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Real Estate News And Advice
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February 12, 2012
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Response To: |
Is Dot-com Discounting Dead?
(Blanche Evans - 06/12/2001)
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Companies Dies - Concepts Thrive
Posted By: insider_truth - 06/12/2001 10:29 AM
The companies that did not make it in the "Dot Com" landscape did so because of many factors, none of which had anything to do with the business models at hand. Any successful business, regardless of the model, needs to be focused on revenues and profit. The model needs to shift in that direction at every turn. Most of the companies like E-Home bit the dust because they were trying to apply methods of branding, distribution and mindshare that were flawed. Had they applied some basic business theory to what they were trying to accomplish, they would still be around.
Hats off to Russell Capper and the rest of the gang that are trying taking a common sense approach to the market, give the consumers what they want. Consumers are driving this change and no matter how powerful a lobby, how much money is in a pac account, how many insider deals take place, the consumer will eventually win, they are being educated and have access to resources, (Russer calls it the "Internet empowered consumer") Which is just consultant babble for the fact that as a group, the consumers wield all of the power and they will eventually crush any company or business model that extracts more in cash value than is deserving. IE 6% to 7% of transaction that was made simple by an educated consumer prepared to make their lives easier by taking the control of the transaction into their own hands. Ask any title company how much business comes through their branches without Realtor participation. I have heard it's in the 30% range and climbing fast. Reason to pause and think about a hybrid business model like E-Realty, Zip and YHD.
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