Monday, November 2, 2009

Relocation Industry Trends

Rental housing in Tokyo or Nagoya? Serviced Apartments in Nagoya? Relocation in Tokyo and Nagoya? Car / Furniture Leasing and Purchase in Tokyo or Nagoya? http://www.japanhomesearch.com/ and http://www.relojapan.com/. We want to help you in Japan!

I recently spent two weeks in the US visiting some clients and checking out the world housing and relocation industry to get some insight into how things will be for Japan moving forward. The good news is that for US Relocation companies international relocations look to be quite stable; volume is down, but while watching costs, multinational companies are still moving people. The same can't be said for the US domestic market, which appears to be in alot of trouble. Home inventories are large on someone's books (someone has the inventory, but obviously nobody wants to say they do), people are scared to move, and companies are not moving people, as they continue to lay off staff.

So the bad news is that US companies, which contributes the most to the international relocation industry, are still not employing people; alas many of them are still laying people off. This will be detrimental to any projected increase in volumes moving into 2010; probably not going to happen until US companies start growing again. There is some light at the end of the tunnel in terms of European countries entering the relocation industry; finally we are seeing European companies looking to outsource some of their HR functions as they look for cost reduction solutions.

However, on my US trip, there was one unanimous opinion across all relocation professionals and that was we are now looking at a "NEW NORM". Things are not going to be as they were. The "new norm" is still to be figured out, but here are some trends from a Global Relocation Company in the US in terms of what is important to companies in 2009 when selecting their relocation vendors;

1. Global footprint (ie. are you located throughout the world)
2. Total spend (what is the total cost of the supply chain + relocation management)
3. Pricing
4. Funding capabilities (ie. can you pay in advance for us)
5. Stability of the organization
6. References
7. Service Quality

Our organization has continuously battled to make sure we maintain "service quality" as our number one priority. It appears it maybe time for many in the industry, including H&R Consultants and ReloJapan, to re-think their stratey.......

2 comments:

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Tee Chess said...

Its true that reputed company do provides better services but they do also over charges people. One can easily find a moving company that can provide one with the best services in affordable prices too.
moving company