RTO Online 2003 Rent to Own Industry Poll Report

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Poll Description	2003 Rent to Own Industry Poll
Running from :	12/01/03 - 01/01/2004
Unique Replies :	200
Additional Info :	Users must vote to view the results Users can only vote once Users may comment this poll

Poll Results
Choices	#Votes	% of total
1) How would you rate the future of the Rent to Own industry?
Very Poor	0	0.00%
Poor	10	5.00%
No Opinion	6	3.00%
Good	87	43.50%
Very Good	97	48.50%
2) Are you satisfied with your company's growth over the past 12 months?
Yes	121	60.50%
No	79	39.50%
3) Is your customer count higher or lower than last year same date?
Higher	111	55.50%
Lower	47	23.50%
No significant change	42	21.00%
4) All are important, but which of the following do you believe is most important to the profitability of a rent to own company?
Sales	27	13.50%
Collections	36	18.00%
Customer service	137	68.50%
5) In your opinion, is the rent to own industry...
Shrinking	12	6.00%
Static	54	27.00%
Growing	134	67.00%
6) If you could change one thing about your job, what would it be?
Working too many hours nothing ? nothing the hours Better technology for employees, bar code scanners for inventory, better marketing techniques. I would spend more time making customers happy and less time making bosses happy. Larger advertising budget more talent and attracting more talent The long hours. higher pay Decrease paper work and maintain focus on Renting and collecting. to have someone else do my paperwork haha nothing Make collections more flexible. Be able to work with our good customers when they fall behind instead of picking up the accounts and spreading bad opinions about rto more money and bonuses picking up merchandise. My job changes daily and the challenges and many and the rewards are great. NO SUNDAYS! EVER..... try and help out the people who have been paying on there merchandise for along time,then ran into troubles but they do not want to give up on it. Bonus structure. treatment of employees to find better employees that want to work Fewer Hours Hours Worked EXPANSION make more money organization knowing more about whats going on in the company Better benefits. This is a tough one to answer. The time issue is not fun but we chase the $$$ and thats just the way it is. I'll just keep my head down and nose to the grindstone. Nothing collections collections practices more freetime More control of day to day operations less hours The person that I would report to, and the city I am in Would like to find more dedicated employees with a strong work ethic, motivated by money and success! THE LONG HOURS REQUIRED OF MANAGERS DO NOT LEAVE TIME FOR A FAMILY LIFE AND ALSO CAUSE BURNOUT IN MANY MANAGERS WHO WOULD OTHERWISE MOST LIKELY STAY IN THE BUSINESS FOR MANY YEARS. hours per week To have everyone on the same level working as a team to not only get NEW customers, but keep our existing customers happy. Nothing Dealing with low quality employees. better rental orders less hours The focus on a credit number as opposed to a dollars collected basis. Don't know PAPERWORK!!!! Absolutely nothing!!! the hours Need more time To find another one!!! Rate of pay or better benefits the hours worked nothing The staffing as related to smaller stores need to be looked at. Often times the manager is the only person in the store taking payments and of course making new rentals. An unknown amount or new business is lost when someone your taking payment from is interested in something else but because your busy with others does'nt wait for you. By the time you either see them again or even call them back they have unsold themselves and decided to wait until they pay off the present account. Or maybe have gone to your competitor. More vacation time Not be so Boring raise the companies credit close expectations the image of the industry The amount of hours it takes to get the job done hours No changes more freedom with pricing pre leased poor condition merchandise Stress levels are way too high ???? Less Repitition more customers Less stress to hit credit numbers during holiday season, but keep numbers at a reasonable % less hours ADVANCEMENT BASED ON PERFORMANCE Better quality job market would help. pass To have a little more backing legally when a customer skips or disposes of the product. non paying customers less hours Nothing # of hours worked To be able to offer customers more variety of products other than traditional items. hours Employee Benefits Increase Staffing hours of work I was going to say that I would decrease the work hours for frontline employees, but that would be a double edged sword. Some companies went to paying hourly at a good rate only to increase the turnover by running there people in to the ground and having Managers that make it all to clear that if you dont get the "Numbers" you wont be around very long. And ironically it is usually the Managers bad decisions that have made the employees "Numbers" so hard to achieve. Fortunatley I am not in that positon, although I have been more than once. The only "Universal" change I would make is to change the "Bad Wrap" RTO has been labeled with. The media years ago told stories of consumers paying 3,4,or 5 times the original price of an item. Did they mention how much that TV cost on a credit card? Or how long it would take them to pay it off? Or the fact that RTO dealers tell you straight upfront how much you will pay for that TV? Yes RTO dealers make a profit, that isnt a sin. But RTO got a bad name from people only being shown one side of the coin. shorter hours, less pressure The long hours, and having no weekends off. nothing support and communications from leadership Better work hours..... I would change the primary fallout days from weekly to monthly. 1st, 8th & 15th would be the due dates. REMCO did it that way and it worked very very well. It allowed much more of the month to be focused on sales and customer service issues as well as gave the managers the ability to let co-workers take an occational Sat. off without causing collection problems. Hours Incentive pay program Nothing I would like to open more stores, therefore, creating a larger workload!!! Nothing Too many hours. the hours Public Image I would work less hours. the way merchandice is being ordered. Not re-hiring employees that have been fired into management positions Less hours and more recognition and more support. Lower taxes hours every other weekend off. The hours and the pay the long hours public perception Regional Managers with no experience better pay Long hours, not co-worker friendly, it's all about the numbers. Nothing, I love this buisness, I do different things every day. Its great. Less hours or more pay I don't know less hours Better employee retention at Part - Time level. Collection Laws location. Visit more shops more often less paper work for store managers ...
7) How would you rate your point of sale software?
Very Poor	7	3.50%
Poor	20	10.00%
Adequate	73	36.50%
Good	72	36.00%
Very Good	28	14.00%
8) Is employee turnover at your company...
Very low	36	18.00%
Low	79	39.50%
High	73	36.50%
Very High	12	6.00%
9) In your opinion, what is the primary cause of employee turnover?
Not enough recognition for a job well done No turnover in last year Not enough money for the job jobs inadequate training Not qualifying the right employee to a position. Poor chance of advancement or significant pay raises. Some people are not suited to make the business decissions necessary to run a good rto store NOT ENOUGH ROOM FOR ADVANCMENT None yet Lack of training not a fit with business long hours, mostly with no overtime. overworked underpaid Lack of support from upper management lack of dedication Pay Lack of training, expectations set too high on new employees, Better paying jobs in the market that don't require you to work weekends and evenings hiring idiots burnout. not enough time off. lack of training Lack of character recognition. Good people can be trained anything. Arrogant people can't learn anything. To be able to determine confidence vs. arrogance is the trick. Managers who shout how good they are should not be hired. Managers who prove how good they are have a track record and quietly rise to recognition within the company. Raises lure them; praises keep them... PAY training Poor training. treatment of employees cant handle the job Training poor upper management Lack a large enough pool of competent employees to hire from. Employees being treated as a non asset THIS BUSINESS IS NOT FOR EVERYBODY Lack of Flexibility NOT INVESTING TIME AND TRAINING IN EMPLOYEES Wages and Benefits not being screened on the front end of the hiring process poor performance; motivation to learn the job too many hours time off and how they feel they are treated rate of pay or poor treatment Lack of wage/promotion opportunities Abuse of time vs pay (labour standards issues) and for some reason some managers not treating their employee's as mental equals. Sweat the big things and the little things will fall into line, Don't micro-micro analize every detail everyday... Lack of direction from Front line supervisors. Lack of real opportunity to grow. abuse poor training program management People want to get paid, but no body wants to work! long hours Gentlemen has issues dealing with a female manager in the Rent to Own business Full employment in our area, and semi-poor training/management by our company PRESSURE TO HIT THE NUMBERS REQUIRED AND THE CUSTOMERS LACK OF COOPERATION. lack of quality people Miscommunications and long working hours. Lack of job satisfaction due to lack of training. The nature of the RTO Business. Most of our employees, more or less, supervise themselves... and most people are ill equipped to do so. do not care about employees performance Money Hours and pay NOT PROPERLY TRAINED AND MOTIVATED!!!! Improper training, including focus on earning advancement. hours Poor supervision Stress Management making poor hiring decisions because they feel that they can't wait a few days and properly interview and select applicants. the hours worked, and some of the conditions encountered Untrained Managers Waiting until we need someone rather and looking for a body, rather than taking the time to look for the right person when you don't need them. Salary, conflict with management Salary poor pay (company expectations) selection process / filling the opening vs. waiting for the right person work is very challenging Low pay for our area When you don't do what you promised the employee training/feeling unappreciated lack of training lack of recognition better wages elsewhere lack of clearly defined expectations and poor training. Competition - employees that have been trained can hop back and forth between companies - competitive wages, benefits, etc. getting in the wrong people... High Expectations and Moderate Pay combined with poor leadership not right for the job they get tired of the non-ending battle to get more done in less time for no increase in pay. Not properly trained leading to more hours leading into burnout no room for growth weaker upper management don't like the boss THE HOURS OF THE DAY WORKED, WORKING EVERY WEEKEND, AND HAVING ON AVERAGE ONE DAY OFF FOR MAJOR HOLIDAYS poor training Pay and store working enviroment. pass Unsatisfied with treatment by supervisors more income lack of pay None Lack of Training New employees getting into a very stressful work enviornment. lack of training, pay Poor pay and employee benefits Poor Training lack of respect Long Hours, unkept promises, and job stress created not by the employees performance but by bad decisions made by people above. Divisional Managers know exactly what will happen if they go on a massive "Bor Push" or "Dangle a Carrot" in front of employees to motgivate them. High credit, Skip/Stolens, and the front line employee suffering in some way shape or form . But you still see it doen all the time. "When you get it to 1,000 bor I can guarantee you more money", "Credit will come down, just get the product out the door". Yeah Right !! 2 months later the frontline is working till 9 pm to fix what you already knew would happen. constant heavy pressure from superior to do better. The long hours and inflexability of having Saturdays off of work. training hours, wages, lack of opportunities too many hours worked...employees need time for family Hours and lack of management support. Work Ethic other opportunities outside rent-to-own Low Pay Managers are not hiring the right entry level people. Better pay or better hours Lack of development/lack of challenging work Too many hours, pay inadequate. Work Hours Inadequate job descriptions and unreasonable expectations. lack of preparation and communication when developing the goals of the store as well as the goals of the employees Lack of recognition. i feel that people just dont want to work, they rather make 5:15 per hour and collect government assistance and if they make 8,9 10, 11 dlls per hour all that would go away because of the system here in the usa poor wages inadequate leadership from middle level management Not enough of the right training, and not enough support and recogntion for doing things right and too much criticism. Poor human relations bad tranning LACK OF TRAINING there pay The hours and you being judged on people not opening their doors stress hours job satisfaction Rate of pay The pressure of quotas and job being threatened by that low pay, long hours lack of positive reinfocement Long hours and not co-worker friendly Employee dishonesty, and not caring for the customer or their job. wages low quality workers looking for something different Ability to improve ones career. Part - Time Empoyees, Failure to put for an effort. Incompetency relationship with upper management low pay long hours Lack of training finding qualify people for RTO ... not for everyone...
10) Are there more or fewer competitors in your market than last year?
More competitors	76	38.00%
Fewer competitors	27	13.50%
No Change	97	48.50%
11) What is the average number of agreements per customer? (round up)
1	2	1.00%
1.5	72	36.00%
2	78	39.00%
2.5	32	16.00%
3	7	3.50%
More than 3	4	2.00%
Don't know	5	2.50%
12) What percentage of your customers pay weekly? (round up)
10% or less	30	15.00%
20%	4	2.00%
30%	12	6.00%
40%	3	1.50%
50%	13	6.50%
60%	23	11.50%
70%	29	14.50%
80%	59	29.50%
90% or more	21	10.50%
Don't know	6	3.00%
13) What percentage of your customers pay monthly? (round up)
10% or less	53	26.50%
20%	55	27.50%
30%	24	12.00%
40%	14	7.00%
50%	10	5.00%
60%	7	3.50%
70%	8	4.00%
80%	8	4.00%
90% or more	15	7.50%
Don't know	6	3.00%
14) Which category of rental merchandise is more difficult to re-rent as used?
Electronics	17	8.50%
Furniture	134	67.00%
Appliances	8	4.00%
Computers	15	7.50%
Jewelry	20	10.00%
Tires and Wheels	6	3.00%
15) What percentage of new agreements include "free rent" as an incentive? (first week free etc)
Less than 10%	62	31.00%
10 - 20%	19	9.50%
20 - 30%	25	12.50%
30 - 40%	24	12.00%
40 - 50%	6	3.00%
50 - 60%	11	5.50%
60 - 70%	13	6.50%
70 - 80%	16	8.00%
80 - 90%	10	5.00%
90 - 100%	14	7.00%
16) Have rental rates (overall) increased or decreased over the last 12 months?
Increased	62	31.00%
Decreased	52	26.00%
No significant change	86	43.00%
17) Which of the following ancillary services do you offer?
Pre-paid dialtone	81	40.50%
Tax preperation	39	19.50%
Check cashing	27	13.50%
Payday Loans	14	7.00%
None of the above	89	44.50%
18) Do you offer extended warranties?
Yes	86	43.00%
No	114	57.00%
19) Do you charge for delivery?
Yes	17	8.50%
No	183	91.50%
20) Do you offer "Lifetime Reinstatement?" (credit for rent paid on returned merchandise)
Yes	111	55.50%
No	89	44.50%
21) Do you believe the image of the Rent to Own industry is...
Improving	117	58.50%
No change	69	34.50%
Getting worse	14	7.00%
22) Do you believe the Rent to Own industry gets fair treatment in the press?
Fair	44	22.00%
Unfair	156	78.00%
23) What is your average monthly rental rate per AGREEMENT? (round to nearest)
$50	3	1.50%
$55	8	4.00%
$60	13	6.50%
$65	22	11.00%
$70	19	9.50%
$75	9	4.50%
$80	20	10.00%
$85	20	10.00%
$90	26	13.00%
$100 or more	60	30.00%
24) What percentage of your customers rent NEW merchandise until ownership is acquired?
Less than 10	9	4.50%
10 - 20	27	13.50%
20 - 30	62	31.00%
30 - 40	38	19.00%
40 - 50	23	11.50%
50 - 60	18	9.00%
60 - 70	13	6.50%
70 - 80	5	2.50%
80 - 90	5	2.50%
25) What percentage of your customers rent USED (reduced term) merchandise until ownership is acquired?
10 or less	8	4.00%
10 - 20	18	9.00%
20 - 30	56	28.00%
30 - 40	43	21.50%
40 - 50	28	14.00%
50 - 60	27	13.50%
60 - 70	6	3.00%
70 - 80	11	5.50%
80 - 90	3	1.50%
26) What is your company goal for end of week Card Close? (past due)
5% or less	22	11.00%
5% - 7%	52	26.00%
7% - 9%	57	28.50%
9% - 11%	34	17.00%
11% - 13%	15	7.50%
Higher than 13%	20	10.00%
27) In your opinion, are your company goals for Card Close (past due)...
Too low	16	8.00%
About right	153	76.50%
Too high	31	15.50%
28) What category of merchandise do you spend the MOST time servicing?
Furniture	29	14.50%
Appliances	25	12.50%
Electronics	56	28.00%
Computers	88	44.00%
Jewelry	0	0.00%
Tires and Wheels	2	1.00%
29) What category of merchandise do you spend the LEAST time servicing?
Furniture	72	36.00%
Appliances	47	23.50%
Electronics	18	9.00%
Computers	8	4.00%
Jewelry	54	27.00%
Tires and Wheels	1	0.50%
30) How often do you visit the RTO Online Website?
More than once per day	6	3.00%
Daily	25	12.50%
Weekly	98	49.00%
Monthly	20	10.00%
Only when I receive email	51	25.50%
Optional General Comments Were Allowed After Poll Completion
Date	Comment
2003/12/01	I want to see more of these!
2003/12/01	Thanks for your existence!
2003/12/02	Great job with the Rufous person
2003/12/02	n/a
2003/12/02	i am excited to see where rto is going
2003/12/02	Thank you.
2003/12/03	Informative web site, thanks!
2003/12/03	From Bill Kelly, Director of Operations, EBRO Int'l dba ColorTyme. Thanks for a great year of information. I have sign up at least 10 people up for your website.
2003/12/04	good site
2003/12/04	Any questions or comments contact Brian R. Mohamed @webmaster@mohamed.net
2003/12/04	I must say some articles I have found very useful
2003/12/05	I work in a new store only open since Oct 2003 so some of the answers are estimates. Thanks
2003/12/05	i enjoy reading the articles i even print out a few and post them for my employees
2003/12/05	your content / information / coverage continues to improve....
2003/12/05	Keep renting and collecting
2003/12/06	I feel RTO Online is a benefit to my staying informed of whats going on in the industry. And I appreciate your efforts. It seems your biggest challenge would be getting more folks to use it. Part of the issue is a lot of the industry leadership is not from the "computer age" but trying (slowly) to adapt. There are things you might do to gain exposure that I'm not sure you have tried or not - You might consider a mailing to perhaps the APRO almanac of RTO dealers and or stores to introduce RTO Online. Also take a vendor spot at the APRO annual meeting. If you sponser some type of "Dealer of the Year" deal that would get some attention too. Just a couple ideas to try and help. I think as time goes on RTO Online will become more and more popular with folks in the biz. You guys do a nice job. Thanks, Mike Houseworth ColorTyme Franchisee
2003/12/09	RTO is coming out the "Dark Ages" and is here for the "Long Run" as long as we focus on doing "Good Business" not "More Business"
2003/12/10	None
2003/12/10	N/A
2003/12/10	We need to have representation in every state.
2003/12/10	keep on doing this excellent job you guys are doing
2003/12/11	It has to be a better way to get the customers to pay, and for us to keep employees
2003/12/12	none
2003/12/14	great site!!!!
2003/12/28	RTO DONE IN THE RIGHT WAY PROVIDES A GREAT SERVICES TO ITS CUSTOMERS ... BETTER THAN MOST RETAIL SERVICES ..IE BEST BUY, FURNITURE STORES...