Entrata recently hosted a webinar about  the power of resident rewards programs and how they can be strategically leveraged to boost resident retention in multifamily properties. Our expert, Britton Pedersen, a seasoned loyalty professional, shared invaluable insights on maximizing the untapped potential of these programs. Here are the key takeaways:

Why Loyalty Programs Matter in Multifamily

While loyalty programs have been a staple in industries like airlines and retail for decades, their application in multifamily is relatively new. The core purpose, however, remains the same: to foster a sense of appreciation, respect, and value among residents, ultimately leading to increased retention. This is crucial because retaining residents is significantly more cost-effective than acquiring new ones.

What Makes a Good Resident Rewards Program?

Modern residents, especially Millennials and Gen Z, have high expectations for loyalty programs. Key elements include:

• Technology Integration: Seamless integration with your property management system (PMS) is essential for efficient administration.
• Ample Earning and Redemption Opportunities: Residents need diverse ways to earn points and a wide range of attractive redemption options.
• Travel Rewards: Travel options are highly valued by residents, aligning with the desire for experiences.
• Low Maintenance for Staff: The program should be automated and easy to administer, minimizing the burden on on-site staff.
• White-Glove Servicing: Dedicated customer service for residents with rewards-related questions is crucial.
• Effective Marketing: Proactive marketing of the program is essential to ensure resident awareness and participation.
• Flexibility: The program should be flexible enough to allow properties to customize incentives based on their specific needs and goals.

Incentivizing Desired Behaviors

A well-designed rewards program should incentivize specific resident behaviors, such as:

• On-time rent payments
• Setting up autopay
• Renewing leases early
• Participating in community events

Getting Started with Resident Rewards

If you're considering implementing a resident rewards program, here are key best practices:

• Begin with the end in mind: Clearly define your goals. What do you want to achieve with the program? (e.g., lower concessions costs, increased digital payment adoption, improved resident experience).
• Prioritize marketing: Ensure residents are aware of the program and its incentives. Leverage all available communication channels.
• Focus on flexibility: Choose a program that can be tailored to your specific property needs and resident demographics.

Get in the Game

Resident rewards programs are no longer a "nice-to-have" – they are a crucial component of a modern multifamily strategy. By investing in the resident experience, you can cultivate loyalty, increase retention, and ultimately improve your bottom line.

Want to learn more? Watch the full webinar to gain deeper insights into maximizing resident retention with a rewards program.