And so touring, our financing experience, our Seller Services are all doing that and then helping those partners become more productive, close more deals and be able to be more efficient in a world powered by software. So we get pretty excited about the value and services we provide. And if there’s a void in the industry because the dollars are challenged and the other providers are challenged, we get excited about our ability to fill that because we feel really confident the partner strategy we have would really grab share here.
Bradley Erickson: Thanks guys. Helpful.
Operator: Thank you. Our next question comes from John Campbell from Stephens. John, please go ahead.
John Campbell: Hey guys. I just want to echo the last question. I think, Rich, nice job addressing the lawsuits upfront. I’ve been frankly surprised to hear the level of investor concerns, but I think you did a good job of framing it up, so we agree with your take there. But going forward, I mean, investors are clearly going to still try to size up all these various scenarios. I’m hoping maybe you guys can help in that process specifically around the paid inclusion model, in those overseas markets like maybe what you’re seeing on average or maybe a range of revenue per listing? And then I know with your current listing today, Rich did say it’s going to be kind of fragmented potentially. But if you look at just your all-in listing today, what that looks like today?
I know with the trough kind of inventory environment, it’s probably a little bit lighter than it’s been in the past. So maybe talk about what it is today? And maybe what it looks like. I don’t know 5, 6, 7 years ago?
Rich Barton: Okay. Sure, John. Why don’t I, why don’t, we help me out Jeremy and Jeremy, if I mess up. Why don’t, I start with the second part, the listings question. For all its works and flaws and all the complaints we make, kind of less cooperative, at least the way it’s worked in the past, maybe it doesn’t work this way going forward. But at least the way it’s worked in the past, it’s offered up a really good level playing relatively level playing field, equal access transparent marketplace for us to access kind of for sale by agent listings in the marketplace. And so because we’re connected to these MLSs, we have a full view of the for-sale inventory in the market. And ever since we have had MLS listings that hasn’t changed over time.
On top of all of that, let’s call it, commodity listings information that we have, we add to it a whole bunch of non-commodity listings information in the form of for-sale by owners that are oftentimes proprietary to our sites in a different market as well as quite a number, a large number of rental listings that oftentimes are unique to our market place. And so combined, that alloy creates a relatively unique listings asset that is only strengthening over time. In the event that fragments, as I said, the world gets kind of messy and difficult for regular consumers and partners alike. But Zillow, of course, like we’ve done in the past, will run off and secure the most inventory in the world. We will get it. Now how the business model works in that situation?
Is it, we have several we have a lot of experience with paid inclusion business models, okay? And it will likely move to a paid inclusion business model. I don’t know how to answer your specific rate question. You’re saying, what would the rate look like in that world versus the rate that the industry is taking now other than to point you with the market cap per capita of the leading real estate portals in the U.S. versus, say, Australia or another market. And you’ll see pretty quickly that the amount of value, at least in the form of market cap that’s being captured by those companies is meaningfully higher than what we’ve been able to achieve is the leading portal here in the U.S. We see that as obviously as potential upside. But once again, we want to monetize in this industry in a way that is win- win.
We want to win for consumers we want to win for our partners, and we want to win for ourselves. We think the most durable business model is where all three of those parties win. Did I leave anything out?
Jeremy Hofmann: Yes. I mean it’s Jeremy Hoffman. I’ll just layer on, Rich. The hard part is building the unique content that we’ve built over time. So that’s a combination of for-sale listings, new construction listings, rentals listings for sale by owner listings. That’s the really hard part. That’s what we’ve been after for 15, 16, 17 years. Changing business models and doing a paid inclusion business model is not the challenging piece of the puzzle. It’s getting all the unique content, getting all the eyeballs, and that’s where we’ve really, really excelled. So in a world in which we go the way of international markets, we feel really well positioned as a result.
Operator: Thank you. Our next question comes from Lloyd Walmsley from UBS. Lloyd, please go ahead.
Lloyd Walmsley: Thanks, Two, if I can. First, just sticking with this shifting — potentially shifting industry structure and the classifieds model potential can you just help us understand maybe the path where the MLS structure evolves setting the stage for that, you think a more middle pass scenario, would sustain the MLS structure such that it doesn’t change? Like what specific change of events do you all see breaking that structure to enable this? And then I guess, listing, secondly, listing showcase seems like a pretty good template from where the model could move if the model structurally changes or even if it doesn’t, it seems like that’s an interesting product with a lot of potential. Can you just give us an update on kind of uptake agent feedback there? And how meaningful could that be maybe in a moderate scenario of change and then a more dramatic scenario like where does that fit in? Thanks.
Rich Barton: Okay. Thanks, Lloyd. Maybe I’ll begin, Jeremy Wacksman, and then hand it over to you. Lloyd, I guess what I’d say is we just don’t think it’s likely that like taking a giant hammer to the hundreds of MLSs around the country and how that legislatively regulatorily or legally would happen would be a pretty difficult thing. And so I guess there’s a ton of value provided by having an integrated marketplace where most consumers and partners can see everything on the market. And while many industry participants may have forgotten that benefit, we believe that if, as things begin to fragment, they will remember that benefit. So anyway, we see this as unlikely. So I honestly don’t want to give it a ton more airtime other than to say, if it happens, we’re really well positioned. On the showcase thing, that is a big giant new TAM that we’re going after, and I’ll hand it over to Wacksman to chat about how that’s going and the potential we see.
Jeremy Wacksman: Yes. I mean, we continue to receive really great feedback about Listing Showcase from both consumers using the product and agents who have been part of our V1 and kind of early MVP rollout. As Rich mentioned, we’re now live in 17 markets, and we’re hard at work building out the feature set to enable us to scale. And that includes things like being able to offer it more flexibly different geographies have different density, different teams and agents have bigger and smaller businesses and how do we enable a go-to-market can serve all of them. I think as we talked about earlier this year, a big key to scale is ensuring that agents can bring their own photographers if they want. We provide a fantastic media service that captures all this great rich media.
Rich talked about this interactive floor plan that is just such a unique and differentiated listening experience. It takes really well curated and trained media to do that, but enabling those photographers to do that when agents have a great photography workflow. And the acquisition we did at earlier this year is really to help scale that. So building out those capabilities is really the key to scale. You’re right that there are some commonalities between agents focusing on how to market their listing for their seller and the international comp conversation. But we really think about Listing Showcase as much about helping listing agents grow their business. What listing agents tell us and what early users of showcase have told us is, this helps them win more listings.
