John teaches Technology Strategy at the Schulich School of Business (York University) and is an Advisor at RetirementHomeSoftware.com a web-based software tool for Retirement and Senior Care Communities.
Occupancy is a major challenge for the retirement home industry. Whether you are dealing with a new property facing aggressive ramp-up targets set by investors, or an established community with a 25% plus attrition rate, the underlying issue remains the same – attracting and retaining residents.
Lead management strategies
Given this challenge, it is critical for retirement home communities to employ structured lead management practices. Effective lead management strategies should methodically nurture leads from beginning to end, so that prospects quickly convert to residents. Modern software technologies offer powerful, yet simple-to-use tools that empower the retirement home sales process. However, prior to selecting a software solution, defining the right process for your community is vital.
Define your community’s unique sales process
As expected, different communities follow distinct procedures in order to achieve their marketing objectives. For example, lead management in a community that differentiates itself based on ‘high standards of resident care’ will vary greatly from a community that caters to ‘active lifestyles’. Therefore, before discussing technology, we recommend that you consider the following five steps in order to define your community’s unique sales process.
- Determine Problems and Opportunities
- Set Your Goals
- Assign an Evangelist
- Map Out Your Existing Sales and Marketing Processes
- Develop Your Ideal Process
Determine Problems/Opportunities
- Identify current problems (e.g. low tour to deposit conversion rates, high resident attrition rates)
- Uncover new opportunities (e.g. special events encouraging residents to invite friends)
- Initiate team involvement
- Assess the business benefits of addressing the issues
- Quantify the business impact (e.g. improved occupancy rates, higher revenue)
Documenting problems and opportunities is the first step towards developing your optimal solution. By discussing issues and identifying areas needing improvement, participants can benefit from brainstorming sessions.
To guide you through these steps, download our Free Problem Opportunity Worksheet and tutorial.
Set Your Goals
Establish goals – financial and non-financial (e.g. set follow-up times to match lead sources, such as one-hour response time for inbound telephone inquiries and next business day for leads originating from online directories).
Set your goals and reach for the stars; this process is about achieving extraordinary results.
Assign an Evangelist
Appoint the best individual to make things happen
Empower this individual to implement change
Map Out Your Existing Sales and Marketing Processes
Document your community’s existing tools and processes Track the typical time spans and conversion rates associated with specific stages and tasks
To assist in analyzing your current situation, download our free Sales and Marketing Process Questionnaire. By completing this exercise, the management of one retirement home was shocked to learn that sales associates took over thirty days to follow-up on inbound inquiries.
Develop Your Ideal Process
Identify your lead sources – community events, mailing campaigns, local advertisements, hospitals, doctors and other influencers
Categorize your initial inquiries – phone, email, walk-in, web
Determine how sales associates build rapport with new prospects: Marketing experts advise that telephone communication ranks as one of the most effective selling techniques for building rapport early on in the sales cycle
Focus on capturing prospect information: Stipulate the data you want to capture and the appropriate format: Since the initial prospect contact is typically a telephone call, prepare a questionnaire to assist you in qualifying a caller’s level of interest
Analyze the tour process - Document the steps required to prepare for a community tour
- Verify that all department heads are involved in the tour
- Consider whether the tour includes resident ambassadors
- Categorize the tour as standard “museum”, interest-based, or custom
- Document the methods used to capture prospect reactions to the tour
- Describe the means for affixing notes and comments to prospect records
- Investigate the handling of prospects not yet ready to tour. Contact these prospects regularly via a nurture marketing process that includes newsletter marketing, community events and periodic telephone calls. Typically, follow-up at the community level is poor.
Once your community’s sales process is defined, the next consideration is technology. I am looking forward to continuing this conversation in greater depth in the coming months.
About John A. Macdonald
