Merry Christmas!

Christmas Eve, and almost the end of another hugely busy, but enormously successful year. After a sustained period of strength in the real estate market, this year we saw some volatility, especially following the sub prime challenges in the US. Overall though, we again finish the year on a high note, and I am confident we will continue to enjoy a strong market and economy in 2008.

I trust that you all enjoy a restful Christmas, eat far too much, that Santa is kind and if you have small children, that he doesn’t bring them a drum set! Take time to recharge the batteries and to spend quality time with family and friends. Have a fun New Years eve, however you celebrate it, but be careful and stay safe.

Have a Merry Christmas and Happy New Year!

Customer Service . . . . .

I recently read this exchange of email and thought you might find it interesting! The moral, among many here is don’t email in anger or haste – use the 24 hour rule!

Apparently, Margaret McHugh has a bit of a temper!

Best you read it from the bottom up.

——————————————————————————–
From: Gourmet Food Store [mailto:deli@ihug.co.nz]
Sent: Monday, 17 December 2007 10:06 a.m.
To: Hayley Johnstone
Subject: Re: Catering – Monday 17th Dec

Get into the real world young lady if you ever attain the position to be self employed you may understand hard working successful business people don’t make it hiding behind late floods of emails. Not having the fortitude to call by telephone tells me your incrusted in your sit down loads of spare time job.

Re rudest email tells me you once again you are not in the real world and haven’t fully matured but it will happen.You were probably bottle feed till late teens.

I just have so much fun with time wasters. Have a great party shame you will have to pay so much more for it.

I will hopefully be calling your boss before Christmas re our not listing our property with Ray Whites I am sure they will be interested and could give you more to do. And you thought my first email was rude. I expect you still believe in Santa Clause.

Gourmet Food Store
Ph & Fax : 81 555 31
Mobile : 0274 347 199
E-Mail : deli@ihug.co.nz
Web : www.gourmetfoodstore.co.nz

—– Original Message —–
From: Hayley Johnstone
To: Gourmet Food Store
Cc: Marg Keen
Sent: Monday, December 17, 2007 8:58 AM
Subject: RE: Catering – Monday 17th Dec

That is the rudest email I have received in a long time.

We will not be requiring your services again.

Hayley

——————————————————————————–
From: Gourmet Food Store [mailto:deli@ihug.co.nz]
Sent: Monday, 17 December 2007 6:09 a.m.
To: Hayley Johnstone
Cc: Marg Keen
Subject: Re: Catering – Monday 17th Dec

Hi Hayley,

You placed an order last Thursday and have NEVER confirmed your order for Monday AFTER 3 emails .

You asked for a quote which you were given then queried the prices against the website.Why ask in the first place. May I suggest you read the Home page of our site regarding pricing.

I personally don’t have the time or inclination to sit on the computer all day playing email ping pong. Please confirm your order by 9am this morning some 7 hrs before the function begins TELEPHONE 8200668 otherwise I will take it that the order is no longer required the QUOTE IS $9.00 PER PERSON .( at this late stage chicken drumsticks will not be an option Thai chicken cakes or mini chicken satays,s will be ) AND MAY I SUGGEST YOU COLLECT YOUR OWN STRAWBERRIES.

We are a very busy catering company who has given you very good service in the past and will not be treated in this off hand manner business is business. This job if goes a head will be cash on delivery or payed by credit card. Incidentally we are going to be selling our house very soon and question your companies professional practises if this incident is anything to go by. Regards Margaret.

Gourmet Food Store
Ph & Fax : 81 555 31
Mobile : 0274 347 199
E-Mail : deli@ihug.co.nz
Web : www.gourmetfoodstore.co.nz

—– Original Message —–
From: Hayley Johnstone
To: Gourmet Food Store
Sent: Friday, December 14, 2007 8:05 AM
Subject: RE: Catering – Monday 17th Dec

Hi Margaret,

On the website your prices are advertised differently?

Can you please send me the pricing on strawberries not dipped in chocolate?

Kind regards,
Hayley

——————————————————————————–
From: Gourmet Food Store [mailto:deli@ihug.co.nz]
Sent: Thursday, 13 December 2007 8:59 p.m.
To: Hayley Johnstone
Subject: Re: Catering – Monday 17th Dec

Hi Hayley,

Beef Filo $2 $2
Quiche $2 $2
Sushi $2 $1.50
Drumsticks $3 $2.50

Total $9.00

Large Strawberries dipped in Chocolate minimum 2 per person $2.00 each x 2 == $4.00 9and 4 ==== $13.00 per person

Regards Margaret.

Gourmet Food Store
Ph & Fax : 81 555 31
Mobile : 0274 347 199
E-Mail : deli@ihug.co.nz
Web : www.gourmetfoodstore.co.nz

—– Original Message —–
From: Hayley Johnstone
To: Gourmet Food Store
Sent: Thursday, December 13, 2007 8:11 PM
Subject: RE: Catering – Monday 17th Dec

Hi Margaret,

The food we have ordered amounts to only $8 per person. Are the strawberries $5 each per person?

Kind regards,
Hayley

——————————————————————————–
From: Gourmet Food Store [mailto:deli@ihug.co.nz]
Sent: Thu 12/13/2007 11:40 AM
To: Hayley Johnstone
Subject: Re: Catering – Monday 17th Dec

Hello Hayley, The price will be $13.00 per person Regards Margaret.

Gourmet Food Store
Ph & Fax : 81 555 31
Mobile : 0274 347 199
E-Mail : deli@ihug.co.nz
Web : www.gourmetfoodstore.co.nz

—– Original Message —–
From: Hayley Johnstone
To: Gourmet Food Store
Sent: Thursday, December 13, 2007 8:57 AM
Subject: Catering – Monday 17th Dec

Hi Margaret,

We are having a group of 30 people next Monday from 4.30 pm. (numbers to be confirmed)

I would like to know if you are available to cater for these nibbles please?

If you are available can I please order the following:

1. Beef & Hornradish Bon Bons in Filo
2. Fresh Salmon sushi
3. Mini Spinach & Feta quiche – Please make the smaller quiches or cut them in half
4. Glazed Chicken drumsticks
5. Fresh bowl of strawberries – can we have these dipped in chocolate?

Can you please send me a quote beforehand aswell?

Thank you

Hayley Johnstone
Accounts and Event Management
Phone 09 377 5069
Fax 09 377 6845
Mobile 021 327 310

Next Year . . . What will it bring?

As this year winds down, and we all start thinking about the Christmas break, I thought I’d just take a moment or two to share my thoughts on the year ahead – 2008.

In NZ, I believe the market will continue to be challenging in parts, but will overall, remain pretty strong. Being an election year, I believe we will see a little more economic loosening as the Government attempts to increase and improve their level of support with more spending and policy aimed at improving the voters situation. This will help offset any continued slow down. The economic indicators are still generally very good – interest rates are still low, unemployment is also low, and farmers are currently receiving very good returns, so in the main, the economic picture remains positive.

In Australia, I believe we will see a continuation of the current strong conditions. The first year of the Rudd Government will see many of the election promises fulfilled, adding to the already strong economy. The ongoing resources boom in WA will see that market pick up in the new year, SA looks set for some serious growth with the mining boom expected and the Eastern States will continue to perform well. Economic indicators are also still generally very good, so really no reason for any significant change.

However, the one cloud on the horizon could be the sub prime fall out from the US. The speculation is that we still haven’t seen the worst of it, and while to date we haven’t seen too much impact in this part of the World, if it were to deteriorate further, that could impact on our markets. Time will tell, but being the eternal optimist, I am confident in further impact won’t be too serious!

And really, whatever the market conditions, those best prepared with business plans in place, strong skill levels and a great attitude will have an outstanding year!  

A Kiwi Coach . . . . has everyone talking!

Well, that certainly stirred everyone up! I have had more comment on this post regarding a Kiwi coach for the Wallabies than any other. A heap of indignant Kiwi’s – relax, Henry’s got a much better record, is a better coach and has the continuaty and experience to take us to a World Cup win in 2011! And, a lot of defensive Aussies – don’t worry, as the ARU keeps saying, it’s got to be the best man for the job!

Let’s hope the Wallabies don’t have to learn the Haka! 

A Kiwi Coach?

I must admit I was amazed that the ARU appointed Robbie Deans to the Australian rugby union national team coach position, and not just for a year or two to see how it worked, but through to the end of 2011, after the next rugby world cup. Not that Robbie isn’t a very good coach, clearly he is, but it’s a big call appointing a non-Australian to the position. I can’t imagine an Indian coaching the Australian cricket team or an Englishman coaching the league team.

While there have been and are now, non-Australians coaching the national soccer team, soccer while globally huge, is not that prominent in NZ or Australia. And soccer is fundamentally different – it’s more about how much money you have to buy players, not where they were born. Club soccer like the English Premier league, the Italian league and European club soccer are all bigger than representative soccer between countries. I hope we never see that happen to rugby.

But anyway, we now have a Kiwi coaching the Wallabies. It really will be interesting to see whether he can put his patriotic side aside enough to operate at the level he’ll need to to get the team performing. He has been a very passionate Kiwi for many years so it must be hard. And how will the Aussie players respond to instructions with a Kiwi accent? After years of rivalry that’s got to be hard as well. Professionalism is one thing, but I hope we never lose the nationalistic pride, that fervent patriotism that is so much a part of every Aussie and Kiwi. It’s what drives us to achieve globally as well as we do in so many areas.

A Kiwi coach will certainly spice up the Bledisloe Cup and of course will give us Kiwi’s, who have had a horrible year, the opportunity of getting a result whichever team wins!    

Experience Counts!

It was great to see the NZ rugby union make what I believe is a great decision and re-appoint Graham Henry as All Black coach. In the end they had two choices – do what we’ve done in the past and lay the blame for the World Cup disappointment and the result of a single game on the coach and replace him, bring in a new coaching team and start again. Or, stick with the incumbent, give him the support to move on from Cardiff and grow an even stronger team.

To have replaced Graham would have been to disregard the previous 4 years results, disregard the huge knowledge gained in the failed World Cup campaign and simply start again. No matter how good the incoming new coach may have been, we would have taken a huge step back.

Thinking about this process and our own real estate business, how often do we do the same thing? Someone in our team isn’t performing, perhaps has a bad month or two, makes a couple of bad decisions or gets something wrong. How quick are we to simply replace them. To disregard the experience and knowledge they do have, and start again. How much stronger and better would our business be if we stood by them, gave them whatever support they needed to get back on track, or sort the problem. Not only would they be more loyal to our business because of that support, but we would retain that experience and knowledge, and would in fact build on it. We have an industry where ‘people turnover’ is relatively high, so experience counts even more.

It’s not often you see a rugby union board as visionary and forward thinking, but I think in this instance they very much are. I don’t think it’s about the personalities or even skill levels of the applicants necessarily, it’s about understanding the enormous value of intellectual property, the enormous value of knowledge and that experience truly does count. Great decision – great example for our own business!    

Real Estate Portals – Friend or Foe? Part 2

The establishment of www.realestate.co.nz in NZ was a major achievement for the industry and means we are able to control the pricing structure, ensuring the cost of the medium isn’t simply constantly increased to generate huge profits for newspaper companies, but that the pricing is kept cost effective for the industry and the site is constantly developed and improved to provide a better service to the public.

So what about Australia?

Well, to a certain extent the horse has bolted. We have not only allowed a major newspaper company to grow a dominant real estate Internet portal, but we’ve helped them do it! Now we are seeing the growing arrogance of a dominant player, the prices we pay steadily increasing, their profits increasing just as steadily and a share price that has gone from a low of 17c to currently more than $7.00! We really have been very shortsighted as an industry I believe. Despite the best efforts of many, we simply didn’t get our act together. What was even more disappointing was the total disregard of the wider industry good by one of the major industry players who placed self interest and their own personal gain ahead of the best interests of the industry, including their own franchisees.

I believe we do have an opportunity to take some degree of control back and provide a serious alternative to the existing dominant portal. www.MyHome.com.au is a joint venture between PBL, Microsoft and the industry, with an advisory board made up of industry representatives as well as PBL and Microsoft directors. The board is charged with both charting the sites development and direction, as well as, and more importantly, the pricing structure.

As information comes out, I can’t urge you strongly enough to get behind www.MyHome.com.au  It already has the commitment of enough within our industry to take it into second position in terms of listing numbers, and in fact last month was ranked number 1 in terms of the length of time visitors spent on the site. With this support, the marketing power of PBL through it’s various media products – Channel 9, My Home TV programme, www.seek.com.au , www.carsales.com.au , Ninemsn, Ticketek, to name just a few – and our own marketing power through all of our own public marketing, we do have a great opportunity to create an industry involved, dominant real estate portal. We must have strong competition to ensure costs do not simply continue to steadily increase.

Real estate portals, friend or foe? Depends who the major shareholders are! Take a long term view and protect the future cost effectiveness of on-line real estate marketing, the future viability and profitability of your business and the future cost of on-line marketing for our clients. Support www.MyHome.com.au – subscribe, promote and market it – you very rarely get a second chance, we have, secure our future.

Real Estate Portals – Friend or Foe?

Clearly real estate marketing is going through an enormous transformation. The Internet is having the same significant impact on this area of our business as it is on most others, as it is on most other industries and professions.

The statistics coming out of the US are quite amazing. They are forecasting that in 2009 more money will be spent on on-line marketing of property than in printed media. We are seeing the same trend here in NZ and Australia.

So what does this mean for the future? Well, in very simple terms I believe the Internet will ultimately replace newspapers for real estate marketing. In fact, it will go further than that, with the Internet providing far more than just marketing – the ability to ask questions in real time, obtain sales information, locality information including videos of streets and suburbs, finance information and so on, many of which we are already seeing.

So the next question is who will control this medium and the massive income generated in the future? In NZ we worked together as an industry and established www.realestate.co.nz - an industry owned and controlled portal with more listings than any other. This will give us an enormous amount of protection in the future against 3rd party commercial organisations simply repeating on line, what they did to our industry with the newspapers. 

In NZ, clearly the real estate portal www.realestate.co.nz is a real friend of, and a great achievement by the industry. We have secured our future and can ensure that not only does the site provide the information our clients are wanting but that we also provide a portal for the industry with the industry controlling the future pricing.