- Multifamily marketers simply can’t target renter audiences as they used to, due to major shifts in privacy regulations.
- Only 24% of iPhone users globally have consented to be tracked by advertisers.
- First-party data is collected directly from the renter when visiting your property site or engaging with marketing campaigns.
- Partnering with companies that use first-party data allows property teams to target larger audiences with FHA-compliant methods.
Future-proof your property’s audience targeting
From first-party to third-party, data has been a growing part of the conversation in recent months. Marketers simply can’t target people as they used to. Major shifts have come from groundbreaking privacy changes from tech giants, Apple, Facebook and Google.
It will be critical for multifamily marketers to keep track of sources of high-quality data in the future.
How the future of multifamily advertising has changed
As a result of Apple’s privacy updates, iPhone users must consent to be tracked by advertisers. And, as we’ve seen, the majority don’t want to be. The New York Times reported that only 24% of iPhone users globally have consented to be tracked by advertisers. This type of tracking was often the source of third-party data used in retargeting. But the industry has pivoted. Ads powered by first-party data (higher quality data collected that is owned by a specific company) will be where multifamily advertisers see more success.
Risks of casting too wide of a net
Targeting audiences has also become more challenging for multifamily advertisers on social media. In October 2022, Meta (formerly Facebook) sunsetted Special Ad Audiences, a tool that allowed housing industry advertisers to refine audience targeting in compliance with FHA restrictions. As a workaround, multifamily advertisers must broaden audience lists when working in Meta directly.
But casting too wide of a net has its costs. This poses a risk of overspending on uninterested audiences and missing out on reaching actively searching renters. Finding a partner that offers reliable and fresh first-party data will be the key to effectively reaching renters on Facebook.
First-party and third-party data explained
With the updates in mind, let’s quickly define these types of data and how they impact your property’s marketing plan.
First-party data is collected directly from the renter or consumer. You can think of this as what your team has access to when a renter visits your property site, and engages with your email campaigns or other communications. A marketplace network like Rent. may also collect first-party data based on visitors to various platforms. This gives marketers insight into renter activity, listings visited, renter preferences, etc.
Because it’s first-hand information about your audience, this data is often higher-quality, more accurate, and gives your team better-targeting opportunities.
Third-party data is often purchased and stitched together from various sources. It can come from data marketplaces, data vendors and brokers.
For property marketers especially, third-party data is becoming less available with new privacy changes. We are also limited in how we can target audiences on platforms like Facebook directly.
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“As marketers, we’ve seen all of this coming. Some of it is happening now. Some of it is happening in a couple years. We really need to shift now and not later to a first-party data model.”
Director of Agency Operations & Growth at Rent.
The most common first party data targeting tactic is property website retargeting through ads on Facebook, display, Google PPC, etc. But marketers can also collect first-party data through email, text messages, push notifications, social media data and product interactions—as well as offline and point-of-sale data.
Partnering with companies that have access to first-party data allows property teams and multifamily advertisers to target larger audiences with FHA-compliant methods. “You can take the first steps and start gathering first-party data from your own websites, from your own apps and renters. But the problem is going to be with scale,” shared Fulton when noting the pros and cons of properties collecting data in-house.
Advertisers on platforms like RentMarketplace. benefit from the data collected directly from marketplace listings. This has also opened up opportunities for properties to reach in-market renters on new channels like TikTok and Snapchat—two major social avenues where key renter demographics thrive.
The right approach to secure a better future for your property.
While demand for apartments continues to slow, efficiently managing your advertising tactics will help secure your property’s place in the market. Future proofing your audience targeting practices will help your property reach renters while staying FHA-compliant and saving valuable budget.
Keep renters interested despite market slowdown
Your 2023 Multifamily Marketing Playbook covers key ways to reach renters where they are with data-driven tactics that help your property shine. Download the guide now for actionable ideas to keep occupancy high this year.