Download Introductions Agenda Introduction to Marketing Marketing

Introductions
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Your name
Where you work
Your job responsibilities
How long you have been in the industry
What you hope to get from this class
Course 5: Marketing
Agenda
Introduction to Marketing
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Introduction to Marketing
Conducting Market Analysis
Marketing Plan
Fair Housing in Marketing and Advertising
Promotional Marketing
Course 5: Marketing
The Property Manager’s Role
Understanding your Market
Factors impacting apartment markets
Marketing Mix
Marketing Success Factors
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Course 5: Marketing Chapter 1
Marketing: Definition
Why Do Marketing?
Integrated and coordinated
activities, such as research and
promotion which focus inside and
promotion,
outside the community, to
encourage recipients to rent or
continue renting an apartment.
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Course 5: Marketing Chapter 1
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To realize optimum value of a property
To meet financial goals
To achieve and maintain occupancy levels
To understand resident wants and needs
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Community 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
Course 5: Marketing Chapter 1
All current and potential residents who want
to live in the apartment community and
who are qualified to live there.
there
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• Allows companies to maximize resources while
increasing likelihood of success
Geography
Demographics
Lifestyle
Product benefits
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Factors Impacting Apartment Markets
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Location
Demographic characteristics
Unit size and layout
Price
Physical
Economic
Governmental
Social
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• Allows for tailoring of marketing efforts
• Provides insight into how to reach the
customer through advertising and
promotion
• Designed to reach a specific, smaller group,
or target market, within the identified market
• Classified according to characteristics such
as:
Course 5: Marketing Chapter 1
Course 5: Marketing Chapter 1
Market Segmentation: Benefits
Market Segmentation
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What is Your Market?
Course 5: Marketing Chapter 1
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Marketing Mix: Definition
Controllable variables the company
blends to produce the desired market
response.
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Course 5: Marketing Chapter 1
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Marketing Mix: 5 Ps
Product
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• Product or services offered (apartments
and community)
• Brand identity and logo
• Evaluated
E l t d and
d marketed
k t db
by:
Product
Price
Promotion
Place
People
– Reliability
– Quality
– Features
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Course 5: Marketing Chapter 1
Price
Promotion
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Monthly rent
Fees
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Deposits
Utility expenses
Premium charges
Price is influenced by:
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Advertising
Public relations
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Sales promotion
Relationship selling
– Location
– Interior upgrades
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Course 5: Marketing Chapter 1
Place
People
• Distribution channel or method for making
your product available
• Define and market your property’s:
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– Physical location
– Relative location
– Comparative location
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Onsite personnel
Management team
Contract workers
Marketing partners and vendors
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Skill Check #1
Marketing Success Factors
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Visionary
Goal oriented
Customer-focused
Team oriented
Communicated effectively
Consistent
Repetitive
Adaptable to change
Monitored and regularly evaluated
Course 5: Marketing Chapter 1
Chapter 1 – Introduction to Marketing
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Chapter 2:
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Market Analysis: Definition
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Market Analysis Basics
Regional and Neighborhood Analysis
Analyzing the Property and Its Location
Analyzing the Resident Population
Analyzing Competitors
Market Analysis Plan
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When to do Market Analysis
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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
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Conducting Market Analysis
Conducting a Market Analysis
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New construction
Rent increases
Annual budget preparation
Resident retention rate decreases
Unmet occupancy goals
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Benefits of Market Analysis (cont’d)
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
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• Regional analysis
• Neighborhood analysis
• Property analysis
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Elements of a Regional Analysis
Economic conditions
Recreational/entertainment venues
Government structure
Educational institutions
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Property and Location Analysis
Boundary definition
Population characteristics and trends
Economic conditions
Property types
Amenity and educational opportunities
Crime activity
Others…
Course 5: Marketing Chapter 2
Course 5: Marketing Chapter 2
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Elements of a Neighborhood
Analysis
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Generate, refine and evaluate marketing efforts
Identify customer specific needs
Evaluate your success with measurable data
Communicate the market analysis findings and
their implications
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3 Elements of a Market Analysis
Course 5: Marketing Chapter 2
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• Perform to identify opportunities and key
issues relating to the property and its
location such as:
– Wh
Whether
th ffeatures
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and
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benefits
fit are b
being
i ffully
ll
exploited
– How new trends impact the property
– How residents view quality and reliability
• Allows for proactive marketing efforts
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Course 5: Marketing Chapter 2
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How to do a Property and Location
Analysis
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Resident Analysis
Collect data on properties features and location
Gather and examine property reports and
documentation
List negative aspects that affect sales
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Describe
ib plans
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ffor ffuture
t
expansion
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Compare results of research with existing marketing
efforts
Decide how to improve on marketing to take
advantage of property’s features and location
Course 5: Marketing Chapter 2
• Contains information on resident’s:
– Satisfaction with service levels
– Needs and wants
– Demographic information
• Helps identify:
– People who fit current resident profile
– Potential residents if repositioning
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Resident Analysis (cont’d)
1. Conduct resident survey
2. Examine property reports and
documentation about prior and current
residents
3. Describe target market: the
characteristics of the consumer to whom
you want to focus your marketing efforts.
– Potential rent levels
– Occupational targets
– Recommended
R
d d amenity
it changes
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Competitor Analysis (cont’d)
Competitor Analysis
• 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
• Includes information about other
communities that compete with yours
you an understanding
g of
• Gives y
competitor’s:
– Product
– Services
– Marketing strategies
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How to do a Resident Analysis
• Provides:
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How to do a Competitor Analysis
Market Analysis Plan
1. Collect information about competitors
2. Gather and examine reports and
documents pertaining to competitors
3 Determine
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D t
i iimprovements
t you can make
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to product, services, and marketing
• Describes how you will conduct your market
analysis
• Contains:
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– Objectives of the plan
– Description
D
i ti off h
how you will
ill identify
id tif marketing
k ti
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
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Course 5: Marketing Chapter 2
Activity #1
Skill Check #2
Market Analysis
Chapter 2 – Conducting Marketing
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Analysis
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Marketing Plan
Chapter 3
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The Marketing Plan
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Marketing Plan Basics
Marketing Plan Development
Internal Market Readiness
Writing
g the Marketing
g 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
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Marketing Plan: Definition
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Marketing Plan: Purpose
Detailed, written account and time table of the
objectives and methods to be used to achieve
the property’s marketing goals.
C t when
Create
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there iis:
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• Develop, guide, and coordinate marketing
efforts
p to realizing
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goals
• Road map
Critical need – new ownership
Repositioning – significant physical changes
Problem solving – media issues
Sustaining plan - ongoing
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Course 5: Marketing Chapter 3
Benefits of Marketing Plan
Components of a Plan
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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
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Developing a Marketing Plan:
Manager Responsibilities
Your community, amenities, and services
Pricing
Target market
Competitors
Marketing objectives
Marketing strategies
Budget
Promotional mix
Measurement and evaluation
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Community Image
• Image of the property perceived by the
customer
y
g customers can
• Reflected in everything
see, hear, touch and feel
• It is a team effort
• Every aspect that employees have control
over
• Be familiar with every aspect of your
product and its relative performance
g
about reporting
p
g and
• Be knowledgeable
analysis
• Provide and understand reports, their
source, and their value
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How to Obtain/Maintain Positive
Image
Factors Impacting Impression
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• Personnel
• Quality of content of correspondence
and collateral materials
• Appearance of community areas
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How to Obtain/Maintain Positive
Image (cont’d)
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Place
Product
People
Price
Promotion
• Frame conclusions
• Outline recommendations
• SWOT analysis to clarify goals and action items
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SWOT: Benefits
Strengths
Weaknesses
Opportunities
Threats
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• Research and document five P’s
SWOT: Definition
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Writing the Plan
Grounds maintenance
Common areas
Entry ways
Information center
Model apartments
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Attitude
Team meetings and training
Community Products-newsletter, brochures
Web site
Office, Facilities, Amenities and equipment
Curb appeal
Signage
• Define changes in economic trends
and market factors
p identify
y ways
y to increase and
• Help
exceed resident expectations
• Reveal opportunities to gain a
competitive advantage
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Activity #2: SWOT Analysis
Strengths
Weaknesses
„What
advantages do we have?
do we do well?
„What resources do we have access to?
„What do our residents see as our
strengths?
„What
„What
„What
Opportunities
Threats
„What
„What
are the opportunities facing us?
„What are the interesting trends in our
industry?
„What are the interesting trends in our
geographic area?
„Can we identify specific opportunities that
will open up if any of our weaknesses are
eliminated?
Marketing Objectives
• Identifies a specific goal
• Defines successful achievement of goal
• Are clear, measurable, assigned a time
f
frame,
consistent
i t t with
ith one another
th
could be better?
do we do badly?
should we avoid?
„Can any of our weaknesses be turned
into opportunities?
„What
obstacles do we face?
is our competition doing?
the required specifications for our
products or services changing?
„Is changing technology threatening our
market position?
„Could any of our weaknesses seriously
threaten our business?
„What
„Are
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Marketing Strategy
Marketing Plan Budget
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• Shows amount allocated for expenditure
on marketing activities in a specified
period
• Understand owners investment goals for
the property
• Allocate a percentage (i.e. 2%) of gross
sales
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Outlines steps to take to achieve marketing
objectives
Contains five goals:
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Provides residents with what theyy want
Highly differentiated from competitors
Delivers high impact
Places product in appropriate distribution
Provides appropriate support
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Measuring Success
Use and Evaluation
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• Purpose: to make adjustments to plan to allocate
marketing dollars
• Consider the following:
Actual results
Number of new leases signed
Number of residents retained
Cost/lease
Cost/traffic by source
Improved budget performance
Course 5: Marketing Chapter 3
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Establish evaluation procedures before
Monitor
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d evaluate
l t att sett intervals
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Keep good records
Organize information
Compare results from advertising with marketing
objectives
– Be realistic
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Activity #3:
Skill Check #3
Marketing Plan Budget
Chapter 3 – Marketing Plan
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Fair Housing in Marketing and
Advertising
Chapter 4
• Marketing Impact on Fair Housing Issues
• Advertising Impact on Fair Housing Issues
Fair Housing in Marketing and Advertising
• Liability for Marketing/Advertising
Discrimination
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Course 5: Marketing Chapter 4
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Developing your plan to avoid fair
housing problems
FHA and Advertising
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• The FHA prohibits publishing, making or
printing any advertisement regarding the
sale or rental of a residence that specifies a
preference of race, color, religion, sex,
handicap, familial status or national origin.
Cover all aspects of marketing
Written
Review regularly
Evaluate and modify as necessary
Ensure there are non-discriminatory goals
and objectives
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Considerations in the Marketing
Mix
HUD Regulations: Affirmative
Marketing
• HUD regulations specifically bar owners
from selecting “media or locations for
advertising the sale or rental of dwellings
which deny particular segments of the
housing market information about housing
opportunities because of …” protected
class.
• Product- describe property not people,
avoid quiet, exclusive
• Price
• Promotion
• Place
• People
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Fair Housing Checklist
Measuring Success
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• Were members of protected classes reached?
• Was a fair and impartial sampling of the
geographic area represented?
• Do
D th
the numbers
b
iindicate
di t any variation
i ti iin results
lt
along protected class lines?
What will the message be?
How will the message be distributed?
Where will the message be distributed?
Which tools have more defined or narrow
distributions?
• Do any of the tools send specific “images” to
the customers?
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Tips on Fair Housing Marketing
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Tips on Fair Housing Marketing
• Practice inclusive marketing
• Keep copies and records
of ads and their
placement
• Create and record marketing policies and plans
• Federally assisted properties are required to create an
g Marketing
gp
plan
Affirmative Fair Housing
• Include the Fair Housing
logo
• Consider using media catering to ethnic groups
• If direct marketing, avoid targeting by specific demographics
or zip codes
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Rent Specials and Concessions
Tips on Internet Marketing
• Clearly state start date and time
• Ensure staff offer same programs to all prospects
• Ensure timing of ads with program description
p g
matches timeframe for program
• Monitor staff use of programs
• Be cautious about negotiating rents
• Follow state and local laws regarding referral fees
• Apply same guidelines to programs associated with
lease renewals
• As a marketing medium
• Company Web site
– Promotions current, accurate and nondi i i t
discriminatory
• Third party Web site
– Promotions current, accurate and nondiscriminatory
• Written policy for responses
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Avoiding Symbolism in the Rental
Office
– Lifestyle
– Religion
– Even politics can push hot buttons
• Includes bulletin boards & binders
• Includes offices located in the manager’s
apartment
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References to Avoid
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An exclusive or private community
Latino or Asian neighborhood
Close to churches
Quiet, peaceful, restful community
Ideal for seniors
For the active lifestyle or active seniors
Adult community or independent living
“Special needs”
Course 5: Marketing Chapter 4
• Consider demographics
• Use Equal Housing Opportunity logo properly
• If using clip art forms rather than real people,
use caution
• Display Fair Housing poster in Leasing Center
• Use inclusive and appropriate language
• Never advertise something you do not have
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Phrases to Avoid
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Tips on Fair Housing in Advertising
• Symbolism can indicate a preference or
limitation
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Race
Skin colors
National origin
Religion
Sex
Familial status
(except senior
housing)
• Handicap
• References to the
resident
characteristics, such
as “professionals”
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Use of Human Models
Liability for Discrimination
• When using human models:
• Senior housing
– Property Managers can face discrimination
charges if property not bona fide senior housing
• Some fair housing agencies monitor advertising
• Investigators will review advertising
• Internet laws state that a third party cannot be liable
– Use a diverse and representative sampling of the larger
community
– Demonstrate that all persons are welcome
– Include different races, age groups, nationalities,
families with children and the disabled
– In senior housing, you do not need to include families
with children
– Show them in equal social settings
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Course 5: Marketing Chapter 4
Staff Training
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Skill Check #4
ƒ Staff training should include the following
activities.
ƒ Share the marketing plan with the staff.
ƒ Make sure the staff understands proper and timely
recording of available units and those units in the
make-ready process.
ƒ Establish firm policies for responding to telephone, inperson and electronic traffic.
ƒ Ensure the staff asks prospects about how they heard
about the property.
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Promotional Marketing Topics
Chapter 5
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Promotional Marketing
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Chapter 4 – Fair Housing in Marketing
and Advertising
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Types of promotion
Advertising
Marketing tools and advertising media
Media selection
Advertising campaign development
Public relations
Sales promotions
Internal marketing
Relationship selling
Sales approach to marketing
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Promotional Marketing: Definition
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Promotion Objectives: IDA
Form of communication that is used to
inform and persuade people about a
product or service
Used to improve public image
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Promotion Types
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Advertising: Definition
Advertising
Public relations
Sales promotion
Relationship selling
Course 5: Marketing Chapter 5
Attention: awareness
Interest: knowledge/information
Desire: liking/preference
Action: conviction/purchase
• Non-personal promotion of product, service or
company in mass media that is openly paid for
and/or sponsored by you.
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Purpose of Advertising
Goals of Advertising
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• Establish and maintain awareness and positive
image
• Create a real or perceived need for product
• Develop sales leads
• Persuade customers that your product is best for
them
• Promote events
• Lead potential residents to rent from you
To increase qualified traffic
To keep apartments rented
To promote product
To make buyer aware of your product
and move the buyer to action
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Advertising Strategies
Advertising
- Do’s and Don'ts
• Carefully considered approach that you will
take to let community know about your
property
• How you will connect advertising media to
message, target or goal
• Focused on enhancing value of property
- Techniques to advertise your property
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Is your strategy effective?
• Apartment publications and rental
magazines
• Online or Internet marketing
• Newspapers
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• Direct mail
• Visual traffic generators
• Directive brochures
Is it simple?
Is it specific?
Is it durable?
Does the strategy maximize your ability to
advertise?
Are the results measurable?
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Marketing Tools and Advertising
Media
Activity #4
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Marketing Tools and Advertising
Media, continued
Media Selection
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Radio
Television
E-Marketing
Marketing through other merchants or
vendors
• Transit advertising
• Outdoor billboards
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Advertising objective
Target audience
The message and frequency
Budget
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Advertising Campaign
Development Process
Advertising Campaign: Definition
• Program of coordinated ads and other
promotional activities intended to
accomplish specific objectives.
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1.
2.
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4.
5.
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Advertising Campaign: Message
and Theme
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Ongoing relationships that exist between
the apartment community and the public
positive image
g
Use to create a p
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Sales Promotions: Definition
Public Relations Activities
• Employee relations
• Resident relations – Resident Appreciation
week
• Community
C
it relations
l ti
• Publicity
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Public Relations: Definition
• Identify a theme
• Include a color scheme
• Include message on every aspect of
marketing
k ti collateral
ll t l
• Train staff
• Offer incentive
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Establish goals
Enhance use of media visibility
Compile media database
Send collateral material
Contact recipients
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• Sales activities designed to consummate a sale
or increase the size of the sale of goods or
services by providing the incentive to make a
positive purchase decision.
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Sales Promotions Techniques
Internal Marketing
• Used to
• Refers to the onsite marketing practices
that occur within the apartment
community.
• Includes staff and resident involvement in
marketing
– motivate leasing professionals to improve
– Induce potential residents to rent
• Encompass
E
– Price-reduced rent packages, coupons
– Utility offers
– Contests or incentives
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Relationship Selling: Definition
Relationship Selling: Purpose
• “Custom tailoring information to individual
people” (NALP)
• Flexible and individualized
• Requires
R
i
well-trained
ll t i d associates
i t who
h can
develop relationships with prospective
residents and align wants and needs with
features and benefits
• To close a sale once the prospective
resident is attracted to the apartment
community.
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Successful Sales Personnel
Selling versus Marketing
• Knowledgeable of all aspects of product
• Know the customer wants and needs and how
they make decisions
• Have good communication, observation,
li t i and
listening
d questioning
ti i skills
kill
• Employ strategies to overcome customer
objections
• Use proven selling techniques
• Know how and when to close sale
• Selling:
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– Communicates to a particular prospect how your
community can fill their needs
– Impact: Personal and relational
– Addresses a specific opportunity
• Marketing
– Brings product in contact with current or prospective
resident
– Impact: broad and applies to many
– Continuous
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Marketing Involves
Sales Promotions
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• Involve activities that stimulate consumer
purchasing and increase effectiveness
• Located at point of purchase
• Supplement other parts of total marketing
efforts
• Designed to increase sales over a short
period of time
Goals
Research
Analysis
Evaluation and measured results
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Sales Activities
Skill Check #5
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Chapter 5 – Promotional Marketing
Preparation
Prospecting
Relationship building
Getting appointments
Interviewing
Responding to needs or prescribing your
solution
• Obtaining commitment
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