Purplebricks is to cut two of its services after a review.
Its night-time telephone and live chat services are to go, as is its sellers’ concierge – the central office support service for LPEs and their customers.
A consultation has been entered into with affected staff, but Purplebricks says its intention is to have no compulsory redundancies.
An internal memo from customer operations director Allan Warren says that the telephone service will no longer operate 24/7, but between 8am and 8pm on weekdays and 8am to 6pm at weekends.
This change will be effective by no later than August 1.
The scrapping of the sellers’ concierge service will take place over three months, says Warren’s email.
He tells staff: “Purplebricks has grown very rapidly. This has meant we’ve not always had the time to review our processes and look at how we do things. The same is true for many start-ups and businesses experiencing high levels of growth.
“As we continue to grow, it’s really important that we take the opportunity to step back and review what we do and how we do it. We want to make sure we’re optimising our resources and enhancing the support our LPEs and customers receive.
“Being a digital-first company means our customers can book viewings, request valuations and see offers online 24 hours a day. In addition to this, we’ve always offered a 24-hour telephone service.
“However, based on an analysis of customer usage, we’re now proposing that our telephony hours should better reflect the trends in customer demand.”
The memo continues: “We’ve also been looking at Sellers’ Concierge, which has provided a fantastic service for customers over the last few years.
“Our review has concluded that we might be able to deliver the service differently and more cost effectively, so we’re proposing that the service will be phased out over the next three months. In this time we will be exploring ways to enhance the support our LPEs and customers receive.
“Both these teams have provided excellent service to our customers but we believe that these resources should now [be] redirected to other areas.
“In the last 24 hours we’ve commenced consultation with Central Property Team colleagues working nights and Sellers Concierge.
“Our intention is that there will be no compulsory redundancies and we’re aiming to place people in alternative roles, where their valuable skills will give our customers an even better experience.”
Eye understands that there was little demand for the night-time telephone service, although it helped Purplebricks position itself as a 24/7 agent.
We also understand that there were 12 agents in the concierge service, each directly supporting a particular region.
We understand each member of the team had to have at least three years’ estate agency experience, apparently often making them more knowledgeable than their counterparts. Their jobs include negotiating, revaluing and re-doing marketing.
Yesterday a Purplebricks spokesperson said: “Having looked at customer usage, we’re proposing that our telephony hours and web chat will be 8am-8pm Monday to Friday and 8am-6pm at the weekends, reflecting the trends we’re seeing in customer demand.
“Customers can still book valuations, viewings and make offers at any time via our website or app.
“We’re aiming to place people in alternative roles, where their valuable skills will give our customers an even better experience.”
Meanwhile Axel Springer – the front-runner for a possible takeover of Purplebricks – has taken a step closer to going private.
It has received an offer by US equity company KKR to buy out the minority shareholders. The deal values Axel Springer, which has a 26.6% stake in Purplebricks, at £6bn. If Axel Springer were to up its stake in Purplebricks to 30%, that would trigger a statutory takeover bid. Yesterday, Purplebricks shares closed 3% up at 111p.
Purplebricks LPE’s? …..order your Taxis now…..
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So your fake service is now not fake, it’s non existent.
12 sales chasers for 1000’s of houses… amazed .
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Their post sales support team is a separate department.
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No more then 12 in there either from what agents and solictors say.
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??? Come on then, what do they say and where did they hear it from???
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You’re such an idiot. Try to stop obsessing when you read. Something may sink in and you’ll learn something.
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Bit early for you isn’t it Michelle? Or are you somewhere 12 hours ahead?
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Do you want some Pepper to go with that Salt?
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GPL, please stop trying to tell jokes. You don’t have a talent for it.
Sorry, I meant to say you have no talent (at all)
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Dear Michelle
You come across as a little bitter.
Perhaps if stopped sucking lemons?
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There’s going to be more work for the LPE’s……….
For £130 per instruction…….
Overworked and underpaid – no holiday or sick pay!!!
Wasn’t slave labour made illegal with the minimum wage?
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<To the tune of Only Fools and Horses>
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All for your comment but quote it correctly.
150 an instruction. 50 on sale.
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Interesting.seeing as the lpe are self employed it maybe worth giving them £300 for every sucker vendor who calls them and put them your way. ;#
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That’s the old narrative Bless you. You remember don’t you? When all anyone could talk about was how corrupt and dishonest estate agents are. How they lie about offers, cheat their clients out if thousands, misrepresentation of offers, conditional selling of financial services, BACKHANDERS. Thanks to PB, the attention and therefore the conversation has diverted away from your corrupt and dishonest ways
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Jeez. This site is attracting more than a few people who really should be taken back to the Care Home or returned to the villages that are currently missing their idiots. It’s gross, but oddly entertaining. A bit like Doctor Pimplepopper. Or Parliament Live. Just chill a little boys and girls. Life’s too short for this kind of anger.
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Michelle is the Chubby Brown of PIE but without the humour.
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Hahahahahahahahahahahahahaaaaaaaaaaaaaaaaaaaaaaaaaaahahahahahahahahahahahahahaha
Thank you for brightening my day you deluded fool. Did you read that in the paper?
You’re so incredibly out of touch.
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Shutting down the Sales Support Team? That will mean all phone calls will go unanswered….
No change there then!
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Dont worry you can ring PB solicitors for a comprehensive update and an accurate idea of timescales and next steps.
….. oh hang on a minute
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Its not the post sales team
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Should this really be used as a forum to test estate agent humour? You’re not funny. Go away!
Try to stop obsessing when you read. Something may sink in and you’ll learn something.
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Are you the Prophet’s twin sister?
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Hi Michelle,
The PIE reader/poster base can’t technically ”go away”…
As PIE is a digital/online based forum, none of us are really ‘here’…
Which brings to mind one of the great philosophical questions: ”Are any of us really here?…
Or, are we everywhere and nowhere simultaneously? And where is ‘here’?…And who are ‘we’/’us’ in our own reality?… ”.
I have no doubt that beneath the ham-fisted atempts at insulting other posters/readers, there’s a lovely person just itching to be freed…free yourself Michelle, let the love shine forth…
I’ll leave that thought with you, and wish you a lovely day!
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The 24/7 PB were banging on about is to close along with customer support.
So sit back and watch the crumbling of PB.
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More cost-cutting excercises. I also heard that they’re reviewing their fees and are considering increasing them again as well as implementing regional variances based on price points. Apparently though this increase won’t be passed onto the LPE’s and instead put back into the company to develop “technology”. Looks like the LPE’s will be working longer and harder for less. Disrupters my foot!
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Totally giving up any pretence of offering service. Imagine being an LPE and your neighbouring LPE decides they are leaving, runs around for a couple of months overvaluing and promising the earth then quits. You are dumped with a load of upset unrealistic vendors to deal with for no more money. Hope they’re transferring staff to the trust pilot nuke dept.
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Offers are about to get harder to tie up and sales more difficult to progress. I guess the flipside is that thee could be some recruitment opportunities with disaffected LPEs!
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So it turns out that people dont need or even want a 24/7 estate agent!! Not that PB were this anyway.
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Does this mean their poor suffering vendors can get their money back? After all they’ve bought a service that’s no longer there?
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This raises a very good point Sunbeam, I would have thought so. Assuming that is the case (and consumers do have rights) I suspect there will be a queue twice around the block from unhappy customers who want their hard earned money back. *Spread The Word*
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Honest John. What exactly are you going to spread? You’re an idiot
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Good morning Michelle, I see you’ve been busy trolling again this morning – quiet day is it?
Your one dimensional replies are starting to become a little tiresome now. According to you everyone’s an idiot and yet here we are, still waiting to hear anything of any substance from you.
No doubt you’ll get back to me with another intelligent retort?
Have a wonderful day x.
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Michelle, you may or may not be aware of how contracts work?
If a vendor has paid up front for a service which includes 24/7 support which is then withdrawn, unless the contract allows for this (and even then it could represent enough of a significant change of terms) then this could well allow customers to request a full refund and withdrawal from the agreement, which would then become null and void.
It may be that there is a legal exemption to this; I don’t know as I’m not a lawyer, but there is very clearly both a risk to PB and an opportunity for disgruntled vendors to withdraw given this potential change of terms.
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Just wondering what the point of you coming on here is – being rude and calling people idiots and getting the thumbs down to boot?
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Changing a core term of a contract.
We used you because of the 24/7 support… We would not have used you otherwise.
Every frustrated vendor now has their out and a chance for their cash back. Own Goal which perhaps someone knew would be about to cause a bit of an issue.
Someone needs to point this out to “The City” 0.50p shares by month end.
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Lol, the completely 5h1t just got even 5hittier. Or arguably less 5h1t as they’re available less time to be 5h1t.
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Never mind the small matter of contractual liability of a 24/7 service in perpetuity to their customers and, to LPEs. Breach of contract to customers; breach of contract to LPEs’.
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Chris, what about the breach of contract to your customers when you just got up and bailed out? Oh sorry, you set up in a cafe as a hybrid agent for a week before abandoning ship didn’t you?
““Having devised and developed the hybrid model for Tesco/ RBS in the mid noughties as their sole consultant, I have always been a fan of the idea and the business model – despite what many may believe from my posts about ‘disruptors’.”
One week later “High profile estate agent Chris Wood is shutting his business, PDQ Estates in Cornwall. It formally ceased trading on Friday.”
Did you pay off your creditors? Not sure you ever made that clear.
Also do you have the right to continue marketing the properties you have live on rummage4?
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X
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Response of the year so far.
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Any comment on the actual story ?
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Are you here to talk about Purp or here to slash CWood ducky? Try keep on topic.
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Dear Ducky,
There you are, right on time attacking Chris again.
Do you seriously see a comparison with Chris and his small business to PB and the lies that have been spun on a huge scale?
Be honest are you butt hurt because you invested in bricks, or is it because you work for them? Is it because you have a close family member that’s an LPE or in their call centre?
At least with pretty much everyone on here there’s a clear reason as to why they comment what they do. With you, your cloak and dagger approach is just plain weird and creepy. Let us know why it is you defend bricks, what’s your motivator?
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Yep, he’s definitely plain weird and creepy.
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‘He’ wont reply unless ‘he ‘ sees another comment for CWood or RMay or PBee pr the other usual suspects. Trolls those he doesn’t like. For whatever reason he decides to keep to himself. Loneliness??
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Hey – thanks for the mention FP – but I’m keeping schtumm… ‘cos I’m weally weally fwightened of Michelle Lockwood and I don’t want ‘her’ saying nasty-pasty fings bowt ickle me!
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I’ve come to the conclusion the Duck is “Billy no mates”. Never a nice word for anyone. Whenever found wanting he his is quick to be offensive. He is a TROLL but entertaining to read some of the utter tosh he comes up with and this morning little tirade is a prime example of going off subject and attacking another person. For someone who is not involved in property industry he really has got some personality issues to be posting here on subject he has no understanding other than what he can google and needs to seek professional counselling, it can’t be good for his health. It’ll soon be 1st of September!
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Cutting costs either as part of the post-Bruce cull – or they have real concerns about funding for the next 12 months?
The £62 million they had at the end of April will have to fund the Australian closure and any scaling back in USA. Without further cash injection, a fall in UK instructions will cripple them.
Perhaps a sale of the US/Canada operations is on the cards?
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Lpes having their package cut, TV, radio and press advertising being cut back, closing the call centre by 50%, getting rid of sales progression.
Cuts,cuts,cuts.
You dont have to be a genius to work out where this is heading.
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I’m no fan but bold claim to say 50% cuts.. one obsolete department in concierge and a night time shift of call centre staff of about 6 people. Cuts are cuts but it ain’t 50% is it? Not good signs either way.
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Knowitall.
Call centre was open 24/7 now 8am to 6pm more than 50% reduction in opening times.
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Good, because you’re so far from being a genius (smile please).
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Michelle, I’ve never seen any of your posts before today but they are almost unanimously rude and insulting.
Maybe you’d have more success putting your point of view across if you refrained from vitriolic posting and made a reasoned argument as to why you disagree?
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This Michelle individual is nothing more than a troll. She has been doing much the same on the EA Today board for some time now. Always vitriol and no intelligent, reasoned discussion. Bless her….
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Key Fundamentals
30-Apr-15
30-Apr-16
30-Apr-17
30-Apr-18
Revenue (£ m)
3.39
18.60
46.71
93.70
Pre-Tax (£ m)
-5.44
-11.90
-6.06
-26.18
EPS
-357.00p
-12.00p
-1.00p
-10.00p
PE
n/a
n/a
n/a
n/a
PEG
n/a
n/a
n/a
n/a
EPS Growth
n/a
n/a
n/a
n/a
Dividend Cover
n/a
n/a
n/a
n/a
Dividend Yield
n/a
n/a
n/a
n/a
That.
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Missing number of actual sales completed.
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So is that almost £50 million of losses to complete who knows how many house sales, but possibly in the region of 100,000? Can anyone hazard a better guess?
BSOS23PC
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‘As we continue to grow’ should read ‘As we bleed to death’!
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What are all these LPE’s going to post on their LinkedIN status now that they aren’t 24/7??????????????
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Their cv’s probably.
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Brilliant!
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Q-what if as a vendor I have paid £ upfront for a service that is now half of what it was sold to me as being initially ??Do I get some of my money back ?
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My understanding is that the phone will still be answered just not at PB. An outsourced call centre.
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In the begining it was always a call centre that took the calls, with one person on at night falling asleep at their desk. The call centre route does nothing as they are just there to take messages. I remember speaking to K & M who told me, that in 5 years we will be sitting on a beach having made out money!
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I’m a High St agent and my experience is that post sales support never answers the phone but does reply to an email – 24 hrs later – is that the 24hour service? The standard reply is ” I’ll investigate this for you and revert”…………… still waiting!
When a chain is in trouble – there is usually an online directly involved.
On the flip side there are 2 LPE’s covering my area and they do offer a service to their sellers and are helpful with chains. But totally overworked.
Feel for them while wondering what further changes are in the pipeline. And we thought Brexit was creating uncertain times.
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The wheels on the bus come off,off,off…
Off,off,off…
Off,off,off…
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Ladies and Gents,
If you’re over 30 years old, you will have seen the massive changes in the Estate Agency Industry that have taken place, certainly in the South. In 26 years of being in it, I have worked for Independents, Corporate’s, had my own business for a while and declined an invitation to work for an online Agent.
The landscape is very, very different now and the future of Estate Agency is in its biggest change of a generation. The idea of lots of individuals opening up for themselves is a very brave move these days, the thought that your service will be better than the reasonable sized corporate that has taught you everything you know is commendable. I know this because its how i felt 20 years ago and its only natural that young 20 somethings feel that way but be aware, the likes of Purplebricks have a huge advantage over the vast majority of you all.
The changes that Pb have forced in only a few short years cannot be discounted as drivel. They have changed the industry beyond anyone else’s but their own imagination and they will be around for quite along time to come. Whether part of their venture has succeeded or not, they have a very large war chest, a complete, Nationally reccogniseable Brand that most Estate Agents would give their right arm for and with some very seasoned professionals now coming in to the business, they have the best shot at redefining the industry, again!
This is not to say that the smaller Independents have nothing to offer, I believe they have the most to offer, but they can only offer it to the area they operate in. I hope that the youngsters keep opening up for themselves, some will thrive, most will not but it is a journey everybody should try.
It appears the folk in the UK have taken to Purplebricks and with the current market conditions, more people will be willing to give them ago. I totally understand that the roll of a good local estate agent, someone who knows the area, can negotiate, do the viewings and progress a sale is vital (my last two purchases were though online agents and I would have paid a combined £60k more) so I get it but as long as the buying public believe there is a better way, they will continue to use them.
Instead of beating each other up on forums like this, if you really feel that the likes of ‘pay anyway’ agents are rippping people off, why dont you write to your local MP’s and make a formal complaint? Have it looked at in Parliament, get them to decide if its right or wrong, organise a Rally outside their Head Offices! Either way, whilst everyone on here spends their time berating each other, Pb are stealing a march. Do what you do best and dont worry about the competition but most of all, start having some fun. I do not work for Pb by the way.
Best of luck to all.
Bb73
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You’re new here, right? Sounds to me like you’ve given up.
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A couple of years and sold up!
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I am sorry Mr Smith, you need brain surgery… You can pay £100, £500, or £1,000 to have it done.
‘Great! I will pay £100 then’.
OK, that’s fine. The bed, anaesthetics, support team, food, and care are all extras of course.
How much are they then?
£10,000
What if I pay £500?
You get the bed.
What if I pay £1,000
Everything is included and we look after you every step of the way. If it doesn’t cure you first time we will do it all again, within the price.
Wow! I see. Now that you have explained that to me I’ll pay the £1,000 then.
It’s called – MAKING AN INFORMED DECISION. Far too many cut price/online/hybrid agents do not fully explain the differences between their ‘services’ and those of full service agents so the uninformed consumer naturally picks the cheapest. That simple human fallability is ruthlessly exploited by shysters.
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I get this but all i’m saying is they’re here to stay!
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Not disagreeing at all with you Bigbee. Just thought it worthwhile to remind readers of how some of these operators got where they are – and how they maintain themselves, often to the detriment of the consumer.
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Naive drivel, Bigbee 73
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Ok, so you’re under 30 then!
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66 my friend – with more experience in my little finger then you have in your entire body. Boom boom!!
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Firstly, I am not your friend. I often find that people who use that phrase, dont have many?! Secondly, why you feel the need to expand your (probably scrawny) chest when you know absolutely nothing about me, tells everybody else on here more about you, than me!
Juvenile!
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Gotcha! Hook, line and sinker.
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That’s a bit harsh Property Ear.
I thought Bigbee made some good points. The landscape is changing. If you had told me ten years ago that someone posing as an estate agent could walk into a potential vendors house and walk out with over a grand in their pockets, I would of laughed you out of the office. Yet here we are.
The deception used to put themselves in that position is another matter and something we have all let happen. But he’s right. Would I start up again? I’m not so sure.
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There is no doubt that things have changed, but does everyone not feel that the overall winner in the end will be direct high quality personal service? The ‘Call Centre Lister’ model makes that impossible to achieve.
The only way it can be achieved is by dedicated local community independent agents utilising the best modern technology.
Hopefully, in the not too distant future, there will be a way of strongly promoting that to the general public.
In the past we’ve called it Collective Marketing….in effect it’s just a way of promoting high service to obtain more business.
BSOS23PC
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Keep focused, keep positive.
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Death by a thousand cuts but, hey, don’t worry we’ll see some ‘strong’ (same meaning as today’s OTM story) results presented early next month. Sorry PB, it’s like putting a sticking plaster on an aneurysm, it’s over.
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who hurt you?
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Very interesting to read the 50 odd comments from LPEs and employees on the official announcement on the internal intranet.
90% of comments very negative, unimpressed with having no say, disagree with this decision and feel less and less involved every day. Even more case to show they are not self employed at all – have no control and are being hugely taken advantage of.
Lots still turning to Kenny for answers even though he has as much say as they do these days.. and his response? “I assure you there is NO lack of regard for our field based colleagues. Allan has a budget and needs to spend that budget the best possible way to serve our customers and our LPEs.”
Pitch training at PB has always included 6-10pm being RMs busiest time for traffic so it’s a key time for people to phone and book in, and the emphasis of there always being someone there to talk to, day or night but this is now going to be focused on interacting with a very tired website and more and more automation. Yes, they can try to call the LpE instead but they have limited ability to perform a lot of the functions like physically creating an account, booking a valuation or viewing.
Of course they’re arguing that they are still 24/7 as the platform is available to use around the clock – but so is every other website out there, certainly not a USP.
This, paired with senior managements recent address to LPEs where they called them ‘clients’ of PB and not ‘business partners’ as previously done has caused even more uncertainty for everyone as LPEs continue to be used and abused by PB.
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Clearly informed and well put. Little chance of being business partners once again and no chance of getting employee benefits. Its a bumpy road that LPE’s are on.
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Interesting comment in the Times…
“Just when are the CMA going to take action against this business? People rely on estate agents to manage the sale and purchase of their biggest asset – and they rely on the ASA and the Competition and Markets Authority to ensure that these businesses do not mislead them.
Purplebricks (or is it Purple Bricks?) promote their ‘service’ as the equivalent of a full-service estate agent, minus the ‘commission’. This is demonstrably untrue (just read the thousands of online reviews from those that have fallen for their advertising – these highlight the fact that Purplebricks are paid to list the property and have no incentive to progress the sale – quite the reverse, time taken progressing the sale eats into the time the Purplebricks’ staff have to sign up more people that have been misled by their advertising without earning those staff a penny more). While on the subject of reviews, they seem to be paying two review websites (Feefo and Trustpilot) whose own reviews highlight major flaws and failings (all of which are to the benefit of the business as opposed to the consumer) yet only use the one that they look best on (currently Feefo) in their advertising. Come ON regulators! Do your jobs properly.”
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Thats is what we have all been saying for years. Conmissary.
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“We’ve also been looking at Sellers’ Concierge, which has provided a fantastic service for customers over the last few years”.
Then why are you stopping? No-one uses it!!!!!!!!!!!!!!
“A consultation has been entered into with affected staff”
So service wasn’t used, just more propaganda to fool the consumer and win instructions.
A multi £m company that brags how successful it is, lost its share value, is now nick-picking at its overheads after culling its management. Sounds like desperation and cutting down to the bone. As if we didn’t know why. The end is nigh.
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Nick-picking?!! What on earth is that
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I resemble that remark…
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In news yesterday:
KKR to buy Germany’s biggest publisher Axel Springer for £6bn
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I wonder what the commission is on that!
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£995 deferred for 10 months pay anyway ( and you have to use their solicitors )
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In the begining the CPE’s were contact centre workers, who were take off of other accounts and just taught to answer the phones! The 24/7 thing was one person sitting there all night falling asleep and if they did take calls, it was only to take a message as they had no capacity to help in any way. The offering was always flawed, it was a cult to a degree and still is. The conferences were like a scene from the film The Witches! LPE’s are indoctrinated to the PB way and the training was horrendous! PB was the first of its kind and a novelty, a very expensive novely and was never going to work long term. I remeber a coveration with M & K saying it had a 5 years shelf life and they would be sitting pretty on a beach and they were bang on. Clever business men or great con artists.. I know one thing, I wish I was a quid behind them in the bank!
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Who cares and it appears Vic Darvey is trying to demonstrate he’s in command for the Board making big boy changes to operations. This is comical. How long do you think he will last?
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It will last as long as Kenny Bruce hangs around. This Vic chap needs to realise the ethos was was customers and people coming first and without the LPEs there is no business.
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