Stepping into 2023, we knew the real estate landscape would throw some curveballs our way. But even by industry standards, this has been a year to remember:
Volatile mortgage rates and historic low inventory kept sellers locked in (and buyers locked out). Sexual harassment claims brought all eyes to the National Association of Realtors. The Sitzer/Burnett verdict created a wave of copycat lawsuits.
As we wind down the year, the realization hits—the craziness of the past year isn’t quite over, which means doubling down on our efforts is not just a strategy; it’s a necessity. But before we charge into the new year, let’s take a moment to reflect. As the founder of Lion & Orb, part of my job is to closely follow the news and trends while observing the PR landscape. I watch it all: the public blunders that destroy reputations to industry-changing success stories.
In 2023, the pattern held true—we witnessed both triumphs and tribulations in the headlines throughout the year. So, let’s explore the notable PR winners and losers who left their mark on the industry’s narrative this year. It’s been a wild one.
Biggest PR Winners in the Real Estate Industry
1. ChatGPT
While it technically launched in November of 2022, there is no question that ChatGPT was the darling of all media—and it completely owned 2023. ChatGPT’s innovative strides in AI-powered conversations have undoubtedly set a new standard, reflecting the transformative potential of technology in communication. The downside is that everyone including your real estate coach became an AI expert seemingly overnight and you couldn’t get away from ChatGPT ebook ads. We get it; you are a prompt expert.
2. CoStar / Homes.com
CoStar exhibited its PR prowess this year, strategically announcing its plan to beat out Zillow by becoming the #1 most heavily trafficked site for consumers. And when Reatlor.com’s senior vice president, Bob Evans, made some disagreeable comments at a conference, CoStar CEO Andy Florance did not shy away from addressing those statements.
3. Follow Up Boss
When Zillow announced its acquisition of Follow Up Boss, real estate agents were not exactly thrilled. But, because of its reputation as a top CRM for real estate professionals, coupled with the assurance that FUB will continue as a standalone product, the complaints died down fairly quickly. Not to mention, FUB throws one heck of a conference every year.
4. Anywhere and RE/MAX
Both Anywhere and RE/MAX settled on class action lawsuits before the Sitzer/Burnett trial began. That alone is enough to get them a spot on the winner’s list.
5. First Time Home Buyers
First-time homebuyers were winners too, because they made up half of all the buyers this year, and showed their toughness in the face of a difficult market with inventory and interest rate challenges.
Biggest PR Losers in the Real Estate Industry
1. National Association of Realtors
Grappling with controversies and missteps, the National Association of Realtors (NAR) faced challenges in maintaining a positive image, prompting scrutiny within the real estate community. From sexual harassment claims to a less-than-stellar performance in the Sizter/Burnett class action trial—not to mention the way leadership handled all of these controversies—NAR has been in the headlines for the better part of the year. There is no question that everyone is taking a closer look at how the organization has managed its image during these turbulent times.
2. Jerome Powell (Federal Reserve)
Amidst economic uncertainties, Powell’s communication strategies have encountered difficulties, leading to negative perceptions and impacting the Federal Reserve’s public image. Shutting down the industry that kept the economy going during the pandemic seems counterintuitive at best, although the final Fed meeting of the year certainly helped create some positive headlines for the housing market.
3. Airbnb
Airbnb has encountered PR obstacles in the past, and now, regulatory issues are raising questions about its ability to navigate complex landscapes like the short-term rental market in Manhattan. The company remains well positioned outside of these larger metros that are trying to shut them down.
4. Silicon Valley Bank
On Friday, March 10, SVB Financial Group became the largest bank to fail since the 2008 financial crisis. Operating at the intersection of tech and finance, Silicon Valley Bank’s collapse was swift, stirring up a lot of fear that still lingers from the Great Recession.
5. Rapattoni
Google “Rapattoni cyber attacks” and you will get about 13,400 results. This story highlighted that real estate is not immune to the wave of ransomware attacks happening across all industries. At the time of the attack, MLSs were vowing to find another solution provider. Only time will tell of the full impact of these attacks.
As we bid farewell to 2023, it’s evident that navigating the evolving landscape demands a careful balance between innovation, crisis management, and maintaining a positive industry image.
Are you ready to embrace it all in 2024?
