Business Model

About Us
INDIA STORY

PRESENCE

C21 enters India in 2012

through Master Franchising
through Alchemist Group
under the brand C21 India

In more than 77 countries with

over 7,100 broker office
worldwide

AWARD
WINNING
TRAINING
CENTURY 21
learning system
voted one of the top
training programs

HISTORY
First office opens in
1971 in California

BRAND NAME
As per 2012 consumer survey
C21 is the brand with highest
level of awareness in the
Industry (US Survey)

Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.

Our History
2013

Century 21
Enters INDIA,
75th Country

2009

40 Countries

2002

CENTURY 21
Expands to Asia Pacific

20 Countries
10 Countries

5 Countries
2 Countries
1974

1971

1983

1998

CENTURY 21
Expands to China

1989
CENTURY 21
Expands to Japan

First CENTURY 21 International

Office Opens in Canada

First CENTURY 21 Office

Opens in California

Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.

Indian Real Estate industry

The real estate sector in India was valued at USD 119.7 BN in 2012. The contribution of this sector to Indias GDP was about 6.5
per cent in 2012 (and estimated 9.5% in the Twelfth Five Yr Plan). The Industry is growing at an estimated CAGR (2006 2015)
of 9.2%. It is estimated to touch USD 212 BN by 2020.
The real estate sector is one of the highest FDI attracting sectors in India, having recorded FDI inflows worth more than 4.9
billion between 2009 and 2012.
Growth has been driven primarily by the IT & ITeS sector, with an increase in the demand for office space, growing presence of
foreign businesses in India, global strides of Indian corporate and a rapidly increasing consumer class.

In recent years, the industry has evolved from a highly fragmented and unorganized market into a semi-organized market.

Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.

Source- Real Estate Intelligence report. (JLLM)

*

Housing shortage in India

Housing shortage in urban areas will continue to rise owing to migration towards urban areas and
increasing trend of nuclear families. Housing shortage in urban areas is estimated at 19.3 million
units at the end of 2008, up from 15.1 million units at the start of 2005. Housing shortage in urban
areas is likely to touch a walloping 21.7 million units by the end of 2014.
Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.

Source- CRISIL Research

*

Current Market Structure

Organized Property
brokerage Firms
Global Presence
Thrive on information flow
Large database of Clients
Significant pool of
Inventory
Offers core & ancillary
services
Example
CENTURY 21
Re/Max
Ray White
Better Home

360 degree approach

One Stop Shop
Extensive Service support
Quality client experience
Transparent transactions

Unorganized
Property dealers
Local presence
Limited access to
inventory
Only neighborhood
business
Lack of technology
Lack of Training
Takes a lot of time and
effort to create trust

Limited Growth opportunity

Lack of Transparency
Limited service support
Limited served area
Limited offerings

Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.

From other
channels
These are channels
which are listings and
lead generation
platforms;
Property Search Division
of Banks
Online Portal
99acres.com,Magic
Bricks, India Property ,
Sulekha.com

Complementary services
Limited information on
properties
Non Validated and
inadequate Information

Organized
Marketing Firms
Local presence
Operate as marketing
arm for developers
Focused on primary
sale
Transactional
approach towards
customers
Unable to serve
customers for other
than primary real
estate requirement
Example
IC

Primary Sale
services
Push Sale
High turnover of
resources
*

Property life cycle presents an interesting opportunity in

secondary market
Primary
Property

Secondary
Market

35%

65%*

Key Points for segment

Key Points for segment

Only new construction projects

Geographically scattered
Less perpetual business opportunity
Heavy on operational expenses
Spiking nature of revenue generation
Highly sales centric

Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.

Large Inventory base

Typically driven on Client relationship
Presents interesting opportunity for
cross-sell & thus increasing wallet
share per client
More assured & regular source of
revenue

*Market Analysis feedback

*

Advantages of Organized over Traditional Broking

Organized RE Broking

Brand
Credibility
Business leads potential
Training
Systems and Procedures
Access to Global Network
Large scope of services
Access to cutting edge technology
Transparent and Professional setup
Referral Network
Collaborative branding and marketing
Participation in Industry Bodies and Events
Networking Opportunity
Support of Knowledge pool
Real Estate Research and Intelligence Support

Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.

What Is The Purpose Of Business?

GET
CUSTOMERS

Market
Share
Growth
KEEP
CUSTOMERS

BUSINESS
GROWTH

A Successful Real Estate Company

BROKER

Market
Share
Growth
AGENTS

CUSTOMERS
& CLIENTS

10

What is Franchising
And How Can It Help You?
A Business Relationship
A Business Strategy based on
Mutual Commitment to Market Share
Quality Service
A Marketing System
Building Brand Preference in the Minds of Customers

11

Elements Of Franchising

BRAND

Market
Share
Growth

OPERATING
SYSTEMS

ONGOING
SUPPORT

12

12

The The
Century
21
Team
CENTURY
21Marketing
System

13

What Are The CENTURY 21

Support Services
Business Systems (CRM, 21online.in,CGRN, Individual Website
and Broker Bio Page)
Marketing Systems (Ad-Maker, Business Benefits, Online
Marketing support)
Recruiting and Development Systems (Training programs for
BO and Agents)
Production Systems

14

What Is Your Investment?

Initial Franchise Fee
Legal fee of Trademark Protection
Initial Training
Site Evaluation & Opening Assistance
Service Fee
Brand Name
Operating Systems
Support Services by Relationship Manager
National Advertising Fee
National and local marketing programs
that enhance the value of the brand

15

SUPPORT

SYSTEMS

BRAND

Elements Of CENTURY 21

Industrys Leading Brand

National and Local Marketing Programs

World Wide Presence with 7,100 Offices and more than

102,000 Sales Associates in 74 Countries

Business/Inventory Management Systems- 21online.in, Indian

Management Academy , Create21 for Agents

Sales Production Systems Lead Management System , CRM

Ad Maker, PR Studio & C21 India Campaign Center

Recruiting & Development Roadmap to Success, Century

21learning system , Recruiting partners, Awards and Recognition

Training and Relationship Manager Support

Quality Events: Top Agent, Leadership, Convention,

Commercial Conference

NAR and Broker Council Support

Participation opportunity- National and International C21 events
16

Typical challenges of a real estate broker in an unorganized segment

Business Expansion
Financial
capacity in
question/making
expansion difficult

Lack of technology

Difficult to have an
online presence
Employees
not as
productive
due to
technology

High fixed costs

Not scalable

No
other
source of Due to trust limited to
near and dear ones!
income besides
commissions
on sale Or deal with unskilled
agents!
and rentals

Lack of trust

Lack of training

Revolving Door mentality

No retention program
for agents

Lack of branding

more
effort in
Typically prefer to keep Will bring in their point Lot
of view to train their
creating a brand name,
relatives
and close
agents which might not
possibly involving
friends so as to avoid
be best practices
financials
beyond a
possibility of fraud and
broker owners means
cheating

Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.

Value Chain Broker Owner

Revenue Sources

Benefits to CENTURY 21 INDIA Broker Owner :

100% commission from developers and clients directly

CENTURY 21 Brand name

Individual broker owner website with bio page of each

agent

Access to 21online.in platform

Access to CRM and business benefits tools

Access to a large inventory base (Globally)

Recurring desk fee from each agent monthly

Agents training from CENTURY 21 India/AO training

manager

Providing guidance and mentoring agents on lead

management and closures

Comprehensive support from the Area Developer

Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.

* Mutually agreed between Broker and Agent

How does CENTURY 21 System helps Broker achieve their goals

Brand Awareness
1. Systematic & professional methods of doing
business
2. Quality, consistency & customer service @
affordable price
3. Transparent system
4. Increasing customer database

Best in Class Training

1. Best in class training in real estate domain
2. Tested & proven training methods for managers &
agents
3. Become more systematic & professional

Technology
1.
2.
3.
4.
5.

Lead Managements System

Contact Management System
Online advertising
Listings
Link to Global Network

Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.

Awards and Recognition Programs

1.
2.
3.
4.

Recognize your potential

Get rewarded for your performance
Gain market recognition
Gain customers loyalty

Marketing
1.
2.
3.
4.

Market yourself
Build network
Study your competition
Learn the best marketing methods

Business Benefits
1. Have access to much larger inventory.
2. Access to NRI , local and regional leads
3. Alliance with leading suppliers to reduce
operational costs.

Thank You

Copyright 2008 CENTURY 21 Real Estate LLC. All rights reserved.