Appraisal of Consumer Satisfaction with Service Delivery by Real Estate Firms.

• Author: Ishaya, David Ayock

INTRODUCTION

Service, as defined by Gronroos (1990), constitutes an activity or series of activities of more or less intangible nature that normally, but not necessarily, take place in interactions between the customers and the service providers, which are provided as solutions to customers' problems. Since services are meant to be solutions to consumers' problems, the wishes and desires of the consumer must be taken into consideration.

Johnson et al. (1988) categorized real estate agencies as a service sector industry. They differs in many respects from other service industries (lawyer-client, employer-employee, buyer-supplier, etc.). One study by McDaniel and Louargand (1994) suggested that all service businesses must respond to consumer expectations. According to Johnson et al. (1988), the real estate agency industry is characterized as being prescriptively customized. That is, there is a high degree of consumer customization, because the buyer is continuously involved in the production process.

Service quality, according to Vicky et al. (2000), is an important issue for an organization that recognizes the essential role of acquiring and retaining customers through continuous improvement strategies. According to Johnson et al. (1988), service quality is the degree to which service performance matches consumer expectations of service. McDaniel and Louargand (1994) also define service quality as that in which the consumer's perception of service performance meets or exceeds the expectation of what the service firm should do. In the view of Parasuraman et al. (1985), service quality perceptions result from a comparison of consumer expectations with actual service performance. The real estate agency market in the Nigerian metropolis of Kaduna is becoming more competitive than other businesses in the study area. This is as a result of increasing numbers of real estate firms in the metropolis and real estate consumers that are becoming informed about service quality issues (Oladapo, 2008). In particular, to ensure that the real estate agents remain relevant in real estate agency practice in Nigeria, there is a need for studies on how real estate agency can become more advanced to face the increasing demand for real estate and its related services and to render services that are consistent and of high value. However, little concern has been shown for consumer expectation and satisfaction issues in real estate agencies in the Kaduna metropolis.

There is therefore the need for studies on consumers' perspective and service quality issues in real estate agencies. This study investigated customers' perspectives of service quality in real estate agencies in order to increase agents' effectiveness and hence better customer satisfaction.

STATEMENT OF PROBLEM

The real estate agency market in Nigeria is regulated by the Nigeria Institution of Estate Surveyors and Valuers (NIESV) (2002) under the supervision of Estate Surveyors and Valuers Registration Board of Nigeria (ESVARBON) Act No. 24 of 1975. By virtue of the act, estate surveyors are statutorily empowered to act as estate agents in the sale, purchase or in the leasing of property or any interest therein. However, the real estate agency market in Nigeria has recently seen other professionals and even people without formal training in any related discipline expanding their core businesses and starting to offer real estate related services. It is no longer a given that one must use the services of a real estate agent in search of land or landed property. This may be a result of demand for real estate, which has significantly increased over the years. Past studies have also shown that real estate practices are not meeting the needs of the parties involved in real estate, purchase and sales transactions (Guntermann & Smith, 1988; Pancak et al., 1997; Haag et al., 2000). The perceptions and expectations of buyers and sellers are often at variance with the actual performance of the real estate agents.

Perceptions of what constitutes service quality may differ between consumers and service providers (Marsh & Zumpano, 1988). Most of the research and studies on consumer perception of service quality in real estate agencies are foreign (Johnson et al., 1988; McDaniel & Louargand, 1994; Isakson & Spencer, 2000; Vicky et al., 2000).

This research would therefore present an understanding of the subject in a Nigerian context and assist in achieving enhanced consumer satisfaction, improved service quality delivery and ensuring that estate surveyors remain relevant in the agency market.

AIM

The aim of this study is to look at the things/criteria that influence clients in selecting estate firms in agency consultancy jobs.

OBJECTIVES

i. To identify types of clients that engage estate firms in the study area

ii. To find out the qualification of the clients

iii. To find out the types of agency jobs the clients engage the estate firms in

iv. To identify how the client perception influences jobs in the estate firms

SCOPE OF THE STUDY

This study is essentially concerned with how clients' perceive the service delivery of estate surveying firms in the Kaduna metropolis.

SIGNIFICANCE OF STUDY

This study is significant in many ways: firstly, it will add to the existing literature in the area of client perception of estate surveying firms by tenants, students, estate surveyors, researchers and laymen in similar areas. This study will also be of immense benefit to intending tenants that wish to acquire residential properties by viewing some of the criteria. The finding here will also serve as a useful guide to policy formulation by the Nigerian Institution of Estate Surveyors and valuers and the government.

REVIEW OF RELATED LITERATURE

Previous studies have investigated the determinants of service quality (for example, Parasuraman et al., 1991; Yi, 1990; Dabholkar et al., 2000...