What’s Hot and What’s Not in Apartment Marketing
Social media, pay-per-click advertising and email marketing are hot. Craigslist and ILS are not.
These were the biggest takeaways from a recent Multifamily Insiders marketing strategies survey of more than 100 apartment professionals.
A whopping 77% said their use of social media has increased compared to last year. This makes perfect sense when you consider that one-third of millennials (also known as “the rental generation”) say social media is one of their preferred channels for communicating with businesses, according to Ad Age.
Further, 50% of consumers report that they’ve made a purchase decision based on a recommendation through a social media network.
Specifically, Snapchat use is increasing in the multifamily sector. According to the Multifamily Insiders survey, 12% of respondents report using Snapchat, up from 9% in 2016.
Email marketing is still going strong, too — 47% said they increased their email marketing efforts, proving that even with mobile technology, email remains a strong way to reach prospects. A 2015 Pew Research Center study shows that email ranks fourth among smartphone users, placing close behind text messaging, Internet use and voice/video calls.
And, 44% of respondents indicated that they increased their use of PPC ads through Google AdWords or Bing. This is a smart way to create brand visibility, reinforce credibility, reach those who are specifically looking for what you’re offering.
In fact, AdWords was found to be the most effective of online ad programs, followed by followed by Facebook, Instagram, Twitter and LinkedIn, according to the survey.
Various types of newer approaches to marketing appear to be on the rise, too.
A surprising finding was in the use of geofencing, which jumped by 20%. This is the use of a set of digital triggers designed to target prospects based on their location.
Similarly, drone videos increased by 17%. Periscope and other kinds of streaming video saw an 8% uptick compared to 2016. Virtual reality increased by 4%.
Meanwhile, 35% of survey respondents reported a decrease in Craigslist ads, and ILS use is flat — 47% indicated no change.
So, how much are multifamily professionals spending on these marketing tools to get renters in the door?
The average cost per lead is $49, up $12 compared to last year. And the average cost per lease is $402, a notable jump of $106. These increases could be the result of greater competition as well as the trial and error associated with the many new marketing tools that multifamily professionals can use to draw in prospects.
It should be noted that the growing arsenal of marketing tools requires more management hours, as marketers spend more time switching between different products and keeping track of their efforts. Fortunately, apartment marketing dashboards are reducing these times dramatically, allowing for better results, fewer management hours, and ultimately higher ROIs.
If you’d like to learn how Respage can help you with marketing your multifamily community, please get in touch!