Why Customer Churn is a Silent Killer with Daniel Craig

Abstract

Daniel Craig's first benchmarking study led to the NARPM Accounting Standards and a new focus on property management profitability. If you have a low rate of client retention, your property management business has a leaky bucket. Daniel expects a drop in average churn during 2018 and 2019, and then an increase in averages for 2020 and 2021. The industry can do better than 25 percent. Some companies manage to stay under 10 percent. Under 20 percent is great. But having churn that’s higher than 20 percent isn’t good. Some firms manage to remain under 15 percent is okay. It’�s hard to grow. It's hard to find out. The landscape is far more competitive and there’re a a lot of homes were sold in the last year or two. Some do more, but some do more to do more than 10 percent is OK. In general, some do less.