Where Real Estate Gets Its Dirt

Bob Bemis – Zillow, MLS and what the future holds

The Evolving MLS – Part I – From Deconstruction to Resurrection

Bob Bemis, on his blog Procuring Cause, about a call he received while still working at Zillow:

“Into this contentious environment, one MLS CEO made an unusual phone call in early spring of 2013. He said his MLS was about to begin the dreaded vendor selection process and he wondered if Zillow would be interested in being considered as the system provider for their MLS. He was working from the common perception that “Zillow is just one field away from being a national MLS.” Would Zillow like to add that field?

“No!” The answer was swift and resolute. Zillow had no interest in getting into the MLS business or even the technology business on behalf of an MLS. They held to their mantra they were a media company, not a broker, not an MLS, not a title company, nothing but an advertising vehicle for brokers and agents (and others) to reach a potential audience through pay per impression display ads.

That should have been the end of it. But ten days later I received a second call from another association executive asking the same question. I had no reason to believe these two people had talked to each other or compared notes. And I gave the same emphatic negative reply when asked the second time.”

MLS Executives calling for Zillow to become an MLS vendor?! Holy shit!

And this….

“Agents and brokers expressed more frustration with the lack of innovation in MLS technology and pointed to the upstart portals as examples of what an MLS should look like. MLSs were seemingly talking to the wall if they asked for major improvements in their MLS system from their vendor. The MLSs had dug their own deep hole by playing vendors off against each other during contract renewal time, thus demanding and receiving the lowest possible price for service, sometimes near the break-even point for vendors. Without profits, vendors were at a loss how to finance innovation, research, and new development, while the MLSs who had selected them felt the backlash from their subscribers who demanded more.”

The whole post is worth a read. It will be very interesting to see where this goes….

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