Australian Property News

Trapped in an unhappy relationship

Posted on Friday, October 08 2010 at 9:25 AM

Investors who have a negative experience with their property manager are more likely to stay in the unhappy relationship, according to the latest research.

Qualitative research by CoreData suggests that rather than exercise their right to opt to terminate a relationship when things turn sour, the tendency is in fact to do the opposite.

CoreData’s burningpants newsletter reports that research participants were split into those who’d had a positive experience with their property manager – and those who’d had a negative experience.

When asked how unhappy they would have to be before choosing to switch providers, it was discovered that those who’d had a negative experience with their property manager had a much higher tolerance of poor service.

On the other hand, those participants who had experienced higher quality service were much more likely to switch should the service level begin to drop.

The results are consistent with previous CoreData research which suggests many customers remain in an unhappy relationship, despite their dissatisfaction.

By tolerating poor service, peddlers of inadequate service remain in business and drive down the overall quality of service that the broader market receives.

The report suggests those receiving service they deem below par should vote with their feet by taking their business to the nearest competitor.