Contest boosts retention. (Industry Insider).

Dallas-based Simpson Property Group gave away a total of $80,000 to five winners in both its Dallas and Denver markets as part of a recent contest called "Rent Now--What Would You Do With $25,000?" that helped improve the retention rate for its residents and drive new prospective residents to Simpson properties.

A contestant was entered into the random drawing if they renewed their current lease, leased a new apartment, or referred a new resident during a 13-week period last year, Sept. 1 to Nov. 30.

Simpson generated a 14 percent overall increase in resident referrals and an 18 percent decrease in move-outs for the Denver market, compared to the same period one year ago.

In the Dallas market, the promotion helped stymie the decrease in traffic based on same-store data, according to Russell Robinson, Regional Property Manager, Simpson Property.

"By identifying and promoting within the new sources of traffic, such as those created through the Internet and by advertising on local billboards, as well as through other venues, we were able to reduce the traffic loss we had experienced previous to the promotion period," Robinson said.

Robinson said, by offering lease extensions and early renewals, Simpson was able to defer about 2 percent occupancy from fourth quarter 2002 to first quarter 2003. For the year, Simpson was able to increase its lease renewal above 50 percent during the promotion period.

Nearly 600 entries participated in the grand prize drawing, which was held on Dec. 10 at the Dallas Corporate location. All entrants were invited to attend.

Simpson communities that participated in the program are Lakeway Colony, Lakeway Harbor, Lakeway Point, Lakeway Meadows, Lakeway Trace, Lakeway Place, Lakeway Forest, Lakeway Shore/View, all in Garland, and Lakeway Hills/The Highlands at Galloway in Mesquite. These communities represent more than 1,900 apartment homes in the Northeast Dallas and Lake Ray Hubbard corridor.

"The leasing market has been slow in recent months due to a downturn in our economy overall," said Russell Robinson, Regional Property Manager, Simpson Property Group. "The `Rent Now' promotion allowed us to drive traffic to our communities, generate awareness of some specific properties and give back to our residents at the same time. The program created excitement and gave all of us an opportunity to have some fun."

Simpson Property Group's current campaign offers the opportunity to win one-year free rent with a new lease at one of its Lakeway communities for leases signed by Feb. 28.