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With an average industry client churn rate of 20-25%, owner churn is a big problem for residential property managers. And the first step to getting it under control is figuring out why it happens.
Typically, owners churn because they sell, or because they have a bad experience with their property manager. But these are two broad reasons that don’t get at the details. How can you find out why they sold? Or what made their experience bad?
This is where exit interviews come in handy.
The benefits of exit interviews
Exit interviews make it possible for you to capture the nuanced reasoning behind an owner’s decision to sell or leave, which can uncover opportunities you never would have seen otherwise.
For example, say an accidental landlord decides to cancel and they didn’t give a reason why other than “life happens.” An exit interview could help you uncover what that means. Maybe you find out that their cousin needs a place to live for the next year, but after that period they’ll be looking for a residential property manager again. Now you can offer to “pause” your services rather than canceling entirely. Client = retained!
Exit interviews also create an opportunity to:
- De-escelate if needed. Having a thoughtful conversation can give owners a chance to share frustrations privately instead of leaving negative reviews online. It shows professionalism and a commitment to improving.
- Build good will for referrals or returning clients. Even if the client leaves, ending the relationship on good terms keeps the door open for future referrals or returning business when their circumstances change.
Don’t take my word for it
Mark Brower opens up in this interview with Tony Cline about what he learned from an employee exit interview.
While he isn’t talking about an owner exit interview, Mark’s story still underscores just how much you can learn from exit interviews. In this case, Mark learned how his communication style is received by some employees. It’s a great discussion. Go check it out!
About Blanket
Blanket is transforming the property management industry with its innovative platform that helps property managers grow their portfolios and retain owners. By combining AI-powered insights, automated lead generation, and seamless integration with existing property management software, Blanket provides property managers with the tools they need to succeed. Blanket is backed by leading Venture Capital Funds like Foundation Capital, Symbol, Operator Partners, RE Angels, and industry-leading Angel investors. Together, we’re shaping the future of property management.
