New figures from Zoopla suggest a far higher use of online agents than has previously been quoted.
In its latest annual ‘state of the property nation’ survey, 6,000 consumers were questioned.
Included in a wide variety of questions was one which asked: “What channel(s) did you use when you last sold a property?”
Zoopla told EYE that 20% said they used an online agent.
However, because respondents were allowed to select more than one option, Zoopla says that “it infers” that some may also have used a high street firm.
To the question: “What channel(s) did you actually sell your property through in the end?” – 9% said it was an online agent.
The survey was conducted in the last quarter of last year, although the results are only released today.
The Zoopla figures are far higher than those previously quoted for online agents’ market share of listings.
For example, in January data firm TwentyCI put online agents’ market share of listings (not sales) at 7.9% for a fourth successive quarter in the last three months of last year.
Purplebricks’ ambition is to reach 10% overall market share of listings and according to The Advisory’s analysis of Rightmove currently has around 4.6% of the total market.
Until Zoopla’s figures today, a breakdown of actual sales between high street and online firms does not appear to have been documented.
However, EYE queried the new Zoopla figures, released to the trade press, which say that last year 79% of sellers instructed high street agents.
Zoopla adds that this was the highest proportion for a decade – suggesting that if last year 20% of sellers instructed an online agent, the remaining handful took the private sales route.
According to Zoopla only 63% of sellers in 2018 instructed a high street agent, suggesting that even more sellers used online agents then.
The percentages are averages: last year in Scotland, for example, just 64% of sellers chose a high street agent, compared with 83% in the south-west.
Zoopla’s figures also claim that last year high street agents sold 84% of properties.
Andy Marshall, chief commercial officer at Zoopla, said: “Estate agency as an industry is increasingly diverse and the emergence of onlines and hybrids have certainly given the market a new dimension.
“That said, with research indicating that high street agents are steadfast in their appeal, it suggests that all operators are working to differentiate and add value to consumers – whether it’s through local knowledge, sage market insight or competitive fees.”
Online agents taking 10% market share at lower end for first time in ‘significant win’ for sector
Comments (20)
Whats interesting is not one stat correlates.
Purplebricks claim to have a 3.8% market share internally.
That would mean the others have a fraction. I very much doubt it amounts to the stats above.
PB usually claim around 75% of that market – which would therefore equate to ‘the whole’ being just under 5.1%.
That is correct, the internet listing industry volumes are tiny, that has floated no higher than 7% but have been steady at 5% (ish)
It’s important to distinguish that online agency that was used to describe the passive intermediary/FSBO internet listers isn’t enough now to identify traditional , professional estate agents that no longer have traditional ‘A2’ offices from agents who whack stuff on the web for a fee or in Ray’s case facilitate a listing on the portals for free.
(Ray is honest about his trading model its time the others did the same)
Ignoring big data ( please ) for a sec and just using your own eyes, anecdotally has anybody been in any area, region town or city where every fifth board is an online only outfit?
Nope.
No, not even close.
Crikey, I wonder who pays for this guff? That’s right, it’s you, the hard-working servants of the data farmers, via your subscriptions. Now if only they’d use the money instead to innovate and modernise.
LETS JUST IMAGINE that this “report” is, in some way, factual.
LET’S JUST LOOK at the basic stats.
20% LISTED THEIR HOMES through an “online” Estate Agent.
9% SOLD THEIR HOMES through an “Online” Estate Agent.
That’s 45% success rate.
In other words, 55% paid for chuff all.
There it is – in black and white. Best bit of marketing material given to REAL Estate Agents by a portal since…
…since portals were invented.
Thanks, Zoopla. Not a phrase I use often…
It beggars belief that an organisation can ignore the actual, factual, line by line analysis of every single listing [to the point where every duplicated listing can be identified] and proclaim a limited bit of market research (1.22%) is more credible fact.
To say the breakdown has not been documented is ridiculous.
Surely Zoopla have their own data from their own listings on their own portal to find out who listed via a High St vs Online agent and then the land reg data to find what went full circle to complete?
I have a portal watch system that looks at listings, I clean land registry of its errors and duplication and at converstaion speed can verify who sold what for how much. If Zoopla are so far behind the curve they’re even considering doing market research to establish things like market share it is a very embarrassing indictment of where they’re at.
Hi Robert. Any chance of sharing?
It would be illuminating to see your breakdown of instructions, multi instructions, re-listings, sales agreed and completions for the ‘online’ brigade.
Portal watch is a part of rummage4 that we built, tested out with the portaljuggling stuff and have on the back burner to include as part of the r4p membership.
Providing an overview of what is going on in the market, who’s doing what is all part of helping our agents win instructions, it compliments what an agent has sold previously and how prices have moved since someone bought.
We’ve found that our reports tend to cause a bit of a kerfuffle when they get accidentally released so we keep them well locked down these days!
Is this the ‘portal’ that’s been being built for 100 years?
When are you going to release it? You never have a given date and it’s a constant teaser.
The problem is, other companies are doing quicker releases of products that you say this is for.
Just so you know there are bits of development work we’ve done that I am happy to stand aside on or pass over other people and I am happy to support their product development and integrate their products into rummage4.
That sets us out as different to the other property search platforms who either ignore small tech suppliers or attempt to rip off the innovation they’ve been shown.
Most people have twigged that what I’m building isn’t a portal, it is a system that is supporting an increasing number of agencies. It’s effectively the system ended disruption of the industry by people breaching CPR and BPR while the regulators, trade associations and redress schemes stood by and watched.
I have agents who now pay £2100 less each month for the Rightmove subscripions, I have agents who have dropped Rightmove altogether so while my system might not be launched in a big shouty way it is doing what it designed to do.
>I have agents who now pay £2100 less each month for the Rightmove subscripions, I have agents who have dropped Rightmove altogether
So let’s get this clear. This thing that is such a secret allows Agents to dump Rightmove? Or was it just that a particular Agent had to drop Rightmove or that Rightmove wasn’t helping them as much as it does other Agents?
There’s got to be some catch otherwise all your customers would have dropped Rightmove? What percentage of your customers have dropped Rightmove?
Why don’t you have a website explaining what your product does? All very hush hush. Some people will be taken in by this I suppose.
>so while my system might not be launched in a big shouty way it is doing what it designed to do.
How long does it take to get an advert in Google? A lot longer than ppc I bet.
>it is a system that is supporting an increasing number of agencies
So how many paying customers do you have?
Technotec, why not just not be bothered if it offends you so?
I’m not a customer but I could be, I quite like the sasquatch of it all, and it’s the only proptech that I ( don’t ) see which seems to have genuine agency in its DNA, times are a changing, maybe, but the chancers will run out of money because it’s not as easy as they think.
Unless they release the complete data showing the actual questions, methodology, etc this is so much hot air.
For example – What do they define as an online agent? All agents are online. The general public hasn’t got a clue of the differences between the various types and permutations of agents.
……..and the Homer Simpson Award goooooooooes to….. “Zoooooooopla!”
Well done Zoopla….. were you present when they were searching for Spartacus?
My Survey says…..
A venue containing 6000 High Street Estate Agents …..and the Question asked of the attendees “How many of the Agents here today are Online Agents? ……a show of hands please”
……..and 6000 hands go up!