Home Builders Work To Boost Their Public Image by Jim Adair
A series of focus groups across Canada has told builders what they don't want to know -- their public image could use some work. Poor customer service, the quality of the builders' work, and salespeople who lack product knowledge were some of the complaints lodged against builders in the study, which was conducted in nine centres across Canada. Home buyers also complained that it's difficult to find out what features in the home are "standard" and those that are considered "upgrades." They felt rushed while choosing design options and upgrades. Worst of all, many of the home buyers surveyed said that on warranty service, builders often offered poor or delayed service, and were hostile about making the repairs. Canada's new home market has been booming for several years, and new home prices have been rising quickly. Although it appears that the image of builders has not affected new home sales, the Canadian Home Builder's Association (CBHA) is working on a strategic plan to address the public's perception. Last year, in a Readers' Digest poll to determine Canada's most trusted professions, new home builders did not fare well. Only eight per cent of respondents said new home builders were "very trustworthy" and another 19 per cent said they were "trustworthy," for a combined score of 27 per cent. That put builders ahead of trade unions (21 per cent), car salespeople (10 per cent) and national politicians (nine per cent), but below lawyers (29 per cent), journalists (31 per cent) and auto mechanics (33 per cent). The most trustworthy professions are pharmacists, doctors and airline pilots, the poll said. A similar Readers Digest poll in New Zealand, however, ranked builders as the ninth most trusted profession, just below plumbers, and ahead of car salesmen, marketers, journalists and psychologists. In her weekly column published on the Greater Toronto Home Builders' Association website, GTHBA president Julie Di Lorenzo says, "Builders looking to bridge the gap between consumer perceptions and reality should note that the home buyer's definition of after-sales service is quite literal. They view the service phase as beginning right after they sign on the dotted line, not from the time they take occupancy." She says, "Another source of buyer dissatisfaction is being handed-off by the original sales team to other staff in the builders' organization once the sales agreement is signed. Many buyers complained of little or no follow-up communications during the post sales/construction process." As reported in Realty Times last summer, unhappiness with the new home buying experience has prompted a grass-roots movement to form consumer advocacy groups for buyers across Canada. Di Lorenzo says, "We builders may have raised expectations too high with our sophisticated lifestyle marketing, advertising and on-site presentation. In fact, research by Tarion Warranty Corp. identifies misaligned customer expectations as the number one source of complaints." After hearing the results of the survey last fall, CHBA launched its plan to upgrade the image of builders. Its proposals include requiring all new home builder members to be registered with a new home warranty program. This is already mandatory in some but not all provinces, and another CHBA proposal is to lobby to make it mandatory everywhere. The association may also look at creating a national customer service rating system to address the number one concern of home buyers. It's working to ensure that local and provincial associations are conforming to a national code of ethics, as well adopting new disciplinary procedures. On the education front, CHBA is looking into co-ordinating a national curriculum and designation program for new home builders and renovators. It may make earning this designation a requirement for membership. The focus groups also determined that most consumers were not aware that the CHBA exists, so the association plans to promote itself better in the marketing of its members. There was some good news for builders in the study. Buyers said they liked improvements in community designs, though they found that many of the houses looked too much the same. Consumers also said they are opposed to increased regulations concerning development, and that they support housing innovation and energy-saving techniques. |