What does differentiate our positionings is that we actually pay both portals, being REA and Domain to subscribe to their online businesses.

I monitor each and every enquiry for both rentals and sales, that either portal delievers on a daily basis to our business.

This allows me to make an educated decision based on the sole results that the portals that we pay for deliver.

No need for the polygraph as my inbox delivers the knowledge that I pay for and require.

Cheers

My interest REA is based on this organisation that started out of a garage in Doncaster East from virtually nothing, was floated by Maquarie, almost went under (no thanks to Andrew Barnes, an executive director at Maquarie and Chairman of REA), had various predators circling and has since restructured it self to go on and become the dominant online real estate media company in Australia and is looking to repeat this performance in overseas markets, which I have no doubt that they will. All in the space of 10 years and with a market cap of $700 mill. Showing little or no arrogance along the way. This is a good story, so let’s give credit where credit is due.

As far as my knowledge of Domain, there is a lot less publicly available information, due to the fact that it is diluted within the Fairfax F2 business model and accounts. One thing that I do know about Fairfax is that they must be kicking themselves for not buying REA back in 2000.

Fin Review, 26 Sept 2000,
Article Headline – “Way clear for Fairfax on real-estate site”.
….The rejection (by PropertyPage, aka HomeHound) comes as a major blow………However, the Melbourne based company (REA) is back on the campaign trail and is rumored to be in negotiations with Fairfax……If the deal does eventuate with Fairfax, it would extend the reach of the media giant’s internet property offering……

The information regarding REA hit rates has posted on the REA blog over the weekend http://blogs.realestate.com.au/ceocorner/2007/02/68_million_ubs_to_the_rea_grou.html. It is available to everyone. The publicly listed company excels at keeping the market (and it

My intrigue is based on my curiousity that you have so much knowledge on what is happening at REA, yet very little knowledge on what is happening at Domain. As you constantly state REA results !! For the record the more successful that REA become – the better it serves our real estate business. And or justifies the monies we pay them each month.

Possibly, I am reading between the lines – just that you appear to be a REA encylopaedia on their results.

And I also remember that you did have their website entered on your earlier posts ?

I’ve already answered this question (http://www.business2.com.au/2006/12/04/can-packer-owned-myhome-take-a-bite/) Don’t you remember………..?

Thank you for your kind words. However, attacking me is no problem, I encourage constructive debate about what I write and never stop people from criticising , myself or other bloggers. (yes whilst we are at it, we are all now bloggers)
Peter

PS: Brandy?

My word Peter this post has it all.

Scandalous entries asserting points and power over one another, yet few constructed arguments. However thank goodness for Robert and yourself.

I did giggle upon reading Jacks comments. Raised an eyebrow when Calvin entered the frame. However Lewis and Craig from ITORIP really take the cake.

Lewis, quite simply, the game is over. You have had your shot at publicity, and you were not up for the challenge. Aiming to be able to manage 500 listings is woeful. I myself had 280 sales listings on my books just two years ago.

Robert I suggest that you employ some kind of Net Nanny system to block out the children. Sam, for some reason or another, and despite stating that he only attacks when attacked, is making far too many preemptive strikes.

I think that everyone contributing to this forum needs to remember the wonderful thing which Peter is affording us. Have your opinions about the industry, but never attack your host.

Sam, Lewis and all of the staff at ITORIP, remember your manners. Always remember to put your best foot forward, as people make business decisions on how we appear.

Now Robert, I am counting on you to rise above the ‘one up man ship’. I was just a little disappointed to see your retort to Jack (however justified).

My thoughts on the ‘thread’ (another term my nephew introduced to me)… Peter you have it totally spot on.

I want results not false promises. I am not an early adopter, I am a cautious follower who makes sure my marketing is spot on.

I control where my listings appear, and at this stage in life I have heard the phrase “Support the Site Supports You” far too many times.

(A bit disjointed tonight – either too much brandy or not enough)

E

Given you acute knowledge of REA, please advise that you are a devoted employee or, a self confessed tragic of their overseas acquisitions ??

Tom S >>

“REA have just announced a 60% growth in hits for all of their sites combined (70% in the UK). Wait till they announce their prelim results this month. News Corp will be rubbing their hands over their original $10 mill investment, and drawing up a plan of how to get another 32% so that they can go into compulsory acquisition. ”

So Tommy, just where is your obvious founded knowledge of REA based ??

Even more interesting from my perspective is that the two (and only) dominant portals have the spinal support of newspapers, that being REA and Domain. Whilst there is persausive opinion that this will change over time ( I don’t agree) none of the free portals have dollars to promote themselves.

This mentality over time will change, however it is very clear that unless you run a successful newspaper associated relationship with online ie Sydney Morning Herald (Fairfax) and Cumberland (News). The rest will achieve little to no online traffic.

I agree that Google, Yahoo and Microsoft will re-define property portals in Australia. However, that does not stop Fairfax from packaging their print/online relationships as they are the only business that has 100 per cent ownership of both businesses.

News have tried miserably for years to crack the Sydney property market with print, and failed with the Telegraph on a Saturday to combat Saturday Domain.

Community newspapers (News) are a totally different story.

My point is that they are (despite being a 7.5 % shareholder) of Fairfax in total competition with them.

Fairfax, have total ownership of their print and online businesses. News don’t !!

Real estate is a lucrative business – it just depends on how much of these “rivers of gold” a big business wants to share !!

Need I say more ?

I agree with everything you have said -except last line. THe Internet is still very very very young. Leaders such as REA have to now show that they care about agents by continuing to value add for the very people that make them a success – agents, not simply value add for their shareholders.

I think there can be a balance, but as I have said, when heavyweights such as Google get involved in real estate (which they will) you can be sure that the current leaders in this space will go through a major shake-up.

Google will do it for FREE for agents and if they do it, Yahoo, and Microsoft will soon follow.

This will mean leaders such as REA and Domain will have no choice but to lift their value to agents and drop prices significantly.

Google, Yahoo and Microsoft are the first point of call for just about everyone, from turning on their PC’s top Searching for just about anything.

REA have just announced a 60% growth in hits for all of their sites combined (70% in the UK). Wait till they announce their prelim results this month. News Corp will be rubbing their hands over their original $10 mill investment, and drawing up a plan of how to get another 32% so that they can go into compulsory acquisition.

The race is over for this market.

I did read this week that the REIV had bought realestateview.com.au. 5 years too late. Everybody needs to move on and start developing partnerships with the industry leader/s in order to get some reasonable return on investment.