Why Is Having a Pricing Process So Important for Property Managers?
Discover what findings from ProfitCoach’s Final 2023 National PM Pricing Report reveal and what they mean for you as a property manager.
One of the most important ways to fuel entrepreneurial freedom for property managers (PMs) is to share industry insights in key metrics. Industry benchmarks on pricing and the most effective ways to drive Revenue Per Unit (RPU) present an impactful point of clarity for PMs on how to navigate to the next step of freedom on their journey. Think of it as a community-driven approach to finance. Learning together, setting realistic (but competitive) targets, and understanding what performance looks like in the industry as a whole helps everyone win.
Having pricing transparency provides you with a better opportunity to maximize value and revenue, helping you grow your business. Sharing survey findings and industry data is key to gaining this knowledge so PMs can take action.
This guide walks through what the final 2023 National PM Pricing Report from ProfitCoach found about pricing trends across the industry and what the insights mean for you as a PM.
Two Conclusions About Community-Driven Finance and Pricing
How do you harness the pricing insights provided by community-driven finance initiatives like the 2023 National PM Pricing Report? Think through these two important points:
- Pricing is the most dynamic lever in your business. The work to optimize pricing is never finished. Adjusting pricing strategically on a routine basis is one of the fastest ways to improve profitability and drive change in your organization – just a 10% increase in revenue per unit (RPU) can mean a 100% increase in profits.
- Getting your team on board can be one of the biggest challenges to making this happen. Often, teams don’t know what the benefits are of optimizing pricing or aren’t clear on the value proposition behind the services they’re charging for. There’s often fear of increased churn rates with pricing changes, or concern over the lift required to roll out new programs and fees.
Unfortunately, most PMs simply don’t create a pricing process. And many may have never even considered the need to operationalize this vital aspect of a healthy business. They have operational processes for every other aspect of their business, but not for pricing, surprisingly. This is a problem that PMs need help solving because the data shows that having a pricing process facilitates growth, fast. It is one of the most impactful ways to sustainably grow your business.
Strategic PM Staff
An uncommon best practice that property managers within the industry use to strategically improve their company’s operations, customer experience or growth strategy.