3D tours entered the real estate market several years ago and the value it has provided for buyers and sellers has led to rapid adoption in listings. Numerous studies have been done to show the efficacy of 3D tours and the data cannot be denied. Brokerages of all sizes have started to adopt 3D tours in their listings and the use of 3D tours is becoming a necessity to stay competitive. In this blog, we will discuss the dangers that brokerages face by not using 3D tours and what can be done to offset this.
Danger 1: Your agent is losing a listing appointment
The first danger of not adopting 3D tours for brokerages is agents losing listing appointments. When clients want to work with an agent, they choose the agent that provides the most value. Agents that use 3D tours of properties to market them are more likely to win that listing than an agent who doesn't. In fact, our survey has shown that 95% of the sellers believe 3D tours help sell their homes better.
In addition to the added value, clients are much happier with an agent if their home sells quickly for asking price. Multiple studies have shown that a 3D tour can sell a home up to 31% faster than a similar home without a 3D tour. [Source] By selling properties faster, an agent is more likely to have a happy client who will refer other clients if they use a 3d tour on a listing.
If agents market listings on their website with 3d tours, prospective sellers are more likely to contact them to represent them or invite them to a listing presentation meeting. 3D tours enhance the digital presentation of a property in addition to attracting more organic viewers on search engines. Agents using 3d tours will generate higher quality buyer leads and as a result can host less open houses that are inconvenient to the seller and still sell the home.
Danger 2: Losing agents to 100% commission brokerages
There has been an incredible rise in popularity for agents to start using 100% commission brokerages. 100% commission brokerages offer agents the opportunities to net more money, so traditional brokerages can only compete by offering agents more value than 100% commissions. A strategic way brokerages can retain their agents is to provide 3D tours for all of their listings.
With 3D tours, brokerages can help agents sell more properties quicker and at higher prices. This will increase the net revenue an agent makes and will incentivize them to stay with the brokerage. By providing 3D tours for agents, they can get more sales from the addition of 3D tours in their listings while getting the benefits of a traditional brokerage.
Danger 3: Listings without 3D tours have low engagement and rank lower on listing portals
Listings with 3D tours have shown to have higher engagement and outrank listings without 3D tours on listing portals like Zillow and Realtor.com. Brokerages are hindering agents’ listings by not providing 3D tours. In fact, 3D tours can increase listing viewership by over two fold.[Source] Additionally, customers spend 5-10x more time on sites with 3D tours.[Source]
One example of a company that integrated 3D tours is Hommati. Hommati, a company that helps real estate agents get more traffic to listings, saw a 1,400% improvement in traffic after incorporating 3D tours in their listing.[Source] Since then, Hommati has begun helping agents get 3D tours for their property to get more engagement and views.
Danger 4: Seller expectations and earning referrals
The advent of COVID-19 raised sellers’ expectations for brokerages dramatically. Many brokerages adopted 3D tours during the pandemic and still offer those services to sellers. Lack of providing this can result in unsatisfied sellers and missing referrals.
In today’s competitive market, it’s crucial to make the seller feel like their agents will go the extra mile to sell their property. The seller has to see the agent’s effort as a catalyst in selling the property and not just as a result of market conditions. This improves customer satisfaction in addition to gaining more referrals.
These are just some of the primary dangers that come with not adopting 3D tours. As 3D tours become standardized by client demand, it will be counterintuitive for brokerages to not provide this as a service for agents. Brokerages that get ahead of the competition now can distinguish themselves and their agents as 3D tour experts and attract more qualified leads to each property. To learn how you can make your first 3D tour, talk to an expert here.