Countrywide is to roll out its online offering across 25% of the network – despite a claim that evidence shows its current trial has not yet worked.
The claim comes from online agent Russell Quirk, of eMoov, who put together the chart below showing listings levels of the three brands running the trial – Austin & Wyatt, Spencers, and Frank Innes.
The pilot started in early June.
Quirk said: “The listings of those businesses have not improved at all.
“Whilst it’s fantastic for the online/hybrid sector to receive such a boost as the UK’s largest estate agent validating it by its own participation, it does not seem that Countrywide are able to execute on the concept very well.”
Yesterday, Countrywide’s shares had a lively day on the stock market after the group announced its half yearly results, in which it revealed that adjusted pre-tax profits were down 25%. It also warned that it was expecting transaction levels to be hit in the second half of the year.
The shares started at 234.24p, rocketing up quickly to hit 290.44p before falling back to close at 248.28p – or 2.3% up.
Comments (19)
I think it’s a good idea if I’m honest, and I used to work for CW and cannot stand them now.
A firm with lots of drafted in online retail experience, a pile of it’s own cash (not just sofa quids, beggings, borrowings loans, crowdfunds and the rattlings of a piggy bank) can’t uber agency so what chance has Mr Quirk got? His sector share has already been 4 fold eclipsed by a start up firm who are demonstrating that even being massively further advanced in terms of listings profit is as rare as steak tartare.
Putting aside ones personal views on online/hybrid estate agency,
MR QUIRK MUST BE BRICKING IT. On the notion that countrywide are rolling this project out. Whether it’s a success or failure it could potentially damage CMooves business model. Meaning that he has to reduce fees few and ramp up volume whilst trying to acquire funding me boys over the age of 17 to want to come work in his call centre,
so Mr Quirk. I think your monitoring of countrywide is what it really transparent. Your concerned about it.
PS. I don’t think countrywide give a hoot of the figures have improved or not. At this stage they must only be looking at the operational constraints and any unforeseen issues,
Can’t type correctly on phone. But you get the point.
Eamonn
I hope that we can keep this thread of debate well away from the AM/OTM situation, where eyes will clearly never meet and the bar is being lowered with every post, unfortunately (says one who is as guilty as the next man/woman/prefers not to disclose)
I am in almost full agreement with your post.
I would also imagine that Mr Quirk is simply the only CCEA who, by ‘coming out’ in this way, is flagging up their worry.
My feeling is there’s a lot of people bricking it behind closed (bedroom – sorry… but it would have been rude not to say it…) doors.
We’ll see.
Agreed
Interesting comments about the country’s biggest Estate Agency group who are in profit from an also ran in his own market and whose firm has not yet made a profit!
I imagine this story is being run because it highlights what a publicity-craving twit the man is. To criticise the CW initiative after such a short period of time is ludicrous.
Take all of the car-parking spaces posted as residential units, ‘interesting’ new-homes adverts and listings for his own HQ out of Mr Quirks own business advertisements and there isn’t much left in the kitty there either.
Ros, a little unsure as to why you allow a press release like this on here from him…
Journalist’s professional obligation – post newsworthy statements.
Yes and no, mrharvey.
EYE brings the ‘news’ that concerns our industry to us. One neat, easy-to-digest pill of sweet & sour; good and bad; newsworthy and downright ******** – but we need to be fed them all to know what’s happening.
It’s like multivitamins – you don’t need all of them… many of them you get yourself as the day goes on – but everyone needs some of them and everyone has different needs.
So Ros is simply administering here a taste of yucky medicine that will make you retch like a poisoned pup… but once that feeling has passed you will accept that you had to be fed it to keep you healthy in the long-run.
And that is what we’re all in this for, isn’t it – the long run?
Thanks again, Ros, for being our EYE on Industry news and views – keep ’em coming!
Maybe – just maybe – those that ‘Dislike’ this post should be seriously questioning their browsing preferences…
That’s just what I said, but with more words.
You should have tried more words – you get more ‘Dislikes’ under your belt that way…
I’m an adult. I don’t care how many Likes/Dislikes I get.
Oh, no, Sir – you should LOVE the number of ‘Dislikes’ your posts attract! Embrace every single one.
It means you’re getting to them.
Has eMoov worked then?
Because everyone trusts figures Mr Quirk pulls out of thin air.