I’m talking to you.

Yes, you.

The person who thinks you will start an Australian real estate portal that will shoot right past domain, dethrone realestate.com.au and become the new number one.

Or, maybe you’re an agent who for some reason (perhaps because you have to send them a check every month?) doesn’t like realestate.com.au and wishes the industry would start a portal as a realestate.com.au killer.

I have a message for you: you’re dreaming.

I tell you this because of a very interesting discussion that developed in the comments of Ryan’s excellent post on FarmBuy.com.au. I thought I’d pull out the topic and expand on it.

Face it. realestate.com.au is the dominant market leader in online real estate listings in Australia. It would be very hard to beat them at their own game. What’s more, you cannot expect to copy realestate.com.au and win without their help, in the form of massive, ongoing self-destructive behaviour. They are not likely to give you that help.

All those hopeful entrepreneurs trying to create a new website to knock realestate.com.au out of its top spot and take it for themselves are on a fool’s quest. That goes for everyone from domain.com.au and on down. Domain can aspire to a profitable second place. Smaller, later comers can aspire to make a living, maybe, but certainly not to kill the giant.

The plain truth is realestate.com.au is the leader and will be the leader in online real estate listings in Australia as long as there are online real estate listings in Australia. There have been instances in business history when a player with a dominance similar to realestate.com.au’s was displaced by a competitor, but not many.

I say this as someone who has worked at realestate.com.au and with other real estate related web businesses on three continents, and as an entrepreneur.But, if you think I am missing something here, please enlighten me in the comments.

How to Make Money

Tell them they're dreaming!

Instead of leadership, go for a niche and establish a strong brand as the first and best in that niche. Here are some niches that are already in play, with varying degrees of success:

• Farms: FarmBuy
• Rentals: Rent.com.au
• Regional: AllHomes
• Premium property: Million Plus
• Free listings: The Home Page
• Chinese buyers: Juwai.com (a client of mine)

If you can be content with a niche, you could possibly be profitable, or at least one day sell out at a profit. It will be hard, because the Australian market is so small, but it seems possible. A niche could also be an add-on to another real estate-related business, giving that other business strategic advantages — like domain.com.au does for Fairfax’s newspapers.

Still Dreaming?

If a niche is not enough for you, and you want to beat realestate.com.au, there is only one credible strategy. You must dominate a new niche. This new niche by definition cannot be dominated by realestate.com.au and must be able to grow big enough to one day eclipse realestate.com.au. The flaw in this strategy is that you have to be riding a wave of history for it to work for you. Those waves don’t come along often.

For an example, look at realestate.com.au’s own history. The major media businesses had print real estate classifieds locked up prior to the realestate.com.au’s rise. They were unassailable. Classifieds were so reliable and profitable that analysts called them “rivers of gold”.

Then, three friends in Melbourne registered the domain name realestate.com.au and began persuading skeptical real estate agents to put their listings online. They chose a real estate classifieds niche the big players had overlooked: online. And they made themselves the leader in that niche.

(It is true that News International has a stake in realestate.com.au today, but that only goes back to 1992, when Simon Baker in his wisdom convinced News to buy it. realestate.com.au was a pure, independent startup in the classic mold. I reckon if you did the numbers, you would find realestate.com.au has been a much more profitable investment for News Corp than myspace.)

Over time, little realestate.com.au grew and grew by riding the growth of the internet. realestate.com.au won online and rode the internet’s historic growth into the very backbone of our economy and culture. The big media companies still dominate print classifieds, but print is sliding into irrelevance.

As of today, realestate.com.au has reported record revenue for six consecutive half-years, while the newspapers are struggling.

The lesson to draw from this history is simple. real estate portals should not take on the established leader head-on. Find a new niche and become the leader in that niche. You can make a living, and you may even get lucky enough to ride a historic trend into great riches.

Although the Gold Coast is not a capital city it is still the 6th largest city in Australia. The Gold Coast Bulletin is a daily News Ltd Newspaper that services the city. The weekend real estate section is the cash cow for the Bulletin and every saturday it dwarfs the rest of the paper combined. At its peak it can be close to an inch thick. This real estate section is cobranded Realestate.com.au in print just like many other News Ltd papers around the country.

Unlike Brisbane, Sydney and Melbourne we do not have a network of a regional or community based newspapers who focus on real estate providing pressure on the Gold Coast Bulletin. The southern end of the Gold Coast does have an independent in there providing competition but in the central and Northern parts of the Gold Coast the community newspapers are owned and operated by the Gold Coast Bulletin themselves. As you can imagine they provide virtually no market pressure to their parent company.

The Gold Coast Bulletin use to operate the website www.gcbulletin.com.au but in recent times they acquired the premium domain www.goldcoast.com.au which they have setup as portal. News features heavily on the site as you would imagine but there is also a substantial amount of other content such as locality guides, tourist information, accommodation bookings and much much more. The www.goldcoast.com.au website is clearly labelled “Copyright 2009 News Limited” and branded with the News Digital Media logo.

The portal also features a suburb profile on every Gold Coast suburb complete with suburb description, demographic information and property statistics. Included on the pages is a Google Real Map displaying properties for sale on Google Real Estate. There is absolutley no mention of the RealEstate.com.au connection at all on these pages. In fact links on the page to “All Properties For Sale” are linked to SuburbView.

The lack of Realestate.com.au branding on the site is really confusing considering their alliance and the fact that News Limited is a major shareholder in REA. Google Real Estate Maps on a News Limited website is a perfect example of how Google is making inroads into the industry because the top two portals are stuck in their old ways of doing business.

The web designers naturally wanted to add rich content for their website showing off property for sale in each suburb of the Gold Coast and realestate.com.au (or domain.com.au for that matter) dont offer any tools, widgets or api’s for websites to integrate their data, even sister websites in the same stable. But Google does so rather than have nothing they chose to use Google!

Gold Coast subscribers to Realestate.com.au who dont have their properties on Google Real Estate should be more than dissappointed.

Red faces all round I bet!

This again highlights the necessity for the top 2 portals to stop being so myopic and provide widgets and api’s for other websites to use which is something that we talked about a lot over the years here at Business 2.  Real Estate Agents, community websites and other local businesses would appreciate the opportunity to integrate property information into their website using these sort of tools. As far as I can see everyone is a winner in this sort of relationship which is why it is has been so popular with a range of websites including US real estate portals like Trulia and Zillow.  Apparently some News Ltd web designers would appreciate the opportunity as well!

I have been spending the last few weeks researching my second article on ‘newspapers and the online world‘ but will not release this until next week now, as this issue deserves an article on its own. Lets have a little look at what this is all about.

The Murdoch Aproach
On a cool August night at the Edinburgh TV festival James Murdoch launched a blistering attack on the BBC, describing their ambitions as “chilling” and accused them of mounting a “land grab” in a media market that has been decimated by the US recession and downturn in classifieds and revenue.

James basically thinks that the BBC should be scrapped, or at least held to account and its role diminished. In the UK the BBC is huge and is probably the most popular network in the country as it spews out Television, Radio classics with gay abandon. It also is the voice of the news across the country. Each taxpayer in the UK pays about 180 pounds a year to fund the BBC and from facts and figures it very patriotic about the BBC, much as we would be here in Australia.

Rupert on the other hand wants Google to pay a fee for any pages of content indexed not only on its news site but also on its news.google.com.au website and has also sounded a warning to Yahoo, MSN and other news aggregators. Maybe MSN and Yahoo will come running as they are being left behind by Google, but for the majority of users on the Internet and the majority of articles and Tweets, News Ltd has few friends.

This attack actually shows how little Rupert actually understands about the Internet and is quite embarrassing for him.

“The philistine phase of the digital age is almost over,” he said. “The aggregators and plagiarists will soon have to pay a price for the co-opting of our content. But if we do not take advantage of the current movement toward paid-for content, it will be the content creators, the people in this hall, who will pay the ultimate price, and the content kleptomaniacs will triumph.” Rupert Murdoch said.

Fast Company’s Kit Eaton has a great little article that throws a pretty decent punch into the loins of Ruperts argument.

Despite Murdoch’s rants about paid content, it’s widely known that the subscription pay walls at his own Wall Street Journal site are easily circumvented if you search for the headline…using Google.

And Google broadcasts (for all to see) methods by which you can prevent its crawler bots indexing your page–hence keeping its link off Google’s indexed searches, and (in Murdoch’s mind) keeping Google’s thieving hands off his lovely expensively-created news content.

Murdoch’s newspaper’s Web page code doesn’t block Google’s robot.

Rupert hopes that every newspaper will follow his lead and start charging for content – in effect making it harder for the public to get to the news unless they pay for it, but it cannot do this if the BBC and ABC spit it out for free.

Rupert’s problem is – he has not got too many friends in his own market and one thing is for sure – if there is a new way, they will not be jumping on a New Ltd owned solution anytime soon.

Senate Hearings
How strange that the Liberal Party are already moving into the commercial corner with Senator Ian McDonald (LNP) questioning Mark Scott on remuneration for ABC TV personalities. Basically Ian McDonald thinks that all ABC should be public, after all, the public do find it!

I can tell you my position on this and that is I agree 100% with Senator McDonald. I am of the opinion that anytime a single cent of the public’s money is spent it should be available online and we should know exactly where it is being spent. If you want to make money from the public, this is the price you pay for the generosity of the public purse.

However Senator McDonald and other politicians should take notice, how about we extend this to local, state and federal government deals? Yes, no more commercial in confidence, secret public/private deals behind close doors. If you use our money or profit from it in any way, by law, we should know where every last cent of it goes, at the time a deal is inked!

Videos

James Murdoch Speech

Lateline
ABC news

Articles

Rupert Murdoch Says Google Is Stealing His Content. So Why Doesn’t He Stop Them?
Scott to hit back on criticism of ABC’s internet space
Google News Search
List of News Aggregator Websites and Software

Over to you

How many of us would give up the ABC News, Radio or Television to let the commercial networks run the show? Would we see the same level of quality?

In case you have not read my some previous articles about current day media moguls, I will repeat it here for you. Having a market share or a semi monopoly is a privilege not a right and this privilege/right is not exclusive, if you cannot adapt simply move on!

Rant One – Public Broadcasting

Rupert rolled out his son James on centre stage to deliver the MacTaggart lecture at the Edinburgh International Television Festival and launched into the BBC with an argument whose motives were was so transparent that the majority of comment outside his own networks were a collective ‘rolling of the eyes’ .

The BBC in the UK and the ABC in Australia are pretty much the only news sources (aside from perhaps SBS) that are free from commercial indulgences and interference, and for the majority of the populations of both countries, an indispensable part of our lives.

James other argument was that the private sector left to their own devices would be more innovative as the BBC. Murdoch added that the BBC stifled innovation as it made it difficult for the private sector to compete.

Would we have seen classics such as Faulty Towers, Black Adder, Top Gear, Chaser, Frontline, Summer Heights High, Kath & Kim without public broadcasting?

I am sure you ca think of dozens more classics that have come from the BBC/ABC over the years. I also consider the news and current affairs on these networks so far above that of the commercial networks that for the past few years on Australia, I rarely ever watched a commercial station – if not for sports!

James also attacked the news reporting of these networks with “Dumping free, state-sponsored news on the market makes it incredibly difficult for journalism to flourish on the internet. Yet it is essential for the future of independent journalism that a fair price can be charged for news to people who value it,” he said.

State Sponsored? You lost me there James.

In my opinion the attack is the first in a few deliberate stages and is aimed at the public perception of these organisations.

However, Rupert and James are seriously deluded if they think this attack will have any effect on public perception. The BBC in the UK costs the taxpayer around $140 pound per annum and I am sure the Australian taxpayer is slugged even less per person. Now if you look at local content in bothy countries, it is almost exclusively provided by these networks.

Rant Two – News Aggregators

Rupert has come out and continued his attack on the search engines and news aggregators, telling them the time has come to pay for News Ltd’s content. This shows a complete lack of understanding of how actual search engines and news aggregator sites work. Here is a little primer for Rupert.

Lesson- Search Engine/News Aggregator Primer

Rupert, please sit down and listen to me, no not in my chair, on the little one to the right of you. That’s right the one that is the same color as the Fire Engines.

Once upon a time there was a web page, and on that web page there were little snippets of code called ‘meta-tags’. These ‘meta-tags’ carried snippets of content to make it easier for search engines to find a page. Most programmers gave the page a ‘title’ and a ‘description’ and clever software like www.wordpress.org actually automate that process.

The really clever people with coke bottle glasses at search engines and news aggregator websites created little things that we called ‘crawler bots’ that crawled around and around the Interweb to grab the billions of new or updated articles/pages and indexed them on their sites and allows this content to be found by the millions of users each day.

If your content got selected by the user they clicked on the link and they got to your website and read that article or page. Your website had advertising on it and you made lots of money from those advertisers. The more popular your website got, the more money you made. It was like magic!

What if I don’t want to play?

Now Rupert, this is where all the incredibly gifted programmers out there on the Interweb came in. If you did not want your content indexed in search engines or on news aggregator companies like Google had a standard method by which you could prevent the ‘crawler bots’ from indexing your sites content. This way of you were not happy, you didn’t have to have your content indexed.

Now go out and play with all of the other media moguls in the pay tv tent.

Overarching Strategy

Rupert and friends perfect world would see no free public news, all bloggers discredited and everyone forced into paying for everything we read. Again after more than a digital decade we have a leader of one of the most successful companies in the world bereft of any idea on how to make the same kind of money in an almost exclusive online world.

Rupert, I like you mate, you have built one of the most successful organisations of the 20th century and for that you are in an elite minority, you have success and wealth beyond any of our wildest dreams but if bullying and protectionism is the only answer you have, then please step aside and let the next generation of digital companies take over.

Later this week I have the first of a two part series on Newspapers and how they can be saved.

As for another ‘dreamer’ Ron Walker is trying to paint his tenure at Fairfax as a savior telling ABC PM, “If we had continued to rely on the cash flows from the Sydney Morning Herald, the Age and the Financial Review, the company wouldn’t have existed today, so, it’s paid off for us”. Yes Ron, paying $700 plus million for a ‘New Zealand only’ classifieds site saved Fairfax! Fairfax has some great opportunities but the window is closing very fast and buying up expensive digital assets that do not even cover the interest on the loan to buy that same asset is not the answer. I have no idea what Ron Walker has done in his time on the Fairfax board, but I can assure you he will not be remembered as a savior!

It truly dumbfounds me how large organisations such as Telstra, Fairfax, PBL or News Limited rarely ever create a unique product from scratch. They are all very good at buying assets at the height of the market and selling or getting out at the bottom of the market. These companies already have huge traffic to their major sites and massive databases in the classifieds arena, be it in cars, jobs, houses or general classifieds., so it should be relatively easy for them to create successful new products and increase shareholder value.

They need to get out of the habit of buying up websites for 100′s of millions of dollars and invest a few million each year in a ‘Black Ops’ style tech team to come up with new and exciting products from existing databases/systems they have.

This team should be able to tap into (read) any database and should be able to create new products from scratch without someone telling them ‘no you cannot do that, this will affect this or that’. The idea is that you create new products and test them in markets across your digital assets. This team should be able to go and meet with any division of the organisation and be granted access to any data. Yes, you must have some oversight, but that is at the end of the process, not at the beginning – if a product doesn’t fit – or is too risky – it gets shelved.

The alternative is to continue dying a slow death and live in denial. There does come a time when banks will abandon these companies or their money will run  out and for some of them the only way to survive will be to do what Telstra is doing and selling off or closing down assets.

This is the digital era and web/mobile based products will be everything to these companies in less than 10 years.

As a part of connecting with real estate agents the Gold Coast Bulletin recently invited Gold Coast agents from different real estate groups for a Seminar with Tom Panos, the Real Estate Advertising Director for News Limited.

Now these seminars were a little different. They were held in a boardroom atmosphere and each real estate group had their own session with Tom and other Bully representatives. For reasons that I wont get into we did not get the rah rah seminar that was probably on the agenda. Instead we had a more open discussion of how Print fits into our offices and I for one got a lot more out of it that way.

As you would expect they were justifying Print’s as a major partner in the Real Estate industry and the agents on the other side were pointing out that Print is playing a lesser role than it ever has.

Now this is where it gets interesting. I asked Tom Panos when News would be rolling out the ability to charge sellers for real estate print advertising direct rather than charging the real estate offices for the advertising.

A part industry owned real estate print publication on the Sunshine Coast called MyPropertyReview has rolled out a seller direct payment system and had used it as the cornerstone to capture a massive market share in very short time. They really use real estate salespeople as booking agents for the newspaper rather than as the client.

The system is a really a win win for everyone concerned.  The property sellers enter into a payment system that spreads the marketing over many payments and for a lot of owners they only need to pay when the property settles. Real Estate agents can get on with the job for marketing, promoting, selling  and negotiating the sale without having to be a debt collector, a job that is notoriously hard if the property has not sold.

MyPropertyReview has decimated the real estate sections in the local newspapers. In typical style the established players responded very slowly but once they lost a large slice of their business they have had to slash their price trying to entice clients back and introduce similar billing systems.

Tom Panos confirmed that News is trialling such a system in at least one marketplace and it is up for review and consideration for a much wider release.  I got the feeling that Tom himself was not too keen on the whole concept  and he quickly offered problems with the system. His main objection was the fact that the newspapers were not geared to collect thousands of payments that this sort of system would create.  This really seemed a bit of cop out  as the classified departments would take far more credit card payments than any real estate section would create.

The biggest problem I see with implementing such a system is the mates rates deals being offered for certain real estate groups would cause even more problems in the marketplace than they do now.  If some agents are on a higher print rate they can effectively mask their higher cost by only providing a total figure for all marketing costs.  But if two agents provide a booking sheet with the same ad size in the same publication on the same dates and one is nearly half the price of the other, its not that easy to hide, or to explain away.   The huge differences most newspapers have in their tiered charge system would be working against  this sort of model.  the need to have a flat rate, or something close to a flat rate to really get the most of it.

However… I think the real problem with this concept rolling out everywhere lies with the fact that for many markets they simply don’t have to… Sadly it has been a long long time since an old media company has come up with anything even close to being innovative for the Real Estate industry.

I know in our market place this sort of billing system would be very welcome by many agents.

I would like to think News is trialling this for serious consideration for a national roll out but I fear that its a very localised response to a competitor. Maybe I am wrong but I reckon the major newspapers will have to be dragged kicking and screaming to release this without a competitor doing so but if your local newspaper were to introduce such a billing scheme would you welcome it? Would this cause your yearly investment in print advertising to increase? and would you offer newspaper advertising as an option to owner when previously you might have held back?

Much has been written about newspapers and their demise. We have all read stories of how newspapers are bleeding all over the world and in cases like the Los Angeles Times (and The Chicago Tribune) filing for bankruptcy in the United States, not to mention that our own traditionally profitable newspapers are slowly losing profits and revenues.

Change
However, Rupert Murdoch had gone on the offensive and has spoken of the possibility of newspapers charging for access to online content, he has also flagged the possibility that newspapers could be delivered only in digital within 10 years.

In the last few weeks the heavyweights of the newsprint world gathered in Chicago to come together to launch a group offensive against free content.

Today newspapers only push a certain amount of information directly to their websites and hold back on unique investigative information and journalism until after it has appeared in the print versions, I can understand this, but it is not sustainable.

Newspapers have to return to their roots to survive, they have to understand that the reason the majority of people read their content, is because it is unique not because we want to hear a, (we can get that anywhere).

Organisations like Fairfax and News Ltd over the past 20 years have invested more in sales and marketing and less in investigative journalism and this will end with the digital newspaper revolution.

Skepticism
Newspapers believe people will pay for this content but I am skeptical for a number of reasons. The first being that newspapers have invested less and less over the years in investigative journalism and more and more in marketing and sales. Secondly the classifieds have been bleeding to death because online just kills it in so many ways (content, days on market, accessability). This has been one of many factors in the demise of print and many newspapers have just resorted to tacky journalism trying to reach a younger audience whilst alienating their base.

Light
However, there is some light at the end of the tunnel. The Kindle device has proven that even an ugly little black and white wireless reading device can be popular and profitable. All it needs is for a company to enhance this offering and take it to another level (cue Apple and its touted color reader) and we have something that all newspapers need – a vibrant competitive wireless newsreader market.

Real Estate
This is your digital newspapers, so digital newspapers will allow agents to deliver targeted listings with branding, digital newspapers will give you a canvass to work with and allow you to brand your agency around your listings (you hope), unlike traditional newspapers – digital newspapers will allow you to carry a wealth of property information and local sales data alongside those listings.

Subscriptions
So why would we pay for this? You still buy magazines don’t you? Wireless Readers will demolish the gossip/celebrity magazine industry but it will revive the newspaper/unique content industry because we WILL pay for this – but only to a level.

Wireless Readers will be thin, light, color and black and white and have 6 – 10 hours battery life, they will serve a number of purposes but digital newspapers/ebooks, email, web will be the primary market.

The price? $9 a month? That’s about the money, it is all about volume – and newspapers will actually see a revival and in the cases of companies with quality journalists, a good news reputation and content like Fairfax (Sydney Morning Herald – The Age) will thrive, whereas papers like the Telegraph and the Herald Sun will stick to the print versions longer and die a slow death (blue collar)

Fairfax will eat News Limited in Australia for breakfast for another reason, classifieds. News Limited pretty much owns the tacky side of print in Australia and only has one newspaper it can be editorially proud of, The Australian. As for online classifieds, it has realestate.com.au and even that has a limited shelf life given its damaged reputation amongst the industry and agents.

Summing Up
The future of digital newspapers will be all about journalism and content as we can get all the other stuff elsewhere. It has to be about what made it successful in the first place- quality journalism – quality investigations, matched with quality content.

Throw in online classifieds and a brilliant interface and you have a winner. I pay for content today (software design website) , but they only own me only as long as the provide quality unique content ($7 per month).

So sit back and enjoy your newspaper with your coffee because it is nearing its end. No? You might think this, but just imagine if print newspapers lost just 10% of its readers to digital, now think about the fact they are already bleeding $ on print as of todays readership. Now you see it

It may take 5 – 7 years but it is coming! Your thoughts?

I needed to find an old article recently in the archives recently and came across some articles that I thought would be worth a revisit. I started around 18 months ago and looked forward about a year and came up with the following little gems:-
Realestate.com.au release REA Labs
This technology sandpit as REA call it is as Peter pointed out at the time, a complete rip off Google Labs and appears to have dont nothing since the day it was launched. Not even a vista sidebar gadget. The lack of action appears to make a mockery of the original “Global Innovator” tag they put on themselves at the time. My browser tells me this page has not been updated for around 9 months or so.
Google to Launch Real Estate Beta in 2007?
2007 looked as though it was going to be Google Real Estate’s year but not only did it not arrive, but we are on the back half of 2008 and there seems no solution in sight. Will it still happen?
Private selling sites – growing up!
Zero Agents produced a private selling site with a bit of style however in hindsight the anti agent rhetoric has proven to be full of hot air, at least in our neck of the woods. I seen my first zeroagents sign the other day. Has anybody seen zeroagents make an impact in their marketplace?

Domain Simply Adorable!
Domain launched Adore to hot discussion. Even Simon Baker joined in on the comments but what’s happened to Adore since then?
The Times they are a Changin!
Fairfax released the online newspaper in Brisbane the www.brisbanetimes.com.au which has consistently held a daily audience of around 40,000 unique visitors per day since launch. The good news is that they have not gone backwards one step… however the bad news is that it is not significantly improved either. So is this a success or failure or a little bit of both??
News Ltd Newspapers Property Sections Rebranded as realestate.com.au
A bunch of real estate sections in bunch of newspapers changed there logo…. so what? I doubt this increased readership or visitor counts to either but it made somebody somewhere feel warm and fuzzy.  Can anybody say they actually felt an impact from this?
Just when you thought it was safe to go back into the water!
Another topic that erupted in the comments, REA in a huge touch of arrogance decided to launch the “Peak Industry Body” – The REAIAC which stands for REA Industry Advisory Council. How anybody could call this an industry body is beyond me, but has anybody heard anything that has come out of this Adivsory Council all was it all hot air as so many claimed?
Google Buys REA
Peter was taken hook line and sinker, if you have never read this, take a minute and put a smile on your dial.
Now this is what you call a Property Video!
Propvid really started caputuring everyone attention and video started to look as though it has promise but even today there are few of the 10,000 or so agents in this country who are using video. Professional photography seems to have gained greater penetration for 2008 however video’s day appears to be a lot closer. We were given the opportunity to experience a propvid recently and was very impressed. We are hoping to do a lot more and have added it as a standard part of our marketing plans. 2009 for video maybe??
First National Conference by Glenn
Andrew Taylor from REA advised that REA felt their biggest threat came from Truelocal. Andrew must have been looking way into the future because Truelocal has lost visitor numbers since that time and hardly looks as though it will light the world on fire. In fact despite all the whizz bang features, it is HotFrog that has set the business directory world on fire their visitor traffic coming from nowhere to twice that of Truelocal. So who is REA’s biggest threat?? Anybody?
Homehound re- launch

and
Whats Dumb? Homehound Google campaign!
Ho hum. Homehound is still a pretender on the scene and only a sneaky and dirty tricks adwords campaign seemed to get them any traffic. Using the registered business names of real estate agents to imitate the agent and steal their traffic was a way to ensure they did not pay the high adwords for the typical “<suburb> real estate” keywords that everyone else competes over.. Is anybody still being targetted by this tactic??

This is a positive for REA as more than likely branding for REA will be splashed across these titles by mid year and should give REA a great boost in Inner Sydney. This in turn should raise the brand – although I think nearly everyone knows REA in major eastern capitals.

As I have said, I don’t know why anyone would buy a newspaper group these days, but if you have a few billion lying around why not, it gets boring after a while just counting cash.

It does not seem that Homehound is a part of this so it will be interesting to see what happens there.

Last week I received a press release (sorry I have been a little slack) detailing how all News Ltd Newspapers property sections would have REA branding throughout.

To me it is all about confirming in key markets where REA stand in the marketplace and from my perspective it is a strong move. It will not effect their play in Melbourne and Sydney as Fairfax totally dominate the property classifieds there, but in other markets it should cement their firm grip on number one – for the time being.

Currently REA’s marketing is all about telling everyone about how big they are, how many more leads they have, how many unique browsers they get each month and fair enough too – but with competition hotting up you can be sure that REA are working hard to bring out new releases and tweaks on their website.

From the release:
“There is now just one brand synonymous with home buying, selling and renting, so whether consumers choose to use online or print, realestate.com.au is the service they will turn to first.”

Well kind of – possibly a yes with online and a optimistic maybe from print. To me print is old news, but I am realistic enough to understand that it will has its place in the market for some time……………..that is until consumers start to question this strategy and say “hang on – you get 80% of your enquiries online – properties sell on average between 40 and 60 days from advertising and you want me to spend $3000.00 on a print campaign in the first two weeks – a print campaign that last only a day for each advertisement!”

In my humble opinion that day is not as far away as some may think!