Strategic Planning 2007 Judith Lindenau, CAE, RCE [email protected].

Strategic Planning

2007

Judith Lindenau, CAE, RCE

www.judithlindenau.com

[email protected]

1. Retirement of 82 million baby boomers, Younger consumer profile in associations

2. Future of MLS—Google Base, Gateway

3. Banks in Real Estate; The changing professional profile of the member

4. Government regulations on how you market your listings

5. Transaction Management Platforms

6. Challenges to the American Dream; Affordability, and Mortgage Marked Instability

7. Consolidation—MLS Operations; Brokerages

8. Declining New Home Sales by REALTORS

9. Declining Commissions

10. Consumer Controlled Process in Property Sales

MLS Data Consolidation Business-like approach to

Member (association customer)demands—30 day decision

Widening the real estate community (membership)

Inclusion of public consumer needs in association decisions

geezers often Have had only one to three jobs in their careers; Consider their work a vital part of their "social

identity;" Have not generally recognized the value of diversity

until late in their careers; Consider "paying your dues" essential; Learn in traditional ways such as reading and

classrooms; Dislike and distrust technology Are unfamiliar with the pressures of two-career

families.

geeks often Are committed to making a life, not just a living; View team-building, engagement, and partnerships as

essential to leadership; Recognize that with diversity come new perspectives,

ideas, and insights; Desire and believe that they can better the world; Are experimental and entrepreneurial, less loyal to

employers; Learn through both traditional and experiential means; enjoy technology Are more secure with insecurity and change; Have multiple careers, thanks in part to longer life

expectancy Have limited time for association work

To help evolve real estate transaction standards (RETS) which will allow Brokers to manage their listings in multiple systems.

To actually manage the syndication of Participants’ listings.

To provide data security and safeguard consumer privacy.

To keep members well informed as social media evolves and encompasses their listings.

More and more data appearing on the Internet A steady flow of New Business Models Technology that makes it possible to serve larger

market areas but MLS service areas that do not encompass these same expanding markets

Brokerage firms getting larger and expressing concern for the cost and inefficiency of belonging to multiple MLSs

Decision-making barriers resulting from outdated governance and/or ownership structures

Association reliance on MLS cash flow and concern for staff jobs

The question of who owns the listing data

Inman News “The Future of MLS” prepared by Ann Hale Bailey; “National MLS” by Brendan King

Web 1.0: The brokers’ goal was to get consumers to visit their websites and stay as long as possible. (example: IDX created stickiness)

Web 2.0: The goal is to make content available on other sites or have custom information delivered directly to subscribers.

Properties in the repository could be flagged by status, such as whether the property was for sale or for lease. "The information that would be contained in this database would be comprehensive; it would be relevant; it would be accurate; it would be objective; (and secure). It would have official and unofficial information in it. It would be able to be annotated, supplemented and corrected by the professionals who utilize it.” (Gary Thomas, PAG chairman)

This data repository would be fully owned by participants, and would have "a standardized data structure so that when you're looking at the records -- no matter whether you're in New York or California -- you would be looking at the same data records. It would have consistent business rules across the entire system." (Gary Thomas, PAG chairman)

Participants would be responsible for rules monitoring and enforcement at the local level.

Access to the repository could be through local or regional providers. "It could be your local MLS; it could be an association that could then have the front-end that you wanted, or it could also have the participants going direct.”(PAG Chair Gary Thomas)

“The goal is to provide information to members only.” (Mark Lesswing)

"From a general antitrust standpoint, this proposal removes a lot of barriers in terms of brokers having to join multiple MLSs. The more you bring those barriers down the more the feds would like that." (Laurie Janik)

"A national repository of information is coming and we have to be the one to do it. Is it a national MLS? No. It is a national repository of information, which could lead to things like that. We're not going to shirk away from the fact that those things can happen, but we think the most important thing is to get in the game and make sure that we have addressed the need to have a national site with the information on every parcel.“ (Dale Stinton, NAR CEO)

The purpose of this PAG will be to meet beginning in September and “work out the next steps”(Mark Lesswing)

The Gateway PAG is scheduled to report to the NAR Leadership Team in May of 2008.

Staff budgeted for a line item called "gateway" as part of the Second Century initiatives.

This funding will not begin until January 2008. (Mark Lesswing)

Use technology to create community List the ways you can network Share information Market to each other “Participate” Take group action

Redefine Community Concentrate on business decisions

relative to services

Social journalism, user generated content

Google Search Engine Blogs Wikis Forum Communities of experts or interests

On July 3rd Redfin launched “message boards” eliminating in-person property reviews and providing instead a forum for consumers to talk about real estate to other consumers and they are not alone:

Zillow offers “Zillow Discussions” Trulia offers “Trulia Voices”

REALTOR.com and Move.com announced plans to integrate REALTOR friendly user-generated content and social networking.

A Domain (8 in 10 agencies have a website)

An IDX solution

Social Media: A Blog (Reported at Inman: a Reno agent with $10,000,000 in annual sales after only 3 years in the business attributed 95% of this business to her blog.)

Forrester Research’s Charlene Li’s Advice to NAR

“Long term success hinges on meeting consumer

needs– not REALTOR® needs”