Unleash the Marketing Power of your Unique Selling Position
Attracting good tenants who will stay on is a vital aspect of real estate investment as it will keep the vacancy low and turnover costs down. When you develop a cohesive rental community, your residents often pitch in and help you find like-minded renters in the future. Capitalizing on your Unique Selling Position or USP can help you brand your apartment building, explain why it is different from the competition and help you find the right tenants.
The Concept of a Unique Selling Position
The concept of a USP was developed in the 1940’s by Rosser Reeves, a television advertising pioneer at the Ted Bates agency on legendary Madison Avenue in New York City. The Unique Selling Position, as the name implies, is the aspect of a product or service that makes it better than the competition. Since all apartment buildings have a lot in common, you have to think long and hard about what it is about your multifamily building that makes it unique to the point where renters will choose to live there.
The Elements of the Unique Selling Position
Marketing experts identify “four P’s” that can differentiate your product and position it ahead of the competition. You can base your USP on Product characteristics, Pricing, Place where the product is sold and Promotional strategies. It helps to understand how the competition uses their Unique Selling Points to separate their products from all the rest. Think of the classic L'Oréal signature phrase “Because I’m Worth It!” Yes, there were tons of other hair coloring products on the market. In addition, L'Oréal planned to up the price a bit. They managed to turn this strategy to their advantage. We can identify the products of these taglines because they speak to the USP of the product: A Diamond is Forever, DeBeers; Breakfast of Champions, Wheaties; and Can you Hear Me Now?, Verizon.
Finding your Unique Selling Position
Figuring out your USP is not easy. To find the USP of your multifamily building, you have to think like your potential renter. Step back and analyze what your customers really want and what you have to offer. Do you give your renters value pricing and more bang for the buck, or do you charge a little more and provide upscale amenities? Is your building close to transportation for commutation and within walking distance of restaurants and shopping? Do you have truly “unique” features like a rooftop pool, a residents’ lounge or a shuttle service to the subway? When you identify what makes your multifamily property different, you have found your USP.
Tips for Unleashing the Power of your USP
Developing a marketing strategy based on your Unique Selling Point to brand your multifamily property is the key to differentiating your product from the competition and attracting good renters. Look at your property through your customer’s eyes to figure out what is important to them. There may be other choices out there, but you have to explain to the consumer why your multifamily property is the best.