Not my listing? Not my problem
Study finds poor response to inquiries about other brokers' listings
By Inman News, Friday, April 3, 2009.Most real estate agents won't expend much effort responding to inquiries generated by their own Web sites when they concern another broker's listings -- if they respond to them at all -- according to a "secret shopper" test of 100 IDX-powered broker Web sites by the consulting firm WAV Group.
The test was aimed at exploring whether Internet Data Exchange (IDX) reciprocity agreements are serving the needs of consumers, or if they undermine the relationship between consumers and Realtors by overrepresenting the depth of knowledge a site owner has about listing details.
Many real estate brokers display not only their own listings on their Web sites, but those of other members of their multiple listings service (MLS) via IDX agreements governing the sharing and display of property information online. Those brokers will commonly refer inquiries that come through their Web sites to their own agents, even when the inquiries concern properties listed by another broker.
A WAV Group white paper summarizing the secret-shopper test results concludes that customer satisfaction is likely to be higher when consumers visit sites that syndicate listings such as Realtor.com, Yahoo! Real Estate, Google Base, Trulia, Zillow and Cyberhomes, because those sites refer inquiries to the listing broker or agent.
"I would not presume that brokers are going to pull down their IDX sites anytime soon, but I do believe that brokers need to take the relationship with the online consumer more seriously and deploy solutions that will improve response rates to increase consumer satisfaction and confidence," said WAV Group partner Victor Lund.
WAV Group's secret shoppers visited 100 broker Web sites in 48 states looking for properties that were listed by another broker through reciprocity agreements.
The secret shoppers requested additional information about a home from non-listing agents by e-mail and phone. The goal was to see how completely their questions were answered, and how long it took to get a response.
Some of the questions were easy to answer -- the information requested was in the listing itself -- while others could only be answered if the agent had seen the property or contacted the listing agent.
One-third of e-mail inquiries were never answered. While 68 e-mails did generate some kind of response, only 25 agents answered some of the questions posed, and only five answered all of them. The average response time to e-mail inquiries was 10 hours, 16 minutes.
When attempting to obtain more information by phone, WAV Group's secret shoppers found that they were able to obtain information the information they were after less then 20 percent of the time.
Of the 100 listings, 29 did not include a phone number at all, and seven displayed a random agent's phone number. In dialing the 64 listings with phone numbers, the secret shoppers were only able to reach 58 agents, none of whom was able to answer questions about the listing.
Some agents "simply read back the (listing description) as it appeared on the Web site, reading the remarks the listing agent entered into the MLS," the white paper said. "Some agents actually made suppositions about the improvements made to the property based upon what they admitted that they could determine from looking at the photos displayed with the listing."
Secret shoppers "came away from these conversations with the impression that the agents simply did not know a lot about the properties they were discussing," the white paper said.
While many agents promised to call back with more information, only 17 did.
The WAV Group study raises the question of whether brokers should display only listings their agents can discuss knowledgeably, and points out the importance of consistently training and coaching agents to understand the value of responsiveness.
Technology like smart phones can help, but "it all begins with a burning desire to 'be there' for customers as they contact you," the white paper concluded.
Brokers should measure consumer satisfaction with online inquiries internally, and boost satisfaction by improving frontline phone support, using lead routing and management tools, and creating an in-house system for storing information about listings that goes beyond MLS data, the white paper said.
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Submitted by Bill Fooks on April 3, 2009 - 2:57am.
Bill Fooks
TFT realty Marketing Service
Warwick, RI http://www.fooksteam.com
I feel most agents are not really in the business of real estate, but just trying to earn a commission. It takes huge effort to be in the game. When in the game, you learn that you are worth more than the fees being charged. Most agents don't get it and the report you reviewed, is unfortunately true. We often have wondered, on our team, how to seperate out the FBN's (fly by nights) from the real agents whom really want to serve.
Submitted by Jim Lee, Portsmouth New Hampshire Realtor on April 3, 2009 - 3:34am.
Those agents must be nuts.
I'm always delighted to get a property call on anyone's listings. I'm not always familiar with some of them but a quick phone call or even a visit can get you up to speed pretty quickly.
Jim Lee, CRS, ABR, GRI, NAR Certified e-PRO Trainer
Realty Executives Associates, Knoxville, Tennessee
www.KnoxvilleHomeCenter.com mailto:Jim@JimLee.com
(865) 693-3232, My Personal Toll Free # 1-800-662-2488 ext. 163
**********************************
Submitted by Deb Agliano (DebOnTheWeb) on April 3, 2009 - 3:41am.
I'm not at all surprised by the results of the "secret shopper" test. Last week a buyer contacted me about a low priced property for sale in the city. It wasn't my listing. I answered his questions and scheduled a time to show him the property. He told me that he had contacted 5 other agents in the city by both email and phone and no one else had gotten back to him. Not a good way to run a business.
~~~
Deb Agliano (AKA DebOnTheWeb)
ERA Andrew Realty
www.DebOnTheWeb.com
Follow me on Twitter: http://twitter.com/DebOnTheWeb
Submitted by Anthony Longo on April 3, 2009 - 3:46am.
Boy this study is long overdue! Not surprising to me one bit. I have not dug into the details of the report yet, however, it is the sole reason we transformed our business from an advertisement & lead generation business to a web-based real estate broker.
I met with 10 of the top developers from around the country in 2006 and online lead followup/drop-out and lack of conversion was the single most disappointing subject in every meeting - the reason for me signing up for my brokers license the following day.
Should be interesting to see how the general brokerage community fairs to this. I know companies who concentrate on web-leads like our company, Zip, Redfin and others - have had great success in fulfilling business. Its surely a different approach and you need someone responsible for it to really make it work - but with some tools and a highly organized team - anyone can do it.
Anthony Longo
Founder & CEO, CondoDomain.com
Submitted by Judy Orr on April 3, 2009 - 6:53am.
I've also talked to buyers who tried contacting others with no response. But unless I'm with a client, I answer my phone. I check my e-mail constantly.
Will I get rid of my custom IDX? Are you kidding? That's what prospects keep coming back for.
We have a huge MLS, one of the largest if not the biggest in the nation. I've never even heard of some of the towns that come up, so there's no way I can know about every property someone inquires about. I might not work in that area, but I'll get the information for the prospective buyer and will offer to refer them to a local agent.
Judy Orr
Tinley Park real estate
Classic Realty Group
708-536-8200
Submitted by John Rakoci on April 3, 2009 - 7:25am.
I subscribe to MLS services in two adjoining states covering 3 counties. It is impossible to know the details of over 12,000 listings. Any email or call is answered, usually within 30 minutes. I work mostly with buyers and am extremely selective on listings accepted. It is great to hear the results as those agents contacted will not be in business long, even a shorter period if BICs ever realize how some actually damage the business.
Submitted by Ken Lampton on April 3, 2009 - 7:49am.
This whole story can be summed up in this sentence: "I believe that brokers need to take the relationship with the online consumer more seriously and deploy solutions that will improve response rates to increase consumer satisfaction and confidence," said WAV Group partner Victor Lund. This is a political statement rather than a report on a scientific study.
Real estate agents are not public servants. IDX is advertising. Its primary purpose, like the purpose of newspaper ads, is to "make the phone ring." I'm sure most agents want to be polite and accomodating, but they also know all "leads" are not created equal. They are logically going to go after the best leads first.
Mr. Lund simply want all IDX leads to go directly to the listing agents, and he is willing to devise any test he can to support this political goal.
Submitted by Steve Gillespie on April 3, 2009 - 7:58am.
On an even more troubling level is what I seen as “listing bashing”. Some agents, in an effort to ally themselves with the new client, will bring out advice on steering clear of a property by using the less favorable attributes of the property as ammunition.
Partly because they do not want be inconvenienced, and partly because it easily scores more points on the supposed credibility chart with their new best friend.
It’s a great ploy; you become the savior, confidant, and trusted advisor to the new customer and never had to leave the office; (and for the mere expense of the other listing).
Meanwhile, the listing agent is busy pitching the benefits of IDX to the Seller, urging them that the other agents who get the calls will “champion” and show their property: Of course the Seller takes the bait, hook, line and sinker.
I think getting the calls to the specific listing agent is where we will be in a few years. And isn’t that really where the “Seller would want” the call to go?
There are so many nuances in this business which never get fully explored or explained to the Seller. Others are the myths of open houses, and MLS tours, and are for another article. But, carrying on the status quo rhetoric will not advance our cause, or credibility.
Submitted by Jon Astaris on April 3, 2009 - 8:43am.
In all aspects of human endeavor technology is ahead of the law, but probably nowhere as far ahead as in the real estate brokerage field. I can't speak for other states, but in California no amount of disclosure or "As Is Where Is" contract language absolves the broker of implied responsibility, and this is especially true these days when the lenders are the sellers" in half of the transactions, and push the legal burdens on the desperate brokers.
Technology provides the excuse for lazy asset managers and lenders to give hundreds of listings to one "contact" broker who cannot possibly service what he lists. He never sees most of the actual properties but passes them to his teammate or office help who slaps them into the MLS and waits for "selling" brokers to do their work.
These selling teams play a numbers game as well, there are thousands of listings in their ever-widening "target" areas, no one can, no one tries to know all one NEEDS to know, so the consumer is left to himself, signing an arm-long list of disclaimers and disclosures. When the consumer gets hurt he runs to the courts and the courts make ever-more outrageous decisions trying to protect him at every step of the way. Which results in more disclaimers, which lead to chaos.
One thing is certain: yesterday's business model is dead, this morning's will be obsolete by 5:00 p.m.
Submitted by Matthew Hardy on April 3, 2009 - 12:17pm.
The summation of the white paper's recommendation:
> creating an in-house system for storing information about listings that goes beyond MLS data
This is exactly what we do.
It is all based upon providing exemplary customer service.
Matthew Hardy
CEO/President
Real Estate Success Tools
480-626-4461
mhardy@realestatesuccesstools.com
www.realestatesuccesstools.com
Submitted by Jerzy (George) Szkup on April 3, 2009 - 12:20pm.
George Szkup
www.DestinationTucson.biz
Personally, I am surprised. As a broker, I know that we have a number of unqualified and unprofessional agents but I did not expect these numbers. Somehow, this does not make any sense. Every inquiry is a potential prospect - why would the agent ignore it?
I work mostly with buyers and there are very few of them now. Of course, few cases may be "justified" - I work in Tucson, AZ and I had couple from Canada wanting a house on a lake (in Tucson?)- I responded any way and suggested a house with a large swimming pool - never heard from them again.
I wonder how accurate this research was?
George Tucson Home Advisor LLC - Realtors.
Submitted by Lenn Harley on April 3, 2009 - 1:20pm.
This is my business. I am a Buyers Broker. I have no listings and offer help to home buyers. If the IDX is killed, the consumer will have no choice but to deal with the listing agent.
Is this what this survery is leading to??
Lenn Harley
Broker
Homefinders.com
http://www.homefinders.com
Submitted by Peter C. Fyler on April 6, 2009 - 11:19am.
I too am an exclusive buyer agent and I work in a niche market --- Martha’s Vineyard. I maintain an IDX and I am familiar with at least 95% of all listings available in my market. Matter of fact, I have the largest catalog of property photographs of any agency in my market. I make it my business to know the market and I make it my business to respond promptly to all consumer inquiries. But alas, there are too many who fit the description profiled in your survey. I believe the IDX tool is necessary and for those who cannot walk the talk, they will lose more than the cost of maintaining an IDX.