A CXO's Guide to Scaling Multifamily Marketing and Operations

A CXO's Guide to Scaling Multifamily Marketing and Operations

Multifamily businesses are struggling to scale. We diagnose the problem and recommend a digital workforce solution to rapidly modernize multifamily marketing & operations.

A digital workforce is not science fiction. We already live in a world of autonomous cars, robotic process automation & financial robo-advisers. This guide shows how easy it is to bring these technologies to multifamily marketing & operations floor today!

Multifamily has a Scaling Problem

Introduction

Everyone seems to have their own definition of scaling, so let’s start by stating what we mean by ‘scalability’.

We consider multifamily marketing & operations as ‘scalable’ if large increases in revenue do not require equivalent increases in costs.

When a property management company (PMC) that isn’t scaling adds new properties, it has to grow its marketing and operations teams in direct proportion to the number of properties it is adding. This additional staff is expensive and cuts into NOI of the new properties.

However, when a PMC’s operations are ‘scalable’, increasing the number of properties results in only minimum increases in costs. This is what it looks like:

Here's a helpful graphic that shows how scaling compares to standard operations

So, a scalable operation’s growth costs are significantly lower than a company without scalable operations.

Let’s take a look at the problems that arise when you are not scaling operations.

 

Symptoms of an Unscaled PMC

Symptoms of an Unscaled PMC

Property management companies know their lead follow-up is weak, systems are not consistent, and scalability is difficult to achieve.

 

Symptom 1: Clerical Work Fills the Day

Multifamily employees, such as agents and marketers, spend a lot doing the same repetitive, and time-consuming tasks.

Take a look at this agent’s job description:

In case you were wondering why your agents are always busy, take a look at their to-do list

Yikes! That’s a lot to take in.

Multifamily employees can’t get everything done. Some tasks are dropped and others are left incomplete. This causes employees to become frustrated.

Additionally, they have little time to focus on the inspiring and energizing parts of their jobs. This combination decreases employee satisfaction. Ultimately, leading to a decrease in employee productivity.

Learn more about how employee satisfaction affects productivity.

 

Symptom 2: Poor Lead Follow-up

According to a study done by Hyly, 45.8% of 3rd Party Managers did NOT respond to inquiring prospects.

In other words, almost half of the prospects actively reaching out to 3rd party managers are being ignored.

Competitors convert these dropped leads into signed leases.

Here is a shocking statistic about Multifamily responsiveness

For multifamily, fewer leases are signed due to the lack of responsiveness. Additionally, the poor lead follow-up causes the company’s reputation suffers. This results in fewer management contracts… which means the company makes less money.

Learn more about follow-up in multifamily.

 

Symptom 3: Lead Nurturing is Rare

Nurturing responses inform, educate, or excite prospects about a property.

Nurturing prospects is a key step in getting leases signed.

Why? Because people are more likely to sign with an company they know and trust.

But, agents don’t always have time to carefully craft nurturing responses for each lead. This results in agents missing an opportunity to build relationships and sign leases.

The survey by Hy.ly showed only 12.5% of 3rd party managed properties respond with nurturing emails. Meaning, 87.5% of responses did not engage or educate the prospect.

Here is a statistic about Multifamily emails that might shock you

The lack of lead nurturing causes leads to be less engaged, less informed, and less likely to sign a lease. This lowers the profit margin a PMC can offer owners.

Learn more about the importance of relationships in multifamily.

 

Symptom 4: Residents are Not Engaged

In the multifamily industry, resident retention is often overlooked. Multifamily had a turnover rate of 54% in 2012, according to the NAA Survey of Operating Income and Expense.

Often, property management companies don’t take the time to welcome, engage, or cultivate a sense of community to improve resident retention.

Companies who don’t prioritize resident retention are missing out. It is cheaper to keep residents than sign new leases.

Here is a surprising statistic about poor resident retention

When a PMC fails to engage residents, the residents are far less likely to renew their leases. This forces managers to spend more time and money to keep properties filled.

Unfortunately, most property management companies don’t have the necessary resources to thrive.

Learn more about the cost benefits of resident retention.

 

Diagnosis: Multifamily is Not Structured to Scale

All of the symptoms point to one simple diagnosis: Multifamily is not structured to scale.

While other industries have modernized their processes & technologies, multifamily has not kept up.

Diagnosis: Multifamily is Not Structured to Scale

Specifically, multifamily has two structural issues:

  1. PMC’s are not structured to create consistency and reputability in their operations.
  2. PMC’s rely only on human labor, which results in long training cycles. This delays any further attempts at synthesizing operations across the board.

Let’s dig a little deeper.

 

Structural Issue 1: Lack of Consistency

Relationship building is the foundation of multifamily. Agents use different styles to grow relationships based on their experiences and personality. The style differences between agents is what makes the multifamily industry unique. However, it also leads to inconsistency.

One example? Lead follow-up.

Experienced agents have refined the cadence of reaching out to leads, but new agents often have not honed their outreach skills. Some worry about annoying leads and don’t reach out enough. While others may be aggressive and bombard leads with emails. This leaves the leads unsatisfied, unlikely to refer a friend, and unclear about the company’s values.

The inconsistency causes agents to have ineffective lead engagement and leaves each prospect with a different customer experience. This results in fewer leases signed and lower resident retention.

Additionally, this makes the PMC less attractive to owners. Also, the company has to spend more time and money on lead generation. This inconsistency increases costs and decreases NOI.

Learn more about the importance of a consistent customer experience.

 

Structural Issue 2: Training Cycles are Long

Across all industries, new employees average six months before they are fully trained.

Now, let’s add multifamily’s lack of consistency into the mix.

The lack of consistency means it takes longer to train each employee because everyone has their own method of getting the job done. This makes your staff work harder to do the job. So, either more things are going to fall through the cracks or you need to hire more staff.

Now look at a company that has mastered scaling, like McDonald’s. A line cook with no experience can be trained in only three days!

Decreasing training cycles is a big deal considering property management companies experience a turnover of 32% every year.

Here's a surprising statistic about employee turnover

These long training cycles create an environment where new employees don’t use best practices for their first six months. Plus, many employees do not use optimal operations. This results in fewer signed leases, fewer property management contracts, and hurts the bottom line.

Learn more about training cost.

 

Conclusion

All of the above symptoms are the result of structural issues that make consistency, repeatability and scaling almost impossible.

Here's a surprising statistic about apartment turnover

Companies need clear, consistent, repeatable systems in place to scale their operations.

Before we jump into the treatment options, let’s explore how McDonald’s structured itself to be scalable.

Want a sneak peak about multifamily’s scaling options? Take a look at the Scaling Multiamily Infographic

How McDonald’s Scales

Lessons from McDonald’s

McDonald's locations across the U.S.

McDonald's Headquarters

 

What’s McDonald’s Secret? Consistency & Repeatability

McDonald’s is a master at scaling their operations. The key is consistency. This is their process:

  1. Create the recipe
  2. Perfect a process that is consistent and repeatable
  3. Scale! All across the world…

McDonald's Recipe for Scaling Operations

Think about this: the chefs who create these recipes have trained in their craft for years, sometimes decades — but the crew that prepares the fries are trained within three days!

Now, that’s mastery of scale.

 

How Consistent Are Your Operations?

When you think about scaling your own operations, are you able to identify areas which would benefit from this idea of consistency?

For example, do you nurture your leads consistently?

As another example, is your resident renewal program consistent?

  • Do your residents receive an offer to renew when their lease is up?
  • Do your residents receive a friendly notice reminder?
  • Do your residents receive a helpful move-out checklist, if they don’t choose to renew?

Let’s see how consistency can drive scaling in multifamily.
 

How to Scale Multifamily Operations

Multifamily operations can be designed for scale and agility. The trick is to start with a consistent process.

3 Steps to Scaling Success

Just like McDonald’s, you would:

  1. Define your Operations (“create the recipe”)
  2. Program your Operations (“perfect a consistent and repeatable process”)
  3. Scale! All across your properties…

In the next chapter, we’ll look at how a ‘Humans + Machines’ strategy can help multifamily scale.
 
 
 

Scaling With a ‘Humans + Machines’ Strategy

Introduction

There are three approaches you can take to scale operations:

  1. Humans – Only Approach: Invest in growing and training your human workforce
  2. Machines – Only Approach: Invest in a purely digital workforce to replace the human workforce
  3. Humans + Machines Approach: Augment your human workforce with a digital workforce

Treatment Options for Multfamily's Scaling Problem width=

Let’s take a closer look.

 

Humans Only Approach

The traditional approach to scaling is to increase the workforce. Seems simple enough. But, there are some major issues with this approach.

Human Only Workforce

Issue #1 Hiring is expensive: With a human-only approach, growth requires hiring more employees. These extra salaries are a big expense that shouldn’t be overlooked.

Issue #2 Training takes time: As previously discussed, training is a long, time-consuming process. Longer training times result in delayed employee productivity. Plus, you have to increase your training budget to add more trainers.

Issue #3 Lack of compliance: Training doesn’t guarantee employees will use best practices. People make mistakes. Plus, people can be stubborn. Some employees may not want to use the best practices and will continue to do things their own way.

In other words, employees are expensive, training has a delayed payback, and employers are perpetually ‘wishing and hoping’ employees put their training to good use. These factors prevent a humans-only workforce from scaling operations.

 

Machines Only Approach

The next option is to completely remove the employees from the equation.

How? By fully-automating the processes.

Machine Only Workforce

This resolves the training issues, but also creates a new set of problems.

Issue #1 Technology isn’t ready for full automation: Maybe in the next 20 years, technology will be able to function independently. But for now, we need humans.

Issue #2 Lacks personal connection: Multifamily is built on trusting relationships between agents and customers.

By fully automating, a company loses the personal connection to the customer. People are more likely to trust a person than an automated software system.

This approach can save money by eliminating training costs. Also, it provides more consistency. But, it does not evoke a personal connection, which will decrease sales and is unrealistic for the time being.

 

Humans + Machines Approach

The world cannot rely on machines alone. We still need the human element to understand buyer needs, solve problems and build relationships.

Yet, people cannot do everything themselves either. There’s just too much to do.

So, what should we do? Redefine the workforce.

Tomorrow’s workforce will have an advantage: machines and humans working together.

Human + Machine Workforce

We call it a ‘Humans + Machines’ strategy.

Multifamily Customer Lifecycle

In a ‘Humans + Machines’ approach, people execute tasks that require skills machines lack, and vice versa. It allows each workforce to focus on what they are good at.

Combining human and machine efforts produce results that are faster, smarter & more efficient.

This frees up marketers and agents to focus on higher value work.

Augementing is Best

 

Conclusion

So how can a company augment their workforce? By creating a ‘Humans + Machines’ workforce! The ‘Humans + Machines’ strategy incorporates the consistency and affordability of the digital workforce and the personal and the thoughtful nature of the humans workforce.

Next, we are going to look at some of the greatest ‘Humans + Machines’ successes!

   

Successes of 'Humans + Machines' Strategy

Introduction

The future of multifamily is ‘Humans + Machines’ workforce. Management companies in the multifamily industry rely on a humans-only workforce.

This causes insufficient processes, systems and technologies and can negatively impact employee satisfaction.

If we look at some of the best examples of augmented workforce, we can see these issues are solved. In fact, these ‘Humans + Machines’ workforce are able to dominate their niches.

 

We Live in an Augmented World

We live in a world where a ‘Humans + Machines’ approach works best. It maximizes human potential, pushes machines to be the most useful, and delivers the best service to customers.

If you are trying to scale your operations, you should consider augmenting your workforce.

Multifamily Customer Lifecycle

Machines, algorithms and bots are just as much a part of your workforce as your employees.

You don’t have to look far to see ‘Humans + Machines’ systems at work. This ideology is being used in everything from cars, apps, and classic games.

Let’s take a look at some of the best ‘Humans + Machines’ systems.

 

The Best Driver is a ‘Humans + Machines’ Driver

Multifamily Customer Lifecycle

The best driver on the road is a ‘Humans + Machines’ wonder.

American automaker Tesla first introduced “autosteer” functionality to its vehicles in 2015. Tesla has been the front-runner in the race to autonomous driving.

Teslas driven with autosteer average one fatal accident every 3.34 million miles. Meanwhile, vehicles driven by humans average one fatal accident every 492,000 miles in the U.S.

Tesla realized there are aspects of driving that machines are better at than humans (think: blind spot detection). However, they recognize that humans trump machines when it comes to judgement calls. That’s why every Tesla car still allows the driver to take over.

Allowing humans and machines do what they are best is what makes Teslas the safest drivers on the road.

 

The Best Chess Player is a ‘Humans + Machines’ Team

Multifamily Customer Lifecycle

In the 1980s and 1990s Garry Kasparov was the best chess player in the world, being ranked number one for 225 out of 228 months.

In 1997, this changed. IBM supercomputer “Deep Blue” beat Kasparov.

However, in 2005 two chess amateurs named Steven Cramton and Zackary Stephen entered a chess competition with the aid of a machine.

The machine had an extensive database of personal strategies and was combined with Cramton’s and Stephen’s judgment and instincts.

Cramton, Stephen, and the machine won that tournament, defeating other grandmasters and computer programs.

They proved that a combination of human and machine skills produced the best results.

 

The Best Video Platform is a ‘Humans + Machines’ Platform

Youtube

YouTube uses a ‘Humans + Machines’ process to identify violent or extremist content. With over 400 hours of content uploaded every minute, it would be impossible to do this with a human-only workforce.

This process has had a 98% success rate when vetting videos, with the remainder being passed along to humans to analyze.

The ‘Humans + Machines’ system allows YouTube to multiply their workforce!

 

The ‘Humans + Machines’ Workforce is Here!

Productivity in the Humans + Machines World

Ready or not, the age of humans working with machines is here. To keep up, we recommend adding a digital workforce to assist the human workforce. By playing to each workforces’ unique strengths, you can increase productivity and scale your operations like Tesla and YouTube!

Next, we are looking at how the digital workforce can create success for multifamily. Specifically, how it can improve multifamily workflows and increase employee satisfaction.

 
 
 

Imagining New Workflows for Multifamily

Introduction

The digital workforce is not used to its potential in multifamily. It acts as a bookkeeping method for agents to record calls or write notes. However, machines and algorithms can do so much more to help the human workforce.

The strength of the digital workforce is the exact opposite of the human. Machines excel at tasks humans find mind-numbingly boring. It can gather, analyze, and execute data-driven tasks faster and more consistently than any human.

Pretty smart, huh? Not really.

Machines are great at imitating intelligence, but they lack the understanding and judgement to be truly intelligent.

Most people understand the idea that there are tasks that machines do and tasks that humans do. But, a lot of people still don’t understand how humans and machines work together. So let’s look at an example.

 

FAQ Scenario

FAQ Scenario

Human-Only Workflow

Winston, a new prospect, is in a wheelchair. He wants to understand more about how handicap accessible the property is before he schedules a tour at Boulevard at B. So, he sends a message via Facebook to find out more.

Sally, the leasing agent at Boulevard at B has been swamped for days. One of her residents set off the fire alarm and the sprinklers went off in the entire building. Residents are furious that their apartments were soaked and many of their personal items were ruined. Sally has been trying to handle this along with her already scheduled tours.

After a few days, she is finally able to start checking on prospect inquires and sends a quick response off to Winston about handicap parking. She feels a little guilty knowing he’s been waiting for a response, but she simply didn’t have the time to answer sooner with her crazy week.

Winston reads the response from Sally and is annoyed that it only addressed parking. He takes this as a sign the staff at Boulevard at B won’t be accommodating and scratches it off his list. Since Winston never sent Sally an email address, she is unable to follow-up with him via email.

Liam, who is the Social Marketing Director for Boulevard at B, reviews this conversation and is frustrated. He spent weeks carefully crafting his Facebook Response plan and held several training sessions on the topic. Not only is his plan pushed to the wayside, Facebook Messenger is actually deterring customers from leasing with Boulevard at B.

In this human-only scenario, every party involved is left unsatisfied by the interaction. Let’s see how the ‘Humans + Machines’ approach can smooth out these workflows.

 

‘Human + Machines’ Workflow

With a digital workforce, the marketers can be involved in the Messenger communications and agents only need to respond when the prospects have specific or unique questions.

In a ‘Humans + Machines’ strategy, Facebook Messaging starts with Liam, the marketer. Liam is able to program the digital workforce to automatically respond to prospects with responses he wrote. Once Liam does this, he only needs to monitor conversations to see if he needs to add more responses.

In this scenario, when Winston asks Boulevard at B about handicap accessibility, the digital workforce responds with a thoughtful and complete overview of the accessibility at the property. Winston is impressed by the fast and helpful response.

 

Atypical Scenario

Atypical Question Scenario

Human-Only Workflow

The human-only workflow mirrors the outcome of a frequently asked question.

 

‘Human + Machines’ Workflow

Winston sends a follow-up question about how handicap accessible the area is. Since this is an obscure question, Liam had not programmed the digital workforce to answer it. So, the digital workforce sends an email to Sally, asking her to jump into the conversation.

Sally is still overwhelmed with the sprinkler situation, but she was able to have the digital workforce respond to most of her resident and prospect inquires . So, when she gets an email about Winston’s conversation she has time to answer it. Plus, she knows the digital workforce is going to be able to take over again once she responds. Sally messages Winston back with several handicap accessible restaurants and attractions nearby.

After all of his questions were answered, the digital workforce prompted him to get connected with an agent. Winston sees the quick and robust answers as a sign that Boulevard at B will make him a priority when he is a resident and happily submits his email. The digital workforce adds Winston to the Boulevard at B’s CRM for Sally.

 

Conclusion

In the ‘Humans + Machines’ example, every prospect receives polished, branded and immediate responses designed by the marketers. Agents no longer have to spend time answering the same questions for every prospect. Now, they only need to step in when specific or unique questions are asked. Plus, the digital workforce increases the amount of leads captured through Facebook.

Overall, the process becomes smooth and consistent. All while the human workforce is doing less work. Now that’s scaling!

Together, the ‘Humans + Machines’ workforce is happier, smarter, faster and more consistent. By creating a system that plays to the strengths of each member, you can solve all sorts of operational issues.

Let’s take a look at some other things the digital workforce can do for the human workforce!

   

Staffing a Digital Workforce for Multifamily

Introduction

Digital Workforce sounds a little intimidating, right? To us, the digital workforce helps, guides, and assists humans to their best selves, just like a little guardian angel. So, we like to call our digital workforce ‘digital angels.’

Each angel specializes in one simple task. However, these simple tasks can be painfully time-consuming for humans to do or require intense data gathering and number-crunching.

For example, something as basic as sending a birthday email to every resident could be a full-time job for a human. Now, it would be silly to hire someone to just send birthday emails, even though it is a nice, personal touch.

That’s what is great about the digital workforce. A ‘Birthday Angel’ can wake up each morning, identify all the residents with a birthday that day and send them a personalized birthday greeting. Repetitive and menial tasks like sending a birthday email are done automatically and affordably!

Let’s explore what else these angels can do!

 

Prospect Angels

Prospect Angels, as you would expect, are focused on reaching prospects.

Prospect Angel List

The Prospect Angels includes a:

  • Pre-Tour Angel: This angel is designed to get leads to tour your property.
  • Lead Capture Angel: The Lead Capture Angel can automatically import new leads from Facebook Messenger into your CRM.
  • Tour Scheduling Angel: This angel can get tours scheduled in under a minute.
  • Post-Tour Angel: The Post-Tour Angel reminds prospects why they fell in love with your property.
  • Closing Angel: This angel accelerates the lead-to-lease cycle by sending your prospects updates on the current special offers.

All together, the Prospect Angels can help your agents get more leases signed.

 

Resident Angels

The Resident Angels live to help agents and marketers engage with residents.

Resident Angel List

The Resident Angels include:

  • Pre-Move Angel: The Pre-Move Angel eases the transition into residency for new residents.
  • Welcome Angel: This angel introduces new residents to the area.
  • Satisfaction Angel: A Satisfaction Angel checks in with current residents to make sure they are happy.
  • Renewal Angel: This angel inspires residents to renew their leases.
  • Exit Angel: The Exit Angel maintains a positive impression during the move-out process.

The Resident Angels help to increase resident satisfaction and resident referrals.

 

Dormant Lead Angels

There is one angel created to handle dormant leads. We call it the Win-Back Angel.

Dormant Lead Angel List

The Win-Back Angel uses a combination of drips and alerts to engage leads that have gone cold. This angel is able to reactivate old lead lists. Not only does it increase the amount of leases signed, it also increases the value of your list rentals.

 

Operational Angels

Operational angels are designed to keep business operations running smoothly. They work alongside the resident, prospect and dormant lead angels to be as effective as possible.

Operational Angel List

Take a look at the Operational Angels:

  • Facebook Messenger Angel: The Facebook Messenger Angel can keep your prospects and residents informed.
  • RSVP Angel: This angel lives in Facebook Messenger. It is able to RSVP prospects, residents and dormant leads to community events.
  • Reminder Angel: The Reminder Angel keeps residents and prospects from forgetting important events like tours or community events.
  • Alert Angel: An Alert Angel sends new, interesting updates to prospects and residents.
  • Website Monitoring Angel: The Website Monitoring Angel tracks any prospect or resident activity on your website for you.
  • Facebook Monitoring Angel: The Facebook Monitoring Angel tracks and records any prospect or resident activity on Facebook Messenger.
  • Email Monitoring Angel: The Email Monitoring Angel takes note of any prospect or resident email activity.
  • Integration Angel: The Yardi Angel seamlessly integrates our data with Yardi and Entrata data systems

These angels work on the back-end to get more leases signed and renewed!

 

Conclusion

Digital Angels look out for all of your employees, from marketing to management to leasing agents, there is an angel for everyone! The angels take care of the boring tasks and give your employees more time to do what the machines can’t: Think!

So we have covered how angels can alter workflows and their areas of expertise. Now, let’s get back to where this all started. Next, we are going to explain how digital angels can solve multifamily’s biggest structural and resource-related issues.

Want to know more? Download the Ultimate Guide to Multifamily Automation

   

The ‘Humans + Machines’ Solution for Multifamily

Introduction

We started this guide with a long list of symptoms of an un-scaled operations structure and diagnosed the two structural issues preventing multifamily from scaling. Let’s refresh ourselves on these problems.

The Multifamily Scaling Epidemic

All of these problems can be solved with the ‘Humans + Machines’ strategy.

That is, creating an superhuman workforce that combines the strengths of humans and machines.

For each problem, we will show one of the ‘Humans + Machines’ solutions.

 

Solved: Clerical Work Fills the Day

As you are probably tired of hearing, agents have way too much to juggle on a daily basis. The digital angels can take over many of the repetitive and menial tasks for agents and marketers.

Clerical Work: Before and After the Digital Workforce

One example? Tour Scheduling.

Instead of agents playing phone or email tag with prospects for days to schedule a tour, a better solution would be to provide prospects with an automated scheduling tool where prospects can do it themselves.

hyTours App

The digital angels turns a several-day process into a minute-long process!

Bonus: By removing menial tasks from your agents to-do list, agents can spend more time doing what they love. Connecting with people. This will make your employees and your bottom line a lot happier.

 

Solved: Poor Communications

At the beginning of this article, we talked about how multifamily rarely nurtures leads or engages residents. Both of these problems can be traced back to the same root issue: Poor Communication.

Many PMC’s are falling behind because they do not have the time or resources nurture prospects or residents.

With a digital angels, engaging prospects and residents is easy!

Communications: Before and After the Digital Workforce

For example, you can program the digital angels to send a series of automated drips. These automated drips can send multiple emails to the target audience over the course of several days. All the agents need to do is program the email cadence and the digital workforce can take care of the rest!

Here’s an example of a ‘Resident Welcome Play’ designed to engage and educate new residents.

Here's an example of a Triggered Alert Play

Agents can set it and forget it while the digital angels provide nurturing and consistent communication to prospects and residents.

 

Solved: Poor Lead Follow-up

Most PMC’s are struggling to follow-up with prospects regularly due to their overwhelming schedule. By using an intelligent customer relationship management software (CRM), agents can quickly identify prospects that need an agent to follow-up.

Follow-up: Before and After the Digital Workforce

Below is what a prospect dashboard would look like with Hy.ly’s digital angels on your side.

As you can see, each prospect is automatically sorted based on their stage in the pipeline and the angels can even prioritize you leads! This makes it easy for agents to see where each prospect stands, what information they have received, and what they still need from the agent.

Plus, with ‘sense and respond’ technology, the digital angels can gather more information about your prospects and tailor prospect follow-up based on these insights.

The digital angels help agents send specific and regular prospect follow-ups!

 

Solved: Structural Issues

By solving the ‘symptoms’ of an un-scaled PMC, it has solved the structural issues that prevent multifamily from scaling. While the digital angels worked to resolve the surface level problems, they also chipped away at the structural issues.

Let’s see how they did it.

 

Solved: Training Cycles are Long

Using automated drips, automated tour schedulers and an advanced CRM system, the angels are programmed to do things like:

  • Immediately schedule tours
  • Remind agents to follow-up with leads
  • Prioritize leads based on their activity
  • Gather information about customer preferences based on their behavior
  • Send the best marketing copy, at the best time and to the right audience

This means employees don’t need to be trained on as many things, which decreases the training cycle.

By programming best practices into your digital workforce you can train agents faster, create a consistent customer experience, and inspire residents to renew their leases.

 

Solved: Lack of Consistency

The combination of the automated drips, ‘sense and respond’ technology, and an intelligent CRM allows multifamily companies to regulate follow-up and communications. This gives the company a consistent outreach cadence and happier customers.

Plus, marketers can program the communications sent by the digital workforce to reflect the look and feel of the company brand.

With your properties operating with consistent branding and follow-up, you can establish a consistent customer journey, experience and reputation.

 

Conclusion

As you can see, the digital angels can solve a lot of problems for multifamily. These solutions benefit employees, residents and prospects. Employees can reduce the amount of repetitive tasks they need to do and focus on more fulfilling aspects of their jobs.

While prospects and residents have fast, nurturing communications and better relationships with the on-site team.

So, now you know how you can solve the scaling problem and understand the benefits of augmenting your workforce.

Next, we are going to show you why investing in a digital workforce is not only a solution for current problems, but how it can benefit you in the long term.

Want to learn more about Autonomous Lifecycle Marketing?

 

A 'Humans + Machines' Virtuous Cycle

Introduction

We have talked about how a ‘Humans + Machines’ workforce can improve processes, systems and productivity.

But that is just the beginning. A digital workforce is the basis for a virtuous cycle of success. From increased NOI to attracting more owners to managing more properties, the digital workforce can change multifamily’s economics.

 

What is a Virtuous Cycle?

A ‘Virtuous Cycle’ is when one success leads to another, and then another, in a repeating loop.

Before we jump into the Multifamily Virtuous Cycle, let’s take a look at Netflix’s Virtuous Cycle.

 

Netflix Virtuous Cycle

Here is the Netflix Virtuous Cycle as explained by Netflix CFO David Wells:

Check out Netflix's Virtuous Cycle

Let’s break it down.

  1. Netflix invests in producing more shows.
  2. With more shows there is more variety, which means there are more watchers.
  3. More watchers means more talkers. This leads to more subscribers.
  4. More subscribers generate more revenue.
  5. With more revenue, Netflix can invest in more shows.
  6. And the cycle continues.

As you can see, the cycle fuels itself for future success. By creating more shows, Netflix will set off a chain of events leading to more revenue. As long as Netflix keeps investing in new shows, the cycle will continue.

So now that you have seen a Virtuous Cycle, let’s explore how a digital workforce can do this for multifamily.

 

How Does it Work for Multifamily?

To create a ‘Humans + Machines’ workforce, you need to add a digital workforce to work alongside your employees. Once you add a digital workforce to multifamily, you’ll discover that you have entered a virtuous cycle.

Is your Multifamily company on the Virtuous Cycle

Increasing the digital workforce will kick-start a positive chain reaction. Ultimately, ending with companies managing more properties. Just like how more shows fuels the Netflix Cycle.

Let’s take a closer look!

 

Digital Workforce will Increase NOI

Increase Multifamily's NOI with this equation!

The first step in the Virtuous Cycle is to invest in the digital workforce.

Adding a digital workforce lowers personnel and operating costs. One ‘digital worker’ can do the work of 100 people when it comes to repetitive tasks.

For example, an automated nurturing drip campaign can follow up with all of the leads at once. An agent can only follow up with one lead at a time.

By enlisting the help of a digital workforce, employees can work smarter not harder!

The digital workforce can handle time-consuming tasks. Giving agents more time to cultivate relationships with leads. Better relationships will lead to more leases and revenues.

To recap: A company can decrease personnel and operational costs and increase revenues by building relationships with leads. By definition, its net operating income (NOI) increases.

 

Increase NOI will Attract More Owners

Attract more owners with this equation!

With an increased NOI, the company can deliver owners a higher profit margin and more competitive bids. More competitive bids attract more owners.

 

More Owners will Increase Revenue

Put your multifamily company in a virtuous cycle with this equation!

When you attract more owners, you get more properties to manage. More properties means your company can earn more money.

 

Increased Revenue will let you Invest in the Digital Workforce

Put your multifamily company in a virtuous cycle with this equation!
With more money, you can reinvest in the digital workforce.

And, the cycle keeps going!

 

Conclusion

Investing in a digital workforce gives your company a way to keep costs low while you grow.

You can see how adding a digital workforce can put your company in virtuous cycle:

  1. Invest in a digital workforce
  2. More digital workers increase NOI
  3. Higher NOI attracts more owners
  4. More owners give you more properties to manage
  5. Managing more properties enables you to reinvest your the digital workforce
  6. And the cycle continues!

Now that how scaling operations using a ‘Humans + Machines’ workforce can help you become a leader in the multifamily Industry.

Are you ready to change the economics of your business with the digital workforce?