Principals need be courageous to implement vendor paid advertising (VPA) in areas where it isn’t the norm, one industry leader claimed at the inaugural Real Estate Business Executive Roundtable, held yesterday.
The industry-first event, sponsored by Macquarie Bank, bought together Australia’s leading real estate executives to debate the key issues impacting the industry while share knowledge, insights and best practice.
According to Ray Ellis, CEO at First National Real Estate, there are areas around Australia where vendor paid advertising was not applicable, yet some pioneering agents were bucking the trend and realigning expectations in those locations.
“We’ve had examples where offices have started it, and it’s become the norm,” he said. “They just had the courage to do it to start with.”
Stephen Nell, Ray White NSW CEO, agreed.
“Can you get people to pay for ads in different markets? I don’t see why you wouldn’t,” he said. “That’s a skill issue. And obviously it’s on everyone’s agenda to be better at it.”
The roundtable is a unique concept for the real estate industry, offering a neutral ground for discussing issues shaping the profession.
Shaun Bassett, head of the residential real estate segment at Macquarie Relationship Banking, said the Real Estate Business Executive Roundtable is an essential platform for driving thought leadership in the industry.
“The roundtable drilled into the challenges faced by the industry and revealed insights into a variety of strategies that are driving each of the participants on their own unique path to continued success,” he said.
“It touched on the outlook for the industry in the coming years, being shaped by technology, regulatory reform and new talent coming through the ranks.”
The event brought together Peter Baldwin, chief auctioneer and director at Richardson & Wrench; Ray Ellis, CEO at First National Real Estate; Douglas Driscoll, CEO at Starr Partners; Stephen Nell, Ray White NSW CEO; Sadhana Smiles, Harcourts NSW CEO; Mike McCarthy, director and CEO at Barry Plant; Chris Mourd, head of network performance at LJ Hooker; and Shaun Bassett, head of the residential real estate segment at Macquarie Relationship Banking.
Other topics that were discussed included:
The greatest challenges to an agency’s profit and revenue in 2012
Best sources for profit and/or revenue growth
Attracting and retaining new recruits
Training and education programs that principals should be undertaking
How technology is driving industry development
Strategies for reducing days on market
The impact of national licensing will have a major impact on the real estate industry
The future for independent agencies in the Australian marketplace
The full report from the Executive Roundtable will be published in the upcoming Real Estate Business December/January issue – on desks early next month. Video excerpts from the event will also be available at www.rebonline.com.au at the same time.