@Matt: A key reason why we generate 2,500 service requests a year is that we ASK for service requests: 1). when our customers come to the office to pay their monthly rent we typically ask them if there is any service that they need for their apartment. 2). we finish each contact with a customer with the question, "Is there anything we can take care of for you in your apartment?".
Why are we proactive when it comes to seeking out service requests? 1). we want to uncover service issues that might otherwise fester and that our customers may forget to ask about; 2). we want to properly maintain our property; 3). a service request is not a complaint, but an opportunity to demonstrate our value; 4). we see service as integral to customer retention - far more so than renewal carrots and other gimmicks intended for customer retention.
How do our maintenance staff respond to our 24/7/365, same-day service expectation? In our training, we emphasize that 1. this kind of service is more valuable than any marketing/advertising program we could purchase (25% of our leasing comes from present and former customer referrals); 2). it costs more to find a new customer than it does to keep a current customer, and service is crucial for customer retention; 3). we use our level of service in marketing to new customers, since our service gives us a competitive edge compared to our competitors (and perhaps 99.9% of apartment properties nationally). There is a downside - 2,500 annual service requests gives us more opportunity to screw up, which, unfortunately, sometimes we do.
There is certainly a cost to the level of service we provide. However, for 2009 we have been virtually 100% occupied, we have raised rents TWICE this year, and we have a 10 year average 28% rate of turnover, while rejecting about 1 of 3 new applications. In addition, 1 out of 3 of our customers have resided with us more than 5 years, about 1 out of 5 more than 10 years, and 1 out of 9 more than 15 years (7 customers more than 30 years). The upstate New York market is a high-tax area experiencing nearly 9% unemployment, with steady, negative population loss over the past 10 years.
Rick Hevier
Richard Hevier
Richard S. Hevier
[email protected]