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Glenn Ackroyd
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Nice chap Stephen - He's created and maintained UK's most successful estate agency.
From:
Glenn Ackroyd
05 October 2017 01:21 AM
Does anyone have a link to the full report?
From:
Glenn Ackroyd
01 June 2017 09:45 AM
I signed up to Revolut for my current trip to the US. It's a brilliant app and saves money. So easy to set up as well. It avoids you have to exchange wads of dollars and you get the best exchange rate with no currency exchange penalties imposed by the banks. The best part is the alert to your phone for every transaction - So you'll know if your account is ever used fraudulently. It's now my credit card of choice.
From:
Glenn Ackroyd
20 April 2017 14:14 PM
Having worked with Eddie, he certainly knows his stuff. His contact list is incredible and he knows the Proptech market better than anyone I know. Good luck with the new venture.
From:
Glenn Ackroyd
20 April 2017 14:02 PM
Hi Sue, I seem to have upset you as a result of marketing to you. I do apologise as we've clearly caused offence. Estate agents are happy to send out canvassing flyers en masse and door knock customers on the market with other agents, and that's fair game - But woe betide if someone markets to them :-) In terms of your comments about us 'upping the price', we get paid upon a successful sale or let - And the prices are fixed in a long term contract with a RPI price rise cap. And concerning your other points about your thoughts about me and the business generally, I respect your opinion. Being objective, I am a competitor and estate agents never cheer along their rivals which is completely understandable. But in truth, the only opinion that any business should listen too, and in particular, estate agents, is that of the customer. On Trustpilot, we have a score of 9.9/10 - The highest ranked estate agent in the UK. And we've just scooped the prize of 'Best Estate Agency Franchise' at the Times/Sunday Times Estate Agency of the Year awards. Sorry again for spamming you - there is an unsubscribe link to make sure we don't trouble you again. All the best. Prat.
From:
Glenn Ackroyd
10 January 2017 11:08 AM
Hi Krisjan, The £100k of sales that you refer is a figure that a number of our established franchisees are achieving, but certainly not all. Of course, we would never pledge that any agent would be able to guarantee this figure. We also allow applicants free reign to call franchisees to discuss how their franchise is going compared to plan as part of the process. We make it quite clear in our business plan that in the first year, businesses will be operating at a loss - simply to reflect the cash flow realities of estate agency. It takes on average 6 months from instruction to receipt of completion funds and not all instructions will be successful. We have actually just changed our model to significantly address some of this year 1 cash flow pain. So now a franchisee can elect to get a £250 cash advance from us upon listing a property - repayable once the house sells or is withdrawn. Quite unique in franchising and certainly in our sector. It means that with typically bank funding you can start a franchise for under £12k, covering your Year 1 cash flow - Vastly better than other franchisees in this sector, or the start up costs of a traditional branch. Given that we are a relatively new business, with new franchisees, and accounts information is always recorded for the year/18 months past, you should see a pattern of losses recorded for franchisees in the first year of trading. It's planned and built into our 'What Can You Earn' Business Model which each applicant models for themselves based upon house values, commissions and anticipated sales in their area. We're very open about sharing this information and the realities of the costs involved and the cash flow hurdle to overcome in the first year and we do so very very early in the process. We'll be going through all of our numbers on an online webinar on the 17th January at 7pm which you're welcome to attend (register at www.myagency2017.com). At the end of the webinar, each attendee is emailed the model to work through the numbers to see how it might pan out for them. As for tenancy lengths in excess of 4 years, I've been operating a letting agency since 2005 - We simply re-branded and launched the franchise in 2013. So we've got lots of data. For more recent instructions we apply a formula based on the number of managed lets and ratio of tenant turnover. For example: If you have 120 properties under management and on average 10 tenants give notice and leave every month, then all tenants would leave over a 12 month period inferring an average tenancy length of 12 months. If only 5 tenants give notice and leave every month, then all tenants would leave over a 24 month period inferring an average tenancy length of 24 months. Whilst our average has just breached 5 years, in our model 'What Can I Earn' model we only assume 3 years average tenancy length to be conservative with any projections.
From:
Glenn Ackroyd
09 January 2017 21:36 PM
Excellent story. Well done Fergus for your hard efforts and I hope your business continues to thrive.
From:
Glenn Ackroyd
08 November 2016 00:11 AM
Expanding upon this - fewer sales transactions, fewer first time buyers, fewer landlord purchases - But with increasing demand from an expanding population. You've also got the benefit cap reducing the amount of benefits from £26k to £20k just now - Forcing landlords to give notice to lots of LHA tenants in favour of private. In my view this is a recipe for; 1) A massive crisis/homelessness shortage for benefit/low income tenants 2) Large increases in rent as demand outstrips supply
From:
Glenn Ackroyd
04 November 2016 09:43 AM
Re "Other agents have been using this model for years; Hatched etc. " We started out in 2010 - Launched the franchise in 2014 after pilot in 2013. "I would also dispute their use of the word 'property expert'. An expert is not someone who has been on a weeks training course and paid a large franchise fee. Experts have experience. I don't mind any company promoting themselves. What I don't like is when there are inaccuracies and false statements." We don't just do a weeks training course.... 1) Pre-training access to our 'Eweniversity.co.uk' training course. This has video, presentation, downloads, Soundwave download audio 2) 1 weeks initial training 3) 1 day per month 'Success Summit' training 4) Bi-weekly 1 hour video webinars 5) Over 40 x 1 day business training days on specialist topics (run by 3rd party experts) on areas like accounting, business planning, marketing etc 6) Online ewetube training video vault 7) Online forum 8) Weekly local business boost 1:1 meetings for franchisees 9) 5 day dedicated franchise and marketing support team 10) Dedicated in-house pay per click management team How does that compare to the training that your company provides? And re 'experience' - agents talk all the time about experience. All that matters is service deliverability. That's what a customer wants. So what an agent things matters not one jot. Our franchisees work really hard - nights, weekends because they're passionate and focussed. That shines through in the reviews they get. They're number 1 in the UK on trustpilot and we're so proud of our franchisees achievements. They may not be time served, but when it comes to customer service, they are incredible.
From:
Glenn Ackroyd
17 August 2016 08:49 AM
Hi Michael, Many thanks for the comment. The reality is that the model is now proven as evidenced by the 'big boys' moving into this space. We're also evolved beyond just 'one-man bands'. We have many operations running offices, or multiple offers - And we now have well over 100 people in the network, working alongside our franchisees.
From:
Glenn Ackroyd
17 August 2016 08:39 AM
Hi Border Collie, Our 'Happy Sale Guarantee' is not 'No sale - no fee' which agents up and down the land use. It is based on these principles 1) You can cancel at ANY TIME if you're not happy - so there is no long term initial period, or ridiculous 28 day cancellation period 2) If we don't sell, you don't pay (not radical, I know) 3) If you leave, (at any time), we won't charge you a thing So the big thing there is no tie in period. Does your agency do this? Show me the link...
From:
Glenn Ackroyd
17 August 2016 08:34 AM
Hi Smile Please, When we first launched we were pilloried by people with inward looking ideas mocking us for not having offices. 3 years on and the debate is not whether hybrid has a future, but can the existing world of estate agency survive with a high street model. Take a look at what the 'big boys' are doing now; - Countrywide - 3 hybrid pilots - Savilles - Bought a stake in YOPA - Connells, bought Hatched The arrogance that precedes comments about our franchisees watching loose women etc is the attitude that allows innovative companies to take the lead. Those loose women watchers are rated 1 by customers on trustpilot with hundreds of 5 star reviews. P.S. And to put the record straight, we watch 'The Great British Bake Off'
From:
Glenn Ackroyd
17 August 2016 08:31 AM
"His holding period of 10 days is therefore four days fewer than the average time (of 14 days) it takes Purplebricks to find a buyer for its customers' homes." - Ouch!
From:
Glenn Ackroyd
26 July 2016 00:03 AM
"While April and May are lower than the corresponding months in 2015, it should be noted that the total for March to May is still substantially higher than the corresponding period last year" says the HMRC. April and May Year on Year are the only figures of relevance. March to May includes the distortion caused by the race to beat the stamp duty hike. I'm surprised that HMLR are now turning into spin doctors to mask the fall off. Again, showing that attempts to raise tax result in a lower tax take due to dis-incentivising the market.
From:
Glenn Ackroyd
22 June 2016 00:05 AM
Hi Mark, 2014 was when we launched our new franchise offering. We'd being running our central office, 24/7, local property expert model from 2010 prior to franchising. It's all well documented in 'Our Story' in our franchise pack which I'd be happy send out to you - simply email hannah@ewemove.com and we'll get one sent to you which charts our history. In fact, just checking your website designer, they also did our franchise brochure and know us really well. This confirms our dates, so they'll be able to verify. Good luck with your launch and if you come to any of the franchise shows, pop over and say hi.
From:
Glenn Ackroyd
21 June 2016 16:33 PM
J C - You make some very valid points. Our model has always been centred on having a very local property expert - Other players have had people on the ground covering very wide geographic areas leading to traditional agents questioning how 'local' they are. And we operate a 'No sale, no fee model'. Purple Bricks have been excellent in 2 things; 1) Bringing on investors and outspending the rest. This is the core reason for their market share and usurping the longer established players. This has come at a cost and to date they've lost millions as a result. 2) Pivoting their model to bring on board commission only non-employed Local Property Experts (98% of their LPE's). This has allowed them to scale and offer ever increasingly localised foot soldiers. The recent Jeffries investor report is a very interesting read. It questions whether LPE's can earn enough from their up front sign on free of around £250. It also questioned whether a model based on sign ups, as opposed to completions was aligned with the consumer interest. This I think goes to the heart of whether pay up front hybrid models will continue to gain market share. Eyal Mallinger, formerly of Countrywide, said last month at Proptech that his research suggested only around 50% of listings complete. Jeffries could only find evidence of 5% of Purple Bricks homes selling in an average time of 5 months. The 5% figure cannot be correct and I suspect registration lags at Land Registry will have distorted this number considerably. These issues will determine the success of the model. If customers know that at best they're 50% likely to lose their money, the appeal of 'low cost' will wain, because people don't like to gamble when selling their homes. So it will be interesting to see if the next City release has any mention of completion rates.
From:
Glenn Ackroyd
11 June 2016 08:57 AM
Damn - I've just approved the proof of a book to the printers which has a quote from him in it and his position at Countrywide... The last time I sent the book off to print, stamp duty changed a week later. It's cursed :-)
From:
Glenn Ackroyd
08 June 2016 15:29 PM
3 brands, 3 service offerings... That could be confusing to consumers. Now Savills, Connells and Countrywide have thrown their hats into the Hybrid space it will be interesting to see who wins the VHS -v- Betamax battle. But the problem for their model is that they are having to do it by cannibalising their existing customer base and reducing revenues. Especially if Countrywide are using the same brands.
From:
Glenn Ackroyd
06 June 2016 00:10 AM
This seems to have all the hallmarks of Foxtons -v- Hamptons which found for the vendor. In short, Foxtons had showed a viewer around a property and they did not put an offer forward to purchase. It was later re-marketed with Hamptons, and the buyer put forward a successful offer to purchase. The judge found against the Original Agent. The rationale was at the first viewing, they were simply a viewer and they had not been ‘introduced to buy’. It was the second agent who had facilitated the ‘introduction to buy’, at which point they became the ‘buyer’. And it was the agent who found the buyer who was the only one entitled to the fee. On this basis, the Original Agent is not entitled to any fee from the Seller under the terms of their terminated original agency agreement. Here is a link reporting the judgment: http://www.solicitorsjournal.com/news/family/children/no-future-estate-agents-battling-over-introductions
From:
Glenn Ackroyd
03 June 2016 00:10 AM
Great event. Very thought provoking and nice to catch up with lots of familiar names. Re Russell Quirks comments on Purple Bricks ability to pay for market share, I was in the investment break out meeting and there was lots of debate whether the model would return a profit based on the cost of acquisition per customer. The VCs in the room said the model was fine given the current interest in the investment market, because at this stage it's all about growth, whereas others were far less convinced.
From:
Glenn Ackroyd
20 May 2016 00:16 AM
Sadly not. I asked Carol about Handy Andy. He was a regular joiner who was working for on a house that Linda Barker was managing the design for a client. The BBC called Linda about a new idea for a TV program whilst she was at the house and the researcher asked about the chirpy person talking away in the background. That was Andy and by virtue of that chance call he was brought on board. At that point they'd not considered making the joiner part of the show.
From:
Glenn Ackroyd
18 May 2016 11:11 AM
'Currently listing over 5,500 residential and commercial properties to let' - Around 1,300 according to live stats from Zoopla; http://www.zoopla.co.uk/find-agents/?company_name=easyProperty&radius=0&search_source=find-agents And mostly developer new builds apartments and retirement homes. Not the prime stock that's easy to move on. Good to see they've got more funding to feed the mouths of 100 staff before the burn rate leaves the pot empty. No mention of profit. There's a surprise. So the plan is to float as per Purple Bricks - Following the path of a company who went to market with millions of losses. Be quick - the story of jam tomorrow won't hold for much longer.
From:
Glenn Ackroyd
04 April 2016 09:01 AM
Local agents do need offices to allow their staff to work. The shop front therefore becomes a permanent high street billboard. Given that, I would focus my attention on making the brand and outside visually memorable. People judge books by their covers.
From:
Glenn Ackroyd
01 April 2016 14:09 PM
Hi Terence: You're right and I do apologise. But what I do see is so many agents complaining about online agents - Traditional agents have what most onliners don't. A local person and local knowledge. They need swipe the best ideas that onliners bring to the table. The only difference becomes 'price'. Then the industry has to get across the message that the cheapest agent is the one who sells the house for the most money. Those that adapt and innovate will thrive, those who don't won't survive.
From:
Glenn Ackroyd
01 April 2016 14:05 PM
I love seeing Chris's articles and campaigning for transparency. He's done lots of great work recently highlighting portal juggling which is to be commended. I'm sure he'll do a great job in his new role.
From:
Glenn Ackroyd
01 April 2016 09:05 AM
What about; WhiteElephantMcWastedOpportunityFace
From:
Glenn Ackroyd
01 April 2016 09:03 AM
This completely misses the point. Back in the 90's Direct Line started the move towards online or direct insurance. Central operations centre, open longer hours. There are not many high street insurance brokers left. Customers don't want to take time out to visit an office. They want convenience. 24/7 and do it from their home. That's why BHS is dying and Amazon is flying. Over 90% of buyers start their journey online. The investment has to be where your customers are. So that means allowing them to book appointments online, or by phone, 24/7, make applications for tenancy, pay rent, make repair requests, make offers etc etc. And there are an army of agents who'll resist this. It's change after all and there are costs involved etc etc. But you can use 3rd party resources for live chat. It's easy to integrate online dynamic calendars into websites and you can bolt on call answering with providers like MoneyPenny. These are not as good as dedicated people, but a quantum leap forward on what most agents are doing now. And if you don't adapt, Darwin let's you know what will happen. Focus on the customers wants. A swanky office is a great vanity project. Getting more business online is sanity project.
From:
Glenn Ackroyd
01 April 2016 09:00 AM
Yes I agree. It's not 2 sets of figures will be key to its share price. A £240m value at a price to earnings ratio of 12 demands a £20m profit in the near future. But what I do know is that it has currently only attained listings by paying more for business than the cost of acquiring and servicing leads. Hense no profit. That needs a massive swing. Ie hoping that brand awareness will result in customers using them despite less marketing - like Rightmove for example. Time will tell.
From:
Glenn Ackroyd
09 February 2016 19:15 PM
There is a balance and insightful article here > http://www.iii.co.uk/articles/293506/top-tips-ipo-investors?context=LSE:PURP As mentioned previously, their turnover is up, but talk of a profit is misleading. Purple Bricks publish gross profit, BEFORE marketing expenditure - ie mostly their TV ads. When you deduct this, they've lost millions and have survived to date on money raised from investors. The recent 'boost' in price followed directors purchasers. This is often seen by the market as a good sign, because those at the wheel of the ship are willing to back their own company. But then you see that Michael Bruce sold £10.6 million of shares and spent 2.5% of his gains on propping up the price. After 6 months of trading, they'll need to publish a full financial update so we can see what the true marketing spend and current loss is and what level of reserves they've got left.
From:
Glenn Ackroyd
09 February 2016 14:14 PM
Star fund manager lost his investors £32m with his recent biotech - So losing £60m in market cap means he's consistent - http://www.thisismoney.co.uk/money/markets/article-3344940/Star-fund-manager-Neil-Woodford-says-120m-punt-biotech-firm-come-good-despite-estimated-32m-loss.html
From:
Glenn Ackroyd
20 January 2016 09:10 AM
You win some - you lose some - As this article highlights; http://www.theguardian.com/money/2014/apr/28/invesco-perpetual-fine-small-investors-fca It's all to do with the PR spin you're able to portray to amplify the winners and distance yourself from the losers.
From:
Glenn Ackroyd
18 January 2016 11:02 AM
You will always get customers who focus on price, over service. And these are precisely the customers you don't want. Online only only with no local accountability is the modern equivalent of 'For Sale By Owner', or private sales.
From:
Glenn Ackroyd
06 January 2016 08:07 AM
Erm, I think that's a compliment :-) But it's not meant as a hatchet job. OTM are desperately needed and I fear this is a one off opportunity that the industry can't afford to miss out on. Duopolies will only result in lack of innovation and higher fees. And what if one day Rightmove decide to become their own 'Online Estate Agent' - having a monopoly on buyer leads gives them enormous power.
From:
Glenn Ackroyd
06 January 2016 07:32 AM
I agree it doesn't always. But have the wind behind you gives you a better chance of winning the race. More exposure = more interest. It stacks the odds in your favour. And don't forget the sales leads. Many buyers have houses to sell, or are landlords. So they are potential customers.
From:
Glenn Ackroyd
06 January 2016 07:28 AM
OnTheMarket agents can do one or the other - which I think is what your are saying - not both. To get more exposure, they have to rely on traditional means - eg newspaper, local property news collectives. But as we know, 90% of people search online - so the ROI on these are poor. Sadly with the duopoly that currently exists, ROI online will reduce over time as fees increase. So OTM needs to work. I'd prefer an approach where agents can join, but not be forced to 'throw the baby out with the bath water', so that they can get to a critical number - be at 10 or 15 thousand members - and that becomes the goal for a en-mass switch over date.
From:
Glenn Ackroyd
06 January 2016 07:26 AM
There is a stock market interim update on Thursday. TV Adverts please shareholders in the short term, just like vendor ads in newspapers. They also have a similar negative ROI.
From:
Glenn Ackroyd
05 January 2016 23:31 PM
You need a story to go to investors to get money. A story about expanding sales or lettings against modest numbers thus far wont wash. So forget what's happened and focus another story about something else shiny that they can't be judged against, because it's not launched. P & L accounts? Who needs one when you've got a story :-)
From:
Glenn Ackroyd
02 December 2015 19:57 PM
Unintended consequences. They increased stamp duty for high value homes in London, and the net intake fell. 3% tax on landlords on top of the massive tax on rents, means there will be substantially fewer landlords buying. So less houses to pay stamp duty on meaning the net intake is likely to fall...
From:
Glenn Ackroyd
25 November 2015 19:41 PM
https://www.google.co.uk/maps/@50.7077499,-1.9453109,3a,75y,155.79h,90t/data=!3m7!1e1!3m5!1syp1h0Y3gzzYAAAQfDY7UAA!2e0!3e2!7i13312!8i6656!6m1!1e1 :-)
From:
Glenn Ackroyd
03 November 2015 10:05 AM
I watched the investor presentation to the City and what's clear is that Countrywide buy profit making businesses. They may have taken a small blip in the last 3 months, but if you look at where they are in terms of profit and market cap since float, they are making excellent strides. So they are building a business based upon acquisition of profitable agencies, which are mainly lettings. That's because there's twice as many rental transactions compared to sales and lettings is predictable residual income. Sound logic. So it would not make sense for their strategy to go for an online sales agent play, particularly if they buy one of the major players that are currently losings millions each year. I'm sure that if any of the price-lead online agents ever make a profit, their interest will then be piqued.
From:
Glenn Ackroyd
31 October 2015 10:27 AM
In 2007 transaction volumes were 60% higher than today. I then bought my cat. This distracted my attention from buying a house and the butterfly effect came into play. And look at the proof. Volumes are down. Evidence that it's the cats fault... -------------------------------------- Seriously!!! House buying is all about mortgage liquidity - Basel 2 - Mortgage Market Review et al. That's the route cause.
From:
Glenn Ackroyd
31 October 2015 08:38 AM
If Russell is correct in that Countrywide 'Don't get it', why is it a concern? I've long espoused the adage 'Never interfere with a competitor when they are sabotaging their business' But why question the plan not to buy an existing player? It smacks of 'protesting too much' and would lead one to assume you want your business to be taken over and the main suitor says they don't fancy you. And if that's the wrong play, well that's great for EMoov if a big player makes a hash of jumping into your space. Build a business on profit and you don't need to rely on a takeover. If nobody buys you you can simply enjoy the profit. That way, you're in control of your own destiny. Call me old fashioned, but that's what we'll continue to do.
From:
Glenn Ackroyd
28 October 2015 07:30 AM
It's share price has taken a kicking on the strategy - Down from 553p to 471p today. The multi brand approach is argued on the basis that nearly 40% of local business is repeat. All you need to do is keep the focal brand and introduce the main - 'Blundells -Part of the Countrywide Group' etc Then change the 'Blundells' typeface/colour Then 'Blundells' disappears.
From:
Glenn Ackroyd
23 October 2015 09:26 AM
"I forecast that Belvoir will have 400 offices across the UK in the next 100 years" says Dorian Gonsalves - Is that before or after the next ice age :-)
From:
Glenn Ackroyd
21 October 2015 08:46 AM
Russell is bob on with this article. As much as I'd like to see OTM succeed to weaken the duopoly pricing strangle hold, it looks like death by a thousand (defections) cuts. Very damaging for the independents concerned who have lost money and instructions.
From:
Glenn Ackroyd
20 October 2015 00:27 AM
Hybrid agents... A mix of hi-tech, low cost centralised offices, with quality local experts on the ground. I wish I'd have thought of that 5 years ago :-)
From:
Glenn Ackroyd
20 October 2015 00:22 AM
Update: Found on Rightmove as KW KellerWilliams - Still can't find on Zoopla.
From:
Glenn Ackroyd
08 October 2015 08:19 AM
It would be interesting to see how Keller Williams do. They are very good with their training in the US, but as companies over there have found out - It's hard to crack the UK. Re-Max, Century 21 et al have not enjoyed the impact here that have in North America. The market is VERY different. Does anyone know the Keller Williams UK trading name? I can't find any listings on Zoopla.
From:
Glenn Ackroyd
08 October 2015 08:13 AM
Congratulations Russell. The video and pitch was top notch. 2.5x oversubscribed is a mighty vote of confidence in you and your business.
From:
Glenn Ackroyd
08 October 2015 08:07 AM
Yikes, we're at 79 branches, 39 in 2015 and a dozen more in our pipeline for November/January And they are faster than us :-) We'd better up our game...
From:
Glenn Ackroyd
07 October 2015 13:10 PM
Hi Pete, Our franchises like the model - in this years independent Smith Henderson survey results, our franchisees rated us 94% for 'Proven System' (compared to the industry average of 32%). And 98% of our franchisees would recommend others to buy a franchise. We're the only 5 Star rated Estate Agency franchise, being 1 of only 19 franchises in the UK to achieve this status (there are over 900 franchises in the UK). http://smithhenderson.com/5-star-franchisee-satisfaction/ And our customers also rated our franchisees ''Excellent" on Trustpilot. And we scooped awards for Lettings and Estate Agents in the Times/Sunday Times last year. I could go on :-)
From:
Glenn Ackroyd
05 October 2015 17:13 PM
Hi Jeremy - I've covered off the reply to Tom. Our franchisees are 100% behind the initiative and I can assure you they have not lost out in terms of their package. In terms of trust - our franchisees rated us as 100% when it comes to fair polices and maintaining values (against the industry average of 25% and 33%) - You can get the full survey results at ; http://www.ewemove.com/property-estate-agency-franchise/compare-us-franchises/
From:
Glenn Ackroyd
05 October 2015 13:56 PM
Hi Tom - I can see where you are coming from. But the Estate Agents proposition is different to our existing franchise package in terms of the funding. We explained this to our network a few weeks back on our weekly webinar and posted in on our forum. It terms of how the financials work differently, ultimately our existing franchisees are dealt with in the same way. We would never do it anyway differently. Our franchisees are very important to us and we'd never sacrifice our relationship with them for a few coins of silver. AND - they are the ones who choose who is let into our business (they run the selection panel, not us). We would not do with this unless they were on board with the process. The numbers and breakdown will be fully covered off in tomorrows webinar.
From:
Glenn Ackroyd
05 October 2015 13:52 PM
Just checked - we've still got Holmes Chapel available
From:
Glenn Ackroyd
05 October 2015 08:38 AM
If anybody has any questions, we are doing a webinar tomorrow (Tuesday 6th) at 7pm - You can find details at www.discoversheep.com
From:
Glenn Ackroyd
05 October 2015 08:24 AM
So essentially it will match motivated sellers with below market value investor buyers. It might not include a fee, but the price achieved could be substantially lower than a house for sale to the 'whole of market' via an estate agent.
From:
Glenn Ackroyd
16 September 2015 08:56 AM
I went to a 3 day realtor conference in the US recently and their fees are under pressure. Yes, buyers do have agents, but often the fee is split with the selling broker, because they have introduced the buyer. A seller broker ain't necessarily a bad idea - They negotiate the best deal for the buyer. The brokers in the US are seeing fees squeeze to around 5% - You might think that sounds amazing. But in the US, most brokers sell around 1 house per month and 80% fail in the first 5 years. A typical lister / valuer working on a commission only basis would have to give up 50% of their income to be affiliated to a Real Estate Broker (like ReMax, or Keller Williams). And, you must be qualified to an agent and licenses can take 3 years to obtain. It's a very tough market, which is not an easy one to crack.
From:
Glenn Ackroyd
15 September 2015 09:24 AM
This comes from the Consumer Bill Act and the Committee for Advertising Practise which states that fees should be stated and shown inclusive of VAT from May 2015. So this is very old news. Consumers will take time to adjust and non-compliant agents will still either quote exc VAT rates, or not publish rates on their websites. But over time, consumers will adjust and the market will be more transparent. Agents need to embrace change if they are going to change the public perception of the industry. I'm sure lots of people had the same concerns pre-decimalisation.
From:
Glenn Ackroyd
14 September 2015 08:58 AM
Second time buyers - therefore older people, will take more time. That's because first time buyers will have come from rented accommodation, so their perspective on a good property will be relative to what they are in now. Rented houses are generally not to the same standard as private. And they have an urgency to move. To get on the ladder, to avoid paying rent etc. Second time buyers already have a nest and have created their own 'perfection'. So they will be more demanding and savvy. They will need something better than they have already, so there is a higher bar to pass. So the survey is really to be expected.
From:
Glenn Ackroyd
07 September 2015 09:25 AM
He's the link from google re 17% more conversions: http://adwords.blogspot.co.uk/2011/04/5-simple-ways-to-improve-your-adwords.html Seller rating extensions make it easier for potential customers to identify highly-rated merchants when they're searching on Google.com by attaching your merchant star rating from Google Product Search to your AdWords ads. These star ratings, aggregated from review sites all around the web, allow people to find merchants that are highly recommended by online shoppers like them. On average, ads with Seller Ratings get a 17% higher CTR than the same ads without ratings.
From:
Glenn Ackroyd
05 September 2015 10:07 AM
We use Trustpilot as well. I would point out that anybody looking to use one should know that they do not all have the same benefits. There has been a lot of consumer concern recently about the authenticity of review sites due to fake positive reviews of own company sites, and negative reviews of competitors. Google recognises this - so it will only promote rating scores next to your online search listings and pay-per-click ads for certain review sites (Google+, Amazon, Trustpilot, feefo etc). So it's important that your review site is 'google approved'. I know that the better ones (Trustpilot in our case), track IP addresses and emails, so you can't do multiple reviews. And googles own research states that you enjoy 17% more opt-ins by having a review score. That's good enough for me to justify using them.
From:
Glenn Ackroyd
05 September 2015 10:04 AM
EweMove: It vigorously denies that it’s an up-front fees online agency. Correct, because we don't charge up front fees :-) It's 'No Sale, no fee' for us. You do make a great point. Traditional -v- Online has 50 shades of grey in between. At one end, you have High Street branch, with no sale, no fee, exclusivity periods and higher fees, through to the; pay up front online, with a DIY service and lower fees. Ultimately, that's what market economies are about. Choice. Price led customers can choose online variants. Service led can choose local agents. The market (consumers) will judge who the winners are.
From:
Glenn Ackroyd
05 September 2015 09:56 AM
Jon Tarey - Re rent controls, they are a bad thing. Shelter campaigned for them, but Crisis didn't. We know they are a bad thing. They were introduced in 1977 Rent Act which saw 'fair rents', which was rents way below market rents and the inability of a landlord to regain possession. The outcome was a mass exodus from the market by landlords leaving the private rented sector devoid of stock. The situation was not reversed until the 1996 Housing Act creating a pathway for landlords to return to the market. Then ARLA/Paragon created 'Buy to Let' mortgages and the rental market has never looked back. It's just as well, because the boom in the private sector has been required to make amends for the exodus in local authority housing provision.
From:
Glenn Ackroyd
27 August 2015 17:38 PM
Another report by Shelter, carried out by someone on a massive salary, probably working in London and commuting into the City... How can building more houses not help the county? Shelter's recent campaign's for rent control's and long leases do more increase the housing problem than any government policy. Then again, without homelessness, what would all those salaried exec's do for a job? I can't wait to see the next report...
From:
Glenn Ackroyd
27 August 2015 08:31 AM
Entries closed as Mary Berry accidentally reveals the winner on the Chris Evans show; http://www.dailymail.co.uk/news/article-2656521/Britains-worst-gardener-filled-yard-junk-seen-Google-Earth.html
From:
Glenn Ackroyd
21 August 2015 08:30 AM
Looking at the report - it suggests that prices are 5.9% down on the 2007 peak, which ties in with my take on the local market. Generally there is a 4 year lag between the boom in London, rippling out to the North - So I expect the 'under performing' regions to pick up relatively over the next couple of years as investors/pension release landlords looking to invest in buy to lets for yield.
From:
Glenn Ackroyd
21 August 2015 08:28 AM
Just to clarify on the article referencing to as an 'Online Agent',. We have a mix of personal agents and agents with High Street offices. EweMove Beverley which is featured in this story operates as a traditional Estate Agency office.
From:
Glenn Ackroyd
10 August 2015 07:25 AM
Brand marketing... Tut tut. Give a Marketing Manager somebody else's money and this is the result. They pay for themselves to meet the players of the team they support. I'm an Associate Director of Bradford City but would never, and have never, sponsored any part of the ground or club. Brand advertising doesn't make sense. All I'm interested in is direct response ads that bring me business, can be tracked, tested and measured. How do they know that this has worked or not? They don't.
From:
Glenn Ackroyd
05 August 2015 08:49 AM
Spot on Trevor. Not commenting about EasyProperty specifically, but generally on lots of new estate agency venture models. It smacks of the dotcom boom and all the hyperbole that surrounded LastMinute.com. Early backers need a quick exit before the party ends and the small investors wake up with the hangover. We know how the dotcom boom party ended. However, one of these models could emerge as the new ebay/Amazon for Estate Agents. Then the backers will have got an incredible reward for their risk.
From:
Glenn Ackroyd
30 July 2015 12:48 PM
Well at least when they float, there will be prospectus to see their profit and price to earnings ratio. Call me a cynic, but I've not seen any of the companies who publicly have these funding rounds mention any profit figures. Lots of companies have raised millions of pounds of Crowd Funding and private investor start up capital. And there seems to be a rush to float. I'm just interested in the fundamentals. Are these businesses burning cash on marketing for brand awareness, or are they actually making real profit? That's the only number that counts to me. As of today, EasyProperty they have less than 500 properties listed on Zoopla - http://www.zoopla.co.uk/find-agents/?company_name=easyProperty&radius=0&search_source=find-agents So on listings, we're 63% bigger - If they're worth £66m, does that make us worth over £100m? No. Back in the real world, I'll stick to making profit and a valuation based on price/earnings ratio ...
From:
Glenn Ackroyd
30 July 2015 09:46 AM
Hi Robert, you're right to be cautious about interest rate rises, but these will halt the pace of growth rather than result in a 2008/9 crash. A most people have mortgage which is 2-3% above the BOE base rate. So at their standard variable rate, they will be paying around 3-4% currently. So a 0.5% base rate increase on top with make them wince, but it does not amount to a doubling of their payment (admittedly it does double the BOE element). Carney's mood music suggests that rates will settle around 2.5-3% - possibly 5 years out. That will mean people are paying around 5-6% including the banks margin. That is a doubling! Those with pre 2008 mortgages will be used to these rates. Those with more recent mortgages should have been stress tested. Certainly this will take a lot of momentum out of the market. The big issue as ever is supply... We need more houses.
From:
Glenn Ackroyd
29 July 2015 09:48 AM
Well, I pretty much agree with all of that. We had Rightmove and Zoopla in this week and they we happy to share tales of agents signing up in droves. Zoopla took a hit in January, but after this set back, they are now signing up more agents than they are losing. Rightmove have never been stronger. OTM has only served to strengthen Rightmove, and OTM seems to be at a tipping point. Once agents look for ways for get out of 5 year deals and cracks appear, I suspect that the floodgates will open and they'll jump back on board with Zoopla. The problem for a lot of the big players who were instrumental in promoting OTM, is that their pride will mean that they'll still there until the end, playing music as the Titanic sinks.
From:
Glenn Ackroyd
17 July 2015 20:08 PM
With tens of thousands of landlords worried about a 20% tax increase on their mortgage payments, you might find lots of houses coming onto the market. Increasing supply and acting as a break on pricing.
From:
Glenn Ackroyd
09 July 2015 12:17 PM
And another low cost entrant. Every one that launches can only promote one thing - price. And with so many, it's a race to the bottom. And those that understand pricing strategy understand there is no money to be made at the bottom. I do like the layout of their website though. It's similar to paypal.
From:
Glenn Ackroyd
02 July 2015 08:14 AM
I admire Russell's innovation. He's prepared to shake things up and his business has grown very well. The latest move is designed to counter Purple Bricks who pledge 'No upfront fees' in a similar way - but you have to pay whether it sells or not at month 10. EMoov have gone to month 12. It still does not get around the issue of the house not selling and a fee being due, but it is a big barrier removed. I'm not sure about the 2 tier fee though. It's trying to be all things to all men, which is likely to cause confusion. Running a low cost model, they need to stick to that - In branding terms the "Law of Sacrifice" dictates you need to stick to one thing. The other thing is that with more and more 'Me too' online agents, the only way for them to go is price. That only ends in tears. EMoov are well placed with market share to come out on top with online agents, but I suspect many will go to the wall in the next year.
From:
Glenn Ackroyd
29 June 2015 16:12 PM
Raising £2.5m does not give a lot of money to acquire 250 more agencies. That's £10k per agency. No doubt they will rely on acquisitions increasing market cap and therefore access to more funding.
From:
Glenn Ackroyd
18 June 2015 08:43 AM
This reminds me of this film; http://www.imdb.com/title/tt0104348/ - Glenngarry Glen Ross - Brilliant film by the way which was supposed to be a parody Estate Agents. They have an aggressive sales culture model and it works very well in London.
From:
Glenn Ackroyd
18 June 2015 08:31 AM
There have been many agencies promising to be the next Amazon online when it comes to selling - and it's easy to raise millions and plough it into TV and media - but ultimately are the businesses viable long term once the seed investment has been spent? The burn rate on some of these companies is frightening. It seems we now have a flurry of companies looking to float, before they are 'found out' and their money runs out. Hopefully the investors will look behind the shiny marketing to see if they are actually making real profits and have sustainable models. There will be 2 or 3 winners that will make the cut, but the rest will whither on the vine. However, speaking as a person who has spent a fortune on TV ads, it does not warrant the cost of acquisition of a lead. However... it does create brand awareness and impress potential stock holders.
From:
Glenn Ackroyd
13 June 2015 01:51 AM
Hmm - interesting. Stock for agents is very low, as supply is limited. Normally this means rising prices. However the drag on this is tighter lending controls. Which is a good thing IMO. Steady as she goes has to be welcomed. Much better than boom and bust - however much we enjoy the boom...
From:
Glenn Ackroyd
13 June 2015 01:37 AM
Good on Henderson Connellan - We do too many agencies focus on what the competition does and then throw bricks if they are outperforming. It's called 'competition'. An estate agents job is to raise their game, not go crying to mummy because they are losing market share.
From:
Glenn Ackroyd
12 June 2015 09:39 AM
Hi Daniel - we've been operating 24/7 many years before, so that is not true. I think their website and adverts are very good. Having the person at the forefront might be cheesy, but it's real and people like that. They also have nearly 3,000 properties, so out of the pay up front, online offerings, they seem most likely to make it a success. One thing that I am not keen on is there 'No upfront payment required' - but they get their customers to take out a credit facility with Close Brothers (factoring), so they get paid day one, and the customer must pay by month 10, or earlier if the house sells. Novel, but interesting to see what happens if the house does not sell. They are also burning millions on TV ads - so the $million question, which will no doubt be set out when they float, is how much they are spending on marketing compared to income received.
From:
Glenn Ackroyd
03 June 2015 09:42 AM
18 year boom - bust cycle is what I was once told by an estate agency who has operated throughout the 70's (crash mid 70's), 80's (crash late 80's), 2008. There is a 5-7 year recovery, 10 years of boom and an almighty crash... Still, history might not repeat in the future :-) On this basis next crash will be early-mid 2020's. Flog your agencies before then...
From:
Glenn Ackroyd
02 June 2015 23:02 PM
"Glen one of the best estate agency practices is main/sub agency which can achieve better buyer results for clients. You can't tell me you can offer this (better than sole selling practice) at 0.9% When you can provide main/sub agency beyond just doing rightmove and zoopla, then I'll be impressed." Hi Trevor - Our prices are not 0.9% as standard - Each branch director sets their own pricing, and that rate (0.75% + Vat in old money), will be a new branch with an introductory offer. Our franchisees after 'launch' phase will charge higher and their fees will be comparable to the average in the local area. They are free to sign up on sole, or joint agency basis and this is built into our standard contracts. In some parts of the country (London/Surrounding), we have quite a few multi-agency listings.
From:
Glenn Ackroyd
02 June 2015 22:57 PM
So Ewemove are/have been opening Hg St offices. When I was playing sith the chat rep, he said fees were lower due to not having expensive offices. Interesting that Glen is saying several are now opening offices. "Was also with Russell from eMoov who said they had begun offering a higher fde model and had gained extra business. Umm upward fees and traditional offices. Are the budgets trying to tell us something we already knew?" Hi Trevor - we've never priced on budget that the other model's you refer to. We price comparable to traditional agents and compete on service. For example 24/7, accompanied viewings as standard. The high street offices are for our franchisees who are expanding and need more Valuation reps. It is still a significant saving on the cost burden of a traditional agent, given that we cover portal fees, phone calls from tenant/buyers, we deal with landlord gas checks, repair calls, landlord accounting, tenancy management etc etc. I welcome other 'online' agencies looking to charge more. I've long had serious doubts about many 'online only' agents who don't have local reps not being sustainable based upon their pricing. Lots have raised £millions of cash, only to need to raise £millions more months later due to a phenomenal marketing burn rate. Investors will only 'buy' the story for so long before they start asking serious questions. So I totally agree with the concerns voiced on forums like this about many of these new businesses being akin to the dot com bubble of the late 90's. I think in 12-18 months we'll be seeing stories of a number of online agencies going pop once the seed investment runs out.
From:
Glenn Ackroyd
02 June 2015 11:46 AM
Hi John - I was replying tongue in cheek :-) I understand your point that lots of testimonials should not be taken at face value, but Nick's is genuine. And thanks for your comments. I know we are not everyones cup of tea, and agents will quite understandably fight their corner to protect their interests against the online newcomers. I think in a few years, when the dust has settled, both will operate side by side. The price driven customers (which no agent wants anyway, because they tend to be your worst customers), will choose the DIY offerings (the modern day private sale), and the savvy service led customers will go for the local expert. Between now and then, there will be turf wars and no doubt lots of online agents will fail and some winners will emerge. BTW - I do share lots of the concerns about online agents, particularly long term viability. Many are looking to float, spending fortunes on marketing and promising to be the 'Amazon for Estate Agents' - but how many I wonder are making a profit. The next 2-3 years will be very interesting.
From:
Glenn Ackroyd
01 June 2015 22:15 PM
John Bamonte Well Nick Neill would say that, wouldn't he? Hi John - Yes, he gave me that testimonial last night. He's going from strength to strength, having just acquired another territory. You can confirm direct by emailing him at nick.neill@ewemove.com, his number is own his branch page, www.ewemove.com/york if you'd prefer to call.
From:
Glenn Ackroyd
01 June 2015 18:40 PM
Can I just say generally, that whilst there are lots of probing questions on here, which is great - the contributors on this site are far more objective and constructive than another website where this story has been release. That's probably the kiss of death for me :-)
From:
Glenn Ackroyd
01 June 2015 18:35 PM
Katie Hopkin The fact that EweMove have taken the initiative in opening new branches is great! I personally can't see it as a bad thing if they are wishing to expand with a change of strategy! Hi Katie - No change. Just opening more branches as franchisees come on board. Some open high street offices, some don't.
From:
Glenn Ackroyd
01 June 2015 18:32 PM
Hi Trevor - Re "Have a laugh agents and use their live chat - the telesales don't have the first idea about estate agency tech questions or what local reps they do/don't have." - Live chat is an additional service. Lots of people hate phoning estate agents for some strange reason. It's never the same as speaking to a person I admit. But it's less threatening and many people like it as the first step. The live chat service gets excellent reviews from customers.
From:
Glenn Ackroyd
01 June 2015 18:31 PM
Hi James, re "I think the public's perception of a Branch would be a premises that one could walk into off the street and which has the business name above the door, but then again for the upfront fees they seek then I suppose one can not expect everything." We have lots of high street offices opening up. You'll find them in Beverley, Gainsborough, Nottingham, Sheffield, Corby and Poole. But the majority of our franchisees work from home office. The office admin is administered by our central Sheep Pen. That keeps the costs down in the first year when starting the business is tough. The local franchisee operates on the ground in their local patch. We don't charge up front fees. It's no sale, no fee for us.
From:
Glenn Ackroyd
01 June 2015 18:29 PM
Hi John, re "Also, I'm a bit confused are EweMove still onliners or not?" When I last checked, all agents were online. We mostly operate with local franchisees operating from home, or a serviced office, with an increasing number now taking up high street branches as their business grow. All our franchisees are local based, providing accompanied viewings as standard
From:
Glenn Ackroyd
01 June 2015 18:24 PM
Hi Trevor - it will have an appeal, to price led ,'DIY' landlords, are there are lots of them. Certainly enough to support low cost operations like EasyProperty, but there are myriads of others, doing it for less and less every month. However the majority of landlords own between 1-3 homes, worry about the tenants in their homes, legionnaires regulation, PAT testing etc. They want a local expert who they can trust (52% of respondents to Property Academy Survey said this was the reason they chose their agent). They can look a prospective tenant in the eye and work out if they will be a good risk, or a tenant from hell. Sacrificing this expertise for a hap-pence of tar - placing at jeopardy their biggest asset? Most landlords prefer to play safe. Our best USP is our tenant pre-vet. We visit tenants in their own home before we let them into our landlords house. I've not found a computer based risk model credit report that beats good old shoe leather and face-to-face interaction.
From:
Glenn Ackroyd
30 May 2015 22:05 PM
£4.5m is a phenomenal marketing burn rate if those figures are true. With Easy Property having indicated a desire to float it will be interesting to see what profit figures are produced. Ultimately that is the only true test of whether they will be a market disruptor that is here for the long term. It will also be interesting to see their pricing model compared to Purple Bricks - price led models only result in ever decreasing squeezing of tighter and tighter margins.
From:
Glenn Ackroyd
29 May 2015 09:37 AM
@Tom Harrington - You're right. Rightmove have not budged on their fees and continue to milk the super monopoly position they enjoy. They'll be there for a few years yet whilst OTM and Zoopla battle it out - What's clear is that Zoopla have lost customers defecting to OTM - but buyers don't have a clue about OTM - OTM have got a real uphill struggle and they need to pump tens of millions into marketing to get into the public consciousness. I fear it is a battle too far, but I wish OTM all the best - Because one dominant player is not good in any market.
From:
Glenn Ackroyd
21 May 2015 23:05 PM
Totally agree with Quirk on this and echo the sentiments of Kelly Evans and Robert Ulph - long tie ins are the poor agents get out for overvaluing and allowing pressure to mount on the vendor to reduce the price. Long term tie ins work against the vendor and agents giving realistic market valuations. Why a tie in anyway? Vendors are not going to maliciously up sticks and go through the pain of moving agents without just cause. You should never force a pressed man. It's time for the industry to move with the times.
From:
Glenn Ackroyd
21 May 2015 22:59 PM
Hi Robert - I agree that message taking PA services does not amount to providing a service other than message taking. But we don't do that. You can do the things at 1am that you can do at 1pm - eg book an appointment, make an offer etc. We also have Live Chat via Yomdel operating 24/7 - they will guide people on their online experience, eg booking a viewing online, or suggesting they make a call if it needs a 1-1 conversation. Quite a lot of people prefer chat to speaking. Our online chats account for 49% of out of hours enquiries, compared to 38% calls.
From:
Glenn Ackroyd
18 May 2015 23:10 PM
Thanks Daniel - to update on this - I've had a conversation with CXG where they have confirmed that they are also 24/7. So going forward I've confirmed that I'm happy to remove 'We're the ONLY 24/7 agent in Haverhill', to 'We're open 24/7...' etc - i.e. removing the 'only' reference.
From:
Glenn Ackroyd
18 May 2015 11:20 AM
Hi Daniel - The video explains, but we are open 24/7. 38% of calls come in outside office hours, 24% at weekends and 49% of LIve Chats are out of hours. This enables people to book viewings, make offers, pay rent, submit tenancy applications, report repairs etc. So it is not a 'message taking call service'. Thanks
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Glenn Ackroyd
18 May 2015 10:05 AM
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