If you’re in the middle of making your budget, we wish you the best. (But you can at least have good music and strong coffee accompany us as we crunch numbers and figure out where to put our money.) Let this year be the year you give brand development the budget it deserves. This applies to you, corporate operator, and you, property-level brands, and everyone in-between. Your marketing budget could bring you up a few notches if you use it right.
Brand development is critical to every marketing budget. So prioritize it as a large component in your next budget to:
- Differentiate your brand
- Connect with your customer/resident
- Increase ROI
ven apply custom CSS to this text in the module Advanced settings.
Why Brand Development Deserves More Budget
DIFFERENTIATE
It’s a sea of sameness out there. And no wonder, because so many apartment communities are offering wildly similar things: homes with amenity packages that look identical at first glance.
It’s time to stand out—by creating a brand identity that’s remarkable. By investing in brand development, you’ll be able to create a strong brand that resonates with potential residents. Set the stage and stand out.
in the module Content settings. You can also style every aspect of this content in the module Design settings and even apply custom CSS to this text in the module Advanced settings.
CONNECT
Humans want to connect. They want to find brands they can identify with, especially if they’re going to spend 30% or more of their income on rent and living expenses. Trust, loyalty, and comfort can be challenging to find in an apartment community. If your multifamily brand can craft a story and connect emotionally with residents and prospects, that community suddenly becomes much more than a building.
When your brand can resonate on a deeper level, your residents become loyal, and may engage more easily with your community, which leads to better retention rates (and may help them become brand ambassadors with word-of-mouth marketing).
Strategic, Well-Developed Branding
STRATEGY
Without a strategy, your thoughts are scattered, and your efforts become ineffective at best. Ensure you have created a strategy that guides your marketing efforts, so you can be consistent and clear in your messaging. When you know your audience and your why, the way you present your community has a roadmap.
The other bonus here: A clear brand strategy maximizes the dollar spend from your marketing budget. Less time wasted, less money wasted.
ROI
When presenting budget increase requests, it’s never enough to say “I think it will…” or “We’re hoping to see…” That’s the same as saying “We don’t know what we’re doing, but give us more money and we could waste that, too.”
Instead, try using historical data.
Look back at the progress you’ve made. Identify the areas where intensive branding choices helped lead to a rent increase. Use clear ROI to justify budget increases, in the same way that you can use branding to justify some rent increases by showcasing your value to your residents.
Let’s say:
You have a property of 268 units with an average rent of $1850/month.
A 2% rent increase after brand enhancement would equate to $37/month per unit.
Your monthly income would then increase $9,916 while your annual income would increase to $119,000.
If your brand development investment is, say $42k (but you could spend in a wide range of $5k-80k) this additional income definitely makes up for the amount you’ve spent.
Worth it? Yes.
Now, the next time you ask for a marketing boost, you might be more likely to get it.
Long-Term Benefits of Strong Branding
RESIDENT RETENTION
For every resident that leaves, finding a new one is twice as expensive as trying to keep your current residents. Retention requires less effort, and the days, weeks, or months that a unit sits empty could mostly be a thing of the past.
Create a well-developed, strong brand, and you create an equally well-developed, strong sense of belonging and satisfaction. Think about it: If you, as a resident, feel you belong, and you’re relatively satisfied, why would you ever want to leave? They’ll be more likely to renew their leases, making your rental income more reliable, and reducing vacancy rates.
BRAND LOYALTY BUILDING
When residents move out, you could be seeing rental income walk completely away. Or: if your brand is strong enough for your portfolio of properties, you may be able to recapture that rental income.
Keep your brand experience consistent, foster loyalty, and those wandering residents could choose another property in your portfolio for their next home.
Take In-N-Out Burger. It always tastes the same. Hungry burger lovers come to any of In-N-Out’s palm tree-decorated fast food chains, and they know their double-double animal style will be exactly what they expect: hot and delicious. That’s consistency and positivity.
Repeat business comes from brand loyalty. And that resulting long-term revenue is a lot better for your bottom line than trying to reach new leads.
So, as you finalize next year’s budget, consider brand development a worthy investment. That spend is money well-spent—it’s forward-looking in an increasingly crowded market.
As a marketing professional, look for opportunities to develop your brand, and start small if you must. ROI can be proven, and long-term benefits have been shown. Boost your brand development and watch your properties stand out in a sea of competition, connect with the residents you want, and build up your portfolio as they prosper.
