Century 21 Ditches TV for Online
In a move I suspect may be followed by many of the other big real estate brands in 2009, last week at Real Estate Connect in New York, Century 21 announced it was shifting its television advertising dollars to support its online marketing efforts.
You can see the announcement made by Tom Kunz, president and CEO of C21 in an interview done with Susie Hale of Frogpond TV. (The announcement comes at about 3:00 minutes in).
This shift should not come as much of a surprise to many readers of this blog. But what is surprising (and refreshing) is that C21 has come out so publicly in their endorsement of new media. C21 plans to spend the bulk of their advertising investment in 2009 on display advertising, search engine marketing and enhanced listing partnerships with real estate web sites, which no doubt bodes well for companies like Zillow, Trulia and Frontdoor. Their goal, ultimately, is to generate more leads to their franchisees, affiliates and brokers and agents.
Over the last couple years we’ve seen the technology providers and pundits (myself included, natch) talk about the need for real estate industry to fully embrace the Internet as the channel of choice to connect with consumers.
The web provides a platform for brokers and agents to connect more meaningfully and, more importantly, more measurably, with the buyers and sellers who are now predominantly searching for real estate information online.
This wave has been cresting for a long time and while the smarter agents and brokers have ridden the curl of this trend for many years, and have prospered because of it, this announcement sends a clear signal that the big brands are fully committing to this new world as well.
2009 may just be the year that the wave finally comes crashing down and we see the end of big real estate’s old media habits.
Photo by prgibbs.
Erika Napoletano | Jan 12, 2009 | Reply
It’s great to see big real estate actively embracing new media. It’s baffled me as to why, especially since real estate in inherently a people-to-people profession, the industry has been such a long-term holdout. With the number of professionals now blogging, engaging with Twitter, LinkedIn and Facebook, it was only a matter of time before the big guys started listening to the little guys…the little guys know how to stay fed in lean times!
Tony Sena | Jan 12, 2009 | Reply
They should invest that money back into their website and make it more social and get their hundreds of thousands of agents participating on the site, I am sure that would generate leads for their affiliates and agents.
Just my 2 cents…
Joseph Bridges | Jan 12, 2009 | Reply
This will have a tremendous impact on newspapers and other traditional media that have been getting real estate money for years. I am glad that you posted this as so few ever uncover what is really happening. I think to be honest C21 is wise for coming out and saying it.
Derek Overbey | Jan 13, 2009 | Reply
Great view Joel. When I first entered the brokerage world back in 1999, I worked for eHome, one of the first online brokerages. People would laugh at us for saying that the Internet was going to forever change how people searched for homes. Well here we are 10 years later and the industry has felt the impact of something that was scoffed at back in the day. I hope more brokerages, large and small, understand that the consumer has changed and if they don’t change with them, they might not be around very much longer. Congrats to C21 for analyzing the situation and making a bold but logical move for the future.
Derek Overbey
http://www.roost.com
http://blog.roost.com
Patric of Real Estate License Direct | Jan 13, 2009 | Reply
It almost makes me laugh because it seems they are just so behind the times, but in reality a lot of real estate companies continue to steer clear of online advertising.
Now days people spend more time tuned into the Internet than they do the tv so it only makes sense to take that road. In a way I am glad to hear that a giant like C21 is taking the plunge, but on the other hand it will bring more competition to the already very competitive real estate industry, turning away a lot of new agents and real estate businesses that may have otherwise been able to use the web as a powerful tool.
Greg Vincent | Jan 15, 2009 | Reply
Joel, it was interesting to here C21 come out & say what everyone in the general public knows. TV doesn’t have the traction it used to & when people are searching for a property or a real estate agent they don’t search through the TV.
TV worked well for their branding, but they can get a much better bang for their buck online.
PS: I wonder if they’ll reconsider down the track & advertise on Google TV?
Greg Vincent
http://www.RealEstateAgentSuccessClub/yourgifts
Kirby Brooks of San Juan Realty Inc. | Jan 15, 2009 | Reply
It’s a bold move of C21 to come out and state they’re leaving the print/newspaper realm. In smaller markets like our, we still find the medium effective but are also bolstering out line approaches as well.
myrtle beach rentals | Jan 15, 2009 | Reply
I agree it is pretty bold for them to announce it. I know from being in the industry, newspapers are a waste of time when advertising a property
Matt Gentile | Jan 16, 2009 | Reply
We are working on it Tony. All good things take time. Look for innovative social media tools in late spring / early summer.
Great post Joel.
Matt Gentile, Director of PR and Brand Communication
Century 21 Real Estate LLC
Tony Sena | Jan 23, 2009 | Reply
Matt,
I’ll be looking forward to the innovative social media tools that you will be launching. I guess I will have to start following your efforts to make sure their isn’t a new competitor on the horizon in my local market
Provo Homes | Jan 23, 2009 | Reply
I wonder if Remax Will Follow. Remax is constantly bragging about how it does the most advertising on TV. But does that in result sell houses?
With the market slow, companies need to really examine the effectiveness of their advertising.
http://www.homes4saleinutah.com
Property Investment Abroad | Jan 26, 2009 | Reply
I think it is a clear indication also how people are moving forward with their marketing and also how forward thinking you need to be with property investment promotion in the future. Estate agents cannot contine to succeed as they have previously as the markets have changed.
crystal | Jan 26, 2009 | Reply
I am a Century-21 agent in Vancouver, WA. You can view my website at http://www.crystalboldt.com. I have also ditched almost all other advertising other than online. It has been a lifesaver. Not to mention the cost as well in this market. I am looking forward to networking and learfing all the new social media. Any pointers?
Overland Park | Jan 30, 2009 | Reply
Appreciate the article Joel. I know its a big step for them but to me (and I’m sure many of your readers) its like saying Microsoft is ditching type writers.
Laguna Niguel Real Estate | Feb 1, 2009 | Reply
Century 21, being the biggest name in real estate worldwide, should still need to improve its marketing strategies. Great article, though.
Simon Cardash | Jan 17, 2010 | Reply
Real estate agents in the UK have been embracing the web for the last couple of years now. The old style high street agency will become consigned to history in the next ten years
Round Rock Realtors - Jacci | Jan 19, 2010 | Reply
As times change so does the stlye of marketing. This doesn’t suprise me at all. I think that TV still has its pros and cons be now days the internet is the way to go.
Garden City Oceanfront Homes | Apr 25, 2010 | Reply
I think everyone is ditching some form of advertising to focus more money and time on advertising online.