As pressure continues to mount for commercial real estate owners and managers to increase NOI and find sources of revenue beyond what’s collected in rent, identifying incremental revenue through services provides an opportunity to do just that. Unfortunately, there’s an old stat that, 20% of all potential billable service revenue for services performed are not accounted for or collected due to poor process and lack of systems.
So, how can you recognize more revenue opportunities in your building or portfolio, make sure you capture the details and report on them accurately? One area you need to pay attention to is understanding of base costs, mark-up’s, and target margins when pricing your services. (Our Lunch Break Guide to Bill-Backs is a great starting point). Then review our Cheat Sheet below, offering 5 quick tips for capturing more incremental revenue.
1. Resource Scheduling: Allow tenants to add more time to conference room bookings in the moment and upsell amenities such as food and beverage services.
2. Overtime HVAC: Consider a product like Genea to simplify the ordering process for tenants when booking after-hours services like HVAC and lights.
3. Broadcast Messaging: Think link a retailer and use broadcast messaging tools to regularly promote services and specials.
4. Integrations: Share billable service data directly with your accounting system to eliminate manual or double entry.
5. Reporting Detail: Automate and track labor rates, materials, costs, markups and taxable services for each service request type.