June 04, 2019
Identifying a Target Market for Your Rental Properties
In the property management business, profitability depends on finding the right people for the right property and reducing turnover. To do this, you need to have a firm understanding of your target market. Identifying your ideal renter is key to your success. Read on as we explore different methods including how to use your CRM for property management as a tool to pinpoint your target audience.
Here’s how to draw in more leads that have higher conversion rates.
Conduct Market Research
While neighbourhoods are rarely homogeneous, there are often key demographics. Some parts of town close to parks and schools may be more geared towards parents with young children. Areas in the city, closer to colleges and universities probably have a strong student demographic. A building in the center of the city with smaller units (1 and 2 bedrooms) may rent to a lot of young professionals and couples.
It’s not an exact science, but knowing what attracts renters to where your building is located will go a long way in crafting better ads.
Use Your CRM for Property Management Marketing
A CRM for property management helps managers track leads across multiple rental properties. It simplifies the process of turning leads into tenants. But it can also help pinpoint your target market.
Reference Sources: In your CRM for property management, managers set up reference sources in order to help better manage and filter leads. It’s an area where you list all marketing channels. This can include:
- Search engine advertising
- Social media
Those are just a few, and you can customize it and further break it down to your marketing channels. By keeping track of where your leads come from, and being able to attribute a specific marketing channel to conversions you can not only fine tune your where to allot your marketing budget, but you also gain valuable insight into where your target market looks for a place to rent.
Lead Journey: As well, your CRM has a treasure trove of target market data that can be analyzed. When new leads inquire about a property and want to see the available unit, you can enter the guest’s name, the unit they are interested in, the showing time, and details about the unit (number of bedrooms etc.). You can also make notes about what they want (a unit facing the lake, for instance) and what factors drew them to the property. This might be that they are looking for a central location, or liked the unit’s upgrades.
When a prospect converts into a signed lease you can enter lead close factors, and when they do not, you can input why they did not convert. This could include information like “too expensive” or “too small.” Knowing what factors play into the close of a lease (lifestyle desires, hobbies/interests, etc.) helps you flesh out your ideal renter persona and more accurately advertise and attract your target market.
Existing Tenant Review: Look at your current tenant base. Who currently lives in your building(s), and why do they rent from you? Look for common characteristics and interests. Which ones pay their rent on time and renew their lease?
If you are looking to enhance your marketing strategies and tools, Property Vista can help. Our affordable online solution offers modern, simple and effective ways to promote your properties. We give you all the tools and guidance you need to build websites, keep your listings fresh and fine-tune your online presence. See pricing and book a demo.