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'

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. ...