Do you know what the target market is for your rental property? This literally is one of the keys to success with finding great tenants who will love living in your rental property and will want to continue living there potentially for years to come.
In this article we will offer you tips for identifying your target market and eliminating any guesswork as to which segment of the rental market would potentially be great tenants for you to rent to.
Visualize Your Target Demographic
The demographics of your target market will give you a concrete idea of who you should market to. Different amenities appeal to different renters, and they search for rentals in different ways–which means that you need to adapt your approach depending on who you’re hoping to attract.
For example, Millennial renters search for apartments online. They look for affordable places to live in vibrant areas, and love feeling like they’re part of a community. Meanwhile, Baby Boomers who rent search for apartments online, but they look out for “for rent” signs and classified ads as well. They are drawn in by the curb appeal of a building, and they care about living in a safe neighborhood. As you can see, these are two demographics that require different needs. You wouldn’t want to market a high-rise to a Baby Boomer who’s looking to retire in a quiet neighborhood; and you wouldn’t rely on a sign in your front yard to attract Millennials.
To get a better understanding of who your target market is, think about the following factors:
- Marital or family status
Keep in mind that you’re not narrowing down who you’ll rent to, since that would be discriminatory. You’re just fleshing out the ideal customer that you’ll visualize as you write and market your listings.
Don’t stress too much about getting every detail exactly right. This exercise will help you to determine where to focus your marketing efforts, but residents of all kinds will still want to rent from you–mainly because the value that you provide will draw people in.
Find Out Why Renters Choose You
Another way to identify your target market is to understand why your current tenants stay with you year after year. Ask them why they like where they live. Is it the community? The location? The amenities? You’ll learn what’s popular with your property and can start to track recurring patterns.
Your current customers will teach you a lot about your target market. After all, they chose you over the competition. Figure out what makes them stay, and make a list of those important items. Even if you think you know what brings tenants to your units, there’s always something new you can learn from asking the right questions.
Separate Units’ Features from Benefits
After you’ve identified why renters choose your property, now you can separate the features from the benefits. Features of your property are valuable, but they aren’t what make people want to rent from you: It’s the benefits that come as a result.
For example, you might be renting out a one-bedroom unit with central air and free Wi-Fi. The benefits are that a one-bedroom provides privacy and space; central air brings endless comfort in the summer; and free Wi-Fi means that they won’t have to mooch off of Starbucks anymore–all of which could mean a lot to a young couple who work from home. This is where knowing your target market’s needs, wants, and struggles come into play. Highlighting the benefits of renting from you makes them feel understood and provides a solution.
Differentiate Yourself from the Competition
The apartment complex down the street from yours has a waiting list, and they do a lot of promotions. How are they able to do that? What can you learn from them?
When tenants are looking for their next place to live, it’s difficult deciding which option to go with. Make it easy for them to choose you by embracing what sets you apart from everyone else. How can you bring value to them in ways that your competitors aren’t able to?
Effective marketing is all about getting personal. There’s pressure to finding the right apartment, especially when people have had bad experiences in the past. Instead of sounding like a robot when you write a property description, write as if you’re talking to a good friend. Human beings crave a genuine connection, and they need to trust the person who they’re renting from.
Build that trust from the very beginning. It starts with knowing your values, as well as the value that you can provide to your residents. Be empathetic, pinpoint their struggles, and find a way to solve them.
Get Central Valley Property Management
Are you tired of self managing your rental properties yourself? If so, contact RPM Central Valley today by calling us at (209) 572-2222 or click here to connect with us online.