5 Strategies for Building a Strong
Resident Referral Program
By Ashley Tyndall
D
id you know that the most
common source of new leads
are referrals? Or that it costs 5
to 25 times more money to acquire new
residents than to keep existing
ones happy?
Loyal residents grow a multifamily
property much quicker than marketing
or sales, and it all begins with a strong
resident referral program. Additionally,
a referral is 18 percent more loyal than
other customers, and they are four times
more likely to refer more customers to
your brand.
Perhaps your property does not have
a resident referral program yet — or
maybe you do but it is not as effective as
you hoped — there are simple ways to
enhance your program to increase new
leads and decrease turnover in
the process.
The following are five strategies for
multifamily professionals to maximize
a referral program:
30 | TRENDS JULY 2019
1. OFFER AN INCENTIVE
Despite how inviting your community
is, residents often need an extra push to
actively recruit their friends. Incentivize
your residents for referrals by offering
gift cards, cash, or rent credits. Rewards
can range from something as simple as
a $100 rent reduction to offering one
month free rent.
2. GAMIFY THE EXPERIENCE
Several software companies offer
gamification programs and apps that
can not only increase your property’s
brand awareness but also encourage
current residents to renew or refer their
friends. These programs allow renters to
complete tasks and collect points which
are then exchanged for gift cards. Tasks
range from posting on social media,
writing an online review, and completing
a survey, to renewing their lease or
referring a friend.
3. CREATE A LANDING PAGE
WITH FAQS
Once you develop a unique resident
referral program, you will want to design
a landing page to direct residents to
enroll in the program. Do not forget
to add a section for frequently-asked-
questions for residents to find out more
descriptive information and cover all the
questions your residents are sure to ask,
including how and when rewards are
given. This landing page can then
be shared to social, email, and your
website homepage.
4. SPREAD THE WORD
Once you have a landing page, it’s
time to get the word out. Start an email
campaign to let residents know about
your new offering. Send two versions of
the email, one for current residents and
one for prospects. Add a Call-to-Action
button on your website homepage that
links to your new landing page, then be
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