The shift to online services has driven industry growth.
Melbourne, Australia (PRWEB) March 06, 2014
The Residential Real Estate Advertising industry has undergone a marked shift in mediums over the past five years. The industry was largely print-based in the past, but shifted fairly early in the period to become dominated by online listings. The players in the industry are now largely online-based. Fairfax Media Limited (which owns Domain) and REA Group Ltd control the majority of the industry. According to IBISWorld industry analyst Sebastian Chia, “this has increased their market share as agents seek the platform with the most potential for a sale”. Industry revenue is forecast to grow at an annualised 9.1% over the five years through 2013-14.
In 2013-14, expected strong growth in listings can be attributed to a surge in the property market as a result of low interest rates. Growth is also being driven by the convenience of the online nature of the product and the appeal of searching based on a specific set of parameters. “Sites are also providing more data and information on properties than ever before, which is commanding higher prices and driving profit growth”, says Chia.
The challenge over the next five years will be to continue growth beyond the simple online listings format. Value added products will be more prevalent, in the form of property data, financing or easier rental applications. The Residential Real Estate Advertising industry will also shift towards mobile services in line with broader trends within the online sector. Smaller industry players will be forced to innovate when faced with the increasing dominance of Domain and REA Group and will either drop out of the industry or occupy particular niches such as city-specific websites or offering free listings.
For more information, visit IBISWorld’s Residential Real Estate Advertising report in Australia industry page.
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IBISWorld Industry Report Key Topics
This industry consists of firms that are mainly involved in listing residential properties available for lease or purchase, for property lessors, buyers and real estate agents and brokers. Industry participants include providers that operate online and companies that publish print listings.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Technology & Systems
Regulation & Policy
About IBISWorld Inc.
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every Australian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.