Procurement as a Profit Driver—Why Property Managers Need a Smarter Strategy

In the property management industry, procurement is often viewed as a routine operational task. When something breaks down, a replacement is purchased and installed.

However, this perspective overlooks a significant opportunity: with a strategic approach, procurement can become a substantial profit driver. That’s because traditional procurement methods are fraught with inefficiencies that erode profitability. Embracing a smarter strategy can turn this around.

Over the next four blogs, we offer a new way to look at procurement. Not only will we reveal its cost inefficiencies, but we will also show how procurement can be transformative in growing your business.

The Hidden Costs of Traditional Procurement

Traditional procurement processes are designed to facilitate the purchase process, not to generate efficiencies for your business. The process, in fact, can work against you as it typically involves having to negotiate with multiple vendors, navigating inconsistencies in pricing, and lacking centralized oversight. As a result, your business is burdened by:

·      Increased Costs: Without bulk purchasing or negotiated rates, property managers may pay up to 50% more for products and materials.

·      Time Inefficiencies: Managing multiple vendor relationships and orders consumes valuable time for your property managers that could be better spent on core business activities.

·      Lack of Transparency: A disjointedprocurement process makes it challenging to track spending over time, leadingto budget overruns, spending inefficiencies, and lack of control.

Transforming Procurement with Lessen Marketplace™

Lessen Marketplace addresses these challenges by offering a unified platform that streamlines procurement. Through it you will finally gain control of your spending and have the confidence that you are treated fairly through pricing that keeps costs under control. Lessen Marketplace is designed to give you:

Cost Savings: By consolidating purchases through Lessen Marketplace, property managers can save up to 50% over retail prices. That’s because Lessen has dedicated managers negotiating the lowest rates for our clients on all the essential materials needed to keep your properties looking and operating at their best.

Centralized Ordering: As your portfolio grows, you’ll rely on procurement more frequently. So making the process simple and easy is essential to preventing roadblocks. Lessen Marketplace is a single platform that simplifies the ordering process. You’ll eliminate the need to manage multiple vendors; everything you need is in one portal and available through a few simple clicks.

Enhanced Transparency: Real-time dashboards and reports provide insights into spending patterns. You’ll develop a purchase history over time which will not only help Lessen understand trends in your buying habits, but it will generate data-driven insights that will help you in the budget planning process.

Contact Lessen

By reimagining procurement as a strategic function of your business, property managers can unlock significant cost savings and operational efficiencies that will both help steer your portfolio toward growth.

Lessen Marketplace is designed to empower your property managers to do just that: transform procurement from a cost center into a profit driver.

Ready to turn procurement into your competitive edge? procurement into a growth engine—not a bottleneck.

Visit Lessen Marketplace for more information.