Harriet Harman says "grave cause for concern" for the housing market, but the government is "taking action"
We ask, who is to blame? The government, the banks, estate agents, George Bush, or someone else. Please vote for one, a few or all and tell us if you think someone else is to blame.
Just to expand upon the heading, Harriet Harman was reported by the BBC when she was filling in for the PM recently (he was hiding somewhere I suspect). She painted the picture that all was not lost and it was not as bad as the 1990s.
The opposition said not enough was being done in their house purchase scheme and Harman replied that ministers had asked the Bank of England to provide £50bn to help the banks and had reduced stamp duty. Translated into standard non political language this means the government has done absolutely nothing!
Tuesday, 15 July 2008
Monday, 14 July 2008
Online marketing spend
FOREM posts on a recent Yahoo! study regarding Internet influences, home buyers and sellers (house in the UK is actually the more used search term), specifically how the Internet influences consumers when it comes to buying a house and selecting an estate agent.
FOREM and the USA of course mention there is no great surprise in the results and we would agree, but this needs to mentioned in the UK again and again: Yahoo found that the Internet plays a ‘PIVOTAL’ role in the selection process and was ‘CENTRAL’ in helping consumers identify agents.
There is no link to the actual study, but the reported results make for interested reading (taken from FOREM). See point 3 especially!!
- Home buyers and sellers consider approximately two agents on average before making a final decision.
- The Internet impacts consumer trust. Forty percent of respondents credited a site in increasing their trust in the agent.
- 74 percent of people who accessed an agent Web site got there with the help of a search engine.
- The online research process is quick and intense: consumers spent an average of 12 hours online researching agents and 75 percent selected an agent within one week of starting their search.
- 45 percent of respondents used the Internet to learn about agents they didn’t know existed.
- 41 percent discovered special deals and promotions offered from an agent through the Internet.
Agents in this country ought to be looking at how these findings impact upon their marketing spend. Forget for a moment that many agents are still at stage one of online developing and just consider the basic finding. Near on 75% of people first turn to the Internet (I would say it is more than this, but I would) to look for a property, so where do you spend your marketing budget?!! Yes, online!! Or at the very least spend proportionally to marry up with your audience. It is not rocket science. Your customer is online!!
FOREM and the USA of course mention there is no great surprise in the results and we would agree, but this needs to mentioned in the UK again and again: Yahoo found that the Internet plays a ‘PIVOTAL’ role in the selection process and was ‘CENTRAL’ in helping consumers identify agents.
There is no link to the actual study, but the reported results make for interested reading (taken from FOREM). See point 3 especially!!
- Home buyers and sellers consider approximately two agents on average before making a final decision.
- The Internet impacts consumer trust. Forty percent of respondents credited a site in increasing their trust in the agent.
- 74 percent of people who accessed an agent Web site got there with the help of a search engine.
- The online research process is quick and intense: consumers spent an average of 12 hours online researching agents and 75 percent selected an agent within one week of starting their search.
- 45 percent of respondents used the Internet to learn about agents they didn’t know existed.
- 41 percent discovered special deals and promotions offered from an agent through the Internet.
Agents in this country ought to be looking at how these findings impact upon their marketing spend. Forget for a moment that many agents are still at stage one of online developing and just consider the basic finding. Near on 75% of people first turn to the Internet (I would say it is more than this, but I would) to look for a property, so where do you spend your marketing budget?!! Yes, online!! Or at the very least spend proportionally to marry up with your audience. It is not rocket science. Your customer is online!!
Thursday, 10 July 2008
Rightmove put up member prices again!
The Negotiator email alert informed me yesterday that Rightmove is putting up is prices for new lettings members by 30% odd.
Lettings are arguably more buoyant and no doubt Rightmove has spotted an increase in residential agents moving into the lettings game or upping their involvement within it.
Rightmove are quoted as saying ‘…We haven't got customers over a barrel; we have created the biggest marketplace for lettings. It is very tough for agents but frankly most will cut back on advertising in the papers…’
I am not sure how to take this comment. On the one hand it smacks of arrogance and on the other hand it is woefully naive. Many agents stopped offline marketing some time ago and to arrogantly assume that agents will cut back on other spending just to be on Rightmove is way off the mark. As we have mentioned many times before, agents are now looking very much at their cost per lead and will look at this price increase from the standpoint of their overall online marketing spend.
Notwithstanding the free options available, agents I know would rather spend their precious online marketing budgets on performance based models and would see the rightmove increase as merely an increase in their base line cost per lead, which is already too high.
Frankly, this is shameful and misunderstands the future of the market by a mile. Indeed, if Rightmove were lucky enough to sign 100 new agents in the next six months (which I doubt), is this price increase really going to effect their bottom line and/or their share price, I don’t think so. They will lose more in poor PR, will put off the very few agents who may have been thinking of signing up and may even be the final straw for some of the many who are considering leaving.
Lettings are arguably more buoyant and no doubt Rightmove has spotted an increase in residential agents moving into the lettings game or upping their involvement within it.
Rightmove are quoted as saying ‘…We haven't got customers over a barrel; we have created the biggest marketplace for lettings. It is very tough for agents but frankly most will cut back on advertising in the papers…’
I am not sure how to take this comment. On the one hand it smacks of arrogance and on the other hand it is woefully naive. Many agents stopped offline marketing some time ago and to arrogantly assume that agents will cut back on other spending just to be on Rightmove is way off the mark. As we have mentioned many times before, agents are now looking very much at their cost per lead and will look at this price increase from the standpoint of their overall online marketing spend.
Notwithstanding the free options available, agents I know would rather spend their precious online marketing budgets on performance based models and would see the rightmove increase as merely an increase in their base line cost per lead, which is already too high.
Frankly, this is shameful and misunderstands the future of the market by a mile. Indeed, if Rightmove were lucky enough to sign 100 new agents in the next six months (which I doubt), is this price increase really going to effect their bottom line and/or their share price, I don’t think so. They will lose more in poor PR, will put off the very few agents who may have been thinking of signing up and may even be the final straw for some of the many who are considering leaving.
Sunday, 6 July 2008
Zoomf crowned Champions
In a thrilling Championship final, Globrix went head to head with Zoomf. Globrix were well ahead until an injury time bonanza from Zoomf that stunned the leaders and allowed Zoomf to take the Championship with 35% of the vote. Both were well ahead of the field with FindaProperty and PropertyFinder fighting a very close match for third place. With only one vote in it PropertyFinder secured third place. Rightmove got their formation wrong, left their substitutions too late and finished with 4% followed by the others.
Full results:
Dothomes - 1 vote 0%
Findaproperty - 26 votes 13%
Globrix - 50 votes 26%
Nestoria - 5 votes 2%
PropertyFinder - 27 votes 27%
Rightmove - 9 votes 4%
Zoomf - 67 votes 35%
Other - 3 votes 1%
Total votes 188
Suggestions for next month's poll. Perhaps a semi-serious one????
Full results:
Dothomes - 1 vote 0%
Findaproperty - 26 votes 13%
Globrix - 50 votes 26%
Nestoria - 5 votes 2%
PropertyFinder - 27 votes 27%
Rightmove - 9 votes 4%
Zoomf - 67 votes 35%
Other - 3 votes 1%
Total votes 188
Suggestions for next month's poll. Perhaps a semi-serious one????
Wednesday, 2 July 2008
Portal championships
Only two days left to vote. PropertyFinder and FindaProperty.com appear to be going into extra time, but only for runners up spot to Globrix by the looks of it.
Still time to vote.
Still time to vote.
Asda Property Portal
I have just spotted a new property portal from Asda
I saw them advertising online along with a press release that states they are offering a ‘… combination of in-store display pods and an online property portal backed by the considerable weight of the ASDA brand..’.
Now I don’t doubt the weight of the Asda brand, but ‘in-store’ pods? Turning to the online property portal I was expecting to see a deal with one of the new portals or at least a feed from someone, but my first few searches produced this wonderful message:
‘sorry no matching properties, thousands loading over next few weeks’.
Good start!
I am not sure really what is going on here and why they are spending on online advertising when there is nothing to see? Perhaps this is all a Tesco/Spicerhaart stunt, who knows. I contacted Asda, but no feedback yet.
With reference to the private seller issue, it would appear that if, as an individual, I want to sell my home I pay the monthly charge to Asda, but then Asda put me in touch with an agent that will only charge 1% commission. Again, another marketing classic is the statement that you can advertise all your properties in-store and online for ‘less’ than £35 per week.
It is all a little vague and I want to see an in-store home pod, so the first person to send me a picture of the pod, in store, I will send them a bottle of champagne.
I saw them advertising online along with a press release that states they are offering a ‘… combination of in-store display pods and an online property portal backed by the considerable weight of the ASDA brand..’.
Now I don’t doubt the weight of the Asda brand, but ‘in-store’ pods? Turning to the online property portal I was expecting to see a deal with one of the new portals or at least a feed from someone, but my first few searches produced this wonderful message:
‘sorry no matching properties, thousands loading over next few weeks’.
Good start!
I am not sure really what is going on here and why they are spending on online advertising when there is nothing to see? Perhaps this is all a Tesco/Spicerhaart stunt, who knows. I contacted Asda, but no feedback yet.
With reference to the private seller issue, it would appear that if, as an individual, I want to sell my home I pay the monthly charge to Asda, but then Asda put me in touch with an agent that will only charge 1% commission. Again, another marketing classic is the statement that you can advertise all your properties in-store and online for ‘less’ than £35 per week.
It is all a little vague and I want to see an in-store home pod, so the first person to send me a picture of the pod, in store, I will send them a bottle of champagne.
Tuesday, 1 July 2008
Survive and Thrive
I have just read through a 20 page supplement called survive and thrive produced by the negotiator magazine.
This follows on from a conference held recently, which I didn't attend for two reasons: one, price, the other was the lack of speakers discussing online marketing and the like.
As the name would suggest, survive and thrive is all about guiding agents through the current market downturn. The strap line reads 'A comprehensive guide to help estate agents navigate their way through the current market downturn'. Having read through 20 odd pages of advice from different players in the industry I can find only four sentences about online marketing, search, websites and the online space. They call it new media and merely say buyers habits have changed. It makes you want to scream!!! Buyers habits have changed... of course they have, the whole world has changed. They would have got more from this conference if they had called it 'buyers habits have changed' and then analysed that.
Maybe I have missed a page or two, but I am shocked, saddened, angry, confused as I fail to understand how there can be no discussion whatsoever about the online space. People, there is no other space! Is it not as plain as a pikestaff? I am at a loss to understand how, for example, the commercial director of rightmove has nothing to say about online marketing (he may have done at the conference, but it is not in the supplement). Well, maybe I am not surprised given their ever spiralling share price and general treatment of agents.
Anyway, sorry for the rant, but I meet good agents on a daily basis who recognise where the future of the industry is heading and are looking to absorb advicea nd information like sponges. They are keen and someone needs to head up a conference that is affordable and on message for the agents of the future.
Incidentally, the online space only gets a mention in the a-z survival guide under 'N' for New Media and then four sentences. So here is my start of more useful a-z survival guide. Starting with 'A'
A is for analytics. Without analysis of your entire process you will never know what is going on. You need to measure performance and manage your cost per lead effectively. Understanding where customers are coming from, where they are going, what they are clicking on is fundamental to your future success in this market.
B to follow.
This follows on from a conference held recently, which I didn't attend for two reasons: one, price, the other was the lack of speakers discussing online marketing and the like.
As the name would suggest, survive and thrive is all about guiding agents through the current market downturn. The strap line reads 'A comprehensive guide to help estate agents navigate their way through the current market downturn'. Having read through 20 odd pages of advice from different players in the industry I can find only four sentences about online marketing, search, websites and the online space. They call it new media and merely say buyers habits have changed. It makes you want to scream!!! Buyers habits have changed... of course they have, the whole world has changed. They would have got more from this conference if they had called it 'buyers habits have changed' and then analysed that.
Maybe I have missed a page or two, but I am shocked, saddened, angry, confused as I fail to understand how there can be no discussion whatsoever about the online space. People, there is no other space! Is it not as plain as a pikestaff? I am at a loss to understand how, for example, the commercial director of rightmove has nothing to say about online marketing (he may have done at the conference, but it is not in the supplement). Well, maybe I am not surprised given their ever spiralling share price and general treatment of agents.
Anyway, sorry for the rant, but I meet good agents on a daily basis who recognise where the future of the industry is heading and are looking to absorb advicea nd information like sponges. They are keen and someone needs to head up a conference that is affordable and on message for the agents of the future.
Incidentally, the online space only gets a mention in the a-z survival guide under 'N' for New Media and then four sentences. So here is my start of more useful a-z survival guide. Starting with 'A'
A is for analytics. Without analysis of your entire process you will never know what is going on. You need to measure performance and manage your cost per lead effectively. Understanding where customers are coming from, where they are going, what they are clicking on is fundamental to your future success in this market.
B to follow.
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