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The Way I See It

Archive for the month “April, 2015”

Is Google about to bury your real estate website? | Inman

Travis Wright

Zillow CEO: Our core story intact

Interesting interview with Jim Cramer. What might Zillow be worth to Google or Yahoo?!

Travis Wright

Zillow shares halted as company guides sharply below Street estimates

Travis Wright

Zillow’s Investor Update

Shares are halted!
Travis Wright

The Only Way to Fly

Fly Army!

How’s Your Real Estate Supply Chain Working Today?

Industry participants are using various technology platforms and digital tools that don’t talk or work with each other.


Industry Analysis for Lead Generation Advertising in Real Estate

I have updated the Confidential Report. Please review and comment.




The Supply Chain of Real Estate Transactions

The supply chain of real estate participants must be addressed in order to modernize the residential real estate process.

supply chain


Beautiful Day in The Woodlands, TX

New luxury apartments at Hughes Landing on Lake Woodlands.

Travis Wright

The Advertising Numbers Just Don’t Jive: Zillow, Borrell Associates, NAR Surveys


I took upon myself to understand the impact of the forecasted real estate advertising spend by brokers and agents as researched by Borrell & Associates. Without question, Borrell is an industry leader who measures and reports on ad spends in many industries, real estate being one of those.

Based on my research, assumptions, and calculations, it appears that the ad spend projected by the Borrell research would consume almost 19% of the gross commission income of the entire industry. If applied to the individual agent or broker, that level of expenditure would be unattainable. Spending that much to generate leads and impressions would literally put agents in an unprofitable situation, especially when added to the fixed and variable operating costs of being an agent or broker.

Yet, search portals like Zillow tell Wall Street analysts that the addressable ad spend market is a robust $12Billion (I presume based on Borrell’s numbers) and that Zillow only has 2% of that pool, plus another 2% from its newest acquisition, Trulia.

As an investor myself, I would be attracted to a media business with only 2% of a $12Billion market, especially if it could demonstrate its roadmap to capture more of that $12Billion.

But what if that ad market isn’t $12Billion? And what if 75% of that ad market is already online? Might that affect my appetite to invest in an online media company? Or alter my enthusiasm for other software innovators that believe the ad spend category is $12Billion, or for other companies wanting to build software products based on ad revenues?

For all the details, please read my Confidential Report.



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