| June 21, 1999 |
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Many MLS and associations could have up to 2-3 years remaining on their legacy system contracts - making it difficult to make the transition to the Web at this present time. This is the first legitimate excuse and the one that could cause the most political problems. By political, I mean someone has to stand up and tell the board, association, or MLS "we made a mistake". That is tough to do, but it has been done over and over throughout this country in the last few years. The Internet took a lot of people (very smart people) by surprise. The MLS systems now in place are known as proprietary systems. This means users must somehow connect their computer to the vendor's server in order to access the data residing on that server. Proprietary access systems require users to dial (or otherwise connect) directly into the vendor's system and use the vendors software to retrieve the data. There is no other way to "get at" the data. Open systems allow access via the Internet. A user can use any ISP to connect to the Internet and thus connect to the MLS server and retrieve the data using the Browser (i.e. - anywhere, any time, any PC access). AT&T, IBM, Lotus, and Microsoft all invested large sums of money on proprietary systems, only to abandon the ideas after spending hundreds of millions. RIN tried to create a proprietary system. Need any more examples? These companies took their lumps and moved on. These proprietary systems are outdated, inefficient, and doomed to failure. Just ask the Big Boys. However, there could be further justification for going to the Web. John Giaimo at HomeSeekers has developed a Web Based system called MLS 2000 which will soon be implemented and used by the SoCal MLS. Russ Bergeron, the General Manager of the SoCal MLS, has elected to run MLS 2000 parallel with their legacy system. As Russ explained, "By running the systems parallel, an agent can start using the Web version (MLS 2000) whenever they are ready and we can justify the cost by reducing our expenditures on dial up modems, which are extremely expensive" He also believes that the "ISPs (should) pay for the cost of access. That's what they're in the business for. We just want to deliver the data as quickly and as cheaply as possible and the Net is the way to do that." Game...Set...Match There can be no doubt that a Web based MLS system is the right thing to implement for the members - even though many of the members do not realize it. Lead or get out of the way! Every time there is a debate about MLSs taking their data to the Web someone always says "we don't want our customers seeing the MLS information." Although, this is a legitimate concern, it can be easily dismissed. MLSs make money by charging a monthly fee to the agents for access to their data. Obviously they will continue to charge these monthly fees when they go to a Web based system. Therefore, to continue charging a monthly fee, passwords will be assigned to all paying members. These passwords are a way to give access on the Web for a member and keep out those who are forbidden to get on the site. This password protected data access is very common. As a matter of fact, many if not most of the Fortune 500 companies have Intranets that only their employees can access on the Web. Some even have different levels of entry - all password protected. These Intranets include such information as inventory levels, customer pricing, customer history, accounts receivable, etc. They were designed to keep the customers out but supply the employees up to minute, easily accessible data. If Intranets are good enough for the Fortune 500 companies, they are good enough for the Realtor Associations and MLSs. This excuse is so primitive that I find it almost embarrassing to address. It is similar to blaming the need for having phone service, mobile phone service, or voice mail on being in the real estate business. These services are all necessities in many individuals' lives. The internet is no different. It has become a part of life for tens of millions of people. The agent may initially get an ISP because of their MLS, but they will soon find it will also become a part of their daily activities - far beyond accessing MLS information. Also, a Web-based MLS system should cost the agent much less per month and they will not have the cost of purchasing software. This excuse does not fly either. Never a day goes by that I don't hear "Many Agents Are Just Not Capable of Learning the Internet". This is maybe the number one excuse that is thrown out by the MLSs and associations for not putting their system on the Internet. Boy, this is just great - We have agents negotiating the single largest and most important investment the consumer will ever have, but they are not capable of pointing and clicking like almost any fourth grader in the country... Please. What these MLSs and associations are forgetting, ignoring, or just hiding is that they expect the agent to be smart enough to learn a Legacy System with its own specific software code. The agent also has to be smart enough to install a multi disk program and configure a dial up connection and do this every time upgrades are made to the MLS system. (on a Web based system upgrades are made to each member automatically). According to The Industry Standard, over 550,000 new consumers, are "getting on the net" each month. That is over 18,000 per day - 750 per hour. With this many people coming on board, I surely think the agents can find a way. This excuse just does not fly.
What if you went to see a comedian and he told only simple jokes so as make sure the person in the audience with the least intellect got it? Or what if you went to see a thriller movie and the writer made the plot so simple that everyone could understand, even your seven year old? Or what if they just did not sell VCRs because some people could never learn to program them? Get the point? Currently there are many MLSs and REALTOR® associations that are not making the conversion to the Web because "We don't think the Agents are ready for the Internet". What they really mean is they think the Agents are either too stubborn, cheap, dumb, or old. Let's see...... We have 6 million consumers going to Realtor.com each month, Ebay has over 250,000 new items added to its auction site each day (many of these people are selling Beanie Babies!), millions are completing stock trades on the Web, and Amazon sells thousands of books each day. However, "We don't think the Agents are ready for the Internet". I must say, this does not speak well for our profession. The leaders of the MLSs and Realtor associations are playing down to these agents and therefore impeding the progress for many others. The benefits of a Web based MLS system are overwhelming and should be pushed to all real estate agents ASAP. The agents could have instant access to their MLS through any Internet connection, Instant updating, e-mail results to consumers, no software to install, and never pay for upgrades. What is not to like? Of course, I have heard the other arguments against putting the MLS data on the Web.
This week, I'm on a mission to take on these objections one by one, and prove that the Web is the only logical way for agents to receive their MLS data.
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