There’s a time and a place for competitor data, and a multifamily pricing algorithm is not it! In this latest episode in our Revenue Management deep-dive series Dom geeks out with OG multifamily RM guru Donald Davidoff, using examples from multiple different industries to explain how RM algorithms work. We talk about where comp data is helpful and where it isn’t. If you’re trying to make sense of the current focus on comp data you won’t want to miss this episode, which includes:
What competitor data is useful for and what it isn't
The evolution of revenue management systems and what's similar and different about multifamily
What makes a good RM algorithm, and how in multifamily, it is about understanding demand and supply (more than comp pricing)
Common industry misconceptions about what RM has to do with rent increases
Why competitor data should be seen as a guardrail rather than the primary driver in pricing decisions
The risk of over-indexing on competitor data, leading to misguided RM strategies
Sponsors for this episode:
Radix - Transparent Multifamily Market Data
Revenue Edge - Strategic Pricing Solutions
Snappt - Fraud Detection and Income Verification
20for20 white paper on multifamily revenue management and competition:
https://lp.20for20.com/23-wp-multifamily-revenue-management
Related blogs about revenue management:
The current state of the RM saga
How RM systems use nonpublic data
To get access to the latest 20for20 articles, papers and news about forthcoming events, subscribe to our blog at 20for20.com.
Connect with Dom Beveridge (Principal, 20for20) via LinkedIn, or email to dom@20for20.com.
Our theme, “Beautiful Geometry” by Phish Funk is licensed under a Attribution-NonCommercial 3.0 International License.
