Consolidation

MLSs have a great opportunity to significantly improve the relevance and marketing power of their organization by finding ways to better serve the needs of their brokers and real estate consumers. I had the honor of interviewing David Charron, Chief Strategy Office of Bright MLS about the highly successful merger between Trend MLS, MRIS and several other MLSs in the Mid-Atlantic region of the United States. They have come together to create one of the largest MLSs in North America. Hear directly from David what it took to accomplish this broker-centric feat!  Check out the video below where David will give you specific ideas about how you too can accomplish consolidation in your local market. Learn from one of the best and brightest(pun intended) about how to create a more relevant organization positioned to help REALTORS®  succeed in even big ways. After you watch the video be sure to subscribe to WAV Group’s newly relaunched Youtube Channel too! Enjoy!  

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The Industry Has Risen

by Victor Lund on May 10, 2017

Consolidation

I had a feeling during the recession that the pillars that held our industry in trust had cracked. The first of two pillars of trust is the National Association of REALTORS® as fully constituted by its local, state, national, and international chapters. The second pillar of trust is the Multiple Listing Service. History has taught us that when you apply pressure to any society or organization it is likely to fracture. No doubt, these industry pillars came under massive scrutiny from their constituents. The real estate brokers who founded these noble entities became conscientious objectors to the organizations and their operations. As the distress of the recession began to ease, our industry began to reshape itself. The restoration of the National Association of REALTORS® and the Multiple Listing Service since 2012 has had a single key focus, careful consolidation. Consolidation is everywhere today. Portals are consolidating to create our industry’s largest and strongest public company. Yesterday, Zillow nearly kissed the $8 Billion dollar ring on Wall Street. Technology firms like Lonewolf, Boston Logic, Elm Street, and others are absorbing smaller firms at an astounding rate. Brokerage firms have consolidated too – represented by the tremendous roll up by Berkshire Hathaway.* But most of all, we have seen massive consolidation in our REALTOR® Associations and Multiple Listing Service providers. MLS Consolidation One of the most astute strategic thinkers in the MLS industry is David Charron. He coined the term Overlapping Market Disorder (OMD). Overlapping Market Disorder is a plague that erodes organizations that are contributing to the chaos. OMD happens when brokers and agents must become members to two MLSs in order to serve a consumer looking to buy or sell in an overlapping area between the two firms. OMD causes friction between the two MLSs whose duty it is to serve the broker and agent. The consumer is also trapped in this friction. Everything is duplicated in OMD areas as the data and operations fabric that is constituted by bifurcated organizations pits those forces against each other. On one hand, Charron provided a solution to the problem with a database for sharing data. It’s largest and most handsome installation was California Real Estate Technology Services. The technology solution to merge the databases was the first step. Then the participants recognized that data sharing was only a suspension of the inevitable. In the wake of data sharing came consolidation. The California […]

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