Every leasing team wants residents to renew. What’s less clear is how they should go about getting renewals.
Industry pros generally agree that retention efforts should start the minute someone becomes a resident, but individual meetings are time-consuming and identifying who’s likely to renew can be tricky.
During this week’s #AptChat, we discussed the renewal process, what kinds of renewal incentives are worthwhile and more; these are the highlights. (Click the links to jump straight to a specific question.)
- Q1: When do you start thinking about renewing a current resident? What does that process look like for you?
- Q2: As you get closer to renewal (90-120 days out), what kind of touch points work well for you? Where do you think we can improve?
- Q3: Renewal incentives. Yes? No? What do residents respond to best? What kinds of upgrades get the renewal and help you add value?
- Q4: What’s your one go-to tip for getting the renewal?
When do you start thinking about renewing a current resident? What does that process look like for you?
A1: I personally start thinking about it as soon as they move in! From Day 1 my goal = keep them by creating a great experience. #aptchat
— Khara (@leftnwrite08) March 21, 2017
A1 (cont) Realistically I think many start considering renewal at standard touch points: maybe 90 days, 120 days, then NTV time. #aptchat
— Khara (@leftnwrite08) March 21, 2017
@AptChat Retention starts the day they first tour. Then should amp up from the time they move in. #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@AptChat All part of ongoing sales strategy from time of lease, move in exp. & customer service/sense of community through term. #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
@AptChat And if we just send a letter & don’t set a renewal appointment-we are making a critical error in our retention strategy. #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
@StephanieOehler As a consumer, I don’t need an appointment. By the time you ask, I already know if I’m renewing or not. #AptChat
— Mike Whaling (@mwhaling) March 21, 2017
@mwhaling@StephanieOehler True. The appt/offer to meet can = effective touch point to show “I want to talk to you” (be present) #AptChat
— Khara (@leftnwrite08) March 21, 2017
@mwhaling When do you know? #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
@StephanieOehler Prob going to be different for everyone. But I’d guess most ppl have an idea whether they’re staying in the 1st 3-6 mos.
— Mike Whaling (@mwhaling) March 21, 2017
@mwhaling This confirms we must stay focused throughout. Good news is you haven’t started your search yet. We still have a chance. #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
@StephanieOehler@AptChat I struggle with this. Wonder what would happen if ren letter included invite to chat over coffee/tea! #aptchat
— Khara (@leftnwrite08) March 21, 2017
@leftnwrite08@StephanieOehler@AptChat But shouldn’t we invite them for that BEFORE they’re up for renewal? #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@StephanieOehler@leftnwrite08@AptChat So really, there should be specific touch points & activities scheduled from day 1. cont..#AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@StephanieOehler@leftnwrite08@AptChat Cont…Not just touch points and activities scheduled for the last 90-120 days of their lease #Aptchat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@Marketing_Mommy@leftnwrite08@StephanieOehler@AptChat in a perfect world, we would chat over coffee/tea 3-6 months after move-in
— Jordan Easley (@Uncle_Doodah) March 21, 2017
@Marketing_Mommy@leftnwrite08@StephanieOehler@AptChat again, problem is bandwidth for site staff. How do find them free time to do this?
— Jordan Easley (@Uncle_Doodah) March 21, 2017
Automate as much as possible. #AptChathttps://t.co/bmKCex2Xsr
— Mike Whaling (@mwhaling) March 21, 2017
@mwhaling Exactly! It can be automated w/out feeling it’s automated. We do it for sales/leasing why not retention? #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@mwhaling When you automate some time-consuming pieces of the process, site team can focus on really making connections (and coffee)#AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@leftnwrite08@Marketing_Mommy@StephanieOehler@AptChat know of any tools that help monitor likelihood to renew?
— Jordan Easley (@Uncle_Doodah) March 21, 2017
No tools I’m aware of. Most data I’ve seen is skewed to help the vendor sharing the “study.” #AptChathttps://t.co/8Eecvx5fCd
— Mike Whaling (@mwhaling) March 21, 2017
@mwhaling would be interesting to qualify residents like some of us qualify prospects. Focus more on residents who are at-risk #aptchat
— Jordan Easley (@Uncle_Doodah) March 21, 2017
@AptChat@mwhaling social media engagement, email newsletter engagement, payment history, maintenance history. More could be done manually?
— Jordan Easley (@Uncle_Doodah) March 21, 2017
.@Uncle_Doodah@mwhaling Also need to consider RevMgmt as part of this. Are some renewals not worth chasing due to mkt factors? #AptChat
— Apartment Chat (@AptChat) March 21, 2017
@Uncle_Doodah@mwhaling If they live in an apt style you have zero availability in, it’s easier to let them go (sometimes) #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@Uncle_Doodah@Marketing_Mommy@leftnwrite08@AptChat We do overload sales with operations “stuff”. Should be separate job roles. #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
@StephanieOehler@Marketing_Mommy@leftnwrite08@AptChat true – need different personalities for each, honestly
— Jordan Easley (@Uncle_Doodah) March 21, 2017
@StephanieOehler@Uncle_Doodah@leftnwrite08@AptChat But don’t you think residents like & trust the person they first rented from? #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@Marketing_Mommy@Uncle_Doodah@leftnwrite08@AptChat yes!Sales leases & renews. Operations manages personnel, financials, for ex. #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
@StephanieOehler@Uncle_Doodah@leftnwrite08@AptChat And another point – some leasing teams aren’t bonused on retention(only m/i). #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@AptChat@Marketing_Mommy@Uncle_Doodah@leftnwrite08 we don’t spend enough time on this. Compensate based on desired outcome. #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
@StephanieOehler@AptChat@Uncle_Doodah If overall service is extraordinary, retention rates will go up automagically #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
.@AptChat as soon as they sign the original lease! Tenant retention & renewals should be a continuous process from day 1. #AptChat
— Places4Students (@Places4Students) March 21, 2017
@AptChat@leftnwrite08 apts tend to market largely to new prospects & overlook current residents. Simply treat them as equals. #AptChat
— Places4Students (@Places4Students) March 21, 2017
@Places4Students@AptChat@leftnwrite08 I agree. Shld be similar sales strategy to when they first rented. #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@AptChat@Places4Students Really it’s about remembering they’re still a prospect. We sometimes let them move-in and get neglected. #aptchat
— Khara (@leftnwrite08) March 21, 2017
@AptChat@Places4Students@leftnwrite08 Any specific renewal-specific marketing tactics to current residents? #aptchat
— Dyverse (@dyverse) March 21, 2017
@dyverse@AptChat@Places4Students Anything big/small we can do to remind a res they’re more than just rent makes a BIG difference! #aptchat
— Khara (@leftnwrite08) March 21, 2017
@leftnwrite08@dyverse@AptChat@Places4Students Gotta pay close attn. 2 those residents you NEVER hear from during their lease term#AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
.@dyverse@AptChat@leftnwrite08 tenant perk programs seem to be on the rise, we talked about them here – https://t.co/1kz4mS6cmI#AptChat
— Places4Students (@Places4Students) March 21, 2017
@Places4Students@dyverse@leftnwrite08 Except money and unit upgrades are the top incentives to get people to stay? Is that right? #AptChat
— Mike Whaling (@mwhaling) March 21, 2017
@mwhaling@Places4Students@dyverse Incentives, yes. I still see a difference b/t incentives to stay and reasons to stay. #aptchat
— Khara (@leftnwrite08) March 21, 2017
@dyverse@AptChat@Places4Students Reminding of favorite amenities/community spots. Check-ins. Res appreciation events, etc. #aptchat
— Khara (@leftnwrite08) March 21, 2017
@leftnwrite08 so good! Make sure they know about events, local news, etc throughout their lease term @AptChat@Places4Students#aptchat
— Jordan Easley (@Uncle_Doodah) March 21, 2017
@AptChat@Places4Students Prospect = someone deciding whether or not to live at your community. Renewal = remaking up their mind! #aptchat
— Khara (@leftnwrite08) March 21, 2017
Someone’s always making a sale, right? Why not you? #AptChathttps://t.co/kzsRYI2g7N
— Apartment Chat (@AptChat) March 21, 2017
@leftnwrite08 Some bad habits are engrained in site staff b/c prospects get better deals & more attention than residents. #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@Marketing_Mommy@leftnwrite08 And leasing team is more compensated for leases than renewals. We follow the money…. #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
As you get closer to renewal (90-120 days out), what kind of touch points work well for you? Where do you think we can improve?
@AptChat Let’s change up the message- “we are celebrating your move in anniversary- Let’s keep the magic going for another year!” #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
@StephanieOehler@AptChat Agree w/that – much more positive and a celebration instead of “here’s how much your rent is going up” #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@Marketing_Mommy@StephanieOehler It’s an opportunity to show “here’s what we’ve put into the prop” too. Sell increase in value. #AptChat
— Apartment Chat (@AptChat) March 21, 2017
@AptChat “Up for renewal” sounds like work- anniversary sounds like fun! #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
@StephanieOehler@AptChat What would happen if we did that to employees? Hey, you’ve been here 1 year, you’re up for renewal”Yikes! #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@StephanieOehler@AptChat Getting all kinds of wild ideas to celebrate a leaser-versary … #mwahaha#aptchat
— Khara (@leftnwrite08) March 21, 2017
@leftnwrite08@StephanieOehler That’s an easy email/social sequence to automate (and celebrate)! #AptChat
— 30 Lines (@30lines) March 21, 2017
Renewal incentives. Yes? No? What do residents respond to best? What kinds of upgrades get the renewal and help you add value?
A3: Incentives are icing on the cake, not the cake. Better based on the reason the resident stayed. #aptchat
— Khara (@leftnwrite08) March 21, 2017
@leftnwrite08 So incentivize on reviews, customer service scores, surveys instead of each renewal lease? That’s what I’m going for #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@Marketing_Mommy Maybe. It’s about being more personal. What means more to this resident: a carpet clean or a thank you card? #aptchat
— Khara (@leftnwrite08) March 21, 2017
@leftnwrite08@Marketing_Mommy What if Move In thank you card included a free carpet clean for them to use anytime during lease? #aptchat
— Stephanie Oehler (@StephanieOehler) March 21, 2017
@StephanieOehler@Marketing_Mommy That, or whatever means most to them. An incentive loses value when it means less to the person. #aptchat
— Khara (@leftnwrite08) March 21, 2017
@Marketing_Mommy (cont) What if the whole residency is “incentivized”? A constant “thank you”? What “perks” live t/o the residency? #AptChat
— Khara (@leftnwrite08) March 21, 2017
@leftnwrite08 To me, this encourages that contact & care throughout the process, not just the last 90 days. #AptChat
— Kristi Fickert (@Marketing_Mommy) March 21, 2017
@Marketing_Mommy Yes! And it has to be a team project. One person can’t take it all on. It requires team buy-in! #aptchat
— Khara (@leftnwrite08) March 21, 2017
. @AptChat best incentives, survey says! Monetary incentives #1, unit upgrades #2, free services #3 & household item #4 #AptChat
— Places4Students (@Places4Students) March 21, 2017
.@AptChat for those curious renewal incentive survey info can be found here – https://t.co/dCfYxTF8S4 VIA @SoftwareAdvice
— Places4Students (@Places4Students) March 21, 2017
What’s your one go-to tip for getting the renewal?
.@AptChat find what matters most to each tenant – different tenants value different things. Incentives not always the answer #AptChat
— Places4Students (@Places4Students) March 21, 2017
Our next #AptChat is slated for Tuesday, March 28, 2017 at 12 pm Eastern, and we’ll be discussing smart home technology for apartments. In the meantime, be sure to sign up for #AptChat updates to get these recaps and more delivered straight to your inbox!