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Real Estate News and Advice |
December 1, 2008 |
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Don't Push Old Technology, Say Some Lockbox Customers
by Blanche Evans
The debate over Supra's offerings continue as Realtors and trainers fire back that the company's new offerings are hardly state of the art. While Supra maintains that it has a new key that will work with older hardware, the new eKEY upgrade offers the most protection to homeowners, but will require new lockboxes with infrared capabilities. The company says it is offering two options so as to give all associations time to adopt the upgrades at their own rates. According to Supra CEO Greg Burge, this is in partial answer to some associations who are continuing to bill their members for lockbox fees long after their systems have been purchased as a continuing revenue stream, but under current service contracts, obligate Supra to continue support with little revenue and no means to upgrade security for homeowners. Harvey Huffman, current chairman of the North Shore-Barrington Association of Realtors in Northbrook, Illinois, says that despite Supra's protests, his is not one of the associations that is trying to extend service contracts past original equipment deadlines. "When we introduced the original keypad cards, the Association provided them free to our agents, so the great majority have no fees whatsoever for a product that works just fine," explains Huffman. "Further we subsidize the "Kim" system which provides a monthly update code by phone for the keypads; no charge to our agents. In fact, most everything that Supra offers in their new product is already available now, and without a new monthly subscription fee. We sell lockboxes to those who need them and cards to new agents coming into the business. "The main reason we were told by Supra that they needed to make a change was the high cost/limited availability of the chip that they use in the current digital lockbox. They have told us that they will no longer make the box, and then at the show they said they will continue to make the box. Which way is it?" Huffman says that the new system is overpriced and features technology that is already available. "The e-Key Palm device is a bloated overpriced system which features technology that has been available to us for some time. Showing information from the boxes? We have it now (and at my office front desk as well). Downloadable MLS information? We have it now-our MLS downloads through Lightning 20000 to Pocket Real Estate into a Palm device. If you currently own a Palm, Handspring or other device utilizing a Palm OS. why would you want to trash all that to be gouged by Supra w/the e-Key? As far as the new keys providing instant showing data, etc., through the cradle...all of that is predicated on a networked solution where every agent is assumed to update the data in the system daily. Finally, Supra doesn't even have the new generation lockbox (infrared) in production, and doesn't promise first deliveries until April 2002. Their pitch has been for us to convert to the new d-Key keypad or e-Key Palm, both of which will continue to open the existing lockboxes and wait on good faith for them to develop and produce the new infrared lockbox - all before the existing contracts are fulfilled, clearly to assign those contracts to their bank and set up an income stream. "They may or may not be a monopoly, but for sure, they have the only game in town and are trying to take advantage of that position," says Hoffman. Technology trainer Matthew Ferrara says the lock boxes only work with PDAs that are three years old, non-memory-expandable and black-and-white, with proprietary cradles and clamshells. "Ah, to look like Mr Spock, while selling real estate," he says. "And when I hear that they want to lock boards into long-term payment schemes for this ancient stuff, I just cannot pick my jaw up off the floor." "Today's PDAs offer color, wireless and 16MB standard features; more than 1/3 of the market is now using the far superior Pocket OS products, with handwriting recognition, a real Internet browser and color screens that rival my laptop - not to mention using all of my current PCMCIA devices (wireless lan, even a one GB Harddrive for my Compaq IPAQ)...running real WORD and a full browser to surf the Internet. Like Hoffman, Ferrara doesn't like the proprietary cradle needed to download MLS data and report where the "key" has been that day. "What's with that? A serial cradle?" he scoffs. "My laptop did not even come with a serial port -- that's ancient legacy technology." Realtor Karl von Loewe agrees. "Lockboxes with three-year old PDAs? In my MLS, only 18% of the members avail themselves of this out-of-date technology a year after its introduction to the membership. The rest use d-keys, and many find the chore of putting the keys in a cradle more than once a week or so too burdensome, which slows progress to a glacial pace. It took ten days for a showing to appear on my d-key because the agent couldn't be bothered. And then we have those who use combination lockboxes, because they fear that their listing might be inaccessible to agents in a neighboring MLS who don't invest in themselves, or feel that they just can't afford technology that would secure their $700,000 listing from those who know that SPI opens probably 90 percent of the combo boxes around. In fact, some agents even put the combination in the remarks system of their listing - for the public, yet." According to both Ferrara and von Loewe, much of the problem lies with members who kick and scream about adopting new technologies. "Some fight it every step of the way," says von Loewe. "We just got Internet MLS in October, and one Realtor is complaining that it isn't 100 percent compatible with her Macintosh. Another group wants to form a class action suit because everything wasn't working perfectly the first month." Says Ferrara, "So why do Realtors keep getting outdated technology pushed on them? Because the Realtors volunteering on most MLS committees don't get it. Anyone who is paying upwards of $300 per year to "download" their MLS data into a PDA using a serial cradle, which has to dial into the systems in "sequence" like some ancient MLS distribution system is going backward, not forward. The idea that we'd be locked into the VX is silly - if you cannot open the lockboxes by infrared which was built into the original Palm units - like the IIIs and older, then why, oh why, would you ever go through the process of manufacturing clam-shell add-ons, for a unit that is non-expandable? In other words, Supra failed to look at the standard feature that was there - the IrDa port - and instead opted for older technology." Ferrara continues, "How about this irony? You go buy a super-thin, super light, super cool looking Palm VX. Then you add a Supra clam-shell and you have a super-bulky device that is too large to fit into the average woman's handbag." "If Sally CyberExpert goes into Staples today, she's coming out with a new Palm M505 or Handspring Prism (with 16 MB RAM standard) or even a Compaq IPAQ which has the best screen and runs real programs like Word and Outlook - she's not coming out with a ready-to-be-discontinued Palm Vx." He says. "But if she takes that home and wants to connect it to her "state-of-the-art" MLS, she cannot, because her MLS failed her by not offering a generic software option to do this, and her Board failed her by committing to a multi-year contract with someone who's selling overstock from 1999." "Now compare the Supra strategy to some states, like New Hampshire, where their MLS has a simple software product that costs under $200 one time, and can be loaded on any PDA of any style and can download MLS data with one click. They have had downloaded data on color units for MONTHS now - and they use Handspring, Palm, Handera - new, old, wireless models - whatever the agent wants. That's real choice at a sensible choice. And the Realtors seem to be doing just fine using ordinary keys to get into properties." "The MLS should (and in some places it has) make downloadability a selling point of their service and part of the minimum offering for the sometimes outrageous prices they are charging," concludes Ferrara. "In addition, they shouldn't sign any technology contract that obligates them or their members for more than one year. That keeps competition healthy and allows more freedom of choice." Published: November 15, 2001 Use of this article without permission is a violation of federal copyright laws. Related Articles:
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