According to the Bureau of Labor Statistics, the number of full-time travel agents in the U.S. dropped from a high of 124,000 in 2000 to around 81,700 in 2016 and will decline further by 12% by 2026. The business model of travel agencies has changed, mostly due to the rise of online booking. They have adapted by diversifying their source of commission revenues from hotels and value-adding to their customers by becoming travel consultants.
Similarly, a survey by NAR 2017, shows that 7% of home sales were carried out without the assistance of real estate agents. 55% of buyers start the home buying process by looking online compared to 17% of buyers who contacted real estate agents according to the National Association of Realtors. Thanks to Zillow, Trulia and many others like them, buyers are now able to browse listings, experience virtual tours and narrow their search all on their own without the need for an agent.
One of the best ways to survive disruption is by reinventing your model and adding value. The 2018 report of NAR, mentions that 28% of realtors already engage in multiple activities to protect their revenues.
For instance, it is now a trend among realtors to not only provide buying/selling advice but also remodeling related design advice.
Some real estate agents maintain a strong network of general contractors, permit facilitators and landscape architects and go beyond merely suggesting ideas to facilitating remodeling/renovations to clients prior to sales. In addition to the commission earned from multiple sources, it also removes the need for clients to search for contractors, handymen, and others.
What is more, such active involvement betters the chances of selling a home. 23% of Realtors, according to NAR’s Remodelling Impact Magazine, were able to clinch sales by carrying out remodeling tweaks.
Santa Luzia Moldings, a green building materials leader wants to be part of your re-inventing the business model around real-estate broking. We are keen to partner with willing real-estate agents to develop a value proposition to their end customer: the seller.
Santa Luzia’s polystyrene-based moldings have wood-like properties in appearance, rigidity and even the sound characteristics when one taps on it.
In addition to being waterproof, termite-proof and maintenance-free, they are also pre-painted and come in a variety of colors and widths. Being easy to install and sustainable, these moldings suit the taste of the millennials and women.
All these features make them ideal for bathroom and kitchen remodeling, living room remodeling, laminate flooring, and vinyl flooring.
As part of our emerging partnership with real- estate brokers, we offer attractive discounts, free design advice, and assistance with installation for a pre-home sales remodeling.
If you are interested to know more about how we can partner, do click here.
If you also feel, remodeling contractors in your network may be more interested and could benefit more from partnering with us do click here.
The future of the real estate brokering business is in adding value that technology cannot add by itself. Let us be part of that value you will create for your current and future customers.