Purplebricks' refusal to collaborate possible reason for plummeting numbers

Property portal Purplebricks' recent trouble: What is the cause?

Recent reports on Purplebricks' shares dropping in price after the company cut its sales forecast along with the announcement of two senior executives leaving the company for good have been spread across the real estate industry.

There’s a strong argument to be made that the reason for this decline, momentary or not, is a lack of collaboration and therefore a lack of depth to the business model. 

Purplebricks has announced that it expects sales for the current financial year to be between £130 million and £140 million, having previously forecast between £165 million and £175 million. In way of an explanation, the company has blamed a ‘challenging’ housing market, and ‘headwinds’ for its ventures into the Australian market. 

There's doubt that both of these factors have indeed played a part in this drastic slash in profit forecast, but a significant contributor has also been a failure to embolden the online agency business model through collaboration. 

A while ago now, there was a series of articles about a amended version of Gartner’s now famous Hype Cycle. 

For those who don’t know, the Hype Cycle is the predicted path of a new startup, business, or technology as it enters the market and matures.

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