Eadwig
10 Oct 2019
Trading Update Due 7 Nov Volatility has fallen, there has been a bit of a recovery during which time Woodford has reduced his position slightly, and then a tail off in price recently. This update could put a bottom under the price IF the strategic plan, including withdrawal from the USA market, appears to have started to work. Haven’t traded this position for a long time because it is so hard to predict as a business which has made some very big mistakes in an attempt to grow very quickly plus the selling pressure on the stock due to the backing of Woodford and his fund’s current position.
macbonzo
04 May 2019
FT article Should have shorted Purplebricks. Where else can you get 72% in a year? A company that just throws money at advertising.
macbonzo
07 Apr 2019
FT article That’s true. People in the UK treat property more as an investment and a home. That is not the case in most of mainland Europe. Property is a highly, highly illiquid asset. The high transaction costs in the US (relative to the UK) has enabled the “pile em high, sell em cheap†franchise model - Remax to gain significant market share. In the UK many people don’t release that even the biggest players Rettie, Knight Frank and Cluttons are actually franchised. The problem is, anyone can be an estate agent in the UK. Many of these people have no clue where the market is. For me two things matter: Getting as many people through your house in as short a period of time and bringing it to closing bids.
Eadwig
07 Apr 2019
FT article Eadwig: On the other hand, are you aware that a real estate agent in USA typically takes a minimum of 5% for making a sale? Having said that, homes are generally looked at differently in other markets outside the UK and it was noticeable that PURP upped its training for its accredited agents in the US market after initial entry - which sort of flies in the face of the disruptive model somewhat. It seems a degree of handholding is required in the USA market. Also, it is the most expensive market to advertise in, regarding your other comment, but how else do you establish a brand?
Eadwig
07 Apr 2019
FT article macbonzo: People need full service, not some call centre treatment. They are spending 40% of their profits on advertising You might be right. On the other hand, are you aware that a real estate agent in USA typically takes a minimum of 5% for making a sale? That is a very big potential saving. I think the model has greater potential over there - although there is no coming back for it until the housing cycle in the USA and UK comes back round, which may be a while yet.
macbonzo
07 Apr 2019
FT article I actually have seen two, but, the whole model is flawed. I made 72% shorting it last year. People need full service, not some call centre treatment. They are spending 40% of their profits on advertising.
Eadwig
07 Apr 2019
FT article macbonzo: Has anyone actually seen a “SOLD†label over a Purplebricks For Sale board? No, they don’t use them. I have seen a house sell via Purplebricks though, all went smoothly and cheaply.
macbonzo
06 Apr 2019
FT article Save yourself commisery and use a stop loss.
macbonzo
05 Apr 2019
FT article Has anyone actually seen a “SOLD†label over a Purplebricks For Sale board?
Ripley94
24 Feb 2019
You and Yours & Watchdog PURP… XXXX Post under short chat with Admiralty12. Seems to have called this correct, bad news in main press Five Free still on it Woodford has been averaging down "Britain’s most conceited Fund Manager " 134p now they say sell going bust 0p its been lower November 2016 106p
macbonzo
17 Nov 2018
FT article FT (weekend main section) has an article on digital estate agents. It seems the hype has not been justified “Adam Day, founder of Hatched - who left after it was sold to Connell and has since worked at two other digital agencies - has become a vocal critic of digital players. ‘It doesn’t work for the customer and it doesn’t work for the estate agent,’ he said. 'It’s not executing brilliantly well as a long term, sustainable business model.†They cannot provide a full custom service on a low fee. Vendors are not having their hand held, you get pushed through the call centre. I find it worrying that PURP after making £4.2m of operating profit on £78.1m of revenues spent £42m on marketing
macbonzo
12 Nov 2018
Warren Bufett Or try to catch a falling piano. As I said in March, this model may be ok in a rising market, but, in a falling market the model fails. It’s not about getting the best price, it’s about getting as many viewers through as quickly as possible then onto final bids.
Ripley94
11 Jul 2018
Short Good job you were not able to buy a short in March admiralty big recent fals but not yet back to price at your post on 26th Good signs / bad signs … not so sure.
Ripley94
11 Jul 2018
You and Yours & Watchdog PURP… XXXX Getting e-mails from five free share tips every day . Today shows an old article slagging this share but with links to share prophet site between every paragraph . Today directing you to there buy tip on POG ( but you have to pay )
Ripley94
24 Jun 2018
You and Yours & Watchdog PURP… XXXXX Good last top it is back up to @ 335p now, about level i came in. The bottom around same time as FTSE bottom. The recent high 22 May also mirroring FTSE.
