Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Trade Me tweaks real estate listing fee to placate agents

Trade Me tweaks real estate listing offerings to keep agents onsite

By Suze Metherell

July 30 (BusinessDesk) - Trade Me has added a monthly listing subscription fee option for realtors after some agents baulked at the online auction site's move to pay-per-listing fees.

The $1,399 monthly subscription offer for Auckland, Wellington and Christchurch-based listings, and $999 for elsewhere, comes after some real estate agents boycotted the Wellington-based company's move to a $159 pay-per-listing charge last year. Businesses which stick with the pay-per-listing model will only pay $99 if the house is valued below $450,000.

"We’ve taken on board feedback that different markets are at play across the country, and affordability from vendors and real estate businesses varies," Nigel Jeffries, head of Trade Me property said in a statement. “We acknowledge that the pay-per-listing model we rolled out last year works well for some business owners, but it does not work for everybody."

Last year Trade Me's classified advertising segment, which includes property, motors and jobs advertisements, posted 29 percent sales growth to $69.7 million, making it the biggest source of operating income for the company.

Property is seen as a key growth engine for the website's classified advertising business, as it faces flat revenues in general auctions business. The company estimates it has a 15 percent, or $18 million, share of the $115 million property-for-sale classified advertising market in New Zealand.

According to Trade Me data, gathered by Perceptive Research, 68 percent of house hunters use the auction site, 6 percent use realestate.co.nz and 4 percent use newspapers.

Shares of Trade Me fell 2 percent to $3.45 and have declined 13 percent this year. The stock is rated an average of 'hold' according to 10 analysts surveyed by Reuters, with a median price target of $3.93.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Half Full: Dairy Payouts Steady, Cash Will Be Tight

Industry body DairyNZ is advising farmers to focus on strong cashflow management as they look ahead to the 2015-16 season following Fonterra's half-year results announcement today. More>>

ALSO:

First Union: Cotton On Plans To Use “Tea Break” Law

“The Prime Minister reassured New Zealanders that ‘post the passing of this law, will you all of a sudden find thousands of workers who are denied having a tea break? The answer is absolutely not’... Cotton On is proposing to remove tea and meal breaks for workers in its safety sensitive distribution centre. How long before other major chains try and follow suit?” More>>

ALSO:

Scoop Business: NZ-Korea FTA Signed Amid Spying, Lost Sovereignty Claims

A long-awaited free trade agreement between New Zealand and South Korea has been signed in Seoul by Prime Minister John Key and the Korean president, Park Geun-hye. More>>

ALSO:

PM Visit: NZ And Viet Nam Agree Ambitious Trade Target

New Zealand and Viet Nam have agreed an ambitious target of doubling two-way goods and service trade to around $2.2 billion by 2020, Prime Minister John Key has announced. More>>

ALSO:

Scoop Business: NZ Economy Grows 0.8% In Fourth Quarter

The New Zealand economy expanded in the fourth quarter as tourists drove growth in retailing and accommodation, and property sales increased demand for real estate services. More>>

ALSO:

Scoop Business: RBNZ’s Wheeler Keeps OCR On Hold, No Rate Hikes Ahead

The Reserve Bank has removed the prospect of future interest rate hikes from its forecast horizon as a strong kiwi dollar and cheap oil hold down inflation, and the central bank ponders whether to lower its assessment of where “neutral” interest rates should be. The kiwi dollar gained. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news