Challenges, Opportunities and Risks
The ongoing housing shortage and rising rents, particularly in conurbations, have resulted in tensions on the German residential property market. Alongside rents, expectations regarding the quality of the homes and the service provided by Vonovia as a landlord are also rising. This provides us with an opportunity to set ourselves apart from the competition with outstanding service and rapid reaction times.
The public discussion regarding modernization cost allocation has shown us that acceptance for rent increases is limited. For us, this issue primarily brings with it a reputational risk that may impact our company and the success of Vonovia. That is why it is important to us to increase our communications with tenants in this regard. Vonovia has now decided on a voluntary modernization cost allocation cap (see chapter Society and Customers). We also want to improve the quality of our ancillary expense billing in order to further minimize the risk of sending out bills that are incorrect, as every incorrect ancillary expense bill that we send out is one too many.
The digitization of our processes brings with it a myriad of opportunities, including an effect on customer satisfaction. For example, we are boosting our online presence and expanding our self-service functions in the online customer portal for the benefit of our customers. This means it will be even easier for customers to contact us.