Whose Brand Matters?

2008–2009 Comparative Performances Among Brokerages on the REAL Trends 500 Report

Company	Change in Total # of Sides	Change in Total # of Offices	Change in Total # of Agents
Keller Williams	+6%	+35%	+19%
RE/MAX	-24%	-23%	-25%
Century 21	-34%	-39%	-45%
Coldwell Banker	-32%	-18%	-25%
Prudential	-26%	-18%	-16%
ERA	-39%	-14%	-27%
Realty Executives	-32%	-35%	-32%
GMAC	-31%	-9%	-21%

Source: REAL Trends 2009

Among brokerages that made the REAL Trends 500, Keller Williams brokers have the largest share of the market of transaction sides. Keller Williams Realty is the only major real estate company on the 2009 REAL Trends 500 Report with brokerages that reported increases in the total number of sides, offices, and agents between 2008 and 2009.

Broker Representation by Transaction Sides

· Keller Williams Realty - 26%

· RE/MAX - 24%

· Coldwell Banker - 10%

· Prudential - 7%

· Century 21 - 4%

· Realogy - 3%

· ERA - 2%

· Realty Executives - 1%

· GMAC - 1%

· All Independents

· Combined - 22%

Source: REAL Trends 2009

What Sets Keller Williams Realty Apart

A philosophy of putting the agent first translates into a supportive culture and market-leading education, training, coaching, and technology that provides agents with an edge in the marketplace. Evidence that Keller Williams Realty is gaining ground during one of the most pronounced market corrections in history underscores the models upon which the company was founded. To an increasing degree, agents are realizing the importance of promoting their own brand, rather than the brand of their company. It is the enterprising agents within Keller Williams Realty who are driving the growth by drawing in a steady stream of new talent.

In a recent blog post, Mark Zawaideh, an associate who recently joined Keller Williams Realty’s Northville Market Center outside of Detroit, noted what it means to his business to be able to build his own brand. “I am a salesman, and it’s my job to be an expert at marketing to my clients, right? So how can you honestly say you’re an expert at marketing your clients’ properties if you can’t even market yourself? So a couple of years ago, I decided to create the MARK Z brand. My clients all love the signs because you can’t help but notice them. This creates more exposure for my clients and in turn more exposure for me. It’s a win-win for everybody. I thought it was great exposure (for my former broker). They didn’t agree, and in November of last year, said the signs must come down! I was devastated. They said it looks like it’s my own company and not a part of the franchise … I wanted a company that would stand behind me and my success, and not try to interfere with it … It’s not my duty to brand the company I work for, since last time I checked, we are independent contractors. And when was the last time someone called your company and said, “I want to list with your company; I just need you to send out an agent.” It doesn’t happen.

Conclusion

In every market, real estate agents have a wide range of companies with which they can join forces. An industry that is as diverse and dynamic as residential real estate allows for a wide range of approaches and business models. It is up to individual agents to determine the models and perspectives that fit with their own objectives and then to move forward in building their careers. As the recent shifts in market share indicate, however, the trend is clearly toward an agent centric culture and an environment that encourages and educates individual agents to build their own brands. Noted industry experts are reinforcing this trend.

According to Jeremy Conaway, president and CEO of RECON Intelligence Services, Inc., Traverse City, Michigan, a leading source of strategic ideas for the real estate industry: Within the industry there is a race on to capture the hearts and minds of this new marketplace. Many of yesterday’s greatest drivers are entering five-year-old cars that are powered by conventional engines. Time will demonstrate that these entries will simply not work in this new environment. The Keller Williams systems entry is powered by a ‘Porsche’ level quality engine that is in its tenth or eleventh iteration. It has been engineered for today’s marketplace, and if driven correctly, will perform to the highest profitability and productivity standards. Very few industry participants have the human, financial, or intellectual resources to engage in this level of engineering. It’s that simple.