In this report, we focus on the theory and practice behind branding a multifamily property. Branding is a standard concept for every non-commoditized product but the practices have not been fully utilized when it comes to residential rentals. Now, though, sophisticated multifamily owners and operators are using data and creativity to build valuable brands both on the building and portfolio level.
Executive Summary
Branding in multifamily can sometimes be an afterthought. Doing the work of maintaining properties, streamlining operations, and doing market research comes first, and branding and marketing easily gets overlooked. But like any business, branding is essential in multifamily and requires diligent planning and hard work.
We’ll dig into why branding is important, including the ability to generate a price premium, increase retention and renewal rates, and activate amenities. We’ll also talk about the process of creating a multifamily brand from the ground up.
Branding is a term used so widely in the business world that even people who work in marketing may have trouble defining it. One simple way to think about branding is the message a product or service conveys to customers and potential customers. When residents identify your multifamily property with positive emotions, that’s an example of excellent branding that’ll help your building and portfolio.
AvalonBay Communities is an excellent example of powerful branding in the multifamily market. AvalonBay is a publicly traded REIT that invests in apartments, and the firm is currently the third largest apartment owner in America. The REIT has done extensive work to incorporate ESG practices into everything it does, and it conveys its transformative climate-friendly work in clear and concise messaging to current residents and potential residents.
Many residents today want to live in places that are forward-thinking about climate change, especially young professionals. AvalonBay is a case study of building a brand around an issue that residents deeply care about. Residents who may be on the fence on where to live next may see the ESG work that AvalonBay Communities does and make a decision based on that factor. That’s the power of branding.
