Getting more property management leads takes more than just increasing your marketing budget. If you can understand how your reputation, budget, strategy, team and sales process work together, you can successfully reach your lead generation goals.
- Before you look at adjusting your marketing to get more leads, you need to be managing your online reputation.
- Create a marketing budget based on the value of your management contracts, your growth goals, and the competitiveness of your area.
- Build a holistic marketing strategy with both inbound and outbound marketing.
- Involve your team in your company’s marketing efforts.
- Establish a thorough and efficient sales and nurturing process.
As a marketing agency for property managers, we get asked these two questions all the time: How can I generate more property management leads, and when will I see the results of my marketing efforts?
Today, we answer those questions.
1) Manage Your Online Reputation
Before you even start to think about property management marketing – how’s your online reputation?
Spending big bucks on marketing won’t mean a thing if you have a terrible rating. Even after you’ve got a lead – and paid for it – you can still lose the lead if your property management company’s online reputation isn’t up to snuff. When faced with the choice between a property manager with good reviews and a property manager with poor reviews, who are they going to choose? Why would a prospect call you instead of the 4-star management company down the street?
That’s why our first tip for getting leads, is to get a good reputation management solution in place. You could be requesting, reviewing, and responding to reviews internally, or you might outsource your reputation management to a company or software that can keep an eye on that for you. Just remember that you won’t be increasing your property management leads, if you haven’t managed your reputation, first.
With a solid online reputation in place, now you can start looking at your marketing budget.
2) Analyze Your Marketing Budget & Adjust Accordingly
How much you spend on marketing depends on a number of factors, including the value of your management contracts, what type of market you’re in, how competitive your area is, the size of your company, and your growth goals.
Because of this high variability, there isn’t one number or a single formula that will work for all property management companies — however, it can be useful to think about how much to spend on property management marketing with this framework:
For every $3 you want to earn, you can expect to spend $1.
Let’s say you want to grow by 36 doors in a year, and you make $500 in profit per door. That means you’re hoping to make $18,000 in profitable growth.
36 doors x $500 profit per door = $18,000 in profitable growth
If we apply the 1:3 ratio to this number, you should be looking at spending at least $6,000 over the course of the year on sales and marketing.
Once you’ve got your number, start to break down how that amount will be spent. How much will you dedicate to sales, to owner marketing, and to tenant marketing? These numbers will be determined by your specific growth goals and by how competitive your market is. We gave a breakdown you can use as a guideline for determining how your owner marketing dollars are spent in this blog.
In general, the more you spend on marketing, the better your property management lead generation results will be. However, this doesn’t necessarily guarantee that the leads you’re getting are actually quality leads — and this is where marketing strategy comes in.
3) Build a Holistic Property Management Marketing Strategy
It’s not enough to throw money at your marketing and hope some leads come in that stick. Being strategic about how and where you spend your marketing dollars, and what your specific goals are, will help you get the most qualified and best property management leads for your buck. You can start by building both inbound and outbound marketing strategies.
Inbound Marketing means you’ve got content that addresses your leads’ pain points, and they’re finding you through online searches. Are you posting regular blog content to your website? Do you have a FAQ page? What are you sharing on social media? Inbound marketing is all about establishing trust and expertise. This strategy will have initial higher costs as you are building your content, but over time, inbound marketing will deliver results with a dramatic reduction in per-lead costs.
Outbound Marketing means you’re paying for ads that are putting you directly in front of your ideal audience. Google Ads, Pay-Per-Click, and Data Driven Mail are all part of outbound marketing efforts. Outbound marketing is about getting in front of leads that are ready to sign with you. The cost of outbound advertising increases as more people compete with and bid for the same leads.
Below, we have a graph representing inbound and outbound marketing over time. The y-axis on the graph represents the money you would pay per contract while the x-axis represents the results a company would expect to see as time goes on. The main difference between the two strategies is the effect on the client acquisition cost after each method matures.
The key here is to find a balance between the two. For owners that are ready to sign, you need to have marketing material that’s landing right in front of them, but for owners who aren’t ready to sign yet, you need to be establishing your company as an authority in your local area. Attention paid to both will ensure you’re reaching the best property management leads. To determine where the holes in your marketing strategy might be, start with our free marketing diagnostic.
4) Get the Whole Team Involved in Marketing
In our experience, hands-on owners and managers show much better marketing results compared to owners who are unresponsive and generally unavailable. This doesn’t mean you need to be micromanaging your marketing process, but you should understand each part of your marketing strategy, what the goal is, and whether you are meeting that goal or not.
Our suggestion is to set aside time regularly that you and your team meet to look at your marketing. It doesn’t have to be hours and hours, but meeting regularly will ensure that you’re on track with your marketing goals, and if you’re not, you can analyze the data to determine why that might be, and course correct if necessary. In the end, making marketing a regular part of your routine will save you time and money.
5) Establish an Effective Sales Process To Capture More Property Management Leads
None of your marketing efforts or money put into it will mean anything if you don’t have an effective sales process. Someone from your company should be contacting any leads you get in 10 minutes or less. After that, you need both a consistent follow-up process and a lead-tracking process.
Follow-up at least 3 times after making initial contact. Just because they’re not ready to talk to you now, doesn’t mean they won’t be later.
And create a tracking system for all of your leads, so that none of them fall through the cracks. It could be as simple as a spreadsheet, or a more in-depth tool like LeadSimple.
We’ve got a great in-depth podcast episode on identifying, analyzing and fixing leaky sales funnels. This is a great place to start looking at your own sales process and collecting ideas for improvement.
Better Marketing = More Property Management Leads
If you’re feeling overwhelmed by this lead-generation to-do list, relax. You’re not going to transform your lead generation in a day. It takes time and strategy and planning to create change.
The good news is, you CAN increase your property management lead generation! Improving your reputation, your marketing and your sales process is entirely within your control, and there are actionable steps you can take as soon as today. In property management, like every other business, you are either growing or shrinking. An average portfolio turnover can be as high as 30% per year. It’s important to keep renewing your client base, spending money in the right places and investing in marketing to grow your property management business.
First step? Reach out to Fourandhalf Marketing Agency for Property Managers. Tell us your growth goals and we’ll help you get closer to achieving them.