Effective follow-up systems are truly lacking in the Senior Living industry.
The failure to reach out to prospects that have toured your property or otherwise expressed interest results in losing potentially millions.
In the Senior Living business model, time is money.
Every day an apartment stays empty, there is revenue spiraling down the drain. You can decrease those lost revenue days exponentially.
You only need to implement follow-up initiatives as part of your overall sales plan.
To give you a clear picture of how time effects your bottom line, take a look at the following statistics gathered from A Place for Mom.
- 38% of residents move within one month, which is not perfect but common.
- 27% of move-ins happen within a 31-to-90 day window—a large chunk of time you could be acquiring more revenue.
- 12% of residents occupy an apartment within 91 to 180 days.
- 10% of residents move in between 181 and 365 days.
- 12% of future residents take over a year to move in—a time frame you can’t afford.
With the clock always ticking on revenue collection, follow-up systems are your saving grace.
The principal M.O. is to have residents move in as quickly as possible.
Only with a proper follow-up can you make that happen. The truth is that your sales directors must drive the process.
Communities who respond to a new lead within 30 minutes have a 15% higher move-in rate on average.
At the same time, communities who respond to new and qualified leads within 2 hours experience a 10% to 11% higher move-in rate.
In this business, even a few percentage points equals money lost, so be sure to follow up as fast as you can.
How much money are you leaving on the table?
If apartments go for $1,200 a month and your property has 35 units, you’re losing approximately $6,300 per month and $75,600 per year. (And we know that apartments go for much more than $1,200 per month!)
As you scramble to make up the lost revenue, you are not focusing on growth.
Without new residents, you can’t move toward full occupancy. Without full occupancy, you are literally leaving hard cash on the table for your competitors to freely take—all because you don’t have a follow-up plan at the ready.
If you are fast to respond to prospects, your occupancy rate will remain high.
The revenue will keep trickling in month after month, and you won’t have to bother with lost revenue days.
If someone downloads a report from your website or comes in for a tour, they are not necessarily ready to sign a move-in contract.
On the other hand, if there is an email waiting for them when they get home, they are much more likely to advance to the next step in the sales process, leading them closer to a move-in decision.
Follow-up is so crucial, as it opens up a dialogue between your Senior Living community and the families who make decisions.
This continuing conversation ensures that questions are answered and objections are addressed.
At the end of the day, this simple method drives move-ins forward and helps your property remain at full capacity.
These are the necessary ingredients for growth.
Email me at firstname.lastname@example.org or text 813-390-3349 with your name and number, and I’ll set up a time to show you how you can implement a rock-solid follow-up plan.