Talus Solutions, Inc. and Archstone Communities to Bring New Innovation To Property Management Industry
ATLANTA and DENVER, Aug. 7 / Talus Solutions, Inc., world leader in pricing and revenue management products and services, and Archstone Communities
Archstone approached Talus Solutions to develop a software solution to establish leasing rates that would maximize profits. Archstone chose Talus Solutions based on the company's twenty years of revenue management experience. The two companies combined their expertise to create Lease Rent Optimizer(TM), solely owned by Talus Solutions. Archstone contributed to the business model design and functionality of Lease Rent Optimizer by sharing its keen technological insight, industry acumen and actual leasing data. This allowed Talus Solutions to reinterpret and apply its highly successful revenue management concepts for the first time to the property management industry. Archstone will initiate testing this month and plans broad-scale use in 2001.
Unprecedented in the property management industry, Lease Rent Optimizer enables companies to precisely forecast and analyze market demand and unit availability as well as set leasing agreements based on dynamically measured consumer demand. The software also takes into account customer preferences, market conditions, competitive behavior and company-specific capacity and revenue goals. Through utilization of Lease Rent Optimizer, Archstone will now be able to more successfully synchronize market demand and capacity to drive optimal allocation of its apartments for maximum profitability and heightened customer satisfaction.
Based on analysis to date, typical increases in annual revenue as a result of using Lease Rent Optimizer are estimated at 4% to 6%. Archstone would gain at least $28 million in annual incremental revenue if results are consistent with estimates. Archstone customers reap benefits from the system as well. Prospective apartment residents gain reliable availability of housing that meets their specific needs and desires.
"Working with Talus Solutions to implement Lease Rent Optimizer further supports Archstone's position to lead the industry in innovative management and customer value," said R. Scot Sellers, chairman and chief executive officer of Archstone. "This improves our ability to rent the right apartment to the right customer at the right time for the right price. Archstone's focus on customer service and creating value will be further enhanced through the use of this new management tool."
"We are excited to be joining forces with one of the nation's industry leaders. Archstone's foresight and determination to lead the industry will definitely drive its success," said Tom Madison, president and chief executive officer of Talus Solutions. "As we pioneer the implementation of this new solution, we expect to help deliver even more consistent and professional management to a broad range of property management companies."
In addition to a software licensing model, Talus Solutions offers Lease Rent Optimizer in an application service provider (ASP) environment for other interested companies. Accessing Lease Rent Optimizer through an ASP arrangement will be especially beneficial to companies looking to achieve incremental revenue growth without the responsibility or cost of additional technical staffing, application and technical support, or system maintenance. It will also dramatically decrease implementation time and accelerate the realization of benefits.
About Archstone Communities
Archstone Communities is a leading owner, developer, acquirer and operator of apartment communities in high-growth markets across the nation. Archstone is committed to becoming a service leader by providing an attractive lifestyle to the hundreds of thousands of people who call Archstone home. By combining best practices from leading service companies with its own exhaustive customer research and intelligent use of technology, the company is creating the first dominant brand in the apartment industry.
With a total market capitalization of $5.7 billion, Archstone has a strategic national presence with 250 communities representing 77,146 units, including 10,996 units in its development pipeline, as of June 30, 2000, in markets that include 31 of the nation's 50 largest metropolitan markets.
More information about Archstone Communities is available at
About Talus Solutions, Inc.
Talus Solutions, Inc. provides sophisticated software and services that enable companies to achieve growth by winning new customers and increasing revenue and profit from existing customers. Focused on improving revenues and profits for its customers, Talus Solutions products are unique in their ability to analyze historical information, predict consumer behavior and provide automated optimization of pricing designed to maximize revenues and profits. Talus Solutions products and services optimize prices through all sales channels including direct sales, intermediaries and e-commerce.
As the world's leading provider of Pricing and Revenue Management software, Talus Solutions has a primarily Fortune 500 customer base that covers a broad range of industries including travel, transport and hospitality, telecommunications, computer and network manufacturing and distribution, office equipment, automotive, and e-commerce.
Headquartered in Atlanta with offices in Silicon Valley and London, Talus Solutions offers innovative software systems that have delivered billions of dollars in incremental revenue and profits to its customers. More information about Talus Solutions is available at