Selling your home--A Game Changer

I was asked recently by a prospective seller, "Who would you most compare your company's brand to--Neiman Marcus or Walmart?". It is an interesting question, but I think there is another question to be asked in today's Real Estate market. As a business person and as a seller, the question that I am more inclined to ask is "Who are the 'Game Changers' in the industry? Who is really growing in Real Estate transactions and revenue?". As a seller, I am more interested in how a broker's business model works and what kind of revenue they generate from their clients, than I am in a brokers branding. Homes are generally NOT branded by the listing broker, so much as they are branded by their communities, architects and builders.

• The idea that there are "Walmart-like Brokers" and "Neiman Marcus-like Brokers" is not something that we would highlight in today's real estate market. This kind of positioning was more common 5-10 years ago. A more fitting comparison in today's business market would be to compare business models, rather than brokerage brands.  
  

Consider these companies and how they changed all the rules of their respective industries, and the immediate impact on business:

• Federal Express vs the US Postal Service
  
• Google vs Alta Vista
  
• Home Depot vs the local hardwood store 
  

All of these companies started with a better business model, and no brand recognition. Each quickly became the leader in their respective markets. Business quickly migrated to the better business models. Branding did not build these businesses. And branding no longer boosts trade in the Real Estate market. But it does still help some brokerages in getting listings (not buyers). 

If you are selling your home, my advise to you is to look at the business model first. Understand how the brokerage is going to advertise your listing to new buyers in the market, and how the broker's business model is going to help you sell your home--not just bring the broker more listings.

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