First employment classifieds. Then automotive advertising moved massively online. And now a (the executive summary) of new report out of the US by Borrell Associates suggests real estate advertising dollars are going to jump to the web in a big way.
For newspapers the situation is worse. We project that coming off last year's high of almost $5.2 billion in print advertising, there will be a 6.8 percent decline this year (2007), almost the same again in 2008, followed by a stunning 16 percent fall in 2009 and 13 percent in 2010. By then, real estate marketers will be spending more on online media than on newspapers or local homes magazines.
(source: Borrell Associates, Real Estate Outlook 2007-2012)
The report says that overall spending on real estate advertising dropped by 3 percent in 2007, but that online spending on real estate increased by over 25 percent during that same time period.
These numbers are all US figures and 2007 has been a spectacularly bad year for the US real estate market (the sub-prime mortgage market meltdown and a resultant recession). But regardless, the fact that within that context online ad spending by real estate industry actually increased by 25 percent is a very strong indicator of where those dollars are headed.
We have many options for grabbing a good piece of those dollars (great relationships with the people spending the money, high profile in our communities) but we're abysmally slow at seeing and seizing those opportunities in both the resale and the new homes markets.
Could we seek partnerships with the MLS? Build our own interactive maps, like Housingmaps.com's , to display rental, resale, open houses etc?
There are some great opportunities going begging here folks. Bill