Podcast: Play in new window | Download
Welcome to the latest episode of the Property Management Show, presented by Fourandhalf Marketing Agency. Since 2012, Fourandhalf has been helping residential property managers get more owner leads by helping with their website, SEO, online reputation, video and blog content, social media, and paid ads.
In this episode, we’re excited to host Jennifer Merritt, the Chief Operating Officer at RentScale. RentScale is a pioneering sales coaching company that specifically caters to the property management industry, and Jennifer’s expertise is a treasure trove for anyone looking to improve their company’s sales function.
With the property management industry being highly competitive, staying ahead of the game when it comes to owner lead generation is critical. In this podcast, Jennifer shares her insights on all-bound lead generation and how businesses can adopt this comprehensive approach to sales and marketing in the property management sector.
All-Bound Owner Lead Generation for Property Managers
This week, we discuss the innovative concept of “all-bound owner lead generation,” a comprehensive strategy that transcends traditional lead generation methods. This approach is particularly crucial for business development managers and broker/owners striving to grow their residential property management business.
The all-bound strategy is a tri-fold model:
1 – Inbound Lead Generation:
These are owner leads generated through various digital marketing efforts, including a mixture of organic and paid marketing channels. Examples of organic channels include search engine optimization (SEO), content marketing, social media engagement, and email marketing.
Paid channels, on the other hand, include tactics such as Google Ads, Social Media Ads, and Pay-per-Lead such as All Property Management (APM). Each of these avenues brings unique opportunities to attract and convert property management leads into clients.
Jennifer emphasized the importance of a strong online presence to attract owner leads naturally.
2 – Outbound Lead Generation:
Outbound lead generation involves proactive strategies such as direct calling to rent-by-owners and engaging with secondary homeowners. This type of lead generation allows property managers to reach out to potential owner clients directly and pitch their services.
Outbound lead generation requires a strong understanding of the target market, personalized messaging, and a consistent follow-up process.
Jennifer highlighted the significance of being proactive in reaching out to potential clients.
3 – Next Bound Lead Generation:
A novel term introduced by RentScale, the next-bound lead generation is focused on generating leads through referrals and building a robust network for future business prospects. This aspect underscores the importance of relationships in the property management industry.
Jennifer explained that successful owner lead generation in property management requires a blend of these three strategies. It’s not about relying on one magic solution but consistently working across different channels.
Redefining ‘Junk Leads’ in Property Management
A pivotal moment in our podcast discussion focused on the often misunderstood concept of ‘junk leads’ in the property management industry. Jennifer brought her team’s perspective to this topic, challenging the traditional notion that some leads are simply not worth pursuing. She argued that the term ‘junk leads’ is often a misnomer, and these leads should instead be viewed as untapped opportunities.
The conversation brought forth the idea that leads commonly considered ‘junk’ are those that don’t immediately align with the ideal client profile or seem less likely to convert at first glance. However, she emphasized that every lead holds potential value. For instance, a lead without a current property to manage could evolve into a future investor or become a source of referrals. The key is to engage with these leads in a way that fosters relationships and trust, even if the payoff isn’t immediate.
Moreover, a strategic approach was suggested for handling such leads. Rather than dismissing them outright, nurturing these leads over time could be more beneficial. This might involve providing valuable information, keeping them updated with newsletters, or maintaining periodic contact. Keeping communication channels open is crucial, as circumstances can change, transforming today’s ‘junk lead’ into tomorrow’s valuable client.
This part of the conversation shed light on the nuanced understanding of lead dynamics in property management and the importance of innovative approaches to sales and client relationships. It underscored the idea that in the property management business, the longevity and strength of relationships are key drivers of success.
By rethinking our approach to leads deemed as ‘junk,’ we open doors to hidden opportunities and potential long-term growth for property management businesses.
If you want a more in depth discussion about how to distinguish good leads vs bad leads in property management, we covered this in detail with Jeremy Pound back in 2020.
Shifting Dynamics in Sales and Marketing for Property Managers
Our conversation then pivoted to the evolving nature of sales and marketing in the property management realm. Jennifer shared insights into the shifting consumer behavior, advocating for a shift from traditional aggressive sales tactics to a more consultative, value-driven approach. This change is vital in aligning with the contemporary consumer’s expectations and needs.
For property management leads, Jennifer suggested that new property managers should start with more budget-friendly lead generation methods, like social media advertising, and gradually escalate to more comprehensive strategies. The key is to align these strategies with the company’s resources and growth goals.
Advice for Property Managers Just Starting Out
Jennifer’s advice to new entrants in the property management business is to start small and scale gradually. She recommended beginning with cost-effective lead generation strategies and progressively moving towards more extensive methods. Building a strong referral network and targeting the right clientele is crucial for long-term growth and sustainability in the property management business.
Navigating the Owner’s Buying Journey
Our discussion also dove into the importance of understanding and respecting the buyer’s journey in property management. This journey, the process a potential client undergoes from becoming aware of a need to making a decision, is crucial in tailoring the approach to each lead. Recognizing that not every lead is at the same stage of readiness to commit to property management services was a key insight.
The conversation highlighted that the buyer’s journey is not a linear process but a complex journey with various touchpoints and emotional considerations. It was emphasized that property managers need to be adept at identifying the stage at which a potential client is and adjust their sales and marketing strategies accordingly. For instance, a lead at the awareness stage requires different handling and information compared to someone at the decision-making stage.
The importance of nurturing leads throughout their journey was also a focal point. This nurturing involves providing relevant information, building trust, and establishing credibility. Rushing a lead through this journey or applying pressure could be counterproductive, potentially leading to lost opportunities. Instead, a patient, informed approach, where the property manager guides and supports the lead through their journey, was advocated.
This part of the interview underscored the significance of the buyer’s journey in converting leads into clients in the property management industry. It highlighted the need for property managers to be sensitive to the nuances of each potential client’s journey, adapting their tactics to meet leads where they are, and gently guiding them towards a decision.
Understanding and respecting the buyer’s journey is vital in building strong, lasting relationships with clients and achieving long-term success in the competitive world of property management.
Balancing Lead Quantity and Closing Ratio in Property Management
During our insightful discussion, we also tackled whether the number of leads is more important than closing ratio. We agreed that while having a high volume of leads is often perceived as a marker of success, the true measure of effectiveness lies in the closing ratio. This perspective challenges the common emphasis on lead quantity and shifts the focus toward the quality and conversion of leads. An abundance of leads doesn’t guarantee business growth if the leads are not effectively converted into clients. A smaller pool of well-qualified leads, nurtured properly, could yield better results than a larger pool of less qualified leads.
It was also highlighted that focusing excessively on lead generation without a robust strategy for lead conversion can lead to missed opportunities and inefficiencies. The importance of aligning sales strategies with the capability to manage and convert leads was underscored. It was suggested that property management businesses should invest in training their teams on sales techniques, understanding client needs, and tailoring services to those needs to improve their closing ratios.
This part of the interview shed light on the strategic importance of balancing lead quantity with the ability to close deals effectively. It served as a reminder that in the property management industry, the ultimate goal is not just to attract leads but to convert them into long-term, profitable client relationships. This balance is key to sustainable business growth and success in the competitive world of property management.
Tailoring Lead Generation Strategies to Your Business Model
An important takeaway from Jennifer’s insights is the need to tailor lead generation and sales strategies to the specific business model and resources of your property management company. It’s not a one-size-fits-all scenario; what works for one company may not work for another. Jennifer suggests a thorough assessment of your business’s capabilities and market position before adopting any particular strategy.
Leveraging Technology in Property Management
Technology plays a pivotal role in modern property management lead generation. Jennifer discussed the importance of leveraging technology, such as CRM systems and automation tools, to streamline the lead generation and nurturing process. This technological integration can significantly enhance efficiency and effectiveness in managing property management leads.
Final Thoughts and Takeaways
As our enlightening conversation with Jennifer Merritt concluded, she reiterated the need for property management professionals to stay adaptable and responsive to the changing industry landscape. For those eager to delve deeper, RentScale offers a range of resources and training programs designed to empower Business Development Managers (BDMs) in refining their lead generation and sales tactics.
Thanks to Jennifer for joining us and sharing her invaluable insights! For more expert advice and industry insights, keep tuning into our podcast series. If you have any questions about how Fourandhalf can help you generate more leads through digital marketing, reach out today!
