These days, marketing is everything. Finding new owners and adding more properties to your portfolio is the name of the game. Yet budgets are tight, time is precious, and there is little room for error in this increasingly competitive market.
1) Are your marketing efforts recruiting new customers?
2) Are you spending your marketing budget wisely?
3) Where does the rest of the industry stand?
To help you answer these questions we recently surveyed 375 of your fellow property managers to find out what’s working and what’s not. And the results are in.
1) THE BIGGEST CHALLENGE FOR PROPERTY MANAGERS IS FINDING NEW CUSTOMERS
In this new world of increased competition, fickle owners, and dynamic regulation, this comes as little surprise. 84% of property managers reveal that finding new customers is the biggest challenge facing their company in the next year.
Biggest Challenges Facing Property Managers
What is surprising however is the intensity of this need. The second biggest challenge property managers reveal is finding and retaining quality employees, but this is ranked a full 26 points lower on the scale of importance.
2) PROPERTY MANAGERS FOCUS THEIR MARKETING EFFORTS TOWARDS ONLINE LEAD SERVICES AND WORD OF MOUTH
Next, we wanted to understand how property managers allocate their marketing budgets. We learned that the highest percentage (about 23%) is focused on Online Lead Services. Second is Word of Mouth, to which property managers allocate 19% of their marketing budget. Other sources of focus include Standalone Websites, Broker Referrals, and Print. TV/Radio and Social Media receive the least funding.
What is interesting about these responses is how little property managers invest in newer marketing channels such as Social Media, or how little time property managers spend to plan and host Events. It seems that many managers are being cautious with their resources and sticking with known channels or using methods that don?t require a whole lot of time.
3) THE BEST SOURCES OF LEADS FOR PROPERTY MANAGERS ARE WORD OF MOUTH AND ONLINE LEAD SERVICES
Property managers told us that 33% of new customers come from Word of Mouth referrals, the most of any source. Online Lead Services come in second with 20.2%. Other sources of value include Standalone Websites and Broker Referrals. Social media, TV/Radio, and Events are the least effective sources of new customers.
4) THE HIGHEST QUALITY LEADS FOR PROPERTY MANAGERS COME FROM WORD OF MOUTH REFERRALS
Lastly when it comes to quality, Word of Mouth and Broker Referrals received the most ratings of 1 or 2 and had the highest net quality ratings of 252 and 129 respectively. Property management companies said that their leads from the Yellow Pages, Flyers and TV are the worst quality, with the three sources having the three lowest net quality ratings. The most common response for each source was a rating of 3, as you can see on the graph.
How Successfully Are You Recruiting New Customers Compared to the Rest of the Industry?
We know it’s hard out there. Finding new customers and retaining them is tough work. But that’s our area of expertise. Over the last 10 years, All Property Management has connected over 600,000 owners to property managers just like you, from coast-to-coast. Call us and talk to an account manager today: (888) 238-8948.