There’s a reason why Aesop’s fables resonate today. They delve deep into the human condition with gentle songs of pin-pointed truth. Consider the fable of the North Wind and the Sun:
The North Wind and the Sun argue over which is stronger. A competition ensues to see who can make a passing traveler uncloak. The North Wind goes first. The harder it blows at the traveler, the tighter the traveler wraps himself. The Sun goes next. Its golden rays part the looming clouds. Its warmth reaches down in a gentle embrace. The traveler removes his cloak.
For me, this is now a real estate fable — a parable that explains the Web 2.0 flowering that took place last week at Real Estate Connect.
The North Winds of real estate
Saturday – After returning from Connect I’m sifting through emails, noting those sent in from non-attendees. They are all the same: “So tell me what’s hot and new for real estate?”
I didn’t answer. It was too soon. I was still comatose. This morning I had it sorted out. Here goes:
The North Winds of real estate have been blowing for years. Huffing and puffing. A tornado of insufferable narcissism. A hurricane of questionable value carrying the detritus of brand blunders. A blistering gust of fees that run afoul of consumers’ perception of what is fair.
What’s hot in real estate is the end of that nonsense and the beginning of a new industry. Here are some of the things that will define it:
Web 2.0. Everything that real estate is going to become revolves around this phenomenon. Web 2.0 is real estate gathering everything it ever was, every ounce of respectability it once possessed, every service proposition, every conversation and every bit of knowledge and taking it online. It’s about flushing the forms, the dubious propositions, the bait and switching and the ridiculous vanity marketing down the drain and getting back to what real estate is really about – welcoming people who are interested in real estate to become part of a conversation.
The death of lead “capture”. This frigid, useless, pointless residue of a really bad idea based on placing a headlock around an unsuspecting customer, flipping them onto the mat of bad service and pinning them with a ridiculous barrage of dripping nonsense is over. Fizzled. Goodbye.
Real Estate Connect. Real estate’s Fountain of Youth. It needs to last a week and be attended by more people.
Listings distribution. Sellers want their home promoted everywhere. Agents and brokers, if they’re honest, want their listings promoted anywhere. Anything less is dramatically insane. That’s finally starting to sink in.
A new role for “Vendors”. Once upon a time, outside service providers groveled for business peddling donuts. The term vendor itself was an epithet in real estate. Those days are numbered. Real estate is now web based. Branding and differentiating require superior online marketing techniques and applications. I walked the corridors and met the innovators. Most are super bright with great products that can make a huge difference. Brokers, open your doors. This time, you buy the donuts.
The moment. Instant gratification. Instant knowledge. Instant access. Instant information. Quick ping. Blogging. Texting. Poking. Real estate companies are starting to get that catering to the individual needs of their customers – the moment they want something — is where it’s at.
Talent. We’re not all born to be rock stars or brain surgeons — or real estate practitioners. If you can’t blog, brand, market, list, text, multi-task, or partner, how will you compete against those who can? I suspect most brokers who attended Connect are going to have a hard time reconciling the crowd at their next sales meeting with what they saw in San Francisco.
The warmth of the sun
I asked the speakers sitting on the social media session I moderated what doesn’t work in the Web 2.0 world. Each, without hesitation, said “the hard sell.”
That’s the wind. It was quelled at Connect and replaced by the warm sun of progressive thinking. The soft embrace replaced the headlock, the conversation supplanted the pitch.
You should have been in San Francisco. If you weren’t, sit tight. The 2,000 who were are heading back to their corners of the world with their brand new rays of sunshine.
- Davison
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Marc–fabulous post. I was at Connect and found it really valuable. I do wonder how long it will take for this revolution of common sense to take place. Most folks in my office see what I do with my blog and think it is just plain crazy.
They may be right, but it just may be a lunatic that my future clients are looking for…
*I kid, and thank you, Billy Joel!*
Thanks for the nicely done recap. For those of us who couldn't be there, all this information is invaluable.
And this was a lovely description.
Marc,
…ideas are like compost, aren't they?
And donuts will bring you a customer or two, despite all the gluten-intolerant and calorically-conscious people out there.
The hard sell does not work; the real evidence of this: the fact that most Realtors still do not have a website. (You do have to have donuts for this group -reaching them on the phone is possible but may take all year.)
The other group of Realtors still do not understand the basic premise that marketing is achievement, not activity. They point themselves at marketing programs reluctantly, often not considering the cost and are often sold a bill of goods on DIY, SEO and SMS ending up with alphabet soup and nothing S-O-L-D. (For this group, you sometimes need therapy.)
The rest of the Realtors and brokers often stare at each other before the stare at a vendor. The broker will usually tell a vendor all his Realtors work independently, so a meeting with them will be tough. And these Realtors know what they are doing, often don't want to work in teams, but can't figure out what globalization is doing to the real estate market, don't honestly believe that they are a conduit for information and service specialists and get beat down with the commission stick by sellers. (Their stare is a hungry look. They need to eat, obviously – but they don't neccesarily want to pick up the tab.)
So who do face?
Do we use the consumer to drive the Realtor to the vendor?
Or should we put the donuts on a stick?
Steve
Obeoman
Compost: Yes. That's the premise of 1000watt Blog. Ideas to be shared, sprinkled in hope of bearing fruit.
The Hard Sell: When the question of what doesn't work came from the audience, David Gibbons of Zillow responded lightening fast, then echoed by the rest of the panel. There's not a person alive that enjoys the hard sell. It's a tactic relegated to those who who don't understand their customer. Its born out of frustration. Out of feeling trapped with no way out. The soft cell – the engagement. Charm. Tact. Investing time. Its something we all are drawn too.
Broker Stare: I've been on your end. As a vendor. Selling software. It's this simple. Make your pitch and bring gobs of facts. If they don't get it – thanks the for their move on.
Independent Agents: I will remember this moment forever – A broker sat in my hotel suite and reiterated a passionate speech he gave his group of independent agents. The ones that use his office, his brand, his copy machines, his toner, his phones, his paper, his board room and benefit from his amazing website, his technology and brilliant vision for the future. He showed them two things: His vision for the future and the front door. They had a choice. It seems they all chose his vision.
If brokers have issue contending with their agents then they lack vision, they lack leadership and they lack balls. Today, you need all three to build a powerful brand.
Real Living is doing and growing fast strictly enforcing environmental branding and adherence to systems and programs.
Donuts on a stick – Here in California, we have a Mid-State Fair. Paso Robles. One of the treats they serve is a deep fried Hostess cake of some sort. Those who line up for these things are busting out of their tight Spandex leggings. Or they’re asking their Daisy Dukes to stretch well beyond their wildest imagination.
They are gorging on the wrong content. Same holds true in real estate. The donut pushers are selling calories. Marketing calories. Website calories. Branding calories. None of that stuff is good for anyone.
Put the donuts away. Be lean and fit. If donuts are required to lead a session find another session. Find companies and agents who are hungry for information not food. Hungry for the great technology you possess.
Hey Marc,
It was great seeing you at Connect. Wish we had more time to hang out.
I agree, lead capture is dead. What I believe we are seeing now is lead cultivation. Agents need to participate in the conversations that circle communities. It's not just about getting an email every time someone fills out a lead form. Agents need to show how they can provide expertise. That's where tools like SpotIt, StreetAdvisor, Trulia Voices, etc are going to connect with customers looking for a local expert.
This participation needs to be a part of any successful companies culture.
Exactly. I dub the new paradigm "engagement."
There is a reason why 200 million people actively, willingly sign up on social networks with their real name, their real email address and their real profile. They are eager to participate. They are engaged.
SpotIt engages. I cant tell you how many times I find myself in a new city alone on business trying to find a decent pizza place, or a simple comfort food restaurant or a cool hang out bar with local original music.
Too darm many.
Signing into a local networks like that across the country would be highly beneficial. Imagine if that conversation occurred on a real estate site. Oh wait…you have!
Excellent recap, Marc. I was only there for Blogger Connect (which was, itself, a terrific opportunity for learning and connecting with some of the best in the biz). There are obviously so many folk who are waving goodby as the boat leaves the dock. I'm enjoying the journey.
That boat is heading off to the Bermuda Triangle.
Things are going to get really here on the mainland. Sit tight man, we're going to be all over it!
Thanks for the nicely done recap. For those of us who couldn't be there, all this information is invaluable.
And this was a lovely description.