Improving leasing of vacant premises through tenant experience in the Finnish commercial real estate market
Isokuortti, Jenna (2022)
Isokuortti, Jenna
2022
All rights reserved. This publication is copyrighted. You may download, display and print it for Your own personal use. Commercial use is prohibited.
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2022120626659
https://urn.fi/URN:NBN:fi:amk-2022120626659
Tiivistelmä
The real estate industry has traditionally been a production-oriented industry, but the change to customer orientation has started during the last decade. Competition is increasing in the demand-driven commercial real estate sector and landlords are looking for new ways to differentiate from their competitors and retain their current tenants. In addition to the technical and financial factors of the real estate, landlords have started to concentrate more on customer satisfaction and experience.
This thesis studies tenant experience in the commercial real estate market in Finland. The objective of the Master’s Thesis was to identify factors affecting tenant experience. The purpose of the study was to develop tenant experience and improve leasing of vacant office and retail premises. The thesis is part of the House of Experiences project, which is a two- year cooperation project of four universities of applied sciences (Laurea UAS, Haaga-Helia UAS, Turku UAS and Xamk).
The theoretical background of the thesis consists of service- and customer-dominant logics that introduce frameworks for service- and customer-oriented business. In addition, the concept of customer experience and its implications in real estate sector are covered in the literature review. The methodology and empirical part of the research were based on research-oriented approach and service design. The research followed the double-diamond (Double Diamond) process model that consists of four phases; discover, define, develop and deliver. The thesis was limited to the first three stages of the process. Research methods included desk research, semi-structured interviews and co-creation workshop.
Research indicates that the importance of customers and services will continue to increase in the commercial real estate market in the future. The focus continues expanding from the physical premises to the users and furthermore to the amenities and surroundings of buildings. The customer journey of tenants starts from the awareness of the need for new premises and ends after the move-out from the premises. Ecosystem map of tenants presents various stakeholders, building amenities and channels that affect the tenant experience.
Development of tenant experience requires collaboration among the stakeholders. Property owners and managers should invest in understanding their customers’ needs, proactive actions and communication throughout the customer journey. Leasing could be improved by introducing new digital solutions that enable finding, viewing and comparing vacant premises online.
This thesis studies tenant experience in the commercial real estate market in Finland. The objective of the Master’s Thesis was to identify factors affecting tenant experience. The purpose of the study was to develop tenant experience and improve leasing of vacant office and retail premises. The thesis is part of the House of Experiences project, which is a two- year cooperation project of four universities of applied sciences (Laurea UAS, Haaga-Helia UAS, Turku UAS and Xamk).
The theoretical background of the thesis consists of service- and customer-dominant logics that introduce frameworks for service- and customer-oriented business. In addition, the concept of customer experience and its implications in real estate sector are covered in the literature review. The methodology and empirical part of the research were based on research-oriented approach and service design. The research followed the double-diamond (Double Diamond) process model that consists of four phases; discover, define, develop and deliver. The thesis was limited to the first three stages of the process. Research methods included desk research, semi-structured interviews and co-creation workshop.
Research indicates that the importance of customers and services will continue to increase in the commercial real estate market in the future. The focus continues expanding from the physical premises to the users and furthermore to the amenities and surroundings of buildings. The customer journey of tenants starts from the awareness of the need for new premises and ends after the move-out from the premises. Ecosystem map of tenants presents various stakeholders, building amenities and channels that affect the tenant experience.
Development of tenant experience requires collaboration among the stakeholders. Property owners and managers should invest in understanding their customers’ needs, proactive actions and communication throughout the customer journey. Leasing could be improved by introducing new digital solutions that enable finding, viewing and comparing vacant premises online.