Comments on: The future of online real estate innovation http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html Turn On Thu, 09 Feb 2012 11:08:54 +0000 hourly 1 http://wordpress.org/?v= By: Louis Cammarosano http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html/comment-page-1#comment-6809 Louis Cammarosano Mon, 14 Dec 2009 17:44:29 +0000 http://wp.1000wattconsulting.com/2008/10/online-real-estate-no-way-out.html#comment-6809 <p>"Second, the ethos of Web 2.0 is such that web apps and services are essentially DIY propositions."</p><br><p>It seems that posting great consumer content is easy, especially if you get it free from Realtors and brokers, like MLS listings and consumer generated content.</p><br><p>Given that ease, why should we expect companies to make money doing so?</p><br><p>Who will pay the bills of posting and managing the content? </p><br><p>The consumer? Nope.<br><br>That's the main draw of all this information- its free.</br></p><br><p>Advertisers? Perhaps part of it if you want to reach a few million consumers poking around looking at homes.But can a company sell enough ads in a year with a few million visits to justify the multi hundred million dollar valuations their VC's expect them to be worth?</p><br><p>Realtors? Probably not.</p><br><p>As you wrote:"Think about it: How many customer service reps does Zillow have? Did trulia need to build a call center" (perhaps they will start buiding one soon....)</p><br><p>You get what you pay for. If you don't provide any service to Realtors other than the ability to post your data you can't charge too much. If you don't charge much, you don't make much. </p><br><p>The Press? Pandering to the fickle press gets you lots of mentions. Last I checked, however, sending money to companies that they cover was not on the to do lists of bloggers and journalists.</p><br><p>"Better, smarter entrepreneurs." </p><br><p>I would add- "deeply engaged entrepreneurs" who do more than seek the next press or blog mention. </p><br><p>Before parting with their money VC's should seek entrepreneurs that realize that their success is not pre ordained and select leaders that dive deep into business, customer and employee issues.</p> "Second, the ethos of Web 2.0 is such that web apps and services are essentially DIY propositions."

It seems that posting great consumer content is easy, especially if you get it free from Realtors and brokers, like MLS listings and consumer generated content.

Given that ease, why should we expect companies to make money doing so?

Who will pay the bills of posting and managing the content?

The consumer? Nope.

That's the main draw of all this information- its free.

Advertisers? Perhaps part of it if you want to reach a few million consumers poking around looking at homes.But can a company sell enough ads in a year with a few million visits to justify the multi hundred million dollar valuations their VC's expect them to be worth?

Realtors? Probably not.

As you wrote:"Think about it: How many customer service reps does Zillow have? Did trulia need to build a call center" (perhaps they will start buiding one soon….)

You get what you pay for. If you don't provide any service to Realtors other than the ability to post your data you can't charge too much. If you don't charge much, you don't make much.

The Press? Pandering to the fickle press gets you lots of mentions. Last I checked, however, sending money to companies that they cover was not on the to do lists of bloggers and journalists.

"Better, smarter entrepreneurs."

I would add- "deeply engaged entrepreneurs" who do more than seek the next press or blog mention.

Before parting with their money VC's should seek entrepreneurs that realize that their success is not pre ordained and select leaders that dive deep into business, customer and employee issues.

]]> By: Offices.net http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html/comment-page-1#comment-3609 Offices.net Thu, 29 Jan 2009 05:49:02 +0000 http://wp.1000wattconsulting.com/2008/10/online-real-estate-no-way-out.html#comment-3609 <p>This is a timely post. The importance of local search (based on neighborhood) is increasing and it's always exciting to see new tools being developed to make that search easier/simpler.</p> This is a timely post. The importance of local search (based on neighborhood) is increasing and it's always exciting to see new tools being developed to make that search easier/simpler.

]]> By: Kent Shaffer http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html/comment-page-1#comment-3608 Kent Shaffer Thu, 13 Nov 2008 05:53:26 +0000 http://wp.1000wattconsulting.com/2008/10/online-real-estate-no-way-out.html#comment-3608 <p>I just helped launch a new commercial listings startup called AcreScout.</p> <p>See: <a href="http://www.AcreScout.com" rel="nofollow">http://www.AcreScout.com</a></p> <p>We have a few innovative features in development at the moment. Already, we have launch with free widgets. And we are looking to agents to tell us what tools they most need.</p> I just helped launch a new commercial listings startup called AcreScout.

See: http://www.AcreScout.com

We have a few innovative features in development at the moment. Already, we have launch with free widgets. And we are looking to agents to tell us what tools they most need.

]]> By: Florida Land lots http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html/comment-page-1#comment-3607 Florida Land lots Sat, 08 Nov 2008 00:25:51 +0000 http://wp.1000wattconsulting.com/2008/10/online-real-estate-no-way-out.html#comment-3607 <p>Very good post.Look forward to reading more on you blog.</p> Very good post.Look forward to reading more on you blog.

]]> By: Lu Doan http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html/comment-page-1#comment-3606 Lu Doan Thu, 30 Oct 2008 07:26:38 +0000 http://wp.1000wattconsulting.com/2008/10/online-real-estate-no-way-out.html#comment-3606 <p>Brian. Great post! As part of a bootstrapped real estate startup myself; I feel that post is right on point " especially point #3 "Better, Smarter entrepreneur". With web 2.0, free is the new black. We all have to think of creative and out of the box ways to grow our businesses along with new rev models. </p> <p>It seems like many of your comments are from fellow entrepreneurs in the RE space. I have a question maybe the community can help me with. Our company is looking to grow our market reach through synergetic partnerships with other RE companies. Are there any sites or services that act as a "Match.com" for companies looking for partnerships? <br /> </p> Brian. Great post! As part of a bootstrapped real estate startup myself; I feel that post is right on point ” especially point #3 "Better, Smarter entrepreneur". With web 2.0, free is the new black. We all have to think of creative and out of the box ways to grow our businesses along with new rev models.

It seems like many of your comments are from fellow entrepreneurs in the RE space. I have a question maybe the community can help me with. Our company is looking to grow our market reach through synergetic partnerships with other RE companies. Are there any sites or services that act as a "Match.com" for companies looking for partnerships?

]]> By: Matt Sweet http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html/comment-page-1#comment-3605 Matt Sweet Tue, 28 Oct 2008 09:56:31 +0000 http://wp.1000wattconsulting.com/2008/10/online-real-estate-no-way-out.html#comment-3605 <p>Thanks for a great post, Brian. I think the upside is that in times when capital is flowing less freely, the innovators are forced to find ways of doing more with less. In the same way, those selling real estate are finding ways to leverage free or low cost web 2.0 technologies more and more get their work done. Hopefully, on the other side of this slump, we'll all be more efficient and tech savvy because of it. </p> Thanks for a great post, Brian. I think the upside is that in times when capital is flowing less freely, the innovators are forced to find ways of doing more with less. In the same way, those selling real estate are finding ways to leverage free or low cost web 2.0 technologies more and more get their work done. Hopefully, on the other side of this slump, we'll all be more efficient and tech savvy because of it.

]]> By: Susan Harrison http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html/comment-page-1#comment-3604 Susan Harrison Mon, 27 Oct 2008 06:52:49 +0000 http://wp.1000wattconsulting.com/2008/10/online-real-estate-no-way-out.html#comment-3604 <p>"And lord knows, there are still plenty of problems to solve in real estate. "</p> <p>Amen to that, Brian!</p> "And lord knows, there are still plenty of problems to solve in real estate. "

Amen to that, Brian!

]]> By: Brian Boero http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html/comment-page-1#comment-3603 Brian Boero Sun, 26 Oct 2008 17:29:25 +0000 http://wp.1000wattconsulting.com/2008/10/online-real-estate-no-way-out.html#comment-3603 <p>@Mike -- you make a good point ... A Zillow or Trulia would likely not have come to be were it not for the perspective of outsiders. But how many "outside" players have built lasting, successful companies in our space? Too few in my opinion. </p> @Mike — you make a good point … A Zillow or Trulia would likely not have come to be were it not for the perspective of outsiders. But how many "outside" players have built lasting, successful companies in our space? Too few in my opinion.

]]> By: Mike Simonsen http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html/comment-page-1#comment-3602 Mike Simonsen Sun, 26 Oct 2008 08:54:42 +0000 http://wp.1000wattconsulting.com/2008/10/online-real-estate-no-way-out.html#comment-3602 <p>An interesting take, Brian. While I self-servingly agree that the bulk of the innovation will continue to come from the bootstrapped startups, I've been noodling lately a model that considers a _domain_shift_ as the central function of that process. </p> <p>Starting with a technical foundation to bring innovation to a new market seems to be easier than trying to apply technology to a vertical you already know. Barton's (and Pete Flint's) internet-travel-biz background allowed them to come to real estate with an essential naivete that let them ignore the sacred cows that hamstring innovation by the incumbents in this world. Likewise, Niki at Homethinking is a longtime expert in internet advertising and lead generation and applied that expertise in compelling new ways at homethinking. </p> <p>Much harder for the real estate incumbents to navigate the technology waters, but that's why they need you guys, I suppose ;-) </p> An interesting take, Brian. While I self-servingly agree that the bulk of the innovation will continue to come from the bootstrapped startups, I've been noodling lately a model that considers a _domain_shift_ as the central function of that process.

Starting with a technical foundation to bring innovation to a new market seems to be easier than trying to apply technology to a vertical you already know. Barton's (and Pete Flint's) internet-travel-biz background allowed them to come to real estate with an essential naivete that let them ignore the sacred cows that hamstring innovation by the incumbents in this world. Likewise, Niki at Homethinking is a longtime expert in internet advertising and lead generation and applied that expertise in compelling new ways at homethinking.

Much harder for the real estate incumbents to navigate the technology waters, but that's why they need you guys, I suppose ;-)

]]> By: Cedar Rapids Real Estate http://1000wattconsulting.com/blog/2008/10/online-real-estate-no-way-out.html/comment-page-1#comment-3601 Cedar Rapids Real Estate Sat, 25 Oct 2008 17:06:20 +0000 http://wp.1000wattconsulting.com/2008/10/online-real-estate-no-way-out.html#comment-3601 <p>Loved the post and I do hope visionary real estate portals like Trulia, Zillow, Cyberhomes, and the like continue. They give us real estate WEB 2.0 hopefuls tons of new and killer apps to use on our own website. I see "ease of use" as the main reason these sites are so powerful. The client can get useful information for their specific neighborhood quickly and concisely. </p> Loved the post and I do hope visionary real estate portals like Trulia, Zillow, Cyberhomes, and the like continue. They give us real estate WEB 2.0 hopefuls tons of new and killer apps to use on our own website. I see "ease of use" as the main reason these sites are so powerful. The client can get useful information for their specific neighborhood quickly and concisely.

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