We are starting to see a term more and more in multifamily. “Renewal Leads”. But what are renewal leads and why are we using this new term to describe them?
Renewal leads is simply an alternative way to think about residents in your community. A resident is a renewal that is waiting to happen. By using this new phrase to refer to residents it changes the vantage point from which we view them.
Treat Residents Like Renewal Leads
When working with a prospective renter we practice some basic sales principles:
- Understand their paint points, what problems are they trying to solve? Is it location, price, amenities, pet friendly?
- Speak to your solutions for those pain points. Granite finishes, heated pool, bark park, near the train station?
- Hyper personalize your outreach to create content that speaks to each prospect individually.
- Track and measure your success or lack there of in your sales efforts so you can adjust with data informed decisions.
- Create best practices and principles for follow up and communication to yield the best results.
- And the list goes on…
Do you have a similar list for residents? If not, why not? Residents continued business is not guaranteed. There are many factors that play into a residents decision to renew. These factors will be unique to the resident, property, and market. By understanding what these factors are we can target which solutions for these “problems” throughout the lifecycle of a resident we need.
Why Do Residents Decide To Renew?
In a recent article from The Rental Housing Journal, Tony Sousa, vice president of operations at RPM Living. said:
“The biggest impact on renewals continues to be the communication between residents and onsite teams”.
This is an incredibly relevant statistic. By building report and candor with residents we can ensure our finger is on the pulse of their renewal decision.
The “discovery” phase of residents is extremely important when crafting an effective renewal strategy. What makes this resident love, or hate, the community they are in? Understanding this means we can personalize their experience as a resident and greatly increase their chance of renewal when their lease is up for expiration.
How To Manage Communication For Your Renewal Leads
Keeping up with follow up for hundreds of prospects is hard. Keeping up with communication for hundreds of residents isn’t any easier. Leveraging modern technology, AI, and automation is a great way to solve for this problem.
What’s important to consider when implementing new technology is what is right for you. Each property has different needs, different budgets, and different capacity. There is not a one size fits all here. Fortunately there are many great solutions for different use cases in the world of multifamily today! Start by figuring out what you want to automate to get headed in the right direction!
Myself or any member of the Nurture Boss team is happy to help! Reach out with the link below to learn more.
