Our strategy

Our purpose is to make every home move amazing!

Our mission is to achieve a 10% market share by 2025 by being the go-to place to buy, sell or let your home

Purplebricks is focused on delivering a sustainable business for our customers, employees and shareholders by providing a seamless and trusted, home-move experience, delivering services, products, tools, and information to every customer who wants to buy, sell or let a home and to all Local Property Experts who derive real value from working with us.

Our strategic goals

Our strategic priorities

  • Channel diversification
  • Pricing and proposition developed

 

What it means

Purplebricks has been very successful in going from start‑up to the largest estate agency group in the UK by focusing on the single-minded proposition of a fixed up-front fee. We have begun to create a committed audience of hybrid adopters but, today, 92% of the market are still using traditional agents with a pay on completion commission. While the fixed up-front fixed fee will allow us to grow beyond our current audience, iterating our pricing and moving to a more sophisticated pricing and proposition structure will aim to extend our total addressable market and appeal to new customer segments.

 

Progress in the year

  • We have completed deep dive and in-market pricing tests, and now have launched pricing trials in selected territories in London and surrounding areas
  • The Covid-19 pandemic delayed our plans for pricing trials in the first half of the financial year

  • We completed deep dive and in-market pricing tests, and pricing trials were launched in selected territories in London and surrounding areas in autumn 2020, once the market had fully reopened

  • We delivered the technology platform to facilitate a move to a more flexible pricing structure and to support these trials

  • Following a significant piece of consumer research with Simon Kucher & Partners in the second half, we then launched a pricing and a proposition trial after the year end

  • The results of these trials were very encouraging and we are now launching a Money Back Guarantee and a simplified two-tier proposition in 2021. Further details on these trials are detailed in the Chief Executive’s statement on pages 16 to 19.

Our strategic priorities

  • Improve search and listings experience
  • Reimagine moving experience
  • Agent toolkit

 

What it means

Technology has always been an area of differentiation for Purplebricks, and we will continue to invest in product and technology, to deliver rapid innovation in the end-to-end customer journey and continually make it easier to move home.

We will also continue to increase agent productivity by delivering greater automation and efficiency in the way they support our customers.

Our app platform will deliver further personalisation and greater engagement by enabling us to introduce

contextually relevant products and services to our customers.

 

Progress in the year

  • We have continued to invest in building our engineering depth and capability, driven by a new Chief Digital Officer and Head of Product who joined in September 2020
  • We are starting to drive a step change in our customer experience

  • Real focus on improving virtual capabilities and enhancing visual content during Covid-19:

    • Introduced interactive 3D tours and video trailers

    • Redesigned our search and listings functionality

    • Reconfigured the app front end to deliver an easier, faster and simpler experience, achieving a 4.5-star approval rating in the App Store

    • App usage has seen strong growth with 183% increase in downloads from the App Stor

Our strategic priorities

  • Engaging our people
  • Developing our people
  • Developing our organisation

 

What it means

Creating a consistent identity and culture with shared values will provide a strong framework for driving the business forwards, keep us connected as a team and drive the achievement of our medium-term goals.

Improvement in our people, organisational agility, resilience, efficiency and capability will enable our strategy.

The field teams are our strongest connection to our customers, and it is key for us to continually look to find ways to improve the performance of the field to deliver a great customer experience.

Attracting the right leaders, offering better earnings opportunities, recruiting and training the right people

and following the right process, using data and technology in the living room to demonstrate our point of

differentiation, are the key factors in the achievement of our market share target of 10%.

 

Progress in the year

  • We created a new People and Organisation Strategy, underpinned by a single HR platform
  • Starting from zero, we developed a Diversity and Inclusion Strategy, split into three stages, and raised Diversity and Inclusion (D&I) into the boardroom agenda
  • We have introduced a new value proposition to bring to life our culture and values in the customer living room – The PB Way
  • We have implemented a new target operating model to drive a strong sales culture across our field agents balanced by higher levels of service standards
  • We introduced a new talent tool helping Territory Operators to more consistently recruit, train and retain the best agents in the field
  • We launched the “Your Key to PB” programme – evolving our journey as a digital business and providing continuous training modules and learning opportunities for everyone in the field

Our strategic priorities

  • Keeping the business safe

  • Building for the future

  • Automation for simplification

 

What it means

We are building scalable foundations across all areas of the business to ensure we can grow faster and safely, without growing pains. We are making strategic decisions and investments in the capabilities we need to scale up the business, and identifying opportunities to innovate and automate key agent and customer processes for improved service and scaled growth.

 

Progress in the year

  • Delivered automated anti-money laundering (AML) checks for sellers

  • Commenced next phase of AML with self-certification through the deployment of facial recognition

  • Commenced work on automated anti-money laundering checks for buyers

  • Deployed new CRM to support email marketing

  • Implemented Teclet, a new platform for automation of processes for property management in lettings

  • Invested in a multi-skilled team in customer services, doubling the size of our post-sales support team

  • Improved self-service tools and automation across

    the customer journey

  • Continuing to deliver great customer service:

    • Net Promoter Score of +79

    • Awarded Feefo Platinum Trusted Service Award

      in 2021

Our medium-term targets

10%

Market share

£1,700-£1,800

Average revenue per instruction

25%-30%

EBITDA margin

10%

Market share

£1,700-£1,800

Average revenue per instruction

25%-30%

EBITDA margin

We have a clearly articulated 'House Strategy' to drive growth in the UK

Vic Darvey

CEO