AgentMarkets & Economy

Spencer Rascoff: ‘The days of the part-time agent are over’

Zillow Group CEO says company is focused on 'creating these super agents and growing their business'

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Zillow Group's strategy of capturing the business (and advertising dollars) of top-producing agents seems to be paying off. In the company's fourth-quarter and overall 2015 earnings call, it revealed that its average monthly revenue per advertiser (ARPA) was $438. That's a big jump from $339 in 2014 -- a spike of 29 percent. Spencer Rascoff / "The increase in ARPA was primarily driven by high-performing agents buying more advertising inventory from us rather than by increasing the price for existing advertising inventory," wrote the company in a press release. As of December 31, 2015, the company counted 92,366 agent advertisers. Throughout 2015, Zillow Group saw ARPA increase while the number of agent advertisers decreased -- from approximately 102,000 in Q2 to 96,965 in Q3 to 92,366 in Q4 -- but that attrition hasn't seemed to hurt the company's bottom line. "The days of the part-time agent are over," said Rascoff during the Q&A period of the call. ...