Today, over one-third of all UK households are renters and that number has been on the rise for the past 20 years. With tenant demand rising combined with more and more landlords exiting the market, most lettings agents are struggling to find new landlords and grow their portfolios. As a result it's imperative for agents to adopt strategic sales and marketing approaches to secure these new instructions. In this blog post, we delve into effective strategies that can empower letting agents to upskill themselves and attract new landlords.
1: Deliver exceptional customer service
Good is no longer good enough. Only by being exceptional can you win more instructions and grow your market share - differentiating yourself from other agents is essential. Beyond competitive pricing, emphasis should be placed on delivering exceptional customer service. Showing you understand your service and have specific measurements and touchpoints in place is a very effective way to help generate confidence from prospective landlords. Show that you are committed to high levels of customer service to help landlords feel you have their interests at heart. Vaboo works with agents to obtain customer feedback from both tenants and landlords which provides invaluable insights into how customers perceive your service, providing you with feedback and measurable ratings to help show your prospective landlords that you are focused on service.
2: Remember the power of customer advocacy
It is important to not only think of tenants as customers of your agency but also as potential advocates. Ask tenants with whom you have strong relationships or who give you high service ratings to leave a review on Google - you might be surprised at how happy they may be to do so. With minimal effort in educating tenants, being transparent, providing prompt communication, and resolving issues as standard, you are likely to create an ongoing flow of advocates who will be happy to leave positive online reviews without much prompt. These advocates not only serve as testimonials of your quality service but also wield significant influence in attracting new landlords. Leveraging platforms like Google reviews can amplify positive word-of-mouth, establishing credibility and trustworthiness in the eyes of prospective landlords. Vaboo can help you harness the power of these reviews as illustrated in this testimonial video from The Accommodation Bureau.
3: Encourage existing customer referrals
Capitalising on the network of your current customer base by offering a referral program that incentivises them to refer other landlords to your agency can encourage your existing clients to refer new business in return for a reduced fee or cash reward. On that note, referral programmes are rapidly growing in popularity across all sectors. Why? Because they work. Research by Nelson states that people are four times more likely to buy when referred by someone they know and trust - in fact, one agency claims that in 90% of cases, a referral from a current customer is a "guaranteed instruction". Capitalise on the network of your current customer base by offering a referral program that incentivises them to refer other landlords to your agency.
4: Get more from your existing landlords
Sometimes, you needn’t look any further than what is already directly in front of you. Comb through your existing customer base for untapped further business - 22% of landlords have more than one property and there could be plenty of opportunity to generate further business from people you’re already working with by simply reaching out to your current customers and asking. Call your existing landlords for an annual checkup and see if they are considering purchasing additional properties or help illustrate the current market position and proactively find new properties that maybe available to purchase.
5: Ask prospective tenants
A lot of people looking to rent a new place are currently tenants, and the place they’re currently living in will probably need new tenants soon! With an excess of tenant demand, asking your applicants about their current position can be a great way to uncover new potential opportunities. If they’re currently renting privately from a landlord, they might be keen to share their landlord’s details with you, which can then be used to both check their tenancy history, as well as the potential business opportunity! If the tenants have given their notice already, their landlord is likely to be looking for new tenants soon - you can easily check that while referencing the applicant.
6: Add a point of differentiation in your proposition
Be really clear on the things you do that other agents don’t. For example, Vaboo can provide your Agency with a fully-branded reward and discount platform enabling both your landlords and their tenants the ability to save money on everyday essential household purchases. Offering a platform with hundreds of recognised high street brands can really set you apart from the competition so you don't need to focus on price - but on value instead. Weaker agents differentiate by having a lower fee, whilst exceptional agents often use a higher fee as a differentiator and work hard to justify it.
7: Produce stand-out marketing materials
In the digital era, advertising to potential landlords might not be as easy as it might seem - especially if you’re starting with a blank canvas. Social media presence and advertising to potential landlords can open up a whole new market for your agency, but it’s just not that simple! Informative, progressive, and well laid out landlord marketing materials will save you time and hassle when it is time to convince landlords of the value in paying for your services. Always keep your ideal audience in mind when creating content and marketing materials, so you can target landlords in the best way. What is it that makes a blog post or pamphlet of particular value to a landlord? Make sure you provide them with engaging, high-quality content that will position you as the industry leader in your area.
8: Build your reputation by delivering a professional service
It's also important to consider the reputation of your agency's brand. Position your agency as professional, knowledgeable, and the obvious choice to maintain and protect a landlord’s investment. For example, provide prospective customers with a personalised folder when first meeting them, containing specific information regarding the property and neighbourhood, your compliance regulations, your services, and with corresponding rates outlined. If done well, landlords will feel informed and confident, with realistic expectations of the business relationship they are about to engage in. Also consider offering free advice -we all love free content, especially when it comes from a high-authority figure within the industry. Creating content to give out for free, or providing the potential landlords with free advice might seem like undervaluing your time and expertise, but it’s a great way of positioning yourself as the business they can trust. A lot of landlords might be new to renting their properties and are not familiar with the process, how long it might take, or the legislation. You, as the expert, should provide them with the most up-to-date information on market trends and expectations, as well as patiently answer all the questions they might have about renting their property. Once they see you as an expert in the field, they’ll be more likely to trust you.
9: Pitch renting as an alternative to selling
In the event you’re out on a sales valuation, you can let the potential seller know how much their property could be rented for. Under the right circumstances, renting can be very lucrative for the right person! Also, there are a lot of properties that have been on the market for quite some time, without getting sold - offering the owner renting as an option for the property out could bring in a new landlord very soon!
10: Provide a one-stop shop
Landlords pass their properties off to letting agencies for one reason: simplicity and ease of managing their investments. For this reason, landlords look for an agency that can provide a one-stop shop for all their property needs. Offering an end-to-end service will make your agency more attractive, especially to larger portfolio landlords. You can even use an all-in-one solution like Goodlord, that offers various services to tenants and landlords through its lettings platform, including rent protection, tenants insurance, utility switching, and more.
There are numerous ways agents can really stand out by differentiating on service, harnessing the power of customer advocacy, and leveraging PropTech solutions.
As you navigate through these strategies, remember that Vaboo stands ready to support your journey towards excellence in customer service.
Contact us today for a platform demo and discover how Vaboo can elevate your agency to new heights.
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