Pedal to Properties Franchise. The Real Estate 'Agent of Change'

Date AddedMarch 12, 2010 01:43:45 AM

Pedal to Properties is an innovative, Boulder, Colo.-based real estate firm that delivers three primary differentiators: an optional bike tour service; sophisticated search and web tools for consumers and agents; and a connection with a growing group of buyers and sellers who are health conscious and want to live closer to urban amenities. Pedal to Properties was founded in 2006 by Matt Kolb, after Kolb had an eye-opening experience with a client. After showing the client properties in the traditional manner, by car, the client returned alone to the same neighborhood by bicycle and had an entirely different experience. Matt, a cyclist himself, knew instinctively this was a smart way to truly see a home and surrounding neighborhood.

Audience
Today, Pedal to Properties is expanding its model nationally via franchising. The original Pearl Street Boulder office will have 25 agents by yearend 2009 and manage a fleet of 75 bicycles. The firm plans to target bike-friendly cities along coastal areas, college towns, and urban areas such as Boston that are progressive and have invested in developing a culture of health, mass transit, and cycling. Target audiences drawn to the Pedal to Properties system include young or active, educated and technology-savvy consumers who are early adopters to new methods. Pedal to Properties plans to reach these consumers through non-traditional and lower cost marketing, including a mix of social media networks.

Distinctive Brand
The Pedal to Properties model starts with the optional bike tour on distinctive Pedal to Properties cruiser bikes. The bikes are easy to ride-even for people that have not been on a bike for years-and include gears for hills. The idea is not to make the optional bike tour an athletic endeavor but rather a slow cruise through a section of town the person is interested in searching for a home. The bikes are highly visible, different, and fun, thereby reducing some of the tension associated with real estate purchasing. The bikes' presence and distinctive marks help the firm stay top-of-mind in the local community. Relationships with local biking, transportation, hospitality groups and other organizations further position the brand in the local community. Often, realtors will identify client preferences, load bikes on a vehicle, travel to a neighborhood of interest, unload, view a few properties and move to another neighborhood. While the buying process is more deliberate, consumers appreciate the time the realtor takes with them and a customer-agent bond is made that far exceeds what can be developed via car.

Technology
While the Pedal to Properties bikes get noticed, it is the Pedal to Properties system that keeps consumers engaged. Pedal to Properties offers a sophisticated web platform for consumers and the firm's agents. At no cost or obligation to register, consumers can search via MLS codes, city, zip codes or neighborhoods, resulting in maps, lists or regular updates directly from Pedal to Properties. Consumers can even look up properties via an iPhone. Pedal to Properties is able to delegate leads that come in through the web site to office agents in a variety of ways. Additionally, consumers are able to view custom, local features such as stores, schools, churches, transit centers, parks, day care centers and a variety of other amenities that support the Pedal to Properties' vision to support consumers who desire to live "on the grid." Pedal to Properties agents each have personal web sites that are customized to their listings and interests as part of the office web site.

Changing demographics
Studies suggest home buyers are placing more importance on shorter commute times and finding a home near urban centers and public transportation. Specifically, this trend is strong in two of the largest demographic groups in the country: boomers and "millenials." Pedal to Properties offers a model that connects with these consumers with a fun, unique model. Is it for everyone? No. But for the consumer who "gets it," the connection is long and loyal. Pedal to Properties has also established "green" practices and relationships, with vendors such as Eco Green Office. Agents are supported to earn EcoBroker or NAR Green designations to further connect with like-minded prospects.

Expansion Strategy
Pedal to Properties has invested significantly in its infrastructure for franchisees. The system includes many of the standard franchise components-franchise identify guidelines, basic business guidelines and financial reporting mechanisms, and agent policies and procedures-as well as customizable marketing tools for agents and franchisees. The firm plans to market the model in favorable target markets. Pedal to Properties President Tim Majors, who joined the firm after taking a tour with Founder Kolb in early 2009 and buying a property via the signature bike tour, is focused on expanding Pedal to Properties nationally via franchising with the support of national franchising firm PCMS Consulting, led by Jose Perez, formerly with Realogy.

The mainstream media has noticed this small firm with a unique twist as the firm has been covered by The Wall Street Journal, Entrepreneur Magazine, MSNBC, ABC News, the Sunset Magazine, Fortune Small Business, Denver Post, Seattle Post-Intelligencer, and others.