Understand the Cost of Zillow Premier Agent Advertising

As a Zillow Premier Agent, you can target your advertising to the ZIP codes of your choice, letting you pick where and how often you want to be featured. There are two factors that influence the cost of Zillow Premier Agent Advertising in a ZIP code: market and competition.

Market

The base cost for advertising varies by market, with high-demand ZIP codes being more expensive than those with less demand. For example, it’s more expensive to buy advertising in Malibu, CA, where the average home on the market is a multimillion-dollar listing, than in Naples, FL, where the average home value is around $400,000.

Beyond the base cost of Zillow Premier Agent Advertising in a given market, price is driven by market demand — more simply put, competition.

Competition

Beyond the base cost, the price you pay for Zillow Premier Agent Advertising is driven by market demand in each ZIP code. The more agents who participate and buy advertising in a ZIP code, the higher the price.

Here’s a simplified example of how this works:

Let's say there are three Zillow Premier Agents advertising in 98121, each spending $100. Since the new showcase advertising page has space for three Zillow Premier Agents, each of them has 100 percent share of voice in 98121. If one of these agents decides to increase their budget in 98121 to $400, this agent will now have 200 percent share of voice ($400/$600 times the total share of voice pool of 300 percent). The other two agents will have 50 percent share of voice each ($100/$600 times the total share of voice pool of 300 percent).

What does it all mean?

While it might seem like the most expensive ZIP codes are the "best," if the resulting share of voice at your budget is low or the estimated connections associated with that share of voice are too low, you may want to investigate other nearby ZIP codes that will yield a better ROI for you. Deciding what ZIP code or set of ZIP codes is best for you depends on your budget and the quantity of connections your business is equipped to handle. If you need assistance with determining how to optimize your current advertising, your Business Consultant is here to help.