Strategic Issues Implementation Recommendations

Appendix A

Strategic Issues Implementation Recommendations

The 2016 AEC Strategic Issues Analysis Work Group reviewed the “Unleashing the Power of Real Estate Data” report that was released in May 2016. The work group proposes recommendations and /or actions, as outlined below, to ensure that associations gain the greatest benefit from the strategic issues report. Recommendations and actions will be referred as follows:

RCE — Consider for inclusion in the AE Competencies and Body of Knowledge and the RCE exam.

AE Institute — Recommend topics be addressed through programming at the AE Institute.

State Associations — Suggest that state associations utilize in their strategic planning conversations and/or for use in local AE training sessions.

Roundtables — Designate as roundtable topics to be addressed at NAR meetings, including AE Institute, GAD Institute, Communications Directors Summit, MLS/CMLS meetings.

MLS — Forward to CMLS for consideration.

RCE

AEs understand the impact of data collection and the value to the association and members.

• Include in key competencies for AEs.

AE’s understand the impact of trends and how to “tell a story” using data

AE INSTITUTE

Provide useful and appropriate data to members and educate them how to use and understand data.

• Provide training on the basics of data analytics.
• Offer training sessions at the AE Institute and other regional AE training.
• Develop curriculum outline for course.
• NAR/state resources to provide data (Texas has the data relevancy project. Can generate a basic infographic for sharing but can also access a very detailed report. Examples can be shared.)

Simplicity and independence — make it quick and easy for millennials.

• Online applications
• Evaluate orientation process, possible online orientation and training
• Easy registrations
• Association “app” for communication
• Simple customer experience

Associations and MLSs to create value for millennials.

• Provide online apps for virtual experiences with all services
• Online learning experiences and library resources
• Streamlined governance structures and meetings
• Courses and materials to bridge gaps between generations and to adapt to the new “demand”

Utilize NAR resources

• Resources, toolkits and training for smaller associations and staff.
• Game Changer grants to focus on ideas for association improvement
• Conduct best practices forums and other training formats, perhaps with teams, to identify what’s working in other associations.
• Identify the association’s value proposition. Why should millennials join? What’s in it for them?
• More on concierge and specialty services.
• Consider Upstream and the brokers’ need for a bigger role for the MLSs.

How does an association without an MLS relate and get advantages of an MLS?

• Many associations do not have an MLS and function successfully. Every REALTOR® association emphasizes and highlights the following items (among others):
  • The importance of using a REALTOR® in transactions
  • Political Advocacy
  • Professional Standards
  • Promotion of the REALTOR® brand
  • Education opportunities for members and the public
• In addition, services such as the following may be provided to members as a value added benefit to members
  • Contract forms and documents
  • Lockboxes

Need to do due diligence on exploring tech tools and analytics.

As with many industries, technology is ever changing the way business is conducted by REALTORS®. Within our industry, whenever possible, it is our responsibility to do due diligence to explore technology tools and analytics that may benefit our members.

STATE ASSOCIATIONS

Embrace the changing concept of home as traditional, non­traditional, culturally diverse and adaptive. (Home/work; rental source; senior space; smart homes)

Identify resources to help navigate restrictive ordinances and/or assist in developing new ordinances and policies to address the new home concept. (CRT, REALTOR® Party, how to request study, economic impact)

Simplicity and independence — make it quick and easy for millennials.

• Online applications
• Evaluate orientation process, possible online orientation and training
• Easy registrations
• Association “app” for communication
• Simple customer experience

Housing Trends

• Use housing stats to educate elected officers, members, economic development organizations, and the media. Track more of the property management trends.

Agent Trends

• Regulators working with states on license laws.
• Engage in storytelling to make REALTORS® more interesting.

Need to do due diligence on exploring tech tools and analytics.

• As with many industries, technology is ever changing the way business is conducted by REALTORS®. Within our industry, whenever possible, it is our responsibility to do due diligence to explore technology tools and analytics that may benefit our members.

ROUNDTABLES

Use RPR as data resource; allow flexibility to define data needs beyond set jurisdictions.

Develop training resource for working across cultures. (REBAC) (An opportunity to partner with NAHREP, AREAA and REALTIST. NAR might be interested in some type of collaborative effort with these organizations.)

Educate public on potential alternative housing options (Example - a senior/student housing initiative in a community with numerous local colleges and a large elderly population.)

Success may need to be redefined from participation rates and attendance to more individualized services with metrics to support the success of programs.

• Evaluate “success”
• Explore smaller gatherings with good content but relaxed and fun

Associations and MLSs need to be the source for the technology, knowledge, experience, and education to members — expand members’ businesses and knowledge.

• Even if we aren’t the source, we can be the resource. One stop easy information on how to find resources such as NAR tools, forms, best apps, etc.
• More tech type education
• Use social media as member communication tool

Limitations — size, money, inexperienced staff.

• Look to partnerships from other associations or even “virtual assistant” type help

Association evaluation

• Associations need to do an evaluation of their membership to identify how many and who the millennials are in the organization.
• Associations also need to evaluate what programs or meetings have been lacking and see if any changes can be made.

Association experience

• The overall experience at the association needs to be simple but helpful.
• Make membership fun and something they want to belong to and get involved in; part of a club; rewarding.

MLS

How does an association without an MLS relate and get advantages of an MLS?

• Many associations do not have an MLS and function successfully. Every REALTOR® association emphasizes and highlights the following items (among others):
  • The importance of using a REALTOR® in transactions
  • Political Advocacy
  • Professional Standards
  • Promotion of the REALTOR® brand
  • Education opportunities for members and the public
• In addition, services such as the following may be provided to members as a value added benefit to members
  • Contract forms and documents
  • Lockboxes

Market-centric — ask brokers what’s important to them. Analytics and other products sell to brokers as more cost-effective thru the MLS vs. leveling the playing field.

• In demonstrating their value proposition, MLSs and associations need to sell the cost savings to brokers when the MLS or association can provide a benefit to everyone at less cost than a firm would incur. For example, analytics and market statistics are important to real estate professionals. The way this information is disseminated really depends on the market and association. Since some associations don’t have access to the statistics it may be easier to provide the information through the MLS. It was also mentioned that many associations (and MLSs) already provide the information to members (through such venders as 10K) at no cost as a member benefit. In most cases, whether provided through the MLS or the association, the cost is less than if a broker tried to do the same on their own. This is an issue that probably should be approached on a market by market (or association by association) level depending on the needs and wants of the membership.

AEs and MLSs need to push MLS vendors to be more responsive.

• It may be difficult for AEs and MLSs to push MLS vendors to be more responsive. The industry is down to between three or four major MLS vendors and it has been difficult for them to increase prices to MLSs due to pressure from clients to keep prices down. With such low margins, many smaller MLS vendors have not been able to invest in R&D. Although there is a need for AEs and MLSs to work with the vendors it may be difficult or unrealistic to push the vendors.

With the recent number of mergers, along with the opinion that market consolidation will continue for the foreseeable future, AEs and MLSs must work with their MLS vendors to provide the best service possible.