1. Riding the Bullet Train toRiding the Bullet Train to
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2. Course Objectives
• Understand Social Era versus Social
Media;
• Discuss the “Power Shift” from real
estate professionals to consumers;
• Examine consumer influence on the
agent’s business model; and
• Learn how to service the "next
generation" of home buyers and
sellers.
8. The Only People That Like Change……The Only People That Like Change……
9. Change
• How did it feel to be asked to change seats?
• Did you view changing seats as an opportunity to
sit with someone new or as an uncomfortable or
undesirable change?
• What are some things that make people resistant
to change?
• What can you do to make it easier for people in
your organization to accept the changes?
13. What changes Are Coming inWhat changes Are Coming in
2013 and Beyond2013 and Beyond
14.
15. The Social Era
If the industrial era was about building things, the Social Era is about
connecting things, people, and ideas.
Connections create value. The Social Era will reward those organizations that
realize they don’t create value all by themselves.
Power in community. Power used to come largely through and from big
institutions. Today power comes from connected individuals in community.
16. The Social Era
Collaboration > control.
Instead of centralized decisions, there is distributed input, decisions, and
distributed ownership.
Talent inclusion—across ages, genders, cultures, sexual orientation—it’s
essential for solving new problems as well as for finding new solutions to old
problems.
17. The Social Era
Buyers and sellers become “co-creators.”
Embrace buyers and sellers as “co-creation” partners instead of as an object at
the end of a value chain.
Mistakes can build trust.
Relationships gain strength from trying new things and the resulting failures.
18. The Social Era
Learn. Unlearn. (Repeat.) Rather than viewing
CHANGE AS BAD”, understand that it as a natural part of
the business development. Adaptability is central to how
we will survive.
Social purpose unleashes ownership.
Purpose is a better motivator than money. Money, while
necessary, motivates neither the best people nor the best in
people.
When people know the purpose of an organization, they
just come.
23. Generational
Differences
For the first time in history there are 6
living generations in America.
• GI Generation (1901-1926)
• Silent's (1927-1945)
• Boomers (1946-1964)
• Generation X (1965-1979)
• Millennial’s (Gen Y) (1980 -1998)
• Generation Z (1999 – present)
• And………
24.
25. Generation “Wired”
• Have a lifelong use of the Internet, texting, IM, MP3’s and
Smartphones (not cell) earning them the nickname "digital
natives".
• Have been raised entirely after the end of the Cold War and the
Internet.
• They're the children of Generation X
• The youngest members can also be children of Generation Y
• Their grandparents tend to be members of the Silent Generation
28. Generational
Differences
4 of them are working together in the
workplace and exist side by side.
• The traditional industry models
become less appealing and relevant to
each succeeding generation.
The generational disconnect can be
bridged.
Recognize the growing differences
in the agents & buyers needs,
preferences, & values & do
something about it, otherwise
they will deem you irrelevant.
34. It is notIt is not Business As UsualBusiness As Usual!!
35.
36. Consumers listen
more to one
another
than they do to
marketing
messages
of advertisers.
Technology
damaged the
traditional
purchase funnel.
People are
increasingly
individualist.
They escape
being
categorized.
It’s not a
question of
technology, it’s a
question of
customer
relationships.
37. Organizational Responses
• Many brokers and agents spend all day
defending what they do, how they sell
services, and try to prevent their
organizations from being devoured by the
“NEW.”
• Unaware that everything that is happening in
the real estate industry is ever more likely to
happen on a screen or handheld device.
• Denying that traditional Media is in a death
spiral
38. If You Strap An Engine on a Horse do you have a
Car?
• You must ask yourself what
business you are in and
whether your traditional idea
of “how to be in that
business” is still relevant to
what the customers want.
• You can’t solve a problem
before you know what the
problem is: otherwise you
wind up strapping engines
on horses.
39. The industry faces not one but four changes
Where a change in one influences the other threeWhere a change in one influences the other three
What’s Driving the Shift?What’s Driving the Shift?
43. Profile of Realtors & HomebuyersProfile of Realtors & Homebuyers
• Median age of a Realtor is 56
years old
• 60% are female
• 76% of Realtors have real
estate as their only
occupation
• 9% of Realtors are foreign
born
• Largest share of homebuyers
are 25-34 years old; Median
age overall is 42 years old
• 39% are first-time
homebuyers (Median age, 31)
• 16 % are single females; 9%
are single males
• 13% of first-time home buyers
are foreign born; 8% are
repeat
44. • 56% of Realtors have a smart
phone with wireless internet
and email access
• 91% of information on the
website is the Realtors own
listings
• More than 1/2 are using social
media.
• Realtors spend a median of
$200 to maintain their
websites
• 90% of homebuyers used the
internet to search for a home
(96% for buyers under 44
YOA)
• 87% used a real estate agent
or broker
• 27% of buyers used print
newspaper ads to find info on
homes for sale
• 1% of buyers found the home
they purchased using print
ads; 42% Internet; 34% Agent
Profile of Realtors & HomebuyersProfile of Realtors & Homebuyers
45. Shift from Dependence to Choice
•More choices: accessed more easily
•Smart devices and tablets
•More kinds of choices
•Not just when and how but increasing variety of features
•Great ease of use
•Voicemail vs. Text/Facebook
•Choice not to commit
•They expect an option to make full commitment
•Increasing sense of entitlement
•As each new generation is offered choice, their standards go up
and brokers and agents must respect the new standard
46. Shift from Dependence to Choice
Success means giving up the habits of
the old uneven power relationships and
forming a new more equal
partnership/relationship.
Success means giving up the habits of
the old uneven power relationships and
forming a new more equal
partnership/relationship.
48. Content……..becomes King!
The Internet makes its possible for buyers and sellers to find information and
each other without the middleman.
Consumers have little reason to
pay for delivery that isn’t digital
anymore, and digital delivery
doesn’t create comparable
monopolies to support content.
53. Curation
“Often what I need to
know before I use any
of their expertise is
more about myself and
my community,
meaning the people I
trust.
I could figure it out
myself, but so often
time is exactly what I
don’t have.”
~ The Consumer
What consumers trust has changed:
Instead of an expert, they want to hear
from the source –
•The person who stayed in the room
•Ate the meal
•Drove the new car
•Got the home loan
•Bought the house
56. The Forms of Communication
ConvergenceConvergence
57. Convergence
• Platforms that seem
important today will likely
be replaced in a few years.
• Convergence of
technologies, media forms
and other aspects of our
lives will continue to
intensify.
58. Convergence
• To focus on who will win is to miss the point about convergence:
The new doesn’t replace the old; the new and the old combine.
60. The Definition:The Definition:
Disruptive business models focus on creating, refining, reengineering
or optimizing their products/service, role/function/practice, or
industry.
The most successful companies incorporate disruptive thinking to gain
distinctive competitive value propositions.
64. Are You Disruptive?
•When was the last time you embraced change and did something
innovative?
•When was the last time you rolled-out an off the wall service
offering?
• Is your client base void of youth?
•When was the last time you sought out a strategic partner to
exploit a market opportunity?
65. Are You Disruptive?
• Do you focus more on process than success?
• Do you settle or are you inspired to become an innovator?
• Have you embraced social media?
• Does you have a coach or mentor?
66.
67. “We can't solve problems by using
the same kind of thinking we used
when we created them.”
Albert Einstein
““BeingBeing DisruptiveDisruptive helps to keep us off thehelps to keep us off the
Bullet Train andBullet Train and RelevantRelevant””
68. Riding the Bullet Train toRiding the Bullet Train to
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Editor's Notes
This is the old way. You target people. You hunt them down. You do marketing to them.
This is the new way: Consumers market to each other.
