Why has Nestaway's average rental collection time increased from 5 days to 10 days since implementing the new payment system?

Introduction

The increase in Nestaway's average rental collection time from 5 to 10 days following the implementation of a new payment system is a critical issue that demands immediate attention. This shift not only impacts cash flow but also signals potential underlying problems in the user experience or system functionality. To address this challenge, I'll employ a systematic approach to identify, validate, and resolve the root cause while considering both short-term fixes and long-term strategic implications.

Step 1

Clarifying Questions (3 minutes)

• Looking at the timing, I'm thinking there might be a direct correlation between the new payment system and the increased collection time. Has there been any change in the payment options or user interface that could be causing confusion?

Why it matters: Understanding specific changes helps pinpoint potential friction points. Expected answer: Yes, we've introduced new payment gateways and changed the UI. Impact on approach: If confirmed, we'd focus on UI/UX improvements and payment gateway performance.

• Considering user segments, I'm wondering if this increase is uniform across all tenant types. Are we seeing any patterns in terms of which users are experiencing longer payment times?

Why it matters: Identifying affected segments helps narrow down potential causes. Expected answer: The increase is more pronounced among first-time renters. Impact on approach: We'd investigate onboarding processes and first-time user experiences.

• Given the metric shift, I'm curious about any changes in reminder systems or late payment policies. Have we adjusted how we communicate with tenants about upcoming or overdue payments?

Why it matters: Changes in communication could directly impact payment behavior. Expected answer: We've automated reminders but reduced frequency. Impact on approach: We'd review the effectiveness of the new communication strategy.

• Thinking about system performance, I'm concerned about potential technical issues. Have there been any reported errors, slowdowns, or outages since the new system was implemented?

Why it matters: Technical problems could be directly causing payment delays. Expected answer: There have been intermittent slowdowns during peak hours. Impact on approach: We'd prioritize system optimization and load balancing.