This week we're talking to the private equity backed roll up shop that's adding 1,000 doors a month. Much of that growth is coming through acquisitions (7 so far in 2017).
But a lot of that growth is coming from very aggressive paid and organic marketing as well. I've been in the property management space for almost 9 years now and Renters Warehouse may run the most effective lead generation program in the industry. Consider the following:
- They pioneered profitable radio advertising (at scale) in the industry.
- Their branding strategy includes a paid spokesman, trademarking the term Rent Estate™ and publishing a book by the same name.
- They also were one of the first shops to scale a centralized sales function where a group of ISA's focused 100% on sales calls / emails.
- I could go on, but I won't because well cover it all in the interview.
"This year we're at 19,000 plus doors, we'd like to end the year at 24,000 doors and going forward we would like to double that next year, and then double again the following year."
In this interview we covered:
- How Renters Warehouse plans to grow from 20,000 to 150,000 doors.
- The difference between organic growth vs acquisition growth.
- How they consolidate operations after an acquisition.
- How the value portfolio's when they make an acquisition.
- Balancing their CSR call center model w/ service quality.
- ISA responsibilities in a centralized model
"What makes us unique is having the boots on the ground focused on the local market by taking away the administrative burdens of invoicing, maintenance, rent collections, evictions, etc. via our corporate office and allowing the local guys to focus on growing the market and managing the doors. You can't just mange everything from afar, you have to have both."