WIN-WIN WITH SOCIETY
Longfor Group is deeply engaged in property development, commercial investm♎ent, rental housing, property management, smart construction , and committed to providing 🍰customers with ingenious services and products with Longfor characteristics. Property development, as the core business of the group, always adheres to high standards of product quality. In 2023, the revenue from property development achieved RMB 156 billion, of which 94% derived from residential projects and 6% from commercial projects; In 2022, the revenue from property development achieved RMB 227 billion, of which 89% derived from residential projects and 11% from commercial projects; In 2021, the revenue from property development achieved RMB 204.5 billion, of which 90% derived from residential projects and 10% from commercial projects; In 2020, the revenue from property development achieved RMB 171 billion, of which 89% derived from residential projects and 11% from commercial projects.
Longfor Group complies with the Construction Law of the People's Republic of China, the Product Quality Law of the People's Republic of China, the Regulations on Construction Project Quality Management, the Unified Standard for Constructional Quality Acceptance of Building Engineering (GB50300-2013), and other relevant laws, regulations, and standards when conducting business. In addition, we have formulated the Longfor Rework Management System for Completed Housing Projects, Longfor Property Unit-Specific Inspection Management System, Longfor Regulations on Concrete Quality Management, and other internal systems. In 2022, we continued to hone the Group's quality management system and revised the Real Estate Headquarters Engineering Quality Management System to improve product quality standards further.
The Group adopts "Bottom Line" and "High Satisfaction" as its quality system management principles. We place a premium on the standardization of the quality system and actively promote the ISO 9001:2015 certification，23 subsidiaries of property management have passed the IS0 9001: 2015 quality management system certification. At the same time, we delineated the 🐭responsibilities of the Group Engineering Department, the responsible departments for leading products, and the management scope of the regional responsible departments and supervision institutions to guarantee the delivery qualit𒊎y of the entire construction project effectively.
The Group has established a three-tiered quality control system of “Group-Region-Project” that encompasses more than 349 quality key points and 100+ inspection diagnoses at various levels throughout the project life cycle, achieving comprehensive construction supervision of projects from construction to delivery. In the quality acceptance🌳 stage of construction projects, we require our property team to carry out final inspection of sub-family quality 6 months in advance, and through inspection of "78+141" subjects in "3+10" dimensions and more than 100 inspection meetings, we effectively reduce and av🐟oid hidden quality problems.
To provide customers with quality products, the Group actively promote the Sunshine Workshop program. The exhibition hall of Sunshine Workshop adop♊ts the method of physical and off-site construction of model rooms, which integrates the standard technologies and know-how of housing construction in one location and demonstrates the entire construction process from civil engineering to delivery. Each space is put under the microscope layer by layer to reflect the construction quality in complete transparency.
Longfor Group views customer satisfaction as its primary competitive advantage. We strictly regulate information security management, engage in responsible marketing, implement various measures to protect the health of our customers，and💜 provide comprehensive service protection for 🍌our customers.
Longfor Group views responsible marketing as an operational priority. Following the Responsible Marketing Policy of Longfor Group, we 🐲have articulated a sound responsible marketing system. We require all marketing team members to sign the Marketing Red Line Behavior Commitment to regulate marketing behavior.
The Group firmly believes that marketing information transparency is an essential principle of responsible marketing. We emphasize information transparency at all stages of real estate sales. We have developed internal systems such as the Longfor Group Customer End Publicity Management System to regulate how the Group disseminates information and protect the customers' right to know.
In 2023, we updated the content of the Marketing Red Line Behavior Commitment, adding ten new behavioral constraints to strengthen employee management concerning business ethics, encompassing sales compliance, related party transactions, a﷽nd ethical conduct. Furthermore, the Group expanded the Marketing Alert Book library to 37 items to assist employees in regulating their behavior more effectively.
We have adopted a combination of regular and special supervision. We conduct marketing risk self-inspection and inspection with authorization at the headquarters, region, and city levels. We inspect marketing risks regularly, covering the audit of promotional materials, verbal co🍷mmitment risks, delivery standards, and quality risks, formulate appropri🅠ate responses, and monitor the resolution of problems. Simultaneously, we conduct special audits of responsible marketing and self-correct marketing inconsistencies. In 2023, a total of 521 business self-inspections were completed across the Group, of which 62 were completed by the Group and 459 were completed by regional companies, with a correction rate of 100%.
To ensure that the regional companies standardize the implementation of the Group's responsible marketing requirements, we have established a mystery client inspection mechanism to examine the quality and risk control of marketing through both open and secret visits. To improve project experience and customer service awareness in all aspects, we concentrated on inspecting customer experience, improper promises, and customer data leakage.
Longfor Group offers a variety of responsible marketing training programs to promote employees' commitment to ethical marketing practices during their work and service. These training courses cater to marketing staff at different levels and are delivered through both online and offline platforms. In 2023, the Company conducted several responsible marketing training sessions such as the "Channel Training Camp", "Outbound Call Speech Training", and "New Risk Control Employee Training". A total of 75 regional risk control training sessions were completed, with a participation of 6,289 employees.
Highly valuing customer privacy security and data protection, Longfor Group abides by the Data Security Law of the People's Republic of China, the Personal Information Protection Law of the People's Republic of China, the Personal Information Security Specification (GB/T35273-2020), and other pertinent laws, regulations, and standards. We have formulated the Group Data Security Management System, the Group Staff Information Security Code of Conduct, and other systems, which are being implemented to enhance internal information security management continuously. Longfor Group prioritizes multiple system and product level measures to protect customer privacy information. We ensure information security by requiring customers to sign privacy protection clauses. In addition, we require privacy-related complaints to be processed and responded to within 15 days， ensuring all applicable business rules are modified in response to these raised issues. In 2023, the Group did not experience any incidents of customer data leakage.
The Group has formulated several customer complaint management measures, including Longfor Major Group Lawsuits and Major Complaints Management Measures, Longfor Property Management Complaint Management Procedures, Longfor Guidelines for Handling Commercial Real Estate Complaints, Real Estate Headquarters Customer Complaint Management System, and Longfor Goyoo Crisis Management Guideline, to address customer demands actively. We have opened many complaint channels, including the U Xiangjia account, 400 service quality supervision hotline, the Group's official website, reporting email, and the Longfor U Xiangjia App, to improve customer complaints' convenience and ensure that customers receive timely responses.
We attach great importance to customer satisfaction and have formulated internal systems such as Customer Satisfaction Management System and Longfor Group Customer Satisfaction Fund Management Implementation Measures. We view the customer satisfaction survey as essential for the Group to identify issues. We've opened several front-end online feedback channels, such as the U Xiangjia App, WeChat service account, hotline, and SMS, to collect customer evaluation data promptly so that we can initiate improvement measures immediately.
In 2022, the Company revised the satisfaction assessment standards further and added mechanisms such as complaint handling satisfaction assessment, customer value grading weighting, and commercial contact assessment to stimulate the subjective initiative of the team through performance assessment so that they can continuously improve service quality.In 2023, the Group's overall satisfaction reached 91.2%, an increase of 1.2% from the previous year, and maintained a long-term upward trend.
91.2%
Two rounds of process evaluation per year
2 + X inspection, where 2 covers quality and safety process a🔴ssessment and delivery assessment, while X is a special inspecti💯on
Monthly engineering inspectio𒉰n of regional company engineering functions to achieve full monthly cover🍬age and enhance project team quality awareness
Weekly project quality risk inspectio﷽n to daily check the quality of healthy processes
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