As a property manager, filling your sales funnel with new and promising prospective clients can be a difficult, tiring task.
Curating a list of new prospective clients should be a significant portion of your business development model and will help to grow and sustain your property management business.
While there is no quick-fix secret to filling your new client funnel, there are several tried and true tactics property managers can use for lead generation.
But could cold calling be part of this new business strategy? The short answer is yes, and you should employ this tactic for your business. But there is a right (and a very wrong!) way to do it.
If you ask many property managers, they will tell you that cold calling is an outdated sales strategy. But before you forgo cold calling for your business altogether, don’t forget that cold calling has been incredibly successful for many property managers.
The key to cold calling is crafting the right pitch that showcases your business offerings and ensures you are targeting the right potential clients.
Once you have refined your pitch and your targeting strategy, building a database of effective cold calling scripts can increase your chances of reaching potential new clients.
The best part of cold calling? You don’t need some magical powers or additional tools to make these deals happen. All you need is a phone, confidence, and a great pitch.
The success behind cold calling lies in the preparation and execution of the call. It is essential to do a thoughtful analysis of how your cold call can position you as the competent and effective property manager you are.
How can you differentiate yourself from the competition? Leverage those factors in your cold calls.
In this article, we will break down how cold calling works, how you can show potential clients your skillset and confidence, share different types of cold calling scripts and finally, share some tips and tricks for maximizing your cold calling strategy.
Remember to track your KPIs during the sales process!
Keep reading to learn more about how cold calling can work for your property management business.
How To Effectively Cold Call Leads
The first step in a solid cold calling strategy is refining your pitch and sales technique.
Cold calling can come across as intrusive and annoying if not correctly managed. So, it is vital to create a solid foundation for your pitch that is backed by facts and confidence in your business capabilities.
To leverage every unique opportunity, you should have several cold-calling scripts in your repertoire. These cold calling scripts can easily be swapped depending on the tone and scope of the call, and each is tailored to your potential client’s specific needs.
Remember: cold calling doesn’t mean reaching out to everyone with a copy-pasted sales pitch!
Each cold call script must be tailored to your audience, or in other words, the person you are hoping to bring on as a client.
For example, your pitch to a large apartment complex owner should be very different from a single investor managing a few single-family homes. It is essential to be an active listener on these calls.
Be sure to ask if they are happy with their current property management arrangement (whether it is DIY or with a competitor) and how their property management can be improved.
Listening to their needs can help you to tailor your pitch to showcase your business’ specific offerings and the benefits of switching. It’s all about standing out from the competition!
No matter the cold calling script you choose to use, you should always include five important elements. These elements help ensure your pitch is well-rounded, approachable, effective, and professional.
Five Key Elements to a Cold Call Pitch
Your goal for the call should always be evident to your audience. But don’t jump three steps ahead!
Your goal on the first cold call should never be to make a sale or sign a contract. Your goal for a cold call should be to get the go-ahead to share more about your business with the potential client, whether through a follow-up email, phone call, or email.
A cold call is your potential client’s first interaction with you and your business. Your cold call should reflect the enthusiasm you have for potentially working with them.
Keep an upbeat and professional tone to help portray this eagerness without coming off too strong.
As a property management company, it is essential to show that you empathize with your potential client’s frustrations and possible pain points when managing their property.
Being able to relate and empathize with property owners will help to boost your credibility and highlight your role as a potential partner.
One of the most common mistakes property managers make when cold calling potential clients is speaking “at” the person, not to them.
Be sure to ask your prospective client lots of questions and listen intently to encourage a deeper conversation and a more memorable interaction.
Last and certainly not least, it is important to offer solutions for your prospective client’s frustrations and challenges. By providing a solution, you can highlight your property management expertise.
Be sure to connect your value to your ultimate goal, and you will be well on your way to closing the deal.
Different Types of Cold Calling Scripts
Now that you understand the five ingredients required for the perfect cold call, it is time to dig into the different types of cold calling scripts that you can use as a property manager to reach new clients and property owners.
1. The Script for When You’re Calling Out-of-the-Blue
Let’s start with the traditional cold call script – the script you would use when contacting a property owner that does not know you or your business.
In this circumstance, you would be pitching your business and introducing yourself, and quickly building a rapport.
This script is best used for gauging a prospect and identifying their frustrations in their current property management arrangement. This script helps you introduce yourself, get your foot in the door, and get to know your potential clients.
When cold-calling clients, it is not uncommon for your potential lead to immediately write you off and look to get off the phone as soon as possible. It is your job to quickly build a relationship to ensure this doesn’t happen.
The ultimate goal of this script is to get the potential client to agree to additional follow-up or more in-depth chat, whether that is a phone call, email, or meeting.
Here is an example of an opener:
“Hi! My name is XX. It is great to finally reach you. I’m a property manager with Z Property Management. Do you have a couple of minutes to chat?”
Now, let’s brainstorm some of the potential responses you may receive to this cold call script.
Your prospective client may be busy or driving but would like to learn more. Be prepared to offer a time to reschedule. Offer to follow up with an email or a phone call at a pre-arranged time.
By asking their permission to continue with the call, you show that you appreciate their time and schedule.
Your prospective client may say no and immediately indicate they do not want to chat about your services. No matter their answer, now is the time to steer the conversation forward with empathy.
A great empathetic response could be: “I completely appreciate you must be super busy right now. Is there a better time I can connect with you?”
But what if your audience gets agitated or reiterates that they are not interested? Well, this is the end of the line. Respectfully thank them for their time and end the call.
It is important not to pester these potential clients as it can damage future relationships and your reputation – be cautious.
2. The Script That Showcases Your Community Involvement
This script is an excellent way to leverage your community involvement as a way to build trust with your clients, their tenants, and the communities you serve. This script is a great way to build a relationship and humanize your business.
Here is your script:
“Hi (potential client name), this is XX from Z Property Management. I just wanted to reach and connect because I manage a ton of properties in your neighborhood/area. I wanted to know if you have ever considered professional property management services for your property? Would you be open to meeting with me to discuss your property management needs?”
This script is short, sweet, and to the point. Your potential client will either say yes or no, and you are well prepared for either answer.
The strategy behind this cold call script is to build some name recognition and help create a link between your business, the property owner, and the neighborhood or community you primarily serve.
This will hopefully help to establish some common ground and prompt a conversation.
As the conversation progresses, take note of anything specific from your call. Even if your potential client isn’t looking for a new property management company, you can help to build a relationship.
This relationship could one day turn into a new business prospect, or the client may recommend you to friends, family, or business associates. Sometimes playing the long game is a smart move!
3. The Script That Refines Your Elevator Pitch
Every business owner needs an elevator pitch.
An elevator pitch is a quick, 1-2 minute pitch that showcases who you are, what you do and your business offerings. As a property manager, having a robust and refined elevator pitch is important for your business development.
But it is crucial to keep this pitch conversational, natural and convincing – not robotic or overly rehearsed. Overly-rehearsed pitches make the potential client feel like they are just another potential client, not an essential and valuable person.
Keeping it casual and personable is key!
Here is a good idea for a script:
“I just found some great new tenants for a client’s property in the neighborhood/street/area. We were able to secure a rental agreement for more than the average rent price in your area! Can we set up a meeting to share my plan with you to help your property attract great tenants? What day works for you?”
Or, an alternative:
“I’m on a mission to help 20 investors increase the return on investment for their rental property. I’d **** for you to be one of those people. My goal is to help you create an effective property management strategy that generates more passive income for you. Do you have time to sit down and chat tomorrow?”
Hopefully, both of these elevator pitches will pique your potential client’s interest and encourage them to book a follow-up call.
If your prospect does object, show empathy to their objection by acknowledging they are busy and offering a solution. Helping to position the conversation as a solution to their property management difficulties can help to differentiate you and help secure a follow-up meeting.
4. The Script for Pitching Someone you Already Know or Have Met
This pitch is a good option for when you have already met the person you are cold-calling or when you are looking to get straight to the point without rushing your prospective client.
In these circumstances, a high-level relationship has already been established. Use that to your advantage to get quickly to the point and book a more in-depth meeting.
Here is your script:
“Hi (potential client name), this is XX! We met at (specific event, or name a mutual acquaintance). How are you? Do you have a few minutes to chat?”
To avoid spooking your prospective client, it is important to open with your mutual relationship or connection. Don’t go immediately into your business pitch – move forward gauging the response of your potential client.
“I heard you own rental properties in the area. I own a property management company called X Property Management. Are you currently working with a property management company, or have you considered working with a property management company?”
From there, you can continue the conversation toward booking a follow-up call without rushing your prospective client. This type of cold call is ideal as it leverages an existing connection or relationship to help sign a new client.
5. The Script to Cold Call a Property Owner Who You Know is Struggling
This script requires a bit of background research on your part, but you can leverage their current situation into a great conversation to talk about your business and your services.
Start by targeting your cold-calling efforts to property owners who are trying (and struggling) to manage their property independently.
These prospective clients will indeed have lots of challenges and pain points for which they’d be open to hearing solutions.
These prospective clients will likely be more open to hearing what you have to say and learning more about your business offerings.
Here’s your script:
“Hi (prospective client name). This is XX from Z Property Management. I noticed you have been struggling to find new tenants for your (area) property. Are you free to chat a bit more about that?”
Wait for their answer. This prospective client may be open to the conversation about property management, or they may insist that they have it under control. The best you can do in these situations is ask insightful questions and gauge their interest in your services based on their responses.
If the prospective client indicates that they are not interested in your services, don’t lose hope. Keep a note of this property and check in on it occasionally to see if the landlord finds new tenants.
If the property remains empty, try your luck at following up with the property owner to gauge if their interest in your services has changed.
You never know; maybe they’ll realize how complex DIY property management truly is and be open to hearing more about your services and expertise!
6. The Script to Follow Up on a Previous Conversation About Property Management Services
Let’s say you have already made a connection with a prospective client, but then you don’t hear back from them, or they are ghosting your emails and texts. There still is hope!
Allow some time to pass and then try again with a follow-up cold call to gauge their interest and see if you can re-open the conversation. This potential client has already shown interest in your services before, so be sure to leverage that connection.
Here is your script:
“Hi (prospective client name), this is XX from Z Property Management. We connected on (specific ****) about your property and your property management needs. Is now was a good time to chat? I recognize lots may have changed, so I want to see where you are at.”
This opener acknowledges your past communication with this client, without blaming the lead for going cold or not following up. This is also a great way to open the door for the client to share more information about their property and current property management situation.
This script is a practical, pressure-free way to reopen a previous discussion that may have fallen off the radar or was not the right time for the prospective client. Treat these conversations as a fresh start to pitch your business and make a more substantial business connection.
With these simple, fool-proof cold calling scripts, you will be able to implement cold calling into your current business development strategies.
Cold Calling Best Practices For Property Managers
Before we wrap up, here are some tips, tricks, and best practices you should be implementing to ensure a successful cold call.
1. Make Sure Your Space and Body Are Well Prepared.
When making cold calls, especially multiple cold calls in a row, it is important to consider the physical space around you. Make sure you are in a quiet place, sitting in a comfortable chair, have a pen and paper ready, and access to take notes.
Some other great tips to prepare yourself for cold calling include:
- Stay hydrated but avoid coffee – it may make you jittery and speed up your speaking, making you sound nervous even if you’re not.
- Get a good Bluetooth headset or earphones to minimize background noise.
- Be ready to take notes and follow up with important next steps immediately. Clients expect a prompt follow-up to a cold call.
2. Be Engaged in the Conversation.
One of the best general rules to keep in mind when making cold calls is: “it is your job to create a natural conversation that supports your ultimate goal.”
You won’t get very far if your cold calls are robotic, impersonal, and bordering on spam. Keep the conversation breezy, authentic, and most importantly, collaborative! As the leader of this cold call, it is up to you to ask insightful questions that merit an engaging response from your prospective client.
Asking strategic questions helps you garner essential information on your new lead, while also showing them that you are knowledgeable in your field and interested in them and their property.
Remember: one of the best ways to convert someone is by active listening! This means listening to your potential client’s challenges, pain points, and opportunities for new business.
In fact, during your initial cold call, you might not even talk much at all! Make sure you take notes of important details during your call for reference later and prove to your client that you hear and validate their concerns.
Think of it like this: a cold call is an opportunity for your potential client to share their experience, concerns, and story with you. You need to be prepared to ask the right questions and be ready to respond.
Follow their lead, and be sure to prompt a more in-depth follow-up conversation or meeting to help move this business prospect further along your new funnel.
3. Choose The Best Time To Cold Call Real Estate Investors
One common mistake made by any business that employs cold calling is calling at the wrong time.
There are specific periods of time throughout the day that are proven to yield better cold calling results and particular periods of time throughout the day that are proven to do the opposite.
According to studies, most people respond to cold calls between 10 a.m. to 4 p.m.
This is a great time to conduct your cold calling as you are most likely to catch property owners at a point of their day where they will be expecting business-related calls.
By contrast, calling early in the morning or after 5 p.m. often yields the worst cold calling results and may even damage your relationships with potential clients. By calling outside of working hours, you are showing disrespect for their personal and work-life balance.
Unless a potential client specifically asks you to contact them at an atypical time, stick to the regular 9-5, Monday to Friday working hours schedule.
4. Be Prepared for the Voicemail.
Another common mistake we see when making cold calls is not being prepared for your prospective client’s voicemail! In today’s age of caller ID, people are much more likely to screen calls from phone numbers they don’t know.
Leaving a voicemail message is a great way to break the ice with no pressure. Having a voicemail script ready and prepared will help maximize the short amount of time you have to make your pitch.
Here are some tips for an excellent voicemail script:
- The ideal voicemail length is between 8 and 14 seconds. Studies have shown that voicemails that are 15 seconds or less have a much higher listener rate than voicemails over 15 seconds.
- Identify who you are and why you are calling. Ideally, your voicemail should give just enough information to entice your prospective client without giving away the actual value of your message.
- Make sure your call-to-action is clear. Be concise and clear about exactly what you want the client to do: call you back.
With these cold calling scripts and best practices, you will be well on your way to leveraging cold calls for your property management business.
And remember, not every prospective client will be open to a cold call, and that’s okay. By evolving and refining your cold calling scripts and techniques, you are sure to make new connections, build relationships, and maybe even close the deal on some new property owner clients.