Renters Warehouse Franchise
Renters Warehouse is a strong brand, but was very regional in focus in 2013 when the organization approached Franchise Marketing Systems to expand the brand further into the property management franchise field. The Property management business was largely unchanged for many decades. The industry was significantly fragmented with small mom and pop service providers who had been in business in some cases for several generations. What Brenton Hayden did when he founded Renter’s Warehouse was focus on the technology and systems that are critical to scaling a property management business. He was young, aggressive and very tech-savvy bringing new ideas and a never ending enthusiasm for growing the brand in the property management segment.
In a very short time period, Renters Warehouse had become the largest residential property management company in Minnesota. Mr. Hayden had grown quickly, spend enormous dollars on advertising and hired relentlessly to bring in the best people, staff and team members. As the business expanded in Minnesota, another brand based in the Southwest grew into the franchise market and was beginning to expand nation-wide. This growth, combined with interest in the Renter’s Warehouse brand helped push Mr. Hayden into the franchise marketplace.
Renter’s Warehouse hired Franchise Marketing Systems to develop the sales, marketing and franchise management platform that would allow the franchise model to scale efficiently. Franchise Marketing Systems developed collateral materials, print marketing, franchise web lead generation models and managed the franchise development process entirely for the brand in the initial phases of launching the franchise model. There was a significant amount of technology involved in the franchise offering, so a critical aspect to the recruitment process was to show people and let them see the technology in action on demos and through screen sharing.
The initial marketing model was based almost entirely on Public Relations work that Renter’s Warehouse pursued specific to the property management industry and the accomplishments of the company’s founder. As the business expanded, there was consistent exposure, in some cases on high profile media outlets. With this exposure and the appropriate messaging, the franchise model was presented throughout all consumer ads and marketing in order to capture franchise interest along with consumer demand for property services.
There were some strong differentiators from other property management franchises in addition to a brand that was focused on development and understood the dynamics of marketing and sales. The first year of franchise recruitment yielded six new franchise territories and people with strong business backgrounds who brought value to the organization and additional validation to the brand. Some of the differentiators that attracted the right franchisees for Renter’s Warehouse included a larger exclusive territory model, great technology, simple pricing and business models, high brand exposure model that required the franchisees to advertise and promote the brand upon opening the business along with a leader who was involved in all aspects of the franchise development.
As the brand expanded to 30 units, Renter’s Warehouse did as they should and hired a full time franchise development manager in house who would manage the franchise development work to higher growth. The Renter’s Warehouse success story in franchising was directly related to a business that had a culture of expansion, a willingness to push back profitability in order to achieve growth benchmarks and a business model that invested in systems.
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