The Future of Real Estate Brokerage
Friday, August 3rd, 2007In recent years, the rise of Web 2.0 Real Estate companies such as Zillow, Trulia, etc. has been the subject of many discussions and analyses. Does Zillow have a chance to succeed as a web 2.0 real estate business model (and as a first mover)?
Well, that remains to be seen…
Web 2.0 real estate companies, such as Zillow, have a long way to go to prove that web 2.0 real estate is the wave of the future. Maybe it is… Maybe it isn’t… Zillow, and the like, have a long way to go to prove that the model is profitable. Sure, they offer cool tools… and the public enjoys using them but generally the public is not ready to utilize the services of non-traditional brokers; at least not now. It is extremely difficult to make the public change its needs and wants. But I must say, it is not impossible.
However, if and when it becomes advantageous to be a web 2.0 real estate company, what’s going to stop traditional brokerages such as Coldwell Banker, Remax, Century 21, or Realty Counselors to establish their web 2.0 gateways and utilize their already established reputation to quickly gain market share in the new Real Estate 2.0 era? Essentially, very few, easy-to-overcome barriers. It is always better to be first in the mind than to be first in the marketplace.
