The online real estate marketing world is rapidly changing. General classified sites are taking on the verticals (and winning), business models are changing, sites are trying to participate in the transaction stream, niche sites are emerging, plus much much more. This session looks at some of the changes that are happening in online real estate marketing and (from my perspective) identifies the top 10 property portals and what we can learn from them.

1. Changing Nature of Online Real
Estate Marketing and Who to
Watch and Learn From
Property Portal Watch Conference
New York
Simon Baker
Founder Property Portal Watch

2. The Good Old Days – Simplicity
• Simple market structures – portal vs portal
• Focus on first mover advantage
• One country to focus on
• Simple business model
– Listings – primarily for sale, established market
– Advertisers
– Consumers
– Simple interface
– Pay to list

3. Changing Nature of Online Real Estate Marketing
1. Emergence of online real estate industry

4. Online Real Estate Industry Structure
• Vertical sites
– Multi sector (new homes, established homes, rentals)
– Niche (bankruptcy listings, rentals, retirement living)
• Horizontal players / general classifieds
• Suppliers to the industry
– Traffic
– Software
– Security
– Listing enhancement USD Billions

5. Example Property Portal Accelerators
Company Service Provided
Mitula
Trovit
Nestoria
Drive highly qualified traffic on a CPC basis
ListGlobally Plug and play international search for any portal +
international listing syndication subscription
Floorplanner
Diakrit
Plug and play floor planning solution for portals
Transmit
Ubiflow
Plug and play XML feed management solution
Distil Networks Spam and unwanted traffic detection and protection
Global Property TV Plug and play video editorial content solution for property
portals
Adslot Plug and play solution to capture higher yields from display
and premium advertising products
Property Portal Watch /
Property Portal Consulting
Quality news, information, advice and guidance on running a
property portal

6. Changing Nature of Online Real Estate Marketing
1. Emergence of online real estate industry
2. High levels of competition in each market

7. Highly Competitive Industry
• Multiple vertical and horizontal players in each
market
– 10,000+ online real estate sites around the world
– E.g. 20 alone in the UAE market

8. Changing Nature of Online Real Estate Marketing
1. Emergence of online real estate industry
2. High levels of competition in each market
3. High levels of funding

9. Recent Capital Raisings – Last 2 months
• Zameen / Bayut (Pakistan/UAE) – USD 20 million
• Propertyfinder.ae (UAE + other markets) – USD 20 million
• Housing.com (India) – USD 20 million
• Mitula Group (Australia / Spain) – AUD 27 million (via listing)

10. Changing Nature of Online Real Estate Marketing
1. Emergence of online real estate industry
2. High levels of competition in each market
3. High levels of funding
4. Major players consolidating the markets

11. Media & Funds Investing in Established Markets
In Market Out of Market Examples
Axel Springer
(Germany)
Immonet.de (#2/3)
Immowelt.de (#2/3)
Seloger (France) #1 Vertical
Immoweb (Belgium) #1
Yad2 (Israel) #1
New Corp (USA) Move Inc (#3) REA Group (62%)
iProperty Group (via REA) (13%)
Prop Tiger (25%),
Makaan (100%)
Schibsted (Sweden) Blocket
Hemnet (Sweden)
LeBonCoin.fr (France)
Finn.no (Norway)
Fotocasa (Spain)
Subito (Italy)
Willhaben (Austria)
Mudah (Malaysia)
Tiger Global (US) Commonfloor (India)
Daft.ie (Ireland)
Idealista (Spain)
Private Property (South Africa)
Redfin (USA)

12. Navent – Consolidating the Sth American Market
• Focus on Property Portals and Jobs Portals in Sth America
• Investment in:
– Imovelweb (Brazil) – top 3
– Imovelweb Curitiba
– Adondevivir (Peru) - #1
– Inmuebles24 (Mexico) - #1/2
– Plusvalia (Ecuador) - #1
– Compreoalquile (Panama)
– Conlallave (Venezuela)
– Imovelpro (Brazil – Software)
– Union Desenvolvimento de Software (Brazil – Software)
– CRM Inmobiliario (Mexico – Software)
– Wimoveis (Brazil)
– Dridco (Argentina)
• Raised significant money to target other Sth American investment
opportunities

13. General Classifieds Buying Verticals
General Classifieds Acquisition / Investment
Schibstead Hemnet (Sweden)
Mercardo Libre Metros Cubicos (Mexico)
Guiadinmuebles (MX)
Quikr CommonFloor (India)

14. Changing Nature of Online Real Estate Marketing
1. Emergence of online real estate industry
2. High levels of competition in each market
3. High levels of funding
4. Major players consolidating the markets
5. Agents are rebelling in some markets

15. Agent Owned and Controlled Sites

16. Impact of OnTheMarket on Zoopla – DeskTop Traffic
8.6x16.6x

17. Zoopla Marketing Response

18. Impact of OnTheMarket on Rightmove – Share Price

19. Changing Nature of Online Real Estate Marketing
1. Emergence of online real estate industry
2. High levels of competition in each market
3. High levels of funding
4. Major players consolidating the markets
5. Agents are rebelling in some markets
6. Advertising is getting more sophisticated

20. Mature Sites Moving to Lifestyle Branding
Copyright Property Portal Watch 20Version 1.0

21. Changing Nature of Online Real Estate Marketing
1. Emergence of online real estate industry
2. High levels of competition in each market
3. High levels of funding
4. Major players consolidating the markets
5. Agents are rebelling in some markets
6. Advertising is getting more sophisticated
7. Partnering is occurring

22. Schibstead / Naspers Partner in Selected Markets
• Brazil
• Thailand
• Indonesia
• Bangladesh

23. Changing Nature of Online Real Estate Marketing
1. Emergence of online real estate industry
2. High levels of competition in each market
3. High levels of funding
4. Major players consolidating the markets
5. Agents are rebelling in some markets
6. Advertising is getting more sophisticated
7. Partnering is occurring
8. Low cost approaches are being adopted in new markets

24. Rocket Media Example

25. Changing Nature of Online Real Estate Marketing
1. Emergence of online real estate industry
2. High levels of competition in each market
3. High levels of funding
4. Major players consolidating the markets
5. Agents are rebelling in some markets
6. Advertising is getting more sophisticated
7. Partnering is occurring
8. Low cost approaches are being adopted in new markets
9. Business models are changing

26. Changing Business Models
• Movement from pay to advertise (in some segments)
• Pay per lead
• Commission stream
• Movement into what agents do

27. 8 Sites to Watch
1. Rightmove – A Highly Focused Business

28. Running a Highly Focused Business

29. 56%
58%
60%
62%
64%
66%
68%
70%
72%
74%
76%
2009 2010 2011 2012 2013 2014 2015 (e)
Rightmove EBITDA Margin

30. 8 Sites to Watch
1. Rightmove – A Highly Focused Business
2. realestate.com.au – Value Extraction from Advertisers

31. Value Extraction from Advertisers

32. ARPA Probably
AUD 3,200-3,500
(Jun 2015)
21% year on year
growth (FY14-15)
Almost doubled
since Jun 2013

34. 8 Sites to Watch
1. Rightmove – A Highly Focused Business
2. realestate.com.au – Value Extraction from Advertisers
3. Trulia – Consumer Interaction

35. Consumer Interaction

37. 8 Sites to Watch
1. Rightmove – A Highly Focused Business
2. realestate.com.au – Value Extraction from Advertisers
3. Trulia – Consumer Interaction
4. VivaReal – Strong Execution in a Large Market

38. Execution in a Large Market

39. Clarity of Mission
Quality Team
Organized Approach
Measured Performance

40. 8 Sites to Watch
1. Rightmove – A Highly Focused Business
2. realestate.com.au – Value Extraction from Advertisers
3. Trulia – Consumer Interaction
4. VivaReal – Strong Execution in a Large Market
5. Zameen – Data Driven Approach to Emerging Markets

41. Data Driven Approach to Management

42. 8 Sites to Watch
1. Rightmove – A Highly Focused Business
2. realestate.com.au – Value Extraction from Advertisers
3. Trulia – Consumer Interaction
4. VivaReal – Strong Execution in a Large Market
5. Zameen – Data Driven Approach to Emerging Markets
6. Mitula Group – Strong SEO Performance

43. SEO Performance

44. 8 Sites to Watch
1. Rightmove – A Highly Focused Business
2. realestate.com.au – Value Extraction from Advertisers
3. Trulia – Consumer Interaction
4. VivaReal – Strong Execution in a Large Market
5. Zameen – Data Driven Approach to Emerging Markets
6. Mitula Group – Strong SEO Performance
7. Immobiliare – Attacking a Market Leader and Winning

45. Taking on a Market Leader and Winning

46. Taking on a Market Leader and Winning

47. 8 Sites to Watch
1. Rightmove – A Highly Focused Business
2. realestate.com.au – Value Extraction from Advertisers
3. Trulia – Consumer Interaction
4. VivaReal – Strong Execution in a Large Market
5. Zameen – Data Driven Approach to Emerging Markets
6. Mitula Group – Strong SEO Performance
7. Immobiliare – Attacking a Market Leader and Winning
8. EasyProperty/PurpleBricks – Changing Real Estate Agency

48. Changing Real Estate Agency