A former agent with Purplebricks has made a number of allegations about working practices at the online agent.
Purplebricks has strongly refuted bad practice, saying it demands the highest standards and has zero tolerance of non-compliance among its agents.
The ex-Territory Owner has asked not to be identified, but was with the hybrid agency for over three years, leaving towards the end of last year. They now work for a high street agency.
During the ex-TO’s time at Purplebricks, they kept a running blog, called ‘My Life in a Cult’, which made a large number of claims.
One claim is that agents who were going for a new instruction filled in various ‘boxes’ one of which purported to show the vendor how many potential purchasers were looking for a home like theirs.
According to the former TO, the agents filled in any number of potential purchasers, pulled from the air.
The agent said that Purplebricks had a system called Dave which registered potential purchasers: “However, as Purplebricks is not particularly a buyer-friendly agency, this system is very rarely used.”
The agent said that Local Property Experts would put in any number, and said these ranged from between 50 and 1,200.
In the ‘My Life in a Cult’ blog, the agent said they would like to have written a letter to Purplebricks customers saying: “The demand number (ie, number of registered buyers looking for your home) is completely fake . . . Should you wish to get your money back or get your agreement cancelled, I would be happy to support your case.”
Other claims include:
- The former Purplebricks agent also said that satisfaction surveys of the in-house conveyancing services were sent straight to the LPEs and filled in by them, with full-star ratings. LPEs, claimed the agent, were paid £3 each per completed survey.
- Portal juggling was rife until Rightmove changed the rules. Properties would be pulled, and then put back after 14 days, to appear as ‘new’. The ex-TO said: “I saw these in their hundreds, if not the thousands.”
- LPEs were encouraged to ‘bury’ negative reviews on Trustpilot. These were routinely withdrawn while Purplebricks investigated their authenticity. When put back, the negative reviews would be ‘buried’ under the many positive reviews that LPEs were encouraged to get from customers.
- There was total emphasis on winning listings, with the result that LPEs did not know whether sales were going through, whether there had been offers, prices reduced, etc. The ex-TO says there were no performance reports, and says that agents were “flying blind”.
- Territory Owners have had postcodes in their areas pulled and redistributed, and some have had their complete areas removed.
We put all these claims to Purplebricks.
Yesterday, a spokesperson said: “Purplebricks is committed to the highest standards of customer service.
“We have zero tolerance for any inappropriate or non-compliant practices and expect our local experts to conduct themselves accordingly.”
Comments (37)
I’d like to revisit the post near the top of the thread, by ‘Ohmygod’.
“With regards to the sales ratios, this is also fudged, mainly due to the fact I have 27 properties currently on marketing breaks…”
Your statement – or should I say UNDERstatement – that figures are fudged is a given.
I would suggest that properties languishing OFF THE MARKET on Purplebricks’ “marketing breaks” – which are nothing more than a gross disservice to their PAID customers – probably form a tiny percentage of the ingredients that go into that fudge recipe.
“(I am not looking forward to these coming back on as I couldn’t sell them first time round)”
Then I have to question why you took the instruction in the first place if your confidence level of “selling” is so low?
Actually – scrub that question – I think we all know the answer. Let me ask it another way instead.
If you were a ‘normal’ Estate Agent… No Sale No Fee… how many of those properties would you have accepted instructions for on exactly the same basis as you have as a Purplebricks Territory Caretaker?
And more importantly, how many of those 27 properties would be today sitting on the hard shoulder of the ever-moving freeway we know as the property market behind a cloak of invisibility and allowing unknown numbers of potential buyers to pass by them at 68.7mph every minute of every day?
I look forward to your response, Ohmygod.
We take them on as we need to get paid. We have targets to hit (did I say targets?) don’t tell HMRC please.
Ohmygod
Thank you for responding – if only for confirming what the rest of the industry already knows.
I am disappointed that you did not fully address my questions – but no doubt the readership will make their own conclusions… right or wrong… as to your likely responses.
I would also like to offer some advice – that whilst I appreciate there is a ‘coin-toss’ probability you may well ignore it, I sincerely hope you don’t and take the following action.
Do yourself and the industry (as I suspect you to be someone who actually gives a ****) a massive favour…
…and GET THE H£LL OUT OF THERE!
SO…
I had a brief exchange of views with another ex-TO this afternoon on Tw@tter on this subject.
The individual stated that the article claims are completely genuine and that the company response is a sham.
She states she has “every respect for the original leaders”. When I pointed out that those original leaders were the architects of the *********** (credit: Jonnie) that she now admits was and is taking place, she then claimed that “they only laid foundations and didn’t have the opportunity to set some flaws right”.
They had FIVE CHUFFING YEARS to put things right!! THEY DID SFA.
“Setting the flaws right” would have most likely seen the closure of the business.
Like they were going to do that.
Funny innit – how these LPEs and TOs played along with all the *********** when it suited them and milked the Purple cash-cow for all it was worth… but as EX-LPEs and EX-TOs they rush try to take a moral highground that they have no right whatsoever to set foot upon.
I wonder – is this something that CMA could be potentially looking into and these ‘whistleblowers’ are all scrambling under the rug they swept all the PurpleDirt under, to grass up and claim immunity?
Time will tell, methinks.
No moral high ground and I am not a whistleblower just a statement of fact. I have been categorically asked under the current regime to flout the law and perform unsavoury practice. (Which I refused … and was asked to leave not long after) Which means the statement from the company is completely false. I have no interest in taking PB down, or would I. With 25 years of experience it has been no different to any other agency across this land I worked for. An industry based on ego’s, PB provided excitement a new opportunity. All these ex TO’s and ex LPE’s are entitled to their opinion based on their experience. No different to the high street, PB isn’t shiny and new anymore, people will choose the agent they feel the best for them. Propaganda only works on the ignorant, shiny TV adverts, cheap fees, vendors know what they want. Some of the agents are good some are bad, some TO’s had the opportunity to make tens of thousands of pounds. Some were bang average and some were exceptional, some of the best I’ve worked with. Mixed in with that were some proper idiots, who could barely run a bath let alone an open house. I have no complaints about my time, I was complicit. Whenever HQ ‘made’ a demand just nod politely and do whatever you were doing anyway. (Joy of not being in an office) If that way of working works for you I’d recommend it as opposed to the high street. If you prefer the regimented high street then PB isn’t your bag. There is challenge and competition all over from all areas in life… only the strongest survive or as Darwin stated “the quickest to evolve survive”
Lots of large scale redundancies kept quiet from substantial agents across the South last year. The industry isn’t a pariah of innocence and its admirable the toothless Propertymark are trying to clean it up. There aren’t any agencies I know of that can quite claim the moral high ground just yet ..
OneEyedJack
Whilst I wasn’t actually referring to you in my post, your response reads as if you think I was in some way – and reading your posts again I guess you do actually fall under its’ remit.
You state
“No moral high ground and I am not a whistleblower just a statement of fact.”
but read your own post. You are blowing a whistle – loud and strong – as to the fact that the company applies unsavoury working practices… and blowing that whistle from a position of moral high ground to boot.
Like the ex-TO on Twitter that briefly engaged with me yesterday, and those above who have commented, what frankly makes my hackles rise is that whilst you may all have broken away from this “cult-like” organisation for whatever reasons you care to put forward, the simple plain fact is that you were all party to the goings-on described and lifted not one finger to expose from within, which would have carried infinitely more weight.
Once left – you are history in any organisation. You served your purpose – like a traded-in (or scrapped) car, they now have a nice shiny new model on the driveway and thoughts of the dependable old banger that used to be parked there are pushed to the backs of the previous owner’s mind. You are yesterday’s news to them – and anything you say about how they mistreated or undervalued you comes across as petty… or more likely in our incestuous industry as cheap shots against a competitor you were seemingly happy to work for at the time.
Take the guy who got his 500 reviews removed. He was quite happy to have them there when using them to get the next commission (ooooh look – the ‘C’-word!!) – but as soon as he left he wanted them all taken down. Sorry – but much as it pains me to say this, Purplebricks ‘owned’ those reviews… although I would suggest that an advisory note should be tagged to them that the employee is no longer associated with PB.
You and others seem to be trying to allude to the “issues” being recent, rather than historic. Again, sorry – but it;s a widely accepted ‘given’ that the people who engineered the company installed the original faulty motors and processes. It may have been “more fun” to work under them – but they rewrote the rules of Agency to suit their own ends on a ‘s0d the consequences’ basis.
Maybe the new regime is actually trying to heal the wounds and deep, ugly scars – I sincerely hope that be the case and welcome their actions in that respect.
But it will be a cold day in He11 before I believe it – I, for one, simply cannot accept that this Purpledog wants to be taught new tricks.
PeeBee…
Your rhetoric, is one of false and ingenuous, pious tripe.
The ‘fact’ you clearly have no idea what your talking about.
That said you are entitled to an opinion valid or not. Also to make a comment valid or not.
Thank you for the entertainment.
“Thank you for the entertainment.”
Firstly, whilst I note your supposed enjoyment, I do not post here on EYE for anyone’s entertainment.
Forgive me opointing out the obvious – but ’tis a strange person indeed who gets entertainment from being called out as complicit – which even turning a blind eye as you state was your response to demands “to flout the law and perform unsavoury practice” makes you a prima facie ‘guilty-as-charged’ example.
That out of the way – now to your comments.
“Your rhetoric, is one of false and ingenuous, pious tripe.”
Please note – you cannot be both “false” and “ingenuous” – at least not according to the dictionary definition I am looking at: honest, sincere, and trusting
I heartily appreciate your recognition of that honesty and sincerity – but respectfully request that you offer some form of explanation of how you feel my post to be false, despite that honesty. I’m afraid it cannot be both honest and false.
“The ‘fact’ you clearly have no idea what your talking about.”
So – educate me, then. I’m all for knowledge. Input… INNPUUUTTT! (credit: ‘Johnny’ 5 – Short Circuit) – more the better.
Your ball, OneEyedJack. The stage is yours – and the spotlight’s on you… just as you wanted it.
WOT? No dom-boy?
Funny, that…
I almost miss him & ducky.
In a “I almost miss them like I would miss having leprosy” kind of way?
I often sit and read through the comments, for pure entertainment value. Especially concerning PB having worked for them for 4 years in many guises. First time I have been compelled to comment. I can only speak from first hand experience.
Without doubt I was asked to work outside of regulations and have a mine of information that would make your hair curl or in some instances grow back.
Its unfathomable the blatant disregard anyone that ‘currently’ works in senior management have for anyone that seems involved in the company. The current turnover staff is proof of this.
Under the brothers regime, I have to be honest, I knew what I was getting into. It was a choice and chaotic but something I enjoyed and took a huge amount of experience from. I have a lot of respect for them and senior management at the time. I hastened to add I have made no financial gain from PB and had no prior involvement in any other ventures.
A company now run by people who don’t understand the industry or the people that work in it. You always have a choice though … one of the great things PB did was give the customer a choice … the agent the choice … some you win and some lose …
“…one of the great things PB did was give the customer a choice …”
Claptrap (New Years resolution to try to not use b0ll0cks). Utter nonsense.
EVERY Estate Agent gives the customer a “choice”. Where was the “great thing” in that?
“having worked for them for 4 years in many guises…
…I hastened to add I have made no financial gain from PB…”
So – you state you worked for them for four years but claim you didn’t take a penny in return?
I doubt you have many readers swallowing that one…
“Without doubt I was asked to work outside of regulations and have a mine of information that would make your hair curl or in some instances grow back.”
IF you have information about illegal practices taking place by Purplebricks – which I would remind is a PLC… illegal practices by ANY company or individual for that matter… that information should be passed to the appropriate authorities otherwise you are an accessory, plain and simple.
You… and goodness knows how many others.
I don’t understand where the law stands as far as Purplebricks is concerned. The above story alludes to fraud on a massive scale, telling potential vendors that you have buyers, but don’t, is scandalous.
We have our share of Purple boards in Dorset, we’re directing them here and suggesting them to contact Action Fraud (and Purplebricks direct).
Seems to me that Trading Standard should be investigating this. Soon.
Somehow I doubt that PB are the only agent in the country to over inflate the number of potential buyers they may have!
Agreed ARC. However I do wonder how such agents deal with the inevitable question from the vendor about a week after the instruction goes on the market…
‘You told me you have 144 buyers for this place so why have not had any viewings?!’
Data like this tends to come from the PCR on rightmove when it tells you that you have 50,000 potential buyers for that particular area but realistically how many of them are serious, motivated buyers – less than 1%??
I think the point here is that the seller is stuck with a £1000+ bill because of it.
My husband worked for PB- on call long hours, seven days a week..Earnings uncertain and definitely not as promised…Goalposts constantly being moved…When he questioned the honesty of some of their practices, he was swiftly’got rid of’
Management treat their ‘staff’ appallingly, all the while insisting to HMRC that LPEs are self-employed- When will this be investigated???
How can customers be expected to trust a company who treats their own ‘people’ in this way?
I hope that now more TOs and LPEs will feel able to come forward to expose what is happening within Purplebricks- shareholders need to be made aware of the can of worms beneath the purple veneer…
How odd, everything that many of us were ‘suggesting’ as being common practice over the past few years at #PURP are now being seemingly verified by whistleblowers. Such a shame that the powers that be who are here to protect the industry, have turned a blind eye, chosen to ignore or, in the case of the NAEA/ NFoPP/ ARLA taken money from this firm and publicly praised them whilst failing to enforce their own rules.
From my experience the majority of LPEs are good agents working in a horrendous environment. As a no sale no fee agent, there is less pressure from the vendor because no money has changed hands. When a PB vendor pays almost £2000 upfront, the expectations are high from the very moment the property goes live. Pressure on the LPE starts straight away. They have to produce viewings with no useable database and are expected to be available to the customers 24/7. This for a measly £200. The great culture and management team has now been replaced by a bunch of Haart/Countrywide yes men. Countless numbers of regional directors who add nothing to the business. Their idea of management is to send emails with pseudo inspirational quotes or set up WhatsApp groups congratulating people on gaining an instruction. However, when it comes to actually helping with customer complaints or the increasingly common non payment of LPE invoices, the RDs will happily throw you under the bus. The key issue here is that all TOs and LPEs are self employed but are spoken to and treated like employees. Not in a good way either. TOs are bullied and manipulated by RDs. No grown up conversations to be had here. It’s either keep quiet and do as you are told or we will terminate your license. This has created a totalitarian environment where no TO/LPE will speak up and give honest feedback. Thus reinforcing in the delusional minds of the RDs that they are doing a great job. This bright picture is then fed back up to HQ who then think all is great and report to the city “Everything is Awesome!” which in turn bumps up the share price until eventually it all blows up everyone wakes up at the bottom of an excrement filled skip. Apart from the management team who have collected fat pay checks, bonuses and shares. The real losers are the LPEs, the customers and the shareholders.
Puddle
Sounds horrendous .
, They do seem to have ferried in a squad of regional directors who I suspect get paid quite well for drum beating r They dont seem to have set the Thames alight The guy from Emoov springs to mind who was only there 5 minutes before it colapsed .
You can’t pin all the blame on Headphones .
The LPE in my patch seems competent and has always responded to questions well
What is the general feeling at Stratford Road of the appointment of “Ask Alexa ” Vic?
Sounds like a really great place to work. Not.
I don’t think these claims surprise anyone in the industry who keep an eye on local listings and get first hand feedback from clients who have opted to use what effectively is a paid listings service masquerading, through assistance from Rightmove and a toothless ASA, as an estate agency.
And after quiet days Monday and Tuesday on PIE comments; brace yourselves for a PB storm!!!!
Two guys did quite well out of this will be the legacy……
As a PB TO, I can confirm everything that has been said in this report.
With regards to the sales ratios, this is also fudged, mainly due to the fact I have 27 properties currently on marketing breaks, (I am not looking forward to these coming back on as I couldn’t sell them first time round) these are not taken in to account in their figures. (Be mindful, I only have 5 postcodes so I would hate to see what other TOs/LPEs have).
@Ohmygod, just wanted to ask, so 5 postcodes for example would be po1,2,3,4 and 5? Do you pay PB monthly for those postcodes?
No. A TO pays in the log run when they have to swallow the recruitment fees, build their area then when it is busy, have their postcodes taken from them bit by bit.
So the territory’s are given out freely?
No, the originals had much larger areas to recruit LPE’s in those areas to grow. Then you get a high almighty LPE who throws toys out of the pram because they want to be a TO and upper management (if you want to call them that), agree to shut them up which in turn is taking away bits of the TO’s territory at a time. Imagine growing an apple tree in the garden, all your neighbours steal your branches before you get to reward yourself with any fruit….
So… not really a Territory Owner, then, TFIT – more like a caretaker.
Exactly that. Territory owners are conned to build someone else’s business
But… given the fact that these people are ‘given’ a position with the title “Territory OWNER“, surely they have absolute rights to said “Territory”?
A Legal Challenge to this most distasteful and unfair practice would seem appropriate action in my EYE…
‘Ohmygod’
As this thread is stuck at the top of the comments, I have taken it down to the bottom with a post, and would genuinely welcome your response.
“We have zero tolerance for any inappropriate or non-compliant practice…..”
So, does that mean no more misleading SSTC numbers, included in the sold stats, that are published as part of the Annual Report?
Is the 77% a big fat lie and the truth more like 50%?
Perhaps P.I.E. could get a comment from Vic Darvey/James Davies/Deloittes on that.
Edit – thankyou Ohmygod – if the 77% is derived by excluding those “on marketing breaks” then James Davies/Deloittes need to make this very clear when presenting these stats to investors and the city!!
“We have zero tolerance for any inappropriate or non-compliant practice…..” So, does that mean no more misleading SSTC numbers, included in the sold stats, that are published as part of the Annual Report?
No, you’ve misread the statement Ostrich17. It clearly states they expect their local experts to conduct themselves correctly. The management and stats teams are free to make up any old BS!