Over the past five years, the property management industry has grown by 0.8% to reach revenue of $76 billion – and that’s just in the U.S. alone. It’s abundantly clear that there is plenty of opportunity for success and growth in this field.
So, why isn’t your company keeping pace?
The truth is, there are any number of reasons a property management company might be stagnant, even in a time of prosperity. To help you pinpoint what might be holding your business back, however, we’ve narrowed down what we would consider the top five possible issues below.
The first and most impactful way a property management company can become stagnant is to lose its customer focus. It’s nearly impossible to increase a book of business if the existing clientele is constantly complaining and delivering negative feedback. This is especially the case in today’s day and age, when online reviews are so plentiful. If you want to attract new business, you have to make the customer experience your top priority. Happy clients mean more positive reviews and referrals.
Surely you’ve heard the expression, “You have to spend money to make money.” It’s true – especially when it comes to marketing. In fact, even if you’ve built enough of a reputation in the industry that you’ve been able to coast on autopilot, taking your foot off the proverbial gas pedal is never a good idea. The fact is, if you’re not allocating enough of your budget to promoting your property management services, you’re not going to achieve the growth you’re looking for. It’s that simple.
It doesn’t matter how many tasks you’re capable of handling or how well you can do them. If you’re spending the majority of your time working in your business, you’re not going to have time to work on your business. In other words, if your schedule is chockfull of busy work, how can you possibly expect to find the time to focus on growth initiatives? Successful property management leaders know how to delegate tasks. When you get some of those things off your plate, you’ll be freed up to work on growing your company.
Technology isn’t just something that affects your property management company internally. Staying up to date on things like equipment, network, software and applications allows your employees to do their jobs more efficiently, which enables them to better serve your customers. Likewise, offering cutting-edge options, like the ability to pay online, is something that can really set your company apart. And in an industry as competitive as ours, this can be a game-changer.
Competing on Cost
This is where investing in technology and being customer-centric really comes into play. Attempting to grow by undercutting your competitors on price will only take you so far. In fact, it may actually set you back – especially if another company comes along that offers even lower prices than you do. Yes, you should be pricing your property management services competitively, but if you focus on providing an exceptional client experience and building those relationships, your company will enjoy more sustainable success and long-term growth.
Without question, the property management industry is ripe with opportunity, but only for those who are willing to put in the work and do things the right way. If you’re struggling with growth, be honest with yourself about whether you are making any of the above mistakes within your company. Only then will you be able to move forward in a positive direction.