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PropertyMeld-VendorVolume-Newsletter2

Why Vendor Strategy Is a Growth Strategy in Property Management

– Article written by Liz Greenway, Head of Nexus Partnerships

As part of Vendor Volume, I have the opportunity to speak with dozens of operators about their vendor challenges. But when I asked around Utah markets, NetGain Property Management kept coming to mind, particularly in terms on how they treat their vendors.

So when Derek Morton, Owner of NetGain Property Management, agreed to virtually visit with me, I knew the conversation would be good. What I didn’t expect was how honest, human, and direct he would be.

One of the first things he told me was:

“We try to treat vendors like humans. If I don’t like being beat up on price, why would I do that to someone else?”

That line shaped everything that followed.

A Regional, Tiered Preferred Vendor Blueprint

NetGain Property Management, operating across Southern Utah and Northern Utah, built a relationship-first vendor system that balances data, consistency, and respect. Their approach? Regional preferred lists, shared KPIs, strong communication, and the right technology. The result: faster repairs, fewer disputes, and vendors who send business back to them.

In these markets, Derek has to adapt to two very different vendor ecosystems. Labor availability, pricing, and trade depth vary significantly between St. George and the Wasatch Front.

What impressed me most was how simple but disciplined his structure is.

Southern Utah

A stable network of four core handymen, plus specialty vendors. These partners know NetGain’s expectations and operate efficiently because of that consistency.

Northern Utah

It’s a growing market for them, so they’re actively onboarding a vendor with ample coverage, but exploring Vendor Nexus to fill gaps as well.

How their preferred vendor tiers work

  • 1–2 primary vendors per trade with 1-3 vetted backup vendors for capacity support

  • All maintenance is currently outsourced, with the option to revisit in-house techs once the portfolio approaches ~1,000 units

  • Proven reliability and expected pricing based on Utah regional norms

  • Willingness to use Property Meld (non-negotiable)

This isn’t a complicated system, it’s consistent while preventing the chaos of juggling 15-20 vendors per category.

How NetGain Spots Vendor Issues Early (Before They Become Expensive)

During our conversation, Derek shared the “clues”, or KPIs he monitors when deciding when its time to shift his vendor roster. He shared Utah’s fast-moving rental market means slow vendor performance hits resident satisfaction quickly. With this in mind, monitoring vendor performance is critical.

Automatic Red Flags:

  • Slow to schedule

  • Ignoring or misusing Property Meld (his words, not ours!)

  • Missing invoices or before/after photos

  • Complaints from residents (hello, resident satisfaction scores)

  • Pricing that doesn’t align with expected regional averages

One line he said stuck with me:

“If you’re not uploading photos and invoices, it makes it really tough for us to trust what’s happening.”

Because NetGain handles around 230 work orders each month, trends emerge quickly through Meld, in which case, the data supports Derek’s intuition.

Which means vendors know what performance expectations look like, and they know NetGain is watching these metrics to decide who gets the next job.

The Four KPIs NetGain Relies On (And That Every PM Should Track)

You can track dozens of metrics in your property maintenance operations to understand vendor performance, but Derek keeps his team focused on four. Because these KPIs guide who gets more work and who drops off the preferred list:

  1. Days to Completion – Aiming for 3–4 days on average.

  2. Resident Rating – Combines communication, professionalism, and job quality.

  3. Speed to Accept / Schedule – Residents expect fast responses; vendors who hesitate lose priority.

  4. Invoice Transparency – Before/after photos and invoices = fewer owner headaches.

To help property management companies compare their costs and timelines against regional norms, we curated the 2025 Vendor Invoice Benchmarking Report, which includes regional averages by trade.

👉 Download the Vendor Invoice Benchmarking Report

A Pricing Philosophy That Builds Trust

This part of the conversation was my favorite because it was so real.

“Your price is your price. If I’m not badgering you for discounts, you’re actually going to take my call when I really need a favor.”

His approach:

  • Benchmarking informs price ranges
  • Work volume determines value, not negotiation pressure
  • When owners push back on pricing, Derek uses data and trust to advocate for vendors

This relationship equity often results in voluntary concessions when needed without harming long-term partnerships.

Loyalty in vendor management translates into:

  • Faster turnarounds
  • Better prioritization
  • Stronger documentation
  • More consistent resident experiences

Vendors as Partners: The Cultural Advantage

During our talk, Derek casually mentioned things like golfing, gifts, and long-term friendships with his vendors. This didn’t sound like fluff, so I was intrigued to understand this strategy. NetGain treats vendors like team members, not external contractors. With this mindset, he saw a tremendous shift in his vendor relationships.

When vendors feel valued, he noticed they:

  • Respond faster
  • Upload documentation without being chased
  • Keep pricing predictable
  • Advocate for you with owners
  • Refer new business

Yes, Derek’s vendors actually refer owners to NetGain. That only happens when vendors feel like they’re part of your company, not just a line on your GL. (Now, THAT is powerful.)

In Derek’s words: “If I can help them grow, that helps me too.”

Which is exactly why he refers many of his skilled vendors to Property Meld’s Vendor Nexus ecosystem.

Scaling Vendor Coverage With Vendor Nexus

As NetGain expands into Northern Utah, coverage gaps are inevitable. For a growing company without the time to chase down dozens of trade partners, utilizing Vendor Nexus was a huge advantage.

Vendor Nexus helps fill those gaps with:

  • Vetted, high-quality trades with business documentation
  • Platform-ready providers already trained in Property Meld
  • Quick onboarding and high accountability

This blended model, featuring trusted local partners and marketplace depth, is ideal for markets with fluctuating labor availability.

A Weekly Vendor Health Rhythm You Can Steal

This was another practical takeaway from our conversation. Derek breaks vendor oversight into a simple cadence:

  • Monday
    Review leaderboard: completion days, ratings, speed to accept, and scheduled time.
  • Wednesday
    Nudge vendors who are missing invoices/photos, using systems like Property Meld to do it directly.
  • Friday
    Highlight a top vendor and let them know it. But also note one improvement opportunity.
  • Monthly
    Refresh vendors per trade based on their performance; expand coverage in thin regions.
  • Quarterly
    Compare your metrics against the industry, even start by using the Vendor Invoice Benchmarking Report.

This rhythm creates accountability without creating friction. Vendors know where they stand, and coordinators stay aligned.

The bottom line

Talking with Derek reminded me that vendor efficiency isn’t just operational, it’s relational. You can have all the dashboards in the world, but if your vendors don’t feel respected and supported, the numbers won’t improve.

If you’re in Utah or any region facing labor variability, NetGain’s approach is an incredibly practical playbook.

  • Work order completion times
  • Resident satisfaction
  • Renewal rates
  • Maintenance cost predictability

Your Next Steps

If you’re looking to build a healthier, more scalable vendor strategy like NetGain PM, start here:

  1. Download the 2025 Vendor Invoice Benchmarking Report to understand where your region sits.
  2. Create your Preferred Vendor Playbook with 1–2 primaries and backups per trade.
  3. Track Derek’s four KPIs weekly.
  4. Require vendors to consistently use property maintenance operations software, like Property Meld, for scheduling, communication, and documentation.
  5. Use vendor ecosystems, like Vendor Nexus, to fill regional coverage gaps.
  6. Schedule monthly vendor check-ins using vendor performance dashboards as the agenda.

This playbook works whether you manage properties in Utah, the Mountain West, or any market where vendor capacity and consistency matter.

If this information was helpful, and you want more information on vendor management and efficiency, be sure to subscribe to the Vendor Volume so you don’t miss the next issue.

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