Customer Service

There are two different levels of service in real estate management:

• Residents have a minimum expectation that the leased area will be in good working condition and that it, in addition to the apartment community, will be clean, and presentable.
• Residents also have a service expectation that management will ensure high-quality and timely repairs in the leased apartment. Quality is measured in terms of whether a problem was fixed or only temporarily repaired. Timeliness is measured in terms of whether the work was done immediately or put off until another time.

Untimely service requests are a frequent complaint for residents and your management company can distinguish itself from competitors by dedicating resources (and operating funds) to resolving these issues quickly. Working with your maintenance team to ensure that residents receive a response before the second call back is a place to start. Repairs should always be completed immediately, whether the problem is found during a routine inspection of the apartment or identified by a resident. A 24- to 48-hour response time should be the standard.

Automating the Service Request Process
A real estate manager can utilize technology to improve retention through applications that automate the service request processes. These applications produce quicker response times and increase communications. These easy-to-use applications are boosting customer service response levels, which help in the retention effort.

Streamlining maintenance request processes leads to greater satisfaction because it:

• Eliminates time-consuming and redundant paperwork
• Gives real estate managers the chance to determine resident or tenant needs more efficiently and to proactively address their concerns
• A better reporting system with fewer opportunities for human error enables managers to address recurring problems, identify maintenance patterns, and evaluate goals for long-term maintenance or capital improvement efforts

The Management- Resident Interface
Jan Carlzon, one-time president of Scandinavian Airlines System (SAS) revolutionized the way in which customers are treated. He said:

“Last year, each of our 10 million customers came in contact with approximately five SAS employees, and this contact lasted an average of 15 seconds each time. Thus, SAS is “created” in the minds of our customers 50 million times a year, 15 seconds at a time. These 50 million “moments of truth” are the moments that ultimately determine whether SAS will succeed or fail as a company. They are the moments when we must prove to our customers that SAS is their best alternative.”

A “moment of truth” can be defined as any episode in which the customer comes into contact with any aspect of the organization and gets an impression of the quality of its service. Although questionnaires are effective in finding out how residents define the moments of truth they experience with staff, it also beneficial to simply observe these interactions. The following is an example of a moment of truth:

A staff member, who is busy with another resident on the telephone, greets a second resident in a rude manner. This is one moment of truth. Then, she fails to establish any rapport with the resident—instead of asking how the resident is doing she makes him wait without acknowledging his presence until she has finished the call. That is another moment of truth. Although the staff member will likely forget the incident, the resident will probably remember and possibly communicate its negative impact to other residents.

Here is an example of a positive moment of truth from a resident’s perspective:

“I recently bought a new shower head for my bathroom. I was trying to put it in myself, but I wasn’t having much luck. It was a really hot day and I left the door open. Kelly, our manager, was walking by on her way to the office. She called out to me and I yelled back to her to come inside. She was dressed up for work, but she grabbed the wrench, and just worked at it until she had it right. There was sweat dripping down her face, and I know she was probably late for work, but I won’t forget how she helped me.”

Unfortunately, some interactions are not handled effectively, despite staff development training. For example, deferred maintenance is a passive moment of truth. Hence, it is important to create active moments of truth designed to have positive outcomes.

Resolving Complaints
Despite the best efforts to provide for residents’ needs, there will undoubtedly be resident complaints. A complaint that is handled slowly can be almost as bad as a complaint that is not handled at all. Timely response to complaints strengthens resident relations while lack of attention can sow the seeds of dissatisfaction. At the minimum, you should handle a resident complaint within 24 hours. Most top-quality management companies respond to service requests received in the morning during the afternoon of that same day. If they are received in the afternoon, they are attended to the next day.