In the last 5 years, outsourcing in the real estate industry has had a profound effect on business owner’s ability to tangibly grow their business in a relatively short amount of time. Efficiency and capacity to manage more properties for less are at an all-time high, yet some agencies are achieving more goals and higher targets than others.
With a growing variety of options now available in the market, it can be tricky to decipher the differences between companies, services on offer, and what’s going to best suit your unique requirements. I think it really comes down to a simple choice – does it make your business better off overall, and is it an easy process. Anything that falls short of those means you haven’t found the right model yet.
After being in the property management industry for 26 years I’ve seen a lot of changes in technology, but ultimately, the process by which we rent properties hasn’t really changed that much at all. That’s why when our clients were looking to focus on growing their rent roll through the leverage of outsourcing, I had to jump on board and trailblaze a new model of outsourcing that had never been done before.
The results speak for themselves in that overall, our clients have seen increases in their rent rolls between 30-40% year on year (in the organic growth sector). This tremendous growth was achieved without the challenges & roadblocks of recruitment, training, or employing more staff domestically… And those numbers are even higher in the acquisition growth model. Long story short, outsourcing works, but only if it’s applied with the right strategy.
More recently I’ve noticed a curiosity in the industry regarding the outsourcing of customer service activities and more specifically outsourcing telephone calls. I get it! Your team is super busy and your client’s demands/expectations are higher and more immediate than they’ve ever been before. But before we discuss the impending disaster you’re about to embark on can I just give you a little more background into why I think agencies are even considering this in the first place?
If you’ve been down the road of DIY outsourcing you’ll know it only works 20% of the time, mostly because while it’s the cheaper option, it typically takes 1,000 hours (of your domestic team’s valuable time) to train your virtual assistant on all the areas needed to be outsourced. When you employ a $40 per hour worker to train a $10 one it’s not the best use of your time or your money. You will feel that you’ve put in so many resources and effort that you may as well keep trying. It’s just like watching Nan and Pops putting another dollar into the pokie machines, convinced the next spin they’ll hit the jackpot!
So when you inevitably realise that DIY outsourcing isn’t what you’d hoped it would be, the question then arises, “what else then can I do to help my Property Managers?” Unfortunately, the answer comes back to outsourcing customer service because after all, isn’t that the thing that takes up all their time?
When I’m asked whether my company PMVA – Property Management Virtual Assistant www.pmva.com.au can take on phone calls I typically reply with another question, “Why? Do you not like your clients very much?!” Now, to be super clear, I’m not about to say anything that could be construed as racist or counter diverse in any way, as this is not a language issue, but outsourcing phone calls to offshore workers is a terrible idea and it will certainly drive you out of business.
Let’s face it, in this day and age who hasn’t been on the receiving end of an overseas telemarketer or been shipped offshore just to update your address over the phone – it’s not usually a pleasant experience. Even if the worker has a script and is willing to help you, it’s the context with which your queries are handled and in property management that could put you in serious trouble. Your clients want to hear from you! They want YOU to give them the market recommendations, they want YOUR local expertise and they want to give YOU more business – if you’re willing to give them your time, love, and attention. They don’t want their calls answered by offshore workers who don’t understand the cultural nuances of the very thing they’re paying you to do which is look after their property!
Call centers have been around for the best part of two decades but as the world gets smaller our landlords, tenants and tradies want interactions and connection with you, not your back of house staff. The last thing I want is to see our beloved industry struggle through lowering fees in exchange for low-quality service. I believe back-of-house outsourcing is a wonderful tool if used correctly, but to start bringing real estate into the world of call centers could just be the beginning of the end in true client experience.
Something to consider
