Generous Realtors donate several hours of their time each week so that companies can make a profit. These dedicated men an woman give selflessly of their time so that sites like Trulia, Zillow, Active Rain and others can be successful. User generated content is needed to populate the sites with information.
How do these companies get so many writers to write for free? Easy they convince them that if they provide content to external corporations they will some how get more business. It is working, every day more Realtors write for web sites without understanding that it isn't the web site that is getting them some leads, it is their own content.
These companies are not the first to get people to work for free. It is becoming a common practice in the internet world Time Magazine has an interesting article about getting rich off of those who work for free. There are products like the browser I use, Mozilla Foxfire that are created and developed through the mutual cooperation of people who work for free. Wikis and Linux work the same way. How much work will people do for free? That is the big question. I can see my self working for free to help create something of value that could be used by many, or to raise money for charity or for some other worthy cause. I just can't see myself doing it for real estate web sites when I have one of my own.
There are several successful Realtors out there who get business by writing on their own blogs, and do not provide free content for other companies. I provide some free content to other companies but not much and the local content that drive my business stays on St. Paul Real Estate Blog becasue it really is one of my most valuable business assets. I would consider selling it, but not giving it away.
My local content is somehow more valuable if it can only be found in one place. People have to come to my web sites to read it. I get traffic and generate business becasue of it. I don't have to share the stage with my closest competitors, or depend on another company for an internet presence. It is really very empowering to be my own rain maker.
Now housevalues.com has become an investor in Active Rain, with 65,000 members and maybe 1000 active real estate professionals working for free to provide content for Active Rain and their Consumer Site Localism. It was a smart move on the part of housevalues.com They can see the value of unqiue content provided by industry experts and are willing to invest 2.75 million.
I know that I am a late comer to the party here but I have begun to explore some business models where I get people to work for free so that I can make more money. Active Rain apparently has not made a profit and I don't know about Zillow or Trulia or the others but I suspect there is some money to be made off of the free content. This blog is open for anyone who has something to say. I could sell ads on it and beef it up a bit. Make it the go to place for people who want to go on a rant.
Thousands of real estate pros will continue to give away their content and perhaps that will create more opportunities for someone to make money. They do not understand how powerful there words are and that they alone can beat out the bigger companies and have a strong internet presence in their own market. They don't understand the value of what they give away or that they don't need to give it away to make it work for them.
There is nothing wrong with working for free. It just doesn't make a lot of sense. The writers on Active rain may own the content but I think Active Rain owns the web site. They can delete it, sell it, change the domain name or do anything they want to it. They could go out of business and just shut the whole thing down. Writers who contribute to active rain's Localism site are helping their competitors attract readers and if they have another real estate blog they are competing against themselves and their own blog.
I do love the idea of getting people to work for me for free and I welcome anyone who would like to do it.