Like other businesses, the property management industry is bound to change in the next decade. The trend is more likely to skew towards internet usage to find rental properties. In a study conducted by the Internet World Stats on internet usage in the United States, roughly 77.3% of the American population used the internet to find information as of December, 2010. So renters are more likely to rely on the internet to find apartments for rental because:
1. The Generation Y Interacts In a Different Way
The Generation Y is the age group that was born in the 1980s and 1990s. Unlike the previous generation, they have expertise in both digital and electronic technology. As a result, they prefer to:
– Use emails or short text messages to phone calls to communicate.
– Complete online rental forms rather than fill a hardcopy.
– Utilize automatic online payment services to signing and hand delivering checks.
In order to find potential renters, property management companies need to adjust according to the needs of the Generation Y.
2. Tenants Are Increasingly Relying on Online Reviews
According to a research by J Turner Research, more and more people are banking on online review sites to find apartments to lease. As per the survey:
– 64% of high-rise occupants depended on online rental listing sites to identify their apartments.
– 74% of those interviewed relied on online ratings when looking for their current apartments.
– More than 90% of the respondents used Facebook to find neighborhood information, for example, community events and restaurants.
The findings also reveal that tenant retention rates can be enhanced by using social media sites such as Twitter to educate tenants on the positive aspects of a neighborhood.
Embracing online reputation management is essential in ensuring that property management companies remain competitive.
3. Mass Marketing Is No Longer Effective
In order to increase their ROI (Return on Investment), businesses are adopting customized marketing. This form of advertising not only enables a business to understand its audience, but market exclusively to them. The benefits of personalized marketing include:
– The ability to improve tenant retention rate.
– The capacity to increase conversion rates.
The future of property management is promising. But in order for property managers to gain a competitive edge, they need to make changes to their marketing techniques. For instance, they need to start using social network sites to increase their exposure by highlighting the important features of an area.