The recent launch of Kelley Blue Book Homes has sparked discussion about the growing number of companies competing for real estate consumers’ attention. The platform offers homeowners property valuations while also serving as a lead generation source for participating real estate professionals. HousingWire’s Senior Real Estate Reporter Brooklee Han offers a very interesting article.  One industry perspective she noted stands out. Amit Kulkarni, co-founder of Alloy Advisors, described today’s competitive landscape in a way I bet you can relate to:

“All the antelope, zebras, lion, giraffes and rhinos are around this tiny little puddle of water trying to suck out the last bit of moisture so they can stay alive — that is what the industry feels like to me. There are a finite number of transactions and more and more animals coming to this transaction watering hole all trying to drink from this very finite number of transactions. What puzzles me is that everyone is launching these new initiatives, but none of them are going to add a single transaction to the mix, they are just trying to further extract value from what already exists.”

In the article, Kulkarni also cited National Association of REALTORS® data indicating most home sellers continue to select their agent through recommendations from friends or family. If that trend holds, only about one-third of sellers are actively searching for an agent through online lead gen portals. His view is that new platforms are not increasing the number of transactions, but rather competing for a limited share of existing business.  Read the whole HousingWire article Can a trusted car valuation brand win seller leads in housing? here for more on your place at the watering hole.   Another great article following up is Is Kelley Blue Book another company coming for your commission? and what you can do about it.