Microsoft Finds a Home With PBL
Microsoft Finds a Home With PBL
December 13, 2006: Microsoft gets cosy with PBL by carving a 30 percent slice in to property website, Myhome.com.au, due for launch in early 2007.
It’s an investment that fits neatly with Microsoft’s mission to obtain an increased share of the internet search pie from the likes of Google and Yahoo. Currently on the scout for other online services, the Myhome buy-out will sit with similar Microsoft ventures such as US travel website, Expedia.
With Microsoft now offered first grabs on any online venture PBL is pursuing, there is speculation that Seek and Carsales.com.au could also be vulnerable to the taking.
Realestate.com.au currently hosts the country’s largest online property service followed by Domain.com.au. When IDM spoke to the site’s managing director Simon Baker, he seemed unfazed by the potential for Myhome to eat in to his market yet ridiculed the site’s push to allow real estate agents to buy in to the venture.
“There is a whole heap of speculation about the site, but no one has actually seen the product,” he says. “It keeps our guys on their toes, but in the mean time, we’ve got bigger fish to free. I’m not one for jumping at shadows.”
Baker is more concerned about what he believes the site could do to the vendor/agent relationship. With a number of leading agents claiming their own stake in the site, Baker believes this could be a conflict-of-interest for agents who should scope out the best advertising campaign possible for their clients.
“A lot of vendors will do what their agents tell them to do,” says Baker. “Selling a home is an emotional thing, you only do it once every seven years. It’s really important that vendors can trust their agents.”
However Baker can see some benefit to come out of placing a third player in the market. For one, the site should raise the profile of property search and therefore potentially increase traffic to realestate.com.au. On the other hand, placing another competitor in to the space could pave the way for ‘pitchfork’ wars between both Domain and Myhome. “They’re going to have to get over the second biggest in the market before they can chase the first,” says Baker.