TESCO’S ‘SELL IT YOURSELF’ ESTATE AGENCY IS FATALLY FLAWED Monday 2 July 2007 PDF Print • TESCO’S ‘SELL IT YOURSELF’ VENTURE WILL NOT SUCCEED IN GENERATING SIGNIFICANT COMPLETIONS • OLD STYLE ESTATE AGENCTS ARE IS SIMILARLY DOOMED TO LONG-TERM EXTINCTION • THE ‘HYBRID’ MODEL OF AGENCIES LIKE BRIGHTSALE IS THE ONLY FUTURE FOR THE INDUSTRY The Managing Director of the UK’s fastest growing online estate agency BrightSale today explained why Tesco’s new private sale property website (tescopropertymarket.com) is fatally flawed: “There are now three distinct models of estate agency in the UK: 1) the old-style high fee branch network agencies, 2) the pure ‘sell it yourself’ websites (like tescopropertymarket.com) and 3) what we call the ‘hybrid’ model – which is a combination of the best features of both. The ‘hybrid’ model is used by new online agencies like BrightSale. It is based on the success of other industries and it is the only long-term future of estate agency in this country. The pure ‘sell it yourself’ online model as proposed by Tesco is fatally flawed. Selling a home is a very big deal, and the feedback we have had over the past six months is that people do not feel confident in going it completely alone. They need the support not just of sophisticated online tools, but also of a properly trained single point person who can negotiate with buyers, deal with solicitors, chase up chains and attend to the many, many other aspects of completing a sale. The old style traditional estate agent is similarly in danger of going the way of high street travel agents. The costs of running a branch network have to be passed on to customers, and the lack of investment in online tools by the vast majority of these agencies has left them unresponsive to customer demands in an online world. The future is not bricks and mortar (and logoed cars and flashy suits) any more than it is ‘sell it yourself’. The only way forward for mass market estate agency is follow the example set by travel agents and conveyancing firms. They have spent millions on online tools to give their customers the support they need whilst dramatically lowering their costs. But they have also invested in state of the art UK call centres staffed by dedicated and trained professionals.” The UK is behind other European countries in developing an alternative estate agency model. In Holland, for example, woonaccent.nl has captured a 3% market share. But they have done so by combining online tools with dedicated professionals handling each sale. The future is certainly bright for online estate agency in general, but we believe it is clouded for Tesco. Note to Editors: The BrightSale model combines a low fee (0.5% with legal fees thrown in) with human negotiators based in a call centre in Manchester. The company was only established in January 2007, but already has over 130 listings. ENDS Visit the BrightSale website at www.brightsale.co.uk Read the BrightSale blog at http://brightsale.blogspot.com For further information contact: Adrian Pepper 07774 269755 firstname.lastname@example.org Andy Etches 07983 358823 BrightSale, email@example.com This press release was distributed by ResponseSource Press Release Wire on behalf of BrightSale.co.uk in the following categories: Home & Garden, Consumer Technology, Personal Finance, Business & Finance, Media & Marketing, Public Sector, Third Sector & Legal, Construction & Property, for more information visit http://pressreleasewire.responsesource.com/about.