By Lynn Kreher
Entire businesses have been built using strategic networking and collaboration to create strong connections among members of the ecosystem of support. When it comes to property management, developing great associate and contractor relationships build referral networks where everyone wins.
Many property owners and their contractors in areas such as maintenance, landscaping, or cleaning will pass business back and forth for often decades, as these collaborative relationships engender loyalty and respect. Owners and operators come to count on reliable vendors to ensure the jobs get done right. Loyal contractors will refer business back to the property owners. This example shows the value of building collaborative relationships.
"Whether it’s partnering with cleaning companies, landscapers, stagers, or maintenance providers, collaborating with such trusted vendors and suppliers always plays a crucial role in providing top-notch customer service, said Carissa Kristoff, a Realtor Berkshire Hathaway HomeServices Select Properties. "These relationships ensure that the properties are always in their best condition. The objective is to have a reliable network of professionals who can enhance the properties appeal with their expertise whether it’s for selling, renting or simply keeping up."
Kristoff continued, "Building these relationships is a lot like building a good client base — it’s all about trust, consistency and mutual benefit. I make it a point to personally vet all service providers to ensure they meet a high standard of quality. From there, it's about maintaining open lines of communication and referring their services to clients when appropriate. This goes both ways; vendors often recommend me to their own networks when their clients need real estate expertise. Regular check-ins, mutual referrals and collaboration on marketing efforts all help nurture these partnerships."
GETTING STARTED
How does one go about getting started building collaboration? A couple of suggestions involve (a) identifying organizations, associations (like East Bay Rental Housing Association) and groups focused on areas of interest; and (b) identifying referrals from other people who work in the industry. For some owners/operators, who don't feel comfortable going out and connecting this way, you might assign a staff member to do marketing this way.
"Time and trust is the only way to develop solid relationships in the construction/real estate business," said Max Cohen, home buyer. "There are so many bad apples out there in this field – even with 11 years of experience, I got stiffed last year for a large sum by a bad sub-contractor.
"When it comes to developing new relationships, it's challenging yet simple at the same time," he continued. "If you are looking for a plumber, go to Home Depot and chat with someone who's wearing a plumbing shirt. That's the easy part. The hard part is setting expectations and communicating: When do you expect to be done? Who pays for what? Do you suspect this can go over budget, etc.? How you handle those issues with them is what makes or breaks the relationship?"
It's important to make these collaboration strategies a business-as-usual marketing approach designed to move your business to the next level. In fact, some property owners rely on these relationships as their primary marketing tool. "We cultivate these partnerships via a blend of strategic conversations and joint value generation with our partners," said Tim Choate, founder and CEO, Redawning. "Regular networking events and joint marketing initiatives, as well as open communication channels, help align our interests with those of our vendors and suppliers."
SUCCESSFUL OUTCOMES
Many experts shared their positive results working with their collaborators. Kristoff said, "A great example of successful collaboration in my experience was working with a local landscaping company. I recommended them to a property owner who was looking to enhance the curb appeal of his property before putting it up on the market. The work went exceptionally well; lush greenery, perfectly manicured flower beds and beautiful walkways, even better than what was expected. The landscaper, thrilled with the business, started referring me to his own clients who wanted to rent out their revamped properties or who looked to find suitable investment opportunities.
"On one other occasion, I collaborated with a cleaning and property management company who specialized in making properties market ready," continued Kristoff. "After working closely on multiple projects, they also started referring me to their clients who were looking for more real estate investment opportunities. It’s always a great feeling when collaboration leads to mutual success."
Choate shared his success story. "One of my favorite projects was a joint marketing campaign that had us working alongside a reputable landscaping company. As the initiative was not only about attracting renters who prefer better upkeep, it also helped gain good exposure for the landscaper and thus led to mutual referrals."
"I've been involved in several situations where my subcontractors have referred me to someone looking to rent one of my properties they worked on," said Cohen. "I have even bought a house through my electrician – an investor he was working for was doing work without permits, got caught, and couldn't finish the job. I promised him I would give him the electrical work, and it worked out for both of us."
These business relationships work and can benefit everyone. So, go forth and collaborate for big wins!
Lynn Kreher is a Bay Area writer.