Proptech expert Eddie Homes has expressed surprise at Yopa’s argument that it is already the second largest online agent behind Purplebricks, before any merger between Emoov and Tepilo.
He has not queried that Yopa is in second place but said that the marginal cost to investors of the additional 41 listings they claimed is not something that he would have chosen to draw attention to, in their shoes.
Holmes sent us figures apparently showing that Yopa has had more investment (including from Savills and LSL) than Emoov and Tepilo combined, at £55m v £31m.
The war of words began when it emerged last week that Emoov and Tepilo are in merger talks involving a so-far un-named third party. It was said that the new merged body would become the second largest entity behind Purplebricks.
However, Yopa disputed this, saying that it already has more property listings than Emoov and Tepilo combined.
This, in turn, has now been queried by Holmes, whose number crunching is in the charts below. These allege that in addition to the £585,00 per listing extra YOPA has spent to win those 41 listings, YOPA’s CPA, or “’cost per acquisition’,” is also much higher than their competitors.
ATL stands for ‘above the line’ – ie advertising that can be seen, as in TV. CPA stands for cost per acquisition.
Holmes said: “Over half a million quid for each listing! There is further evidence that the Yopa ship isn’t sailing as well as she might.”
He said that this included rumours of key people at Yopa being sidelined or having left, particularly the movement of the founder, Dan Attia, to the role of chairman
We have put the entire sums and everything that Holmes is claiming to Yopa, which declined to comment, saying it wanted to correct the original claims but did not wish to enter into a war of words.
| Amount Invested | |
| Yopa | £ 55,000,000 |
| Emoov | £ 16,000,000 |
| Tepilo | £ 15,000,000 |
| Total | £ 86,000,000 |
| Difference | £ 24,000,000 |
| Additional Listings | 41 |
| Marginal Investment per Additional Listing | £ 585,365.85 |
| 2017 | Purplebricks | Yopa | Emoov | Tepilo | ||||||||
| Month | Listings | ATL Spend | ATL CPA | Listing | ATL Spend | ATL CPA | Listing | ATL Spend | ATL CPA | Listing | ATL Spend | ATL CPA |
| Aug | 5536 | £1,778,431 | £321 | 504 | £50,503 | £100 | 360 | £308 | £1 | 321 | £74,169 | £231 |
| Sep | 5602 | £1,462,620 | £261 | 508 | £1,129,031 | £2,223 | 380 | £0 | £0 | 331 | £130,725 | £395 |
| Oct | 5363 | £988,665 | £184 | 501 | £758,606 | £1,514 | 318 | £0 | £0 | 293 | £128,322 | £438 |
| Nov | 4548 | £787,485 | £173 | 450 | £738,873 | £1,642 | 213 | £0 | £0 | 262 | £40,531 | £155 |
| Dec | 2961 | £391,287 | £132 | 344 | £350,751 | £1,020 | 119 | £0 | £0 | 171 | £21,582 | £126 |
| Grand Total | 58875 | £5,408,488 | £214 | 5330 | £3,027,764 | £1,300 | 3478 | £308 | £0 | 3703 | £395,329 | £269 |
Headline somewhat misleading? Lies damned lies and statistics?
Not suggesting it is in any way a clever set of numbers and the investment levels are staggering for seemingly little traction but not quite as headline suggests.
However an average estate agency costing say £15000 per month to run and listing just ten properties is costing £1500 per listing to acquire. If they complete on say five properties they are costing £3000 to achieve per sale – this is above the average fee income per deal which obviously equals losses.
Knowing the numbers, margins and having a plan are key.
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But like so many Yopa are yet to post a profit. A high street agent would be out of business within 3 months with all goodwill dried up.
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I run an agency that cost £7,000 a month and does £25,000 net fee revenue monthly – something wrong with your figures too mate 🙂 Happy that there is though.
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Yes I did wonder what sort of average MD referred to when he quoted 15k pm in overheads; central london perhaps
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It confuses me why online agents seem to always miss out Express Estate Agency as a competitor. Their a hybrid, to my knowledge been around longer than Purple Bricks and theirs and Yopa’s stock levels have been hovering at similar levels for a while. I remember when Purple Bricks IPO’d they were not included in Purple Brick’s competitor analysis even thou at that time Express Estate Agency where the biggest. I also think they charge about the same as local agents in general – however i’m not 100% sure so please correct me if i’m wrong.
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Are they not touting for BMV properties?
Come across their cheap letters from time to time in our properties.
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I’m not sure. Just looking at their listing now, their everywhere. Different properties of different values.
http://www.rightmove.co.uk/property-for-sale/find/The-Express-Estate-Agency/Nationwide.html?locationIdentifier=BRANCH%5E61544&includeSSTC=true&_includeSSTC=on
I’ve come across their letters the odd times too. Very annoying.
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Express used to charge 1.9% commission based on the sale price with a tied in period and all properties that I have ever come across were marketed at 10% to 20% below market value and listed with “Offer invited above”. Are they still doing it today? Interesting their web site does not shows any fee’s or CMP certification but has a real go at hybrids … err aren’t they one. OMG where is the regulator!
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I think it’s time for a new league table to be collated and published by some of our clever data analytical friends to get clarity on matters that really should be “public record” given that we all feed our stock through to the portals where anyone who has access to the tools can see the truth. EweMove has 1,275 properties listed for sale currently, and 837 sold subject to contract. So total stock of 2,122. Not too shabby I’d say. Oh, and no duplicates or false instructions.
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Agreed ChumpExecutive.
Well done EweMove! I like their model.
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Apart from many of the franchisees list so few and sell so few they cannot make a living without support from a partner paying bills.
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In my competitive experience, such a league table would be far more useful if it were just given to appraisal staff to use in the parlour on each appraisal.
Making information openly visible shows the miscreants (as well as the selling public) their wrongdoing and allows them to be more deceitful. Keeping it private denies them the opportunity of working out why they are suddenly failing to win as many instructions.
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I don’t know where you get 1,275 from. Their website? I counted a couple of weeks ago 850 available properties for sale for Ewemove. Check https://www.zoopla.co.uk/find-agents/estate-agents/company/ewemove-sales-and-lettings-14493/?page_size=100
850 properties with 106 branches (franchises) is somewhat appalling. This is less than before they were bought by PFG. On average instructing a couple a month. I agree with Smile that they cannot live off this.
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I was talking to an agent yesterday who has decided to take a gap year and has closed their agency down while listing numbers and transaction volumes are on the floor. Another recently who was paying out twice what they were earning to pay the portals.
Our industry is hurting and by my numbers over 5000 agents can’t live of the business they are doing.
It would be unfair of me to comment on the listings you’ve posted without showing all of the agents in the same boat.
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Robert, agency is becoming smaller and more perocial or on-line.
Those stuck in the middle with high overheads and lots of non fee earning people are the ones who are at the most risk.
Niche agents, charging strong fees and really delivering on service are doing okay, as they are adding real value to their clients, obtaining reviews and recommendations and not at as much risk as those in the middle ground who no longer know who or what they are.
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I don’t disagree with any of that but feel that there is a unique set of circumstances that have come together to work against agents who don’t understand that change is necessary let alone what changes to make.
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This what I counted a few weeks ago. Maybe Robert can verify?
BRANCHAVAILABLE
EweMove Aberdeen14
EweMove Alton & Bordon9
EweMove Altrincham4
EweMove Anston3
EweMove Barnsley South14
EweMove Barnstaple28
EweMove Basingstoke41
EweMove Beeston19
EweMove Benfleet & Hadleigh4
EweMove Beverley & Willerby36
EweMove Bexleyheath21
EweMove Bishops Cleeve0
EweMove Blaby0
EweMove Bolton North2
EweMove Bournville3
EweMove Bracknall5
EweMove Cardiff North4
EweMove Cheadle Hulme9
EweMove Cheltenham4
EweMove Chester East6
EweMove Chichester0
EweMove Childwall & Woolton21
EweMove Chilterns5
EweMove Cirencester8
EweMove Cleckheaton4
EweMove Corby25
EweMove Crewe & Nantwich 2
EweMove Croydon0
EweMove Crystal Peaks2
EweMove Doncaster South2
EweMove Dorking6
EweMove Edinburgh West6
EweMove Epsom4
EweMove Finchley5
EweMove Formby9
EweMove Gainsborough4
EweMove Goole & Selby13
EweMove Grantham North11
EweMove Halifax22
EweMove Hampstead5
EweMove Harrogate9
EweMove Herne Hill & Brixton6
EweMove High Wycombe6
EweMove Hinkley7
EweMove Hove1
EweMove Hull West11
EweMove Huntington & St Ives2
EweMove Kidderminster6
EweMove Kings Langley5
EweMove Knaresborough0
EweMove Leak & Hanley6
EweMove Leicester North5
EweMove Leighton Buzzard19
EweMove Lincoln Central2
EweMove Luton East5
EweMove Macclesfield0
EweMove Maghull & Ormskirk8
EweMove Maidstone North0
EweMove Mansfield15
EweMove Melton Mowbray12
EweMove Newbury6
EweMove North Ilford5
EweMove North Leeds2
EweMove Northwich4
EweMove Ossett & Horbury13
EweMove Oxford East2
EweMove Poole & Parkstone5
EweMove Pudsey3
EweMove Putney1
EweMove Reading7
EweMove Ripon & Boroughbridge2
EweMove River Hamble0
EweMove Rodley & Bramley3
EweMove Rossendale & Ramsbottom 31
EweMove Salford0
EweMove Salisbury8
EweMove Sandbach15
EweMove Sandiacre0
EweMove Sheffield22
EweMove Shewsbury17
EweMove Shoeburyness19
EweMove Sleaford & Grantham South6
EweMove Slough6
EweMove South Runnymeade5
EweMove Southport11
EweMove Spalding0
EweMove Staines & Ashford7
EweMove Stalybridge7
EweMove Stamford11
EweMove Stapleford12
EweMove Stevenage6
EweMove Stratford7
EweMove Streatham5
EweMove Stroud1
EweMove Trowbridge8
EweMove Uttoxeter11
EweMove Walthamstow2
EweMove West Grimsby3
EweMove Wetherby17
EweMove Winchester5
EweMove Wokingham18
EweMove Worksop1
EweMove Wyke & Cleckheaton0
EweMove Yeovil & Sherborne 8
EweMove York23
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This is a link to the Ewemove Leicester North Accounts at Companies House which were filed on 23 April 2018
https://beta.companieshouse.gov.uk/company/09132176/filing-history
The Accounts show a loan of £43k owed to one of the Directors & shareholders.
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One of the officers has correspondence address of WEEMOVE sales & lettings 🙂
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