Transcript Owners - Customer Relationship Management

Creating Excellence in Owner
Relations:
The CRM Model
Presented by:
Paul Herman, Tom Leddy
and Linda Hess
What is “CRM”
• Customer Relationship Management
• Becoming a common and important
concept in many industries
• Beyond mere ‘Contact Management’
• Many industries have CRM software to
help sales process, on-going service,
and even accounting
How Does CRM Fit in the Vacation
Home Rental World
• Our industry actually has 2 major customers
– Both owners and guests
• We need some quantity of both to thrive
• Customers can choose to go elsewhere
• The happier our customers are, the more
likely they are to stay or come back
How Do You Rank Your Customers?
• Is your owner your primary customer
– Or
• Is your guest your primary customer
• You can’t have 2 primary customers
• In some states, agency defines this
relationship
Today We’re Talking About Owners
• Whether the owner is your primary or
secondary customer, he is still you
customer and you can manage your
relationship with him!
Define Relationship
• Relationship:
– The state of being related by kindred,
affinity, or other alliance.
• Webster’s Revised Unabridged Dictionary
Value of CRM
• Gain more control in interaction with
customers
• Manage expectations better
• Understand what customers really want
• Provide products that better serve
customers
• Increase trust and loyalty
• Competitive advantage
A Working Definition…
• “The Plan and Practice of managing the
lifetime relationship with your
customer.”
– “The Plan”: Every successful endeavor
requires proper planning. Successful CRM
rarely happens by chance. Many
organizations jump to implementation w/o
proper planning.
• “The Plan and Practice of managing the
lifetime relationship with your
customer.”
– “The Practice”: Systematic implementation
of your plans. Should produce measurable
results. Should be evaluated and refined
over time.
• “The Plan and Practice of managing the
lifetime relationship with your
customer.”
– “Lifetime Relationship”: The relationship
needs to be actively managed from the
day they enter your program until the day
that they leave (and perhaps beyond).
A Few Basic CRM Concepts…
• Touch Points
– Each time your company interacts with a customer
is a touch point.
– Can we name a few?
– Are they planned? Managed? Documented?
– Are all “touchers” properly trained? Enroll your
complete staff in the vision.
– Any way to increase the effectiveness of the
touch?
– Any way to increase the number of touches?
Owner Touch Points
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Renter who purchases property
Original purchase of property
Rental listing
Any owner stays in property
Every month’s owner statement
Newsletters
Owner get-togethers
Any phone call – positive or negative
Any marketing information that the owner
may see – including web site
Listing New Owners
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Walk them through the process
Create realistic expectations
Provide written package of information
Have face to face meeting (at home)
Answer all questions, follow up
Introduce them to staff members
Be courteous, polite and professional
A Few Basic CRM Concepts…
• Market Segmentation
– Do you treat all of your customers the same?
– Are they?
– Consider the difference between an owner that
has one 1970’s motif 2 bedroom condo and an
owner that has 3 8 bedroom oceanfront homes
• We shouldn’t treat the condo owner badly, they are in
your program for a reason (right?)
• We should realize that the OF home owner deserves the
best that we can offer.
Market Segmentation Examples
• Saks Fifth Avenue
– High value customers ($2000/yr) are
routed to special CSR’s.
– The calls are routed such that a high value
customer is connected to a CSR in one
second or less.
• Could we coin a new acronym here:
– HVO – High Value Owner?
What Type of Owner
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First-time owner
Experienced owner
Multiple properties
Good business sense
No business sense
Hands-on
Hands-off
What is a Vacation Home
• Investment
– Revenue and occupancy are most
important
• Second home
– Nice and homey
• Little touch of heaven
– Rest of life just in anticipation of next visit
What does your owner relationship
include
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You manage his property
You rent his property
You provide services to his guest
You provide ancillary services for his
home
• The more you know about him the
better he feels about the relationship
Important Relationship Items
• Good communication
– Regular out-going communication
– Easy access to correct people in-coming
• Recognition
– More is better, not easy for newer staff
• Respect
– VIP treatment in some fashion
– Reasonable deference from all staff
• Consistency of actions
• Good follow-through on problems or research
Why did he choose you in the first
place
• Most established company
• Oldest company
• Start-up company with lowest fee
structure
• Personal relationship or referral
• Yellow pages
• Saw your sign driving by
• Bought the home from you
All Owners Want
• To trust you with his property/asset
• To receive timely communication
• To receive timely revenue checks and
documentation
• To arrive at your office and be recognized
• To call your office, be recognized and treated
with respect
• To get quick, accurate answers to his
questions
• To arrive at his home and have it perfect
Many Owners Want
• To be self-sufficient
• Have more control
• Direct access
– Direct owners’ 800 number
– On-line access to specific information
• New capabilities available elsewhere
– Direct deposit funds
Some Owners Want
• To exchange Christmas cards
• To make you Godparents of their kids
• To have dinner with you every time they
come to visit
– Or
• To be totally invisible
• To be left alone
Tools to Help Manage the
Relationship
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Property Management System
– Current address and contact
information
– All financial information
from properties
– Current and past
maintenance history
– Take full advantage of
capabilities
Newsletters
– Email or regular mail
E-alert
– Disaster information
– Weather
- Pre-arrival
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Owner Surveys
– Do them, and publish the
results
Web site
– General site containing
items of owner interest
– Owner-specific site
– Access to owners’ statement
and work order history
Owners’ 800 number direct to
liaison
Owner agent/representative
Guest Surveys
Allow them to hear directly
from guests
Owner Retention
• You want to keep your owners in the program
• It is always less expensive to do more
business with existing customers than to get
new customers
• You invest in each owner through your web
site, photographs, brochures,
correspondence, etc.
• Encourage and listen to feedback; thank
them
Owner Services
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Basic maintenance
Cleaning
Marketing for rental guests
Handling finances
– Rental income
– Bill paying
• Educational opportunities
• Knowledge of market, trends, etc.
Developing Loyalty/The Extra Mile
• Open house/party annually
• Owner/guest events: weekly welcome party; holiday
activities
• Owner’s fair w/vendors, staff, community
• Educational seminars: investing, upgrading, etc.
• Gifts: welcome basket, logo items, cards
--Trade w/local golf, restaurant, etc.
• Perks: discount club
• Rewards: add on services to reward action
• Select owners: priority bookings, bonus services, etc.
The Other Side of CRM
• Some owners should be let go
• They are too demanding
• Take up too much time and provide too
little profit
• You can only know this if you measure
it
Competitive Advantage
• The closer your customers feel to you,
the better customers they will be
• Better customers spend more money
• Better customers complain less often
• Better customers are more
understanding when things go wrong
Your Thoughts?