During the last couple of years, people have needed to stretch their dollars further, paying more for the same groceries, the same cars, the same clothes. In many ways, they’re faced with having to get by with less.
This consumer trend is being echoed in multifamily.
Between slowing rent growth and stagnant or shrinking budgets, operators are focused on cutting costs, requiring marketers to adapt and find ways to produce the same, or better, results with fewer marketing dollars. About two-thirds of multifamily marketing teams report the same or a decreasing budget this year, according to a survey by Rent. Fortunately, the continued rise of digital engagement allows marketers to allocate money more efficiently, improve lead generation and still explore new tactics.
The right strategies in place can make all the difference. By focusing on strategic investment, leveraging AI and automation, and utilizing social media marketing, PPC, and mobile and digital display advertising, multifamily marketers are maximizing their generation efforts.
Adapting Strategies and Improving Lead Generation
Quality lead generation is a top priority for multifamily teams with 42% stating this was a top concern in the Rent. survey. Multifamily marketers must make the most of their resources as the 2024 peak leasing season approaches. Efficient use of allocated funds requires a strategic investment in marketing channels that offer the highest return on investment. To ensure this is done, teams should take advantage of tools for the collection and analysis of real-time performance data for each channel and campaign. When every dollar is critical, priority must be given to data-driven decisions. Obtaining a better picture of channel performance is available via Google Analytics and tools on social media platforms.
While still in its infancy, leveraging artificial intelligence and automation can further enhance the efficiency of marketing campaigns. Besides being able to craft messaging, marketing vendors are adding AI-powered tools that can assist with data analytics and even make needed adjustments to optimize campaign performance. AI allows for personalization based on a company’s needs and goals and for more efficient campaign management, saving marketers valuable time and resources.
Leveraging Effective Social Media Marketing
Social media has become an integral part of the daily lives of prospects and residents, and it presents a great opportunity for multifamily marketers to connect with their target audience in real time. By creating engaging content, running targeted ads and establishing influencer partnerships, marketers can increase brand awareness and generate quality leads. It is important to stay active on social media platforms and respond to inquiries in a timely manner to build trust with potential renters.
Social media can be a highly cost-effective channel when used properly. Facebook ads cost an average of $0.97 per click, Instagram ads average $1.51 per click and TikTok runs for about $1 per click. The benefit that this marketing has is that it’s very good for specific targeting and results can be observed in real-time, allowing for necessary adjustments and avoiding waste. These platforms can be used to engage with potential renters and showcase properties, amenities and unit-level content. For younger generations, TikTok is becoming the preferred search engine for their next home. Different generations lean to different platforms, so it’s important to understand who the target audience is and how they engage with various platforms.
Getting the Most of PPC Advertising
Marketers are also turning to pay-per-click (PPC) advertising as a cost-effective way to reach a targeted audience. By focusing on relevant keywords, optimizing ad copy and monitoring campaign performance, marketers can drive needed traffic to their website, generate quality leads and increase conversions. With the right strategy in place, PPC advertising can be a budget-friendly way to maximize ROI.
To get the most out of PPC advertising, marketers should take advantage of the targeting options available. By selecting specific geographic locations, demographics and interests, they can ensure that their ads are reaching the right people. Monitoring campaign performance and making adjustments accordingly is crucial to the success of PPC advertising.
Utilizing Mobile and Digital Display Advertising
Another strategy gaining significant traction is mobile and digital display advertising. With more people relying on their smartphones and tablets for everyday tasks, it only makes sense for marketers to tap into this growing market. According to the Rent. survey, of the marketers who don't currently utilize mobile, 46% plan to explore this avenue this year, with 35% of digital display non-users planning to test this channel.
Not only does this approach ensure that their message is seen by the right people, it adds the benefit that it’s seen at the right time, thereby enhancing the renter’s journey. There’s never a better time to grab prospects’ attention with an ad than when they're looking for an apartment nearby. With the ability to target specific demographics and track the success of campaigns, these advertising methods offer an innovative but cost-effective way to reach a large audience.
Having a limited budget is challenging and can be daunting in the upcoming leasing season. By embracing the most effective channels with the best ROI and building a consistent message throughout their campaign, marketers can thrive in these latest challenges to the multifamily industry. Furthermore, they need to stay informed about industry marketing trends and leverage the latest tools and technologies.
Kevin Juhasz is a content manager for LinnellTaylor Marketing.