Comprehensive Introduction to Apartment Marketing Strategies in California

1. California CAM

2. Introductions • Your name • Where you work • Your job responsibilities • How long you have been in the industry • What you hope to get from this class Marketing

3. Agenda • Introduction to Marketing • Conducting Market Analysis • Marketing Plan • Fair Housing in Marketing and Advertising • Promotional Marketing Marketing

4. Introduction to Marketing • The Property Manager’s Role • Understanding your Market • Factors impacting apartment markets • Marketing Mix • Marketing Success Factors Marketing Chapter 1

5. Marketing: Definition Integrated and coordinated activities, such as research and promotion, which focus inside and outside the community, to encourage recipients to rent or continue renting an apartment. Marketing Chapter 1

6. Property Manager Responsibility • Prepare and implement market plan • Price and analyze marketing and advertising materials • Identify present and future markets • Measure and monitor marketing efforts • Educate and involve onsite personnel in marketing efforts Marketing Chapter 1

7. Why Do Marketing? • To realize optimum value of a property • To meet financial goals • To achieve and maintain occupancy levels • To understand resident wants and needs Marketing Chapter 1

8. What is Your Market? All current and potential residents who want to live in the apartment community and who are qualified to live there. Marketing Chapter 1

9. Market Segmentation • Designed to reach a specific, smaller group, or target market, within the identified market • Classified according to characteristics such as: • Geography • Demographics • Lifestyle • Product benefits Marketing Chapter 1

10. Market Segmentation: Benefits • Allows for tailoring of marketing efforts • Provides insight into how to reach the customer through advertising and promotion • Allows companies to maximize resources while increasing likelihood of success Marketing Chapter 1

11. Factors Impacting Apartment Markets • Location • Demographic characteristics • Unit size and layout • Price • Physical • Economic • Governmental • Social Marketing Chapter 1

12. Marketing Mix: Definition Controllable variables the company blends to produce the desired market response. Marketing Chapter 1

13. Marketing Mix: 5 Ps • Product • Price • Promotion • Place • People Marketing Chapter 1

14. Product • Product or services offered (apartments and community) • Brand identity and logo • Evaluated and marketed by: • Reliability • Quality • Features Marketing Chapter 1

15. Monthly rent Fees Deposits Utility expenses Premium charges Price is influenced by: Location Interior upgrades Price Marketing Chapter 1

16. Promotion • Advertising • Public relations • Sales promotion • Relationship selling Marketing Chapter 1

17. Place • Distribution channel or method for making your product available • Define and market your property’s: • Physical location • Relative location • Comparative location Marketing Chapter 1

18. People • Onsite personnel • Management team • Contract workers • Marketing partners and vendors Marketing Chapter 1

19. Marketing Success Factors • Visionary • Goal oriented • Customer-focused • Team oriented • Communicated effectively • Consistent • Repetitive • Adaptable to change • Monitored and regularly evaluated Marketing Chapter 1

20. Skill Check #1 Chapter 1 – Introduction to Marketing Marketing Chapter 1

21. Chapter 2: Conducting a Market Analysis Marketing Chapter 1

22. Conducting Market Analysis • Market Analysis Basics • Regional and Neighborhood Analysis • Analyzing the Property and Its Location • Analyzing the Resident Population • Analyzing Competitors • Market Analysis Plan Marketing Chapter 2

23. Market Analysis: Definition • A formal approach to collection, analysis, interpretation and reporting of information for making rational marketing decisions • An ongoing process to understand customers, competitors and the industry Marketing Chapter 2

24. When to do Market Analysis • New construction • Rent increases • Annual budget preparation • Resident retention rate decreases • Unmet occupancy goals Marketing Chapter 2

25. Benefits of Market Analysis • Effectively target market/advertising campaigns • Identify opportunities in marketplace • Evaluate and establish rent levels and fee policies • Monitor what you are doing well and where to improve Marketing Chapter 2

26. Benefits of Market Analysis, continued. • Generate, refine and evaluate marketing efforts • Identify customer specific needs • Evaluate your success with measurable data • Communicate the market analysis findings and their implications Marketing Chapter 2

27. 3 Elements of a Market Analysis • Regional analysis • Neighborhood analysis • Property analysis Marketing Chapter 2

28. Elements of a Regional Analysis • Economic conditions • Recreational/entertainment venues • Government structure • Educational institutions Marketing Chapter 2

29. Elements of a Neighborhood Analysis • Boundary definition • Population characteristics and trends • Economic conditions • Property types • Amenity and educational opportunities • Crime activity • Others… Marketing Chapter 2

30. Property and Location Analysis • Perform to identify opportunities and key issues relating to the property and its location such as: • Whether features and benefits are being fully exploited • How new trends impact the property • How residents view quality and reliability • Allows for proactive marketing efforts Marketing Chapter 2

31. How to do a Property and Location Analysis • Collect data on properties features and location • Gather and examine property reports and documentation • List negative aspects that affect sales • Describe plans for future expansion • Compare results of research with existing marketing efforts • Decide how to improve on marketing to take advantage of property’s features and location Marketing Chapter 2

32. Resident Analysis • Contains information on residents’: • Satisfaction with service levels • Needs and wants • Demographic information • Helps identify: • People who fit current resident profile • Potential residents if repositioning Marketing Chapter 2

33. Provides: Potential rent levels Occupational targets Recommended amenity changes Resident Analysis, continued Marketing Chapter 2

34. How to do a Resident Analysis • Conduct resident survey • Examine property reports and documentation about prior and current residents • Describe target market: the characteristics of the consumer to whom you want to focus your marketing efforts. Marketing Chapter 2

35. Competitor Analysis • Includes information about other communities that compete with yours • Gives you an understanding of competitor’s: • Product • Services • Marketing strategies Marketing Chapter 2

36. Competitor Analysis, continued. • Helps you to: • Identify your competitive advantage • Identify areas of missed opportunity • Make innovative improvements • Identify categories of customers whose needs are not being met • Learn more about your market Marketing Chapter 2

37. How to do a Competitor Analysis • Collect information about competitors • Gather and examine reports and documents pertaining to competitors • Determine improvements you can make to product, services, and marketing Marketing Chapter 2

38. Market Analysis Plan • Describes how you will conduct your market analysis • Contains: • Objectives of the plan • Description of how you will identify marketing problems and opportunities • Description of how you will collect data • Description of how you are going to analyze results of research • A detailed timeline for completion Marketing Chapter 2

39. Activity #1 Market Analysis Marketing Chapter 2

40. Skill Check #2 Chapter 2 – Conducting Marketing Analysis Marketing Chapter 2

41. Chapter 3 The Marketing Plan Marketing Chapter 1

42. Marketing Plan • Marketing Plan Basics • Marketing Plan Development • Internal Market Readiness • Writing the Marketing Plan • Applying the SWOT Analysis • Marketing Objectives and Strategies • Marketing Plan Budget • Measuring the Success of Marketing Efforts • Guidelines for use and Evaluation of Marketing Marketing Chapter 3

43. Marketing Plan: Definition • Detailed, written account and time table of the objectives and methods to be used to achieve the property’s marketing goals. • Create when there is: • Critical need – new ownership • Repositioning – significant physical changes • Problem solving – media issues • Sustaining plan - ongoing Marketing Chapter 3

44. Marketing Plan: Purpose • Develop, guide, and coordinate marketing efforts • Road map to realizing goals Marketing Chapter 3

45. Benefits of Marketing Plan • Requires PM to evaluate objectively • Encourages effective use of resources • Promotes consistent messaging to management • Monitors and controls marketing costs • Assists in marketing decision-making process • Encourages involvement and participation • Relates to success or failure of property Marketing Chapter 3

46. Components of a Plan • Your community, amenities, and services • Pricing • Target market • Competitors • Marketing objectives • Marketing strategies • Budget • Promotional mix • Measurement and evaluation Marketing Chapter 3

47. Developing a Marketing Plan: Manager Responsibilities • Be familiar with every aspect of your product and its relative performance • Be knowledgeable about reporting and analysis • Provide and understand reports, their source, and their value Marketing Chapter 3

48. Activity #2: Goal: increasing occupancy. • What questions do you ask? • What factors do you consider? Marketing Chapter 3

49. Community Image • Image of the property perceived by the customer • Reflected in everything customers can see, hear, touch and feel • It is a team effort • Every aspect that employees have control over Marketing Chapter 3

50. Factors Impacting Impression • Personnel • Quality of content of correspondence and collateral materials • Appearance of community areas Marketing Chapter 3