Why do brokers mail you book-bound, high-gloss OMs? Who cares?

bd.charlus's picture
Rank: King Kong | 1,355

See the picture below of this monstrosity that got mailed to our office today. The thing weighs ~5 lbs. All thick-cut paper with high-gloss sheen.

I just don't understand. This example isn't even the worst: I've been mailed hardcover book-bound OMs before as if these are first-run limited edition prints of a NYT #1 bestseller or something. They go right in the recycling bin.

I can sort of understand if the property is a private seller/high net worth guy and the brokerage shop is trying to stroke his ego ("look at how awesome your property looks!"), but the vast majority of these OMs are fr institutional assets sold by institutional sellers to institutional buyers. They care about returns, not cute OMs. What a waste of time, money, and paper. /end rant

Brokers, care to chime in on this? Am I overreacting?

OM

Comments (24)

Jun 14, 2017

Yes, you're overreacting.

Broker here: I realize all you read is the exec summ and the financials but sellers want a shiny book to have as a keepsake and they don't flinch when I ask them for a $50,000 budget for the book. I've sold properties by making a single phone call after signing a listing agreement and I've also made $40,000 books for assets that didn't trade.

Its what sellers want.

    • 3
    • 1
Jun 14, 2017
BRE:

Yes, you're overreacting.

Broker here: I realize all you read is the exec summ and the financials but sellers want a shiny book to have as a keepsake and they don't flinch when I ask them for a $50,000 budget for the book. I've sold properties by making a single phone call after signing a listing agreement and I've also made $40,000 books for assets that didn't trade.

Its what sellers want.

Why not just print out a few copies for Team Seller as a keepsake? We get lots of interesting, creative mementos from brokers who sell our deals. Printing out $50k worth of these to physically mail out to the market, most of whom already have the PDF package and are running off of that, just seems like such a waste.

But I get it. I'm not a broker, you are, and you're saying this is normal market stuff for BOV pitches and listings.

    • 3
    • 2
Jun 14, 2017

Imagine going in for a listing presentation, where you're competing with 5 other firms, dropping that in front of the seller and letting them know that you'll mail it to all the big firms that could be interested in buying it. Basically just a way to beat out the competition, who most likely, showed up with everything printed on 8x11 paper.

    • 2
Best Response
Jun 14, 2017
MonopolyMoney:

the competition, who most likely, showed up with everything printed on 8x11 paper.

Weird that they'd take the time to cut a half inch off of the paper width

    • 13
Jun 14, 2017

Everyone's doing weird stuff with their paper these days.

You ever compared the business cards of all the large brokerages?

CBRE, CW & Colliers have similar heights and widths, JLLs are not very long horizontally, M&Ms cards are like an extra quarter inch longer than everyone elses and made of the cheapest paper in existence, and NGKFs look like a square.

Learn More

Side-by-side comparison of top modeling training courses + exclusive discount through WSO here.

Jun 14, 2017

Personally, I think this is going to go by the wayside soon. Most of the people I know that actually read the bound / hard copies are in the boomer generation. The only reason I've ever printed one out was so I could have the maps/floor plans/aerials on a tour. Otherwise I just view it on-screen. I would guess more people at the junior/mid-levels would agree with me. Waste of paper, effort, and space.

    • 1
Learn More

Side-by-side comparison of top modeling training courses + exclusive discount through WSO here.

Jun 14, 2017

We spend a lot of time putting comprehensive packages together but we only print bound books to have for the client and around the office as a keepsake. I totally agree that sending folks hard copies for any other reason is idiotic.

Jun 14, 2017

I work in the private capital market and we typically just use 8.5x14" bound OMs with covers and backing. I've gotten nothing but complaints concerning hardback/superfluous OM's, even on our institutional sized deals. Rich people and small-mid investment shops do not give a shit, and you will never win a deal based on the quality of your book.

I've always found the digital copies to be much more important. You institutional guys are banana land

    • 3
Jun 15, 2017
CaR:

I've always found the digital copies to be much more important. You institutional guys are banana land

I think they're more important because you can send around a digital copy. I have 3 Eastdil books on my desk right now that I wish I had a digital copy of so that I could forward them to a friend.

My boss worked at JLL for 10 years as the broker's analyst. He said they'd generally spend $100,000 on the books. Crazy.

Jun 14, 2017

Look at the tasteful thickness of it...

    • 2
Jun 15, 2017

"That's what she said" - Michael Scott

Jun 20, 2017

One of my favorite movie scenes

Jun 14, 2017

I don't have a big enough stapler to hold these books together. You ever try to staple an OM that is printed front to back with high gloss??? They get all slippery and you can't keep the paper even and steady when you want to staple.

I hate Binder clips because they are too big and cuts off part of the page when I'm flipping through.

I'm all for the broker spending $50k. That way, I don't have to deal with all of these very real issues.

    • 2
Jun 14, 2017

I am surprised no one made a comment about your shoes or how nice the table is
I know, my attention span is the same as a squirrel's

"I'm into, uh, well, murders and executions, mostly."

    • 3
Jun 14, 2017

nice shoes +1

WSO's COO (Chief Operating Orangutan) | My Linkedin

    • 1
Jun 14, 2017

50k i. books lol . I have seen quarter billion dollar deals trade with a one pager.

Jun 14, 2017

I bet that book is a nice paperweight.

Jun 14, 2017

I'm still searching my email and RCM for "Domain" which I'm visualizing as the name of the property. Can't find it.

Jun 20, 2017

To add to what BRE said above, the brokers are competing against other brokerages for business. Do you walk in with the shotgun or the slingshot to win the business on a $50M listing? You show them your marketing will provide everything and the kitchen sink to potential buyers to achieve your pricing. I would never walk in to a pitch with the appearance that our systems are inferior to our competition or under-serves our clients. That would be career suicide. That is why you're receiving that big, nice shiny, paper weight.

    • 1
Jun 20, 2017

What's the heaviest OM you've ever gotten?

Had one for a massive deal that was probably 12 lbs including the bound case that the book came in. People were walking over from a distance of several cubes to get a chance to see it in person.

Jun 20, 2017

It was the Dirk Diggler of OMs.

Jun 20, 2017

Because they make great coffee table reading.