Spicerhaart and Tesco's iSold could force agents to chop fees

I agree with you Wardy, the irony is that even such a weak and faulty effort still puts many in the shade.

• 10 June 2010 21:31 PM

Let's face it, our industry is half made up of oinks and plebs with oversized tie knots and shoes with buckles and the rest actually make money for our clients by doing the job right. I don't have a single vendor that is in any danger of choosing Tesco over me or my staff and those that do, I am not the least bit interested in retaining. Good luck to them - keeping the chavs away from the rest of us has to be a good thing.

• 10 June 2010 20:06 PM

Not being funny but you let the wolf in the door by NOT pushing for licencing and implementation of the Estate Agencies Act - you should stop moaning on about - face the fact a)that retailers want additional income streams b) Spicers boost their land division as Tescos also move into retail banking

Either you want to become a "profession" and have licencing and qualifications or you don't - why your industry isnt learning from the travel and recruitment sectors and lobbying for your legal right to have the EA Act 1979 fully implemented is absolutely beyond me

• 10 June 2010 17:17 PM

The point is .... Unlike you going to Tescos to buy fruit and veg (Tesco's products what ever if may be), the Public don't go to Tesco's to sell their fruit and veg. If they did and they didn't sell your lemon with a few more zero's tag to the end ... then they will join the list of failed estate agents.

Not forgetting there are some towns hostile towards that brand name.

• 10 June 2010 16:38 PM

My point is Tim, its a damm site more than most offer, you compare their listings to some of the other dross in Bristol and indeed London.
I love how the 'im not worried because i always get higher fees' brigade start posting on these threads.
Not constructive or usefull.
As an industry we should be getting together and raising some important questions here.
Firstly in the name of fair trading why has isold got 6 office accounts on rightmove for bristol? i would say that is missleading. Is isold paying the £600 fee like the rest of us per account? i doubt it. Is the money upfront model good and fair to the consumer? Should isold even be allowed on rightmove?

When fish started the tesco's fiasco agents removed their listings from the site and finished fish4 in a week flat, but we have all let this one wash over us. Big Mistake.

• 10 June 2010 15:20 PM

Wardy, the listings are actually quite good ?

One v tour panorama and its' junk, odd floor plans all of which are illegible, your idea of well thought out brochures must differ greatly from mine, some premium listings (at the vendors expense).

You are wrong about those bits but bang on about the rest.

• 10 June 2010 14:57 PM

isold have just gone from one account (branch) in Bristol to six.

• 10 June 2010 14:19 PM

Haart, the best reason it will fail, but we joke at fruit and veg sales, but Tescco fails at very little- Insurance, Banking, Music, Credit Cards, Electrics, Building, Photo Printing etc etc- any failures I have missed other than the abortive web advertising?? Think we dismiss too soon perhaps??

• 10 June 2010 12:36 PM

Prepare yourself for underhand tactics, misleading advertising and illegal touting all courtesy of Mr Smith.

The problem with this is the publics perception of how rightmove is the only tool you need. The isold listings on the site are actually quite good, many have premium listings, some are using smart panorama's v tours, floor plans and well thought-out brochures. There are some 'well healed' agents commenting on this very post who do not take their advertising as seriously as this.
Those that snooze will lose.
I would be interested to see some of iSOLD's rightmove click through rates, I bet they are not far off top spot. They will end up selling more, lots more than some of you may think.

• 10 June 2010 12:25 PM

couple of things to consider here;

1. how much are their valuers going to be paid if the fees are so low? are they going to attract the best staff?

2. I wouldnt use tescos for shopping and I know a lot of others are similar and therefore wouldnt sell through them either.

3.they are no more than another online agent and whilst they will have a degree of success it will be the chepaer end and the punters that always haggle and want something for nothing so may do us a favour!

got to go; Waitrose just called to say the car is ready and I need to nip into Bairstow Eves for a loaf of bread...........

• 10 June 2010 10:04 AM

My mother once refused to consider a fixed fee of £400 from Halifax Property Services as she thought that their 'For Sale' board would make all the neighbours think she had been repossessed.

I cant imagine her reaction to selling through Tesco!!

• 10 June 2010 09:00 AM

Richard Rawlings....you sound like a corporate with talk like that ;-)

• 09 June 2010 21:19 PM

This is a total non-issue for agents who are trained to overcome ANY fee objection - and get the instruction at at least 30% higher fee than their nearest competitor. Is it a threat to the industry - absolutely not - unless you let it! Weaker agents may be fooled into succumbing, but they'll have shot themselves in the foot and will disappear first! This is a great opportunity to sort the panel-beaters from the embroiderers!

• 09 June 2010 11:42 AM

FORCE? I doubt it - and an abysmal choice of wording for the storyline...

'Cheap' alternatives have been around since the second Estate Agent opened in competition to the first. It NEVER stops the quality from asking their worth - and getting it.

• 09 June 2010 11:37 AM

I'm not worried one bit, but then just like alot of experienced estate agents we know that those that worry about anything, will panic and go down the lower my fee's, cut my throat route and probably go broke.

You can't stop this venture but my money is on it not lasting very long. It's principle is nothing that has not been tried before over the decades. Once they fail to deliver the public have a habit of biting back .... very hard. "Market forces will always level out any business". A fundamental rule!

• 09 June 2010 11:08 AM

Agents who know how to deliver top quality service will always be able to charge higher fees than "average" agents, and the 34% who are not worried are probably these kind of agents.

Whether or not this does happen, the old adage of "prepare for the worst, hope for the best" stands true.
All agents should be constantly looking for ways to modernise, improve efficiency, increase margins and improve service. Of all these points, though, improving service will have the biggest effect on sustaining or increasing profit margins. Personally I don't believe in the iSold proposition - why "cheapen" or commoditise the process of house selling when its a major transaction. If you inherited some antique jewellery from a distant aunt worth the same as your house, would you put it on eBay? Probably not, you'd probably go any pay Christie's or Sotheby's 10% to sell it for you. People who instruct agents based only on fees are clients you want to avoid if at all possible.

• 09 June 2010 10:43 AM

If cheap fees were the key issue, Foxtons, Knight Frank, Savills, Marsh & Parsons, and indeed us would not exist. People really need to understand the industry. I recall when Foxtons last opened near us and offered FREE sales - we still got instructions.

Lets be honest, with a range of valuations we see, will a vendor instruct an agent offering 0.25% cheaper fees or the one who is absolutely sure they can achieve another £10k?

Why do people believe that selling properties on-line is like selling a specific TV where the price is the key issue? Remember, buyers pay the agent nothing so don't care what the commission is - they want a service.

You can never ignore a threat - that would be imprudent, but don't panic.

• 09 June 2010 10:42 AM

What a joke, this is the last time I ever look at this site.

• 09 June 2010 09:42 AM

If your usp is "I'm cheaper" then you may well need to be.

The isold offering really is not that attractive to vendors and 47 current listings on RM suggests they have not set Bristol on fire (yet ?).

• 09 June 2010 09:25 AM