| August 27, 2007 |
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Gone are the days when Realtor.com personnel spent more time defending the company's policies than improving its products. This is a new lean, mean fighting machine that's positioning itself to take back the strong lead the company once had in online presentation for listings. And that's not easy, considering Realtor.com and other lead generation sites are being bombarded with competition from new sites enticing agents to list their homes for free. Some companies are already feeling the heat and getting out of the kitchen. Realestate.com just announced it is exiting the subscription-based lead generation game. Parent company Lending Tree, which wanted to use brokers' listings as lead generators, expressed frustration to the Department of Justice that some MLS rules precluded their brokers from supplying broker-shared (IDX) listings to parent companies for distribution. Realtor.com had no such problem. MLSs provided data streams willingly to Realtor.com, making it the site with the most listings online. That fact alone has kept Realtor.com at the top of the traffic charts for years. But Realtor.com wasn't bulletproof. While the parent company Move.com has an invincible contract with the National Association of Realtors, where about 85 percent of homes for sale are under listing agreements, the agreement cut both ways. It required Realtor.com to promote Realtors' listings online free of charge and link the listings to the managing or owning broker's contact information. This meant that agents would have to "upgrade" to be found on their listings or leads generated from the listings would go to the broker. Most brokers responded by giving leads from agents' listings back to the listing agent, but others used the listings as an incentive. Since promoting free listings is expensive, Realtor.com's business model was based on advertising and selling listing enhancements to agents. Well, you can lead a horse to water, but you can't make it drink. While some agents would allow their listings to go online with no photos, others went all out -- virtual tours, multiple photos and more. These enhancements are allowed free of charge on some sites, but they're still part of the upgrade program at Realtor.com, so what the company is doing now is making the listings look so good, neither agents or consumers will want to go anywhere else. So far, it appears to be working. Realtor.com is back in the news as the number one place to find a dream home. eVOC Insights, a customer experience consulting firm, and RelevantView, a technology provider of Web-based research solutions, have released a report, "To Buy or Not To Buy - Finding Your Dream Home Online" that proclaims Relator.com as the #1 real estate website across key metrics including site traffic, brand recognition, property selection, search results, and home descriptions, said a release. The purpose of the report is to provide short-term home buyers with comparisons of online sites to "initiate the home buying process." The eVOC / RelevantView Real Estate Report compares "the customer experience and purchase decision process between leading online real estate sites including Realtor.com, RealEstate.com, Trulia.com, and Yahoo! Real Estate." Among the highlights of the report:
Those perceptions could change. Realtor.com is introducing five new features that deliver "fresh, dynamic and comprehensive information quickly and efficiently" to Realtors' enhanced listings.
"Eighty-four percent of today’s homebuyers say compelling photos and detailed property descriptions are the most important features to have when searching for a home online," says Realtor.com President, Errol Samuelson. "As the industry leader that understands what consumers want, we’re eager to offer Realtors the tools they need to showcase a listing so it stands out and attracts prospective buyers quickly and efficiently. Through these new features, consumers can find listings faster and have a better feel about a home before they reach an agent or broker, which we feel benefits everyone." |
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