Marketing 4 measurement with narration

transcript

Measurement

Our goal is to continually measure our performance using metrics designed to identify success in marketing, leasing and customer service.

ConAm as a whole does an excellent job controlling expenses, collecting delinquent rent, but marketing is an area we are not as disciplined.

Media Choices – 12 Years Ago

Newspaper• Classified• Display

Print Guides• Apt Guide• For Rent Mag.• Regional/Local

Drive-By• Banners• A-Frames• Bootlegs

Internet• Rent.net• Springstreet• AptGuide.com

Media Choices – 7 Years Ago

Internet• Apts.com• AptGuide.com• Move.com• ForRent.com• Rent.com• AptFinder.com• MyNewPlace.com• ApartmentTime.com• AllApartments.com• 4Walls.com• CraigsList.com• Plus…Regional Sites

Secondary Internet• KeyWord Search (PPC)• Banners/FCLs/FELs• On-Line Newspaper Ads

Media Choices – 3 years ago

Internet• Apts.com• AptGuide.com• Move.com• ForRent.com• Rent.com• AptFinder.com• MyNewPlace.com• ApartmentTime.com• AllApartments.com• 4Walls.com• CraigsList.com• Plus…Regional Sites

Secondary Internet• Key Word Search (PPC)• Banners/FCLs/FELs• On-Line Newspaper Ads• Syndication Networks

Media Choices – TODAY

Social Internet• Facebook• Twitter• Foursquare

How can you track and make sense of all this?

Call Centers

No prior contact (Walk-ins)

Availability Sessions/ Reservations

Leases

Screens

Applications

Appointments (Tours) Walk-ins (Tours)

Customers whoHave contacted us

Guest Cards ( PMS )

Leads to Leases

• For every 3 phone or email leads we get 1 walk-in

• For every 3 walk- ins we get 1 lease

Knowing this, lets look at cost per lead and cost per leases

“Half the money I spend on advertising is wasted; the trouble is I don’t know which half.” John Wannamaker (1838-1922)

National Metrics

Cost per lead:

• Under $15 – Great!

• $15 to $20 – Good

• $20 to $29 – OK

• Over $30 – Concern

National Metrics

Cost per lease:

• Under $350 – Great!

• $350 to $500 – Good

• $500 to $700 – OK

• Over $700 – Concern

Source ConAm BenchmarkApartmentGuide.com $266 $682Apartments.com $153 $349ForRent.com $257 $646Move.com $96 $152MyNewPlace.com $70 $141Rent.com $115 $303

Comparison of ConAm Data to MTS Benchmarks

Cost per Property per Month

Source ConAm BenchmarkApartmentGuide.com $15.19 $20.15Apartments.com $26.54 $22.30ForRent.com $25.02 $36.36Move.com $10.77 $10.17MyNewPlace.com $6.91 $11.14Rent.com $11.50 $14.94

Cost per Unique Lead

Source ConAm BenchmarkApartmentGuide.com $643 $854Apartments.com $723 $556ForRent.com $881 $1,097Move.com $776 $663MyNewPlace.com $191 $378Rent.com $229 $257

Estimated Cost Per Lease

We produce Cost per Lead/Lease reports monthly. RPM’s and DME’s will review and document changes.

Any addition or deletion of ad sources to go through the Directors of Marketing.

DME’s will share reasons for change to Marketing Services before any changes are made.

Changes need to be local with oversight.

Lead Analysis – Property Level

Source: Fairfield. Residential Report window: June 2009 - June 2010

Data must be looked at on a property by property level in order to take concrete actions

Cost per Unique Lead

Property Name ILS #1 ILS #2 ILS #3 ILS #4 ILS #5 ILS #6

The Shires $0.00 $28.81 $57.03 $0.00 $13.50 $22.92

The Willows $25.82 $21.14 $91.00 $0.00 $13.50 $37.88

The Grove $0.00 $29.02 $94.07 $8.41 $12.18 $9.62

The Peaks $43.25 $84.34 $0.00 $71.65 $13.50 $68.67

Forest View $11.96 $31.11 $66.62 $9.49 $13.50 $36.19…..

Average $33.63 $22.98 $110.29 $16.51 $16.40 $28.83$33.63

Cost per Lead/Lease reports will be produced monthly along with recommendations and decisions.

This is a tool, not a task…and not optional as we change our culture.

• It’s important we make decisions based on data.

• Look at data regionally and by community

• Be nimble, strategic and purposeful in our marketing decisions.

• Try something new – less costly.

• Try Craigslist.

• Review monthly and change quarterly.

• All contracts are being negotiated to leverage ConAm’s size.

Standards

Success Ratios

ConAm 2010 = 30%

By Region:Arizona = 31%Colorado = 23%Las Vegas= 35%Northern California = 26%Southeast = 30%Southern California = 32%Washington = 41%

Walk-in traffic converts at 33%, or 1 lease for every 3 tours .

• Make everyone aware of it.• Discuss it weekly.• Look over a 3 month period.

Nationally walk-in traffic converts at 33%, or 1 in 3. So, our standard is 33%.

• Make everyone aware of it.• Discuss it weekly.• Look over a 3 month period.• Coach/counsel.• Use the service evaluation tool.• Core values

Video Service Evaluations

• All associates will be evaluated 1x per year.

• Monthly schedule

• Follow the Service evaluation action plan

• New company – Measure Consumer Perspectives (MCP)

• Cost $175

• Guarantee 30 day delivery

• Reward success.

Business Plans

New standard

• For 2012 budgets, a business plan and marketing plan will accompany the budgets.

• Template for both will be distributed in June.

Business Plan Strategy

• 1 page

• Owners goals and community goals• Revenue

• Expenses

• Occupancy

• Leasing

• Marketing

The Marketing Plan is the tactical approach each month to achieve community goals and meet owner’s objectives.

Marketing Audit

• To be developed and implemented 4th quarter.

• Quarterly

• Compliance with standards.

• Consistency, message, voice

• Cost effectiveness

Marketing Audit

• Staff success

• Utilization of tools (Rent Ranking, Demographics, Cost per lead/lease)

• Business Plan

• Marketing Plan

• Marketing Recap binder

Geese have a clear understanding of the mission.

They know and show the way.

They support each other to keep moving in the right direction.

They willingly take up the slack when others in the group tire.

They communicate quite effectively.

They are good leaders and team members as well.

“The only constant is change.” – Heraclitus, 500 B.C.

Marketing 4 measurement with narration

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