Redefining the Resident Experience with Financial Wellness

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Operators are always striving to create a better resident experience that has a lasting impact. For many, that begins with establishing quality relationships that benefit both themselves and the residents. While amenities have long been the cornerstone of a positive resident experience, operators are now looking to nontraditional features that cater to the modern renter as a way to increase renewals.

Operators are beginning to shift their focus to financial wellness initiatives, including unique reward programs, to enhance residents’ lifestyles and help them develop the groundwork that leads to an unparalleled experience. From tailored financial amenities to personalized loyalty programs, these contemporary strategies are completely reshaping the multifamily landscape.

Focusing on financial wellness

As operators constantly innovate and conceive of new ways to differentiate their communities from the next, one of the most popular tactics gaining traction is the adoption of financial wellness tools that integrate seamlessly into operations. Going beyond typical amenities such as fitness centers and co-working spaces, reward programs provide residents with the tools to improve their financial situations.

Reward programs have proven to be a valuable addition for customers across countless industries. In the multifamily space, such programs play a pivotal role in not only attracting more quality residents, but in enhancing the resident experience to a degree that boosts renewal rates. Additionally, implementing a rewards program can lead to an estimated 2% reduction in turnover costs, which results in significant savings when considering a 5,000-unit portfolio.

By offering tangible rewards in exchange for on-time payments and other positive resident behaviors, operators are creating a mutually beneficial situation for all stakeholders. Residents can track their progress, work towards personalized financial goals and explore the rewards they can earn by exhibiting certain behaviors, like paying rent on-time or posting a property review. That level of engagement also improves the overall property reputation and strengthens the bond residents have with their community.

For operators, these initiatives increase financial security and peace of mind.

Operational benefits

In addition to the convenience factor, introducing a rewards program to residents encourages the use of digital payment methods, increasing the speed at which the properties revenue is available. By making digital payments a core component of the rewards initiative, more residents will enroll in the program. This not only streamlines the rent payment process, but it creates a safer and more efficient community.

Furthermore, operators can analyze the effectiveness of the rewards program through their manager portal, allowing them to make informed decisions as to which offerings garner the most resident engagement and make adjustments accordingly. These features empower operators to evolve with changing residents’ needs and craft the most appropriate loyalty program for their community.

Resident experience, renewals and relationships

The impact of financial wellness initiatives and loyalty programs is far reaching, especially in terms of relationships, resident satisfaction and renewals. A superior resident experience is directly linked to an improved community reputation and higher renewal rates. When residents feel that their living environment adds value to their lives, their bond with the community grows and the likelihood of them renewing their lease skyrockets.

Today’s operators are realizing the importance of financial wellness when it comes to the resident experience. By transcending the traditional approaches that no longer suffice, and placing an emphasis on the financial well being of residents and building relationships through a rewards program, operators are laying the foundation for sustainable success and increased NOI. 

Source: Multifamily Insiders