Coldwell Banker(R) to Test New Limited Service Model

New Model to Complement Traditional Delivery Platform

Press Release: Coldwell Banker Real Estate Corporation
September 21, 2000
PARSIPPANY, NJ -- Coldwell Banker Real Estate Corporation (Coldwell Banker®) yesterday announced the test phase of a new service model that will complement their traditional delivery platform of full-service real estate brokerage offices. The new model will allow COLDWELL BANKER franchisees to target and capture the self-directed, price-driven consumer segment currently restricted to either selling homes without professional assistance, or utilizing the service offerings of upstart Web-based real estate companies. Consistent with the company's history of innovation and industry leadership, the new model will allow COLDWELL BANKER affiliates another option to service the varying demands of today's customers.

The new service model is designed to offer a highly defined mix of real estate services and professional advice while leveraging the Internet to help manage the transaction. According to the company, the test-model has been designed to streamline the process and reduce overhead through the efficiencies of the Internet and salaried sales associates. Test marketing will occur in two markets during the first quarter of 2001.

``In order for a real estate company to remain in a leadership position, it must recognize that their delivery system is continually faced with adjusting to the disparate but demanding service requirements of today's consumer in the home selling process -- a process that is multifaceted, complex and highly personal,'' said Alex Perriello, President & CEO, Coldwell Banker Real Estate Corporation. ``While seemingly more challenging, this evolving marketplace is prolific with opportunity. The companies that will prosper in the future must have more than a Web site and the lure of low prices, they must possess a keen understanding of how this business actually works and an experienced, professional support staff. COLDWELL BANKER has and will continue to test new innovations and delivery methods that leverage the expertise and market dominance of our affiliates.''

COLDWELL BANKER has a long-standing history of setting real estate industry firsts and testing and providing its affiliates with programs from which they can choose in order to remain successful. In the past year alone, the company was a pioneer in testing and providing online listing marketing tools such as an online auction capability, Virtual Open House which provides documentation that isn't normally available in traditional off-line transactions and an upcoming sister-function to its groundbreaking COLDWELL BANKER Personal Retrieversm Service that will allow home sellers the opportunity to review listing proposals from COLDWELL BANKER® sales associates online. Two years ago, COLDWELL BANKER was the first national real estate brand to provide its affiliates with COLDWELL BANKER Conciergesm a one-stop-shopping real estate program for customers' home ownership needs. According to the company, all of the programs are in place and are continually tested and refined to allow its affiliates to match the evolving needs of the consumer.

For 94 years, the Coldwell Banker® organization has been the premier provider of full-service real estate. Coldwell Banker Real Estate Corporation, a subsidiary of Cendant Corporation (NYSE: CD - news), has more than 3,000 independently owned and operated residential and commercial real estate offices with over 72,000 sales associates globally. The company is an industry leader in residential real estate, and in niche markets such as resort, new homes and luxury properties through its Previews® division. The company is a pioneer in consumer services with its Coldwell Banker Conciergesm program and award-winning Web site, http://www.coldwellbanker.com that is part of the http://www.move.com network of relocation, real estate and home-related services. The Coldwell Banker Commercial® Division is one of the largest commercial franchise operations with over 400 affiliates offering clients comprehensive buying, selling, leasing, acquisition, disposition and management services.

SOURCE: Coldwell Banker Real Estate Corporation