One of Britain’s most successful agents, Foxtons, is continuing to place its faith in the high street and has announced more expansion in the next few months, with five new offices between February and April.
Meanwhile another new online agent has released details about its national launch.
Three of Foxtons’ new offices will be on the outskirts of Greater London, in Loughton, Essex, and Sutton and New Malden in Surrey.
The remaining two new offices will be at Bishops Park in Fulham, and Maida Vale.
The openings will bring the total number of Foxtons offices across Greater London to 63.
Each new office will offer Foxtons’ customary 0% fee to the first vendors.
Andrew Weir, Foxtons’ managing director, said: “Following recent growth in the outer London areas, we are thrilled to take the next significant step in our expansion strategy with the launch of these new offices, as well as adding a more local presence within some of our existing neighbourhoods.
“We look forward to bringing our unparalleled expertise and many years of experience to the local communities”.
The announcement follows Foxtons’ successful end to 2015, marked by winning The Sunday Times Lettings Agency Awards for Best Large Lettings Agency and the International Property Awards for Best Estate Agency in London.
Separately, online agent Yopa has revealed more details about its national roll-out following EYE’s report yesterday.
The firm, whose founding directors include Andrew and Alistair Barclay, sons of the Telegraph owners, says it has now hired over 100 local property managers and will have recruited a further 60 by summer – making its business model sound very similar to that of Purplebricks.
It says it has had successful pilots in the Granada and Meridian TV regions.
Yopa also says that one local property manager in the Granada region sold three properties in three days after marketing them for under two weeks, with two having been previously on the market with traditional high street agents. Yopa charges £780.
Managing director Daniel Attia said: “In addition to a growing number of instructions in the two test regions, we have also been taking enquiries from other regions who have heard about the service we can offer.
“We had no hesitation in deciding to move quickly from the pilots to a full national roll-out this month.”
Aside from the Foxton’s story, talking about Yopa and other ‘online/call centre/non-premise based’ estate agents (call them what you may) and their fees ..
What has always amazed me (and this is no way a criticism but a personal opinion which you might not agree with) is why ‘online agents/non premises based agents’ – call yourselves what you may – main focus, main USP is their low (you would say competitive) fees.
I fear that overtime, though, in a competitive market, the quest for the lowest fee, someone else is always willing to go a pound lower than you are, and to compete, your choices get ever more limited. Agents will have to cut something to make a profit
UK ‘High Street’ estate agency needs to adopt, adapt and improve itself and like I said in an article on my blog last week .. if high street agents are going to survive they in the coming years will need to make a choice … “(a) Are you an agent that offers a service that is widely available and interchangeable with one provided by another estate/letting agency (ie a commoditised agent) . (b) or an agent that offers out of this world, remarkable, indispensably awesome service that is unique as you are their trusted property advisor.”
That my friends is the only way high street agents will hold back the waters of the onliness/callcentre etc etc agents
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Chris the only real differentiator yet to happen will embrace big data and see a national co-broker model happen where other agents can access other agents listing by agreement.
The mortgage and insurance businesses operate this way to provide Joe Public greater access to more local stock.
Unfortunately RM, Z and OTM all use a single directional data schema.
This way budget only fee agents would find they would have less stock choice than agents who would share. Sharing equally provides greater exposure and normally better results, justifying higher fees
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Trevor .. both you and I know what “”single directional data schema” is .. but does Joe Estate Agent?
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Bonkers decision, opening more branches no one visits, plus the consumer wants lower fees, less contact and more social media from self appointed experts. Did you know that if Londoners weren’t so dim and used online agents each vendor would save 8 trillion pounds plus get 112% more tweets and Facebook which means the same price achieved as rip of high street agents in their flash suits or probably more…..and they’d be on Zoopla cause that’s really important you know.
Its all goin’ online innit!
Jonne
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