Domain pursues east coast agent equity participation

Fairfax Media's Domain Group has announced its plan to roll out its estate agent equity participation model in New South Wales and Queensland.

Like the ones launched in Adelaide and Perth last year, local agents can have equity in a new online business in partnership with Domain. 

The Domain Group will collaborate with local agents to create a new industry-owned real estate business that will be 50% owned by Domain Group and 50% by real estate agents in each state or territory.

Expressions of interest have been sent to NSW and Queensland real estate agents today.

The industry-owned model was pioneered in Victoria by Antony Catalano, the Domain chief, who said the launch of the model was a game changer for the industry.

“It has been an enormous success in Victoria, bringing real competition to the market, helping keep a check on pricing and giving much better value to property advertisers,” he said.

“Our collaboration with agents has provided a richer insight into the key concerns of our vendors and consumers as well as market trends, which has allowed us to build the best products and best experiences in the market."

Antony Catalano said that, based on the take-up in the other states, he expected an enthusiastic response.

“The reality is that the industry has been calling for a genuine industry partner for years, but it is a very hard thing to do,” he said.

“The great strength of the new business model and today’s announcement is that it is the first time a substantial, expert and experienced national publisher has joined with the industry to create more competition and better products.

“We have been road testing the proposal and the response has been enthusiastic."

Earlier this year Melbourne’s leading agents and the founding shareholders of the Metro Media Publishing Holdings (MMPH) syndicate agreed to swap their equity in MMPH largely for equity in Fairfax. 

But agent ownership of MMPH subsidiaries, including the rapidly-growing property portal reviewproperty.com.au and The Weekly Review magazines in Melbourne and Geelong, remains.

MMP has more than 400 agent shareholders through its reviewproperty.com.au and The Weekly Review magazines.

Domain recently announced sponsorships that will promote its presence in SA and WA, taking AFL Adelaide Crows corporate sponsorship. 

 

Domain has also signed a partnership that will see Patersons Stadium renamed as Domain Stadium under three-year naming rights sponsorship.