CALIFORNIA REAL ESTATE PROPERTY MANAGEMENT: CHAPTER 6: MARKETING. TERMS AND QUIZ

Do Not Call Law

A federal law that prohibits calling individuals who have registered with the Do Not Call registry

CAN-SPAM Act

A federal law that restricts unsolicited emails

Conversion Ratio

A measure of how many prospects it takes to get a signed lease, expressed as a percentage

Qualified Prospect

A person that has the need for a particular product or service as well as the ability to purchase it

d. Press releases can be used not only to announce positive changes (such as a new swimming pool) but also to address negative events, such as nearby crime or the loss of an anchor tenant in a retail space.

A property manager may want to send out a press release about which of the following events? a. A new swimming pool b. Recent crime at a nearby building c. The loss of an anchor tenant in a shopping mall d. All of the above

Traffic Report

A record of the number and type of prospects who call or visit, including how they heard about the property

d. Too much information on a sign can overwhelm the viewer, who may be passing by quickly. However, the sign should state the manager's name and phone number and be easy to read from a distance.

A sign on a rental property should: a. include as much detail as possible, such as testimonials and late-payment policies b. state the property manager's name and phone number c. be in a font that is easy to read from a distance d. both b and c

Generational Marketing

A special way of segmenting a market, not just by age but also by social, economic, and psychological factors

b. A traffic report is a summary of basic information about the number and type of prospects that visit or call a property, while a prospect card collects specific information about each prospect

A summary of basic information about the number and type of prospects that visit or call a property is called a: a. prospect card b. traffic report c. conversion ratio d. press release

Viral Marketing

A type of marketing that occurs when customers market a product themselves, often by word of mouth or on the Internet

a. Ads may violate the Fair Housing Act if they seem to indicate a preference for a certain type of renter. Using models in display ads that represent many types of people is one way to avoid violating the Fair Housing Act

All of the following would violate the federal Fair Housing Act, except: a. an ad for a property in a Hispanic neighborhood that uses white, African-American, and Hispanic models b. an ad that states, "Near local mosque!" c. an ad for a property in a Hispanic neighborhood published only in Hispanic newspapers d. asking for referrals only from white tenants

Blind Ad

An ad that violates state licensing law by failing to disclose the real estate firm's name as licensed

Cos Per Pospect

An amount of money spent on a type of advertising, divided by the number of prospects the advertising generates

d. Products include both tangible items and services, such as an apartment unit or property management services, but also intangible qualities, such as good customer service.

An example of a product a property manager may market is: a. a two-bedroom, one-bath apartment unit. b. the property manager's services. c. excellent customer service. d. all of the above

Product

Anything that can be marketed or sold

c. Qualified prospects are those who have a need for the property. Marketing to all renters or local businesses might generate in a lot of interest, but few qualified prospects for an office building that caters to medical professionals. Altho there are only 64 medical professionals in town, marketing to them is likely to result in the highest number of qualified prospects for the least amount of money

Ben manages an office building whose tenants consist primarily of doctors, dentist, and other medical professionals. When advertising vacant space in the building, which targeted segment should Ben market to in order to generate the greatest number of qualified prospects? a. The 4,263 people who stated in a recent survey that they "rent" rather than own their homes. b. All 275 local businesses in town c. The 64 medical professionals who currently lease space in the area d. college graduates

d. A blind ad is an ad that doesn't state the real estate firm's name as licensed. In most states, it is a license law violation.

Brad is a real estate licensee who manages several rental properties for his brokerage firm. Brad's state licensing law requires him to include the name of his firm as licensed in all of his ads. If Brad fails to do so, this results in a : a. Violation of the CAN-SPAM Act b. blind ad c. license law violation d. both b and c

Demographics

Characteristics of a human population or a segment of that population, such as average family size, median age, education level, etc

d. Display ads may contain text as well as pictures, floor plans, logos, and so on. Virtual tours are more likely to be used in Internet advertising.

Display advertising may include any of the following except: a. pictures and floor plans b. text c. logos d. a virtual tour

Targeted Marketing

Dividing a large group of potential customers into smaller groups, then focusing marketing efforts on one or two key segments of those groups

Prospect Cards

Forms that are used in person or online to gather information about individual prospects, including name, address, the type of property desired, and how the prospect heard about the property

Protected Classes

Groups of person protected under the federal Fair Housing Act and other federal and state antidiscrimination laws

b. Matures include older generations born before 1945. While they use the Internet, they primarily do so for social reasons, and prefer traditional forms of marketing, such as newspapers and face-to-face sales

In general, internet marketing can be effective when marketing to all of the following, except: a. millennials b. matures c. baby boomers d. gen x-ers

c. A billboard, display ad in a magazine or radio ad might reach a large number of people, but the cost per qualified prospect would likely be quite high. Of the options given, local newspaper ads would probably generate the most qualified prospects cost-effectively

Juan wants to advertise his single-family rental property. Which type of advertising is likely to generate the most qualified prospects in a cost-effective manner? a. A statewide radio ad b. A billboard on the freeway near the property c. An ad in the rental section of several local communities' newspapers d. A display ad in a garden magazine with 100,000 subscribers

a. Viral marketing happens when customers market a product or service for the business, usually by word of mouth

Sam maintains a blog to advertise his property management business and available units. He also posts information about the local market and upcoming events. Soon, people are sharing Sam's posts with their friends and recommending his services. This is known as: a. viral marketing b. shared commerce c. public utilization d. business equity

Lease-Up

The initial period when a new rental property enters the market and is seeking its first tenants

a. Of the options, branding that includes the phrase "Grow with us!" is the most likely to create a family-oriented image in consumers' minds.

The manager of a large residential rental property wants to attract young families. When attempting to brand their image, which phrase might be the most appropriate? a. "Grow with us!" b. "Retire in style!" c. "Where business matters!" d. "Luxury is worth it!"

Frequency

The number of times an advertisement will appear in a given medium

Marketing

The process by which a business promotes and sells a product to customers.

Public Relations

The process of creating and maintaining a positive image in the community

Branding

The process of developing an image for a company, product, or person in the marketplace

Reach

The size of an audience targeted by an advertisement

d. Violating the federal Do Not Call law can result in a fine of up to $16,000 per incident

Violating the federal Do Not Call law can results in a fine, per violation, of up to: a. $1,000 b. $7,500 c. $10,000 d. $16,000

a. A prospect card is used to gather information about individual prospects who call or visit a property, and these cards provide a useful way for property managers to follow up with potential tenants.

When Salim shows a model unit in his building, he gives the visitors a short form to fill out with some basic information, such as their names and phone numbers, the type of property they are looking for, when they plan to move, and how they heard about the property. Salim is asking them to fill out a: a. prospect card b. traffic report c. lease d. marketing report

b. While the flyers only cost five cents each, it's the number of qualified prospects they generate that matters. In this case, the flyers are more cost effective than the newspaper ad, because while the newspaper ad generated 6 prospects, the cost per prospects was about $17 each ($100/6=$17). The flyers generated fewer prospects, but the cost per prospect was only $10 each ($50/5=$10).

When evaluating his marketing efforts for the month of May, Jim notices that it cost $50 to send out 1,000 flyers, which resulted in five calls. He also spent $100 to take an ad out in the local newspaper with 500 subscribers, which resulted in six calls. Which method of marketing is the most cost-effective? a. The flyers, because they only cost five sents each b. the flyers, because they cost less per qualified prospect than the newspaper ad c. The newspaper ad, because it resulted in more calls d. The newspaper ad, because the cost per prospect is only about $17.