A new online service is launching where agents will pay to bid against the clock to win a sales or lettings instruction.
ipostcode.com is the brainchild of an estate agent, Domenic Versace.
The eBay-style concept means that agents can proactively bid for instructions after being alerted when a property local to them comes online. Even if they do not win the bidding process, they still receive the seller’s or landlord’s details.
A maximum of six agents can join in the auction for the instruction.
Each auction is live for three days, agents can see each others’ bids and can change their own bid within that period at no additional cost.
On completion of the bidding process, the landlord or seller can select the preferred agent for a valuation, while 24 hours after the bid closes, all agents who have made a bid are sent the contact details of the seller/landlord to pitch for their business offline.
Registration on the site is free, but agents pay to bid – from £20 to £35 per bid, depending on the number of bids they purchase. As an opening offer, agents get their first three bids free.
Sellers and landlords can compare online the services that agents can offer, but there are no controversial ‘ratings’ or reviews.
Sellers and landlords who are looking to appoint an agent list their property for free on the site, giving brief information such as location, bedroom numbers, proposed price bracket and a short description.
Agents make their bids, based on the following criteria: commission, sole agency period, online and offline marketing tools, and background on the company’s expertise and services.
The site gives agents direct access to sellers and landlords and Versace says it is a much more effective way to win instructions than sending out flyers, or other canvassing tools.
Agents can register now on the site, ahead of the launch to consumers.
Versace, who co-founded the site together with web developer Janaka Fernando, said: “Estate agents spend thousands of pounds on randomly leafleting hundreds of homes on their patch, in the hope that someone might be considering selling or renting out their property.
“As marketing budgets are tighter than ever, it is all the more important to spend this budget wisely.
“By using ipostcode.com, registered agents get direct access to properties and the contact details of people who are about to put their property on the market, providing a very easy way to get valuable sales and lettings leads.”
Versace, who has over 20 years’ experience as an estate agent, said: “The site offers a win-win for sellers, landlords and agents. It provides the seller or landlord with a simple, free and no-obligation comparison snapshot of what the agents out there can offer.
“For agents it is a cost-effective and easy way to find sales and lettings leads, with good odds that they will be chosen as the preferred agent.
“We have spent two years developing and refining this site and we are confident there is nothing else out there like this.”
Versace has been in the UK for ten years. An Australian, he was top grossing negotiator at Melbourne agents Mancini. He has had his own agency in Shoreditch, London, and now runs a bespoke business for private clients, Property of London.
The ipostcode.com office is based close to Old Street’s Silicon Roundabout, the hub for London’s internet entrepreneurs.
Will this work? Let us know your views.
Agents can register now at www.ipostcode.com
Comments
Hardly any or no agents on this, rubbish! Plus the consumer has never even heard about this site.
Having read all of the disparaging comments about this web-site and innovative idea, I have come to the conclusion that these boys have wasted their money.
Oh dear
Burglar
This is total crap pal, jesus christ are you for real?
We know chappy to be 'one of those' vendors who wouldn’t look past a fee. On the basis alone that there is one born every minute I’m sure you may find the odd vendor who will enjoy the dregs of their particular town, cutting their own noses off for the sake of a new listing. That’s assuming they find the site in the first place. Any agent who can explain their entire marketing model and fee structure in the space of a few bullet points is welcome to it.
That guy from redhomes or whatever it was (post since removed due to the shameless free plug no doubt) had a pretty good stab at it.
i give this crazy idea a month then its ..........Going Going Going Gone! Receiver
Unhappy Chappy: You are so, so very wrong.
You quote Versace's alleged 20 years in the business as if it is somehow proof of the scheme's worthiness. Okay - what about my 30? I say it sucks. Surely you should take MY word over his?
You want ABSOLUTE proof that 'experience' means nothing when it comes to 'changing the world'?
I give you "Realising Reality" - or whatever name he will surface as next.
Nothing more necessary to say, really.
LOL.....
I did a viewing on one of my empty properties today and found a leaflet from Beebys of Market Deeping offering to sell the house for FREE. Something about them looking to expand in the area and are offering this amazing deal.
If an agency is that good, it should be busy enough anyway, not needing to leaflet drop free fees!!
Is it really becoming this hard to win instructions with all the unsold stock kicking about? We find that when we sell one in a street, the other unsold property vendor's call us the next day.
If agents spent as much time trying to sell the properties they already have than they do chasing new stock, they would be much more succesful. We haven't put a leaflet through a letter box since 2005, no need, so I'm certainly not going to pay for the priviledge of slashing my fees to a vendor that only cares about one thing, the cost of selling. They might as well use Beebys. They won't have to worry about paying any fees even if they put their fees up to 10% +VAT, because they can't sell anything anyway and there will be no fees to pay!
Rubbish agents will always compete on fees. A bit like university fees when the government announced that only the better universities would be charging £9000 a year, so what happens, every university puts their fees up claiming to be one of the better ones.
This is opposite. Only the rubbish agents will sign up so vendors won't use the site because they know that they will only be getting the rubbish agents!
Has anyone had a look at www.allagents.co.uk recently?
This site is now offering free leads to agents that join up to their transparent agent scheme.
Whilst I don't completely approve of sites like this, I would imagine that consumers would put a lot of trust in this site and the fact that the leads are free, we are now seriously considering putting a few links on our site to join it
Can't wait for my first opportunity to win a valuation. I quote 1.5% and all that comes with it. An online agent offers a flat fee of £195 with all the promises in the world that they won't deliver as they have the money upfront. Without being able to speak directly what do you recon my and any other agents chances are?
The website and execution is poor but the idea of is not, Ask yourselves
How do potential vendors choose an agent that will provide excellent value for money and service?
How can agents demonstrate they are the above so that standards in and perceptions of the indusrty improve?
I think Mr, Versace (20 years in the business) was trying to resolve these issues, but the negative comments are not a surprise.
Indeed Industries do not like things that provide transparency and force their prices down but the cutomers of these industries always do.
It is Friday, we all worked hard, many of us will head to the pub to treat ourselves. BUT BE WARNED !
Warning: Consumption of alcohol may make you think you are whispering when you are not.
Warning: Consumption of alcohol is a major factor in dancing like a grandad.
Warning : Consumption of alcohol may cause you to tell the same boring story over and over again until your friends want to smash your face in.
Warning : Consumption of alcohol may lead you to believe that ex-lovers are really dying for you to telephone them at 4 in the morning.
Warning : Consumption of alcohol may leave you wondering what the hell happened to your trousers.
Warning : Consumption of alcohol may make you think you can logically converse with other members of the opposite sex without spitting.
Warning : Consumption of alcohol may make you think you possess mystical Kung-Fu powers.
Warning : Consumption of alcohol may cause you to roll over in the morning and see something really scary (whose species, and/or name you can't remember)
Warning : Consumption of alcohol is the leading cause of inexplicable rug burns on the forehead.
Warning : Consumption of alcohol may lead to traffic signs and cones appearing in your home.
Warning : Consumption of alcohol may lead you to believe you are invisible.
Warning : Consumption of alcohol may lead you to believe that people are laughing with you.
Warning : Consumption of alcohol may cause an influx in the time-space continuum, whereby small (and sometimes large) gaps of time may seem to literally disappear.
A mainframe computer on which everyone in the office depended suddenly went down.
They tried everything but it still wouldn't work. Finally they decided to call in a high-powered computer consultant.
He arrived, looked at the computer, took out a small hammer and tapped it on the side. Instantly the computer leapt back to life.
Two days later the office manager received a bill from the consultant for £1,000.
Immediately he called the consultant and exclaimed, "A grand, for fixing that computer?! You were only here five
minutes! I want the bill itemised!"
The next day the new bill arrived. It read,
Tapping computer with hammer: £1
Knowing where to tap: £999
Agencia:
Clever. VEEEERY clever... ;o)
I will watch with interest...
Total and utter rubbish.
NEW ideas for Estate Agency marketing cropping up everywhere. What about this idea
http://www.kitchenincluded.com/
Would it work?
Never, ever, ever, ever think of spending hard earnt fee income of this rubbish. It might get the chance to fleece a few inexpereinced idiots but why, oh why, give this pathetic site any publicity
I think you have all missed the point. Yes the website is terrible, and the voice-over actually makes you larf out loud, but the concept could make money. Agents WILL try it out. For the same reason they can't resist spending a decent slalary on Rightmove, fear of what others might get out of it. Every bid is gonna cost them £30. Bid for 10 instructions before realising you've been had and versace is up £300 per mug. The website cost him £30 to put up and 100 agents later who's larfing now? It might be a three week business, like selling fireworks or Christmas trees, but I'm not so sure its a non-event. I will say though Mr Versace, you couldn't have made a worse job of it.
Okay... I am often (alright - ALWAYS...) accused of being negative about 'new' ideas. That is because, in the main, 'new' ideas are either:
a) a polished up version of a t*rd as Fun Boy Agent would say..., or
b) completely and utterly rubbish.
So - I want to be positive about this offering. The NEW PeeBee/PeeWee (Marie has had an obvious affect on me... ;o) ) is going to say something that doesn't have one negative element in it. Here goes...:
If you shut your eyes tightly, then the site makes you less nauseous.
If you ignore it, like you would a puppy trying to nuzzle/savage your crotchicle area, then it will go away.
It gave me one hell of a laugh.
And, for THAT alone, Mr Versace, I thank you. ;o)
New saying - "Those who can't sell houses, come up with stupid property websites."
The comment "Compete on a Level Playing Field" amuses me. It isn't level on purpose. Crap agent level 1, Moderate agent level 2, Great agent level 3... Why would the great agents want to be stuck with the crap, unregulated cowboys who are out to make a fast buck?
The Which Property Agent site is a far better idea. No detrimental affect to the agents who list, based on genuine opinions of customers, work hard get recognised. A good referral is gold dust, do your job well and the business should come to you.
Or alternatively get a better marketing department...
If you are that desperate for business you need to outbid your competitors you probably should choose another career.
Come on guys, we're better than this??!!
Not great is it. But it is quite fun to press play on both videos at the same time and try to make a tune!!
Frog Man - Your idea is worse the one above, and that took some doing.
Actually while I am on the subject I should point out that the pricing method of EA’s is wrong.
If a monkey could sell a house for £150k, the EA should not get 2% on the sales. Rather he should get 0% on the first 150k and then 20% on anything over that. This way if an agent wants to overvalue on a property he has to accept a higher minimum that he would earn nothing on.
This way EA’s who add value get paid more, and EA’s that overvalue just to win instructions would earn far less. Vendors would get EA’s working harder for them, and less sitting around waiting for a house to still, Buyers would be confronted up front with more realistic prices, and not have to wait 12 months for interesting properties to ebb back to the price they should have been marketed at initially before viewing. Everyone wins.
(except overvaluing EA's)
Astonishingly, despite being a HPC’er and therefore instantly wrong about everything always, I think this is a silly idea that won’t get off the ground. Selecting a sales agent principally on price is a poor way of picking a sales agent.
It’s a simply business principle, you buy commoditised products on price, you do not buy services on price, you buy on results.
What amuses me is that now several of you are going to feel compelled to instantly tell me I have no idea, that I am on benefits and 6 years old, or some such, and that’s it’s actually a brilliant idea. Either that or have a brain haemorrhage from having to agree with me.
I'm going to be the only person (I think) to say that the idea is not a bad one, just needs to be put together better.
I think the idea of selecting who you want to value your property like this is good, remember your not picking the agent to sell your house, just the agents you want to come round, so you still base your decision on the person/presentation/valuation etc.
Two things though, the website/video is crap, and they need to make this FREE for agents to use and make money from selling advertising etc.
Thats all from me.
Bit worrying - everyone in agreement. I'm usually wrong about business start ups - no doubt this one will now fly!
Or stick to fashion!
Would love to hear from Mr Versace on this forum as all the comments are totally one sided.
That said I have to say in my humble view the idea seems flawed in every way.
The users of this forum are the potential customers for this site and without 1 person giving this idea an iota of credibility it is doomed before it starts.
Give your business plan money to charity rather than post it down the drain Mr Versace.
This will go the way or the pear, its not unlike energy assessors bidding £10 to do an EPC. I would imagine it will attract the dregs and the desperate which just goes to prove; you pay for what you get.
Boy, I much prefer that idea.
I just had a good idea.
How about if there was a portal where agents could sell their instructions to each other?/
You know the instructions I mean!
Ugly property, overpriced, wrong location, etc.
Sell the instruction to your competitor for £500.
Or 'bid for it'
Much better
Incredulous...that's all I can say about this.
If someone is going to hand over the keys to their house so that a stranger can wander around their home at will I think they would rather start off with meeting them. I suspect I win a good few instructions on the strength of being an unthreatening little old lady. I even had some business pass to me once because the teenage daughter of the vendor swears some of her underwear went missing after the last agent got the keys.
Indeed, I’m surprised that they did not just make the agents bid for the valuation they think they can achieve; at least that way it would faithfully replicate the offline model. I could bid that I would achieve a valuation of £175k on a small 2 bed flat by the station, then Foxtons and Mann could start ebay style biding up to £900k valuation, the vendor would be delighted, and no doubt phone me up to scream abuse at me that I almost ‘cost them’ £725k.
Silly Silly idea....
rubbish website, terrible concept and, if it were successful, ebay would just start doing it.
oh, and lets not even talk about the cash their going to need to generate traffic to the site. I bet there's something about viral marketing in the business plan.
Please please, who ever is behind this, do yourself a favour and don't waste the next year of your life with this. You might get hit by a bus tomorrow.
Mind you, that might be better than slowly watching your cash and motivation drain away.
I seriously doubt this chap did any market research into whether this would work, as if he had, he knew it would be doomed to fail.
Another chancer, looking to make a little bit of quick cash.
as the saying goes........'I'm out'
That’s one of the worse ideas I’ve ever heard. These guys need not bother wasting their money in trying to make this a success because its an obvious failure
Out of all the ridiculous new property portals that get advertised on this site - portals for properties in need of work, portals for "distressed sales" etc. this has got to take the crown for the shittest idea and crappest looking website.
How is anybody ever going to hear of your site? Do you really think agents are going to pay £20 - £35 per bid? Actually, yes, i'm going to pay so that I can value somebodies house who wants to put it on the market for 40k more than it's worth, what a well spent £35. Also, you're going to need to tell me what the house is and where it is before I bid, which means im just going to go round myself.
It seems that there is a new saying, "Those that can't sell houses, make stupid, un-researched, ill thought out property websites".
You said...i-postcode.com....our survey said...
Uhh-Urr
Nice to see that agents are so against competing on cheap fees. Rightly so.
Perhaps then, Richard Rawlings will be popular on his seminar tour. I hope so, you pay peanuts you know what you get.
No chance! Has he ever worked in the business!?!?!??!
this has brightened my day - a company who is going to go out of business before me!!
This is a ridiculous idea for estate agents. I am all for forward thinking and changing and moving with the times, but there are so many things wrong with this website that i dont know where to start. I would not register my company onto this webiste. I cannot see one benefit for agents, other than the fact that you are basically paying a high price for a customer list. However most of these details can be gained from other channels anyway, and 2nd bite of the cherry can often be sweeter in this market anyway. I agree completely with everybodys comments about fee wars. Not to mention I dont agree with displaying your firms agency agreements for all and sundry to see so easily, including competitors. All I can see is a quick and 'cheap' way for versace to make money for himself. We should credit ou vendors/potentiakl vendors with a little more intelligence to find thier own perfect agent using thier own judgement. 2/10. Thats 2 points for attempting innovative thinking.
What a load of twoddle!!!!!!
What a terrible idea. Along with it being a terrbile idea, how can you expect to drive enough Landlords and Vendors to the site to make it work.
The majority of the time, vendors or landlords will choose an agent on their presence in an area, boards up, reccommendations, adverts in paper and also applicants with homes to sell
Then you may get some landlord or vendor enquiries from Rightmove or Zoopla, but not many, and these are the biggest property sites out there.
I'm Out.
Convoluted, ill conceived & pointless.Just what the industry needs. Go back to Melbourne - its nice at this time of year.
Sounds a bit like the EPC bid war where cheapest one gets the job and then nobody gets paid. Hmmmmmmmmmmmmm Grate idea!
Not good, you'll get these little start ups firms offering to sell or let the property for next to nothing
What they don't realise though is that they won't be in business long once it becomes clear it's not sustainable to offer such ridiculously low fees
What a shame that people would think it a good idea to down-value themselves and their service.
Hilarious! There's nothing like a good laugh on a Friday morning!!!
And you'd think, after 2 years in the making that they'd have time to add the whole UK postcodes rather than just London!!
oh dear oh dear oh dear what a dreadful web site and idea, i have to press the BIG RED BUZZER.
2 years to make that, I could do that myself in a week, it is rubbish. Why would agents want to keep bidding and dropping their prices, its not always the cheapest that wins the instruction.
That voice over is dire as well, its the 1st days of internet, also who searches 'suburb'? Might as well put 'zipcode' as well.
Just had a look at the site. Oh boy - the videos! The agent's one is a sort of slideshow - and each slide has text on it. Thankfully, for the stupid agents that cannot read, a voice is reading the words to you.
Hmmm, 15 years out of date?
Will it work? Never in a month of Sundays. Industries do not like things that provide transparency and force their prices down.
Back in the old .com days I remember a start up whose mission was to fill the 'back loads' of lorries. The idea was for people who needed stuff moving from A to B to post their load (if you'll excuse the expression) and then people with lorries that were dropping a load at A would then bid half price to move the goods to B - rather than having an empty lorry come back.
Of course, if it had worked, every load would have been someone's 'back load' and prices would have been driven down to the point of being unable to make a living.
So, the whole industry ignored it. Same will happen here - as a punter I don't just buy an estate agent on price - I want to see meet him, listen to him, weigh him up, see how much research he provides to back up his valuation etc - then I'll negotiate on the price. I'm blowed if I'm going to go on a website (which I may, or may not, have heard of - without a Rightmove sized budget to raise awareness - how would I ever hear of the site?) post my house and then watch and wait to see who will sell it the cheapest. I already know who will sell it the cheapeast - red hat (someone like that) at 0.5%. It it were about price they'd have taken over the business by now.
I hope they didn't spend 2 years developing what sounds like a site that would take a week to knock out.
never in a month of sundayas versace should go back to selling designer clothing!!!