Colorado Real Estate Journal - April 18, 2018
Anyone who thinks online reviews are not important for the property management business is mistaken. Some of the most significant innovations in residential property management are not real estate specific. And none of which are as critical as the review platforms where product and services can be rated. In today’s connected world, information travels fast and with this comes unique challenges and opportunities. The importance of online reviews is not confined to any one industry or market. The ridesharing and transportation company, Uber, places great emphasis on the feedback it gets from riders to ensure the product experience is excellent. According to Uber’s terms and services agreements with its drivers, the drivers are required to stay above a minimum rating level, reported by Business Insider as 4.6 out of 5 stars, or risk their driving account with Uber being deactivated. Property managers should be just as diligent in protecting their brand and ensuring tenant satisfaction. This can be done by developing a thorough online reputation management program. A robust online reputation management program goes beyond other types of customer service response channels. If executed well, an effective reputation management strategy can provide insight into the changing trends of the tenants. By analyzing feedback and reviews, management can detect patterns in amenities, services, layouts and other features important to the tenant base to stay ahead of the competition. Multifamily property managers need to continue to adapt the way they attract and retain tenants. Renters usually start their search for an apartment online. If a prospective renter sees the property manager has high ratings and is genuine in their interactions online, that property manager has a leg up on the competition. Property owners, investors and developers in the market for property management services usually start their due diligence process online, too. A property manager’s poor online reputation can scare future clients away just as quickly as future tenants. So, how do I manage my online reputation? 1. Make sure you can be found online. Ensuring your business profiles are set up on popular platforms is the first place to start. The most heavily used review websites are Google, Facebook, Yelp and the Better Business Bureau. 2. Monitor relevant online activity. If the accounts are properly set up on the previous platforms, email notifications should be sent out anytime a person posts a review. However, the internet is a big place and people may be talking about your business elsewhere. Through Google Alerts, the search engine will send an email when a chosen keyword is detected on Google. Property managers can use their property names, addresses and other defining keywords to track related activity online. 3. Respond to every review. A series of articles can be written on how to respond to reviews, especially negative reviews, as soon as possible. Things to consider when forming a response is to make sure your message is genuine. Be accountable, transparent and demonstrate that the reviewer has been heard. Your response matters and, keep in mind, your response is not just for the person leaving the review, but the general public who will read your response. 4. Be proactive. Instead of waiting for reviews to be submitted, consistently ask your tenant base what can be done to make their tenancy more enjoyable. By being proactive offline and going over and above, the tenants are more likely to leave positive feedback online. 5. Do not incentivize or pay for reviews. As property managers are starting to understand the importance of a positive online reputation, some are looking for ways to cut corners. We have heard of property management groups offering prospective tenants waived application fees if the prospect leaves a 5-star rating. Not only has this person not had a substantive experience to review yet, but the property manager is at risk of violating federal consumer protection law. The Federal Trade Commission takes reviews generated by incentives and compensation very seriously. An active online reputation management strategy will keep you from playing brand defense and allow your stakeholders to become your brand advocate. Every review is important and provides an opportunity to grow your online reputation.