key benchmarks homebuilders should look to around digital ads in a search engine like Google – Cost Per Click (CPC), Click-Through Rate (CTR), and Cost Per Conversion.
Cost per click is a fundamental metric in digital advertising. This figure tells you how much you pay for each click on your paid ads, such as Google Ads or display advertising. A lower CPC is often an indicator of a more optimized ad campaign. For example, in the homebuilding space, the industry average CPC is $5.85, but ASTRALCOM consistently averages just $0.55 per click. This results in a significantly better ROI and allows more advertising dollars to be spent on reaching potential buyers.
CTR measures the effectiveness of your ad in enticing users to click. A higher CTR generally signifies that your ad is more relevant and engaging to your target audience. In the homebuilding sector, the industry average CTR is 2.70%. However, ASTRALCOM averages 7.72%—more than double the industry standard. This substantial increase in CTR translates to more qualified traffic coming to your website, increasing the likelihood of conversions.
This benchmark refers to how much it costs to convert a user who clicked on your ad into a customer or lead. For homebuilders, the cost per conversion on Google Ads averages $193.75, but ASTRALCOM is able to bring that down to just $25.79. This remarkable difference demonstrates the effectiveness of our targeting and ad optimization strategies. Lower cost per conversion means more affordable leads and better long-term profitability for your marketing efforts.
2025 Homebuilder Benchmarking Data for Display Ads
Display ads are visual advertisements that appear on websites, apps, or social media platforms in various formats, such as banners, images, or videos. These ads are designed to attract attention and drive traffic to a homebuilder’s website or landing page.
Display ads are tried-and-tested ways to increase brand visibility, but it’s important to track the cost per click and the click through rate to ensure you’re getting good results from these campaigns. The industry average cost per click for display ads is $0.54 for banner or image ads, but ASTRALCOM has managed to reduce this to $0.36. Moreover, while the industry average click through rate for homebuilder display ads is 0.47%, ASTRALCOM averages 0.92%. This efficiency indicates a better-performing display strategy, which can result in more cost-effective lead generation and brand recognition.
Homebuilder display ads convert at an industry standard of between 0.5%-1% and display ads’ cost per conversion in the homebuilding space averages $65.80. ASTRALCOM, however, has managed to drive that number down to $55.79, which is indicative of our more refined ad-targeting strategy. In the homebuilding industry, where each lead can represent a significant financial investment, optimizing display ads for conversions is crucial for maximizing ROI.
2025 Homebuilder Benchmarking Data for YouTube Ads
YouTube advertising is a powerful tool for homebuilders, offering cost-effective ways to engage potential buyers through video. Industry benchmarks show that the average cost per view ranges from $0.10 to $0.30, and the cost per click falls within that same range.
A well-allocated video ad budget typically lands between $10-$50 per day to drive meaningful engagement. The click-through rate averages 0.65%, and the average view rate is 10-15%, indicating how many viewers stick around to watch an ad. While this view rate is typical across industries, we believe that effective YouTube ads should keep more prospective homebuyers locked in.
Are you curious about how your YouTube performance measures up? Here’s how to find out: within Google Ads, navigate to the Campaigns tab, filter by Performance Max or YouTube campaigns, and review metrics like CPV, CTR, and view rate. Compare your numbers to industry benchmarks to assess effectiveness. If your CTR is low, consider stronger calls to action or more compelling creative. If view rates are underperforming, test shorter, more engaging video content. With regular tracking and optimizations, homebuilders can turn YouTube into a high-performing channel that attracts and cultivates future homebuyers. And with ASTRALCOM as your marketing partner, you’ll have seasoned experts enhancing ROI for your brand.
2025 Homebuilder Benchmarking Data for Google Performance Max
If you’re a homebuilder who pays for Google ads, Performance Max affects you. Performance Max is Google’s AI-driven advertising solution that optimizes marketing campaigns across all Google properties, including Search, Display, YouTube, and Maps, via automation and machine learning. For homebuilders, Performance Max campaigns can drive leads and engagement, but understanding industry benchmarks is key to measuring success. On average, Performance Max cost per click (CPC) is $0.62, with a click-through rate (CTR) of 1.23%. The cost per conversion averages $51.73, while the conversion rate aligns with Google Ads platform averages at 2.47%.
Do you know how your Performance Max data compares? To assess your campaign’s effectiveness, review your Google Ads dashboard to track CPC, CTR, conversion rates, and cost per conversion. If performance lags behind industry benchmarks, you can start by refining your audience targeting, testing new creative variations, and adjusting bidding strategies. Better yet, contact ASTRALCOM and tell us how your data compares to the benchmarks – we’d love to help you exceed industry standards.
2025 Homebuilder Benchmarking Data for Social Media
Social media is a key advertising channel for homebuilder marketing, but performance varies across platforms. Industry benchmarks show that Facebook engagement rates average 0.21%, with a cost per link click at $0.88. Instagram performs slightly better, with an engagement rate of 0.43% and a CPC of $0.84. Meanwhile, LinkedIn sees higher engagement, ranging from 2% to 3.85%, making it a strong platform for B2B and luxury home marketing. X engagement rates range from 0.5% to 1%, highlighting its niche but active audience.
We want to know how your social media performance compares. To evaluate, head to your Facebook Business Manager, Instagram Insights, LinkedIn Campaign Manager, or X Analytics. Look at CTR, CPC, and engagement rate for paid and organic efforts. If your numbers fall short, you’ll know it’s time to make some changes to your creative, your messaging, and/or your timing. The team at ASTRALCOM can help you find the perfect blend of initiatives to shine on social.
2025 Homebuilder Benchmarking Data for Email Marketing
When it comes to email marketing in the homebuilding industry, benchmarking your performance against industry standards is key to understanding how well your emails are performing, and where you can improve. On average, homebuilder email campaigns see open rates between 21-23%, with click-through rates ranging from 5-8%, depending on factors like segmentation and content relevance. Meanwhile, the click-to-open rate across industries hovers around 10.5%, with a good range falling between 6-17%.
These benchmarks provide a useful reference point, but real success lies in outperforming the norm through strategic personalization, compelling content, and precise audience targeting.
How do your email metrics compare? If your numbers fall short, it may be time to refine your approach to boost engagement and conversions.
Making SEO and Digital Advertising Decisions for Stronger ROI
Now that we understand why benchmarks matter and what benchmarks to investigate, the next step is to make strategic decisions based on these insights to drive the strongest possible return on investment. Here are a few actionable steps for homebuilders:
- Go all in on Local SEO. Homebuilding is a highly localized industry. Most buyers are looking for homes within a specific geographic area, and Google prioritizes local search results. For homebuilders, this means local SEO should be at the forefront of their digital strategy. Ensure that your website is optimized for local search terms, leverage local business schemas for rich results, and consistently update your Google My Business profile. Building local authority is an essential way to boost visibility and drive organic traffic to your site.
- Refine who you target with paid ads. The fact that the ASTRALCOM team is able to maintain a cost per click of just $0.55, 90% below the industry average, indicates the importance of refining ad targeting. In homebuilding, a well-targeted ad campaign can lead to higher-quality leads – and high-quality leads translate to serious buyers. Focus on targeting individuals who are most likely to be in the market for a home. This can include specific age groups, income levels, and geographic locations. Additionally, adjust your keyword targeting to focus on long-tail keywords, which tend to be more specific and often less expensive.
- Don’t be afraid of retargeting campaigns. Given that homebuyers often take longer to make purchasing decisions due to the high cost and commitment involved, retargeting is an essential strategy. Use retargeting ads to re-engage visitors who have interacted with your site but didn’t convert. Retargeting ads tend to have higher CTRs and lower CPCs, which helps keep your costs manageable while continually engaging warm leads.
- Know your data, and use it to improve your strategy. As benchmarks evolve and more data becomes available, it’s important to adjust your digital marketing strategy to stay ahead of the curve. Continuously monitor your ad campaigns, CTR, CPC, and conversions to ensure that your digital marketing dollars are being spent effectively. Use A/B testing to identify what creative, copy, or targeting strategies resonate best with your audience.
Why Homebuilders Need a Refined Strategy
Homebuilding is unique in that the products are high-cost, high-commitment, and often require a lengthy decision-making process. This makes digital marketing strategies especially crucial for the industry. Through robust benchmarking and landscape analysis, homebuilders can understand where they stand in the market, set informed goals, and make smarter decisions that improve ROI.
At ASTRALCOM, our results speak for themselves. By outperforming industry averages across key metrics, we can assure you of our success in delivering strong impact for homebuilders. As you plan your digital marketing strategies for 2025 and beyond, remember that the power of a refined, data-driven strategy cannot be overstated.
Benchmark metrics compiled from data supplied by Google during January and February 2025.
Learn more about how ASTRALCOM helps homebuilders achieve incredible results from their digital marketing initiatives.