More than 83% of consumers enrolled in loyalty programs say that earning rewards significantly influences their decision to make repeat purchases from a business. It's no secret that the introduction of new products and services aimed at enhancing convenience is a major driving force behind boosting customer satisfaction and increasing revenue. For example, in the multifamily space, self-guided tours allow potential residents to schedule a visit on their own time while freeing up on-site staff bandwidth, which enables businesses to operate more efficiently.

With rent prices largely stagnant, operators are searching for ways to increase efficiencies and maintain property performance. Enter the rental revolution. In order to optimize operations, mitigate outstanding arrears and ensure a resident experience that stimulates repeat renewals, operators are tapping into digital payments and resident rewards. 

Innovation and Consumer Behavior
Innovation and consumer behavior have long shared a symbiotic relationship. As consumer preferences evolve, companies must continuously reevaluate current practices and adapt in order to stay relevant in an increasingly competitive marketplace. One of the most successful innovations in any industry has been the implementation of customer reward programs.

Not only are these initiatives designed based on the habits of customers – they can also encourage the positive behavior that drives all-around success. Drawing inspiration from other industries such as airlines and restaurants, multifamily operators are starting to roll out reward programs for their residents. From brand loyalty to increased revenue, the impact has been profound.

The Power of Rewards
In the competitive retail sector, supermarket giant Kroger executives found that loyalty program members visit its store 4-times more often than non-members, making them 8-times more valuable to the company's bottomline. This underscores the notion that rewards are instrumental in encouraging positive consumer behavior and creating a lasting relationship that keeps customers coming back.

Within the multifamily landscape, this translates to increased resident satisfaction, higher renewal rates and a boost in NOI. However, transforming the rental payment process and promoting positive resident behavior entails more than simply implementing a well-crafted rewards program. It requires a comprehensive, centralized approach in digital payment innovation.

Digital Payments
When it comes to payment preferences, just like the communities in which they live, no two residents are alike. Recognizing the diversity in how residents choose to pay rent, operators are leaning on the power of digitalization to further incentivize on-time payments. Offering multiple digital payment options from a single app, including mobile check pay, innovative payment platforms can cater to nearly any payment preference, facilitating a higher number of digital payments. Digital payments provide an avenue for operators to easily reduce bad debt, maintain cash flow and protect property performance against economic uncertainty.

With more residents paying digitally, operators are able to get a better grasp of resident behavior and make more informed decisions. So whether residents prefer to pay by check, credit card or set up automatic payments, among other digital methods, operators can identify current trends and make adjustments to their reward programs and payment processes accordingly.

Payment Insight
It is imperative to have transparency into the payment preferences and behaviors of residents. A digital payment platform gives operators insight as to how many residents are paying through the mobile app, who's paying on-time and in which manner. By understanding the changing needs and behaviors of residents, operators can enhance digital engagement and increase on-time payments.

Forward-thinking platforms that utilize a rewards program and have digitized traditional processes and workflows are giving operators the power to take charge in the impending rental revolution. A customer-focused approach that provides valuable information regarding resident behavior and trends can alter the trajectory of the entire industry. Operators can use these revolutionary payment platforms to create a convenient and rewarding experience that not only benefits residents and meets their needs, but helps set the future industry roadmap. It's a chance to usher in a new era of digital advancements that not only attract more of today's residents and provide convenience, but also support seamless operations, increased satisfaction and a strengthened NOI.