Marketing Flashcards
marketing
integrated and coordinated activities that encourage people to initially rent or continue renting an apartment
include research and promotion
focus is inside and outside the community
marketing mix the 5 ps
product, place, price, promotion, people
products are evaluated and marketed for
reliability
quality
features
availability
place
define and market
physical location
relative location
comparative location
need for a marketing plan
created when
critical need- new ownership
repositioning- physical or operational changes
problem solving-occupancy issues
sustaining plan-ongoing efforts to keep the property in front of the customers eyes
effective market area
small geographical area or a larger area such as multiple blocks
pricing- local economic conditions
population growth
household formation
job creation
net/effective market rent
GPR-VAC=TRR
TRR/units occupied
average effective rent
market rent x # of months in lease less total concessions equals total lease rent divided by # of months in lease
effective market rent
HUD & Gov assistance programs
HUD establishes fair market rents
marketing objectives
the “what”
example
desired results, measurable and specific, time frame
marketing strategy
the how- steps to meet the objective
types of promotions
advertising public relations sales promotion internal marketing relationship selling
promotional marketing
AIDA- attention, interest, desire, action
advertising
non personal promotion of a product, service, or company in mass media that is openly paid for and/or sponsored by you
turnover ratio
number of move outs/total number of units
occupancy trend
total units-vacant units-units on notice+vacant units leased + units on notice preleased=total units leased
percent leased
leased units/total number of units
SWOT
strengths, weaknesses, opportunities, threats
economic occupancy percentage
GPR-VAC= TRR TRR/GPR= economic occupancy
average effective rent for renewal-average effective rent on previous lease=amount of increase
amount of increase/previous lease rent = percentage increase
managing occupancy reports
occupancy reports
rent roll
collection summary analysis
delinquency report
marketing
integrated and coordinated activities that encourage people to initially rent or continue renting an apartment
marketing mix
controllable variables blended to produce the desired market response
what are the 5 ps
people, product, promotion, price, place
what is a marketing plan
a detailed written account and time table of the objectives and methods to be used to achieve the property’s marketing goals
what are the purposes of a marketing plan
helps develop, guide and coordinate marketing efforts
serves as a roadmap to realize goals
keeps you on course
what is a market analysis
a formal approach using data to make rational marketing decisions
what is a property and location analysis
an analysis of information about a propertys amenities and location positive and negative aspects of each and how they affect rentals
what is effective rent
the rent per month reduced by the monthly value of any leasing concessions
list some factors that impact local economic conditions for apartments
population growth
household formation
job creation
what are the three housing trends that affect apartment communities
construction of apartments with better amenities
construction of single family homes
conversion of rental homes to condominiums
what is a market
current and potential residents who want to and are qualified to live in the apartment community
what is a target market
a specified group within a market classified according to characteristics
what factors impact the target market
location physical unit size and layout governmental demographic characteristics economics price social
what identifies a specific goal and defines its successful achievement
marketing objectives
what are the requirements of marketing objectives
identify desired results be measurable assign a time frame be clear be considerate with one another
what outlines steps needed to achieve marketing objectives
a marketing strategy
what is promotional marketing
a form of communication that is used to inform and persuade people about a product or service
what are the basic objectives of promotion
attention: awareness
interest: knowledge
desire
action
list the types of promotion
advertising public relations internal marketing sales promotion relationship selling
what is advertising
non personal promotion of a product, service or company in mass media that is openly paid for and or sponsored by you
what is relationship selling
custom tailoring information to individual people
what is an advertising campaign
a program of coordinated ads and promotional activities intended to accomplish objectives
what is a marketing plan budget
shows amount allocated for expenditure on marketing activities in a specific period
why should you evaluate a marketing plan throughout its implementation
its implementation allows you to make adjustments and allocate marketing dollars effectively
what is a turnover ratio
the total number of move outs for a given period divided by the total apartment units
what factors must you consider and balance that impact rental income
competitive rental rents
percent occupancy/physical occupancy
collection percent/economic occupancy
what factors affect rental rates
law of supply and demand economic conditions housing trends competitors offerings property features HUD and government assisted programs
what is the difference between economic occupancy and physical occupancy
economic occupancy is a percentage based on the amount of rent collected divided by GPR
physical occupancy is calculated based on the number of occupied units as a percentage of total units
what is the goal of balancing rental rates and vacancies
to maximize income not occupancy
what happens to a propertys income when concessions are offered
it collects less rent
list two methods of increasing rent for current residents
increase as leases expire or on select expired leases using non discriminatory standards
consider setting renewal rate slightly lower than market rent
what reports can you use to manage occupancy
occupancy reports
rent roll
collection summary
delinquency
what is a rent roll
a comprehensive record of occupancy rents, other charges and lease expirations
what are three methods you can use to manage occupancy
occupancy trend
lease expirations
turnover ratio
