Marketing Funnel for Class B Apartments
We dive into what your marketing funnel distribution should be for Class B properties in the Twin Cities metro area in Minnesota.
Class B properties typically have fewer amenities (e.g., on-site fitness centers, doggy daycares, storage lockers, covered parking, movie rooms, outdoor pools) than their Class A counterparts, and as such, will usually command lower rents.
Fast Facts for Class B Apartments in the Twin Cities
- Balanced lead-to-lease cycle: Class B properties have an average of 2 – 4 months lead-to-lease cycle, we recommend a balanced media mix.
- Budget Distribution. Our budget recommendation is Upper Funnel: 30%-40%; Mid Funnel : 10-20%; Lower Funnel : 40-50%
- Paid Search: Continue paid search campaigns despite high occupancy.
Paid Search Performance for Class B Apartments
Quarterly rent change for Class A and Class B exceeded last year’s numbers for the period, and both price tiers were roughly back within their normal range for this time of year.
For Class B we still saw the lowest CPL, however the CTR for class B in Uptown is much higher. Class B for North Loop has a much lower CTR but higher Conversion rate than in class A.
Paid Search: Peak Season Concessions
Lease concession availability ended the quarter back in the range of the COVID-era peak with 20% of conventional properties offering a discount for new residents. In fact, March availability equaled that from December of 2020 – the peak for the pandemic period. Consider adding promotion extensions to your campaigns and also:
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Highlighting points of interest in the neighborhood, and proximity to local attractions like:
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Lakes
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Bike trails
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Parks nearby
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Showcase high-demand amenities with seasonality in mind
- Covered parking
- Communal spaces and grills
- Co-working space
Minnesota Multifamily Marketing Strategy for Class B Aparments
National average occupancy appears to be at its lowest point since the Great Financial Crisis. What can be said with certainty is that multifamily occupancy resides in waters not charted in any time from the middle of the last decade. Having a diverse and balanced marketing mix for your Class B apartments in the Twin Cities is crucial for hitting occupancy goals and understanding the nuances between other class properties.
Questions? We’re here to support you with your Minnesota marketing strategy. Connect with one of our experts!
