South Metro Denver Association of REALTORS July 17, 2002 The Pines at Genesee July 17, 2002 The Pines at Genesee Quick Overviews: REALTOR e-Commerce + The Center for Real Estate Technology + The Shared Services Initiative

NRDS Was Developed by Association Executives to … E-Commerce is Intended to be Your Reward for Surviving NRDS * Do Away With Multiple Databases * Improve Member Record Accuracy * Conserve Association Resources

E-Commerce Consists of 5 Optional Modules: Member Invoicing On-line Payments EFT Investment REALTOR Mall

What Does REALTOR e-Commerce Comprise?

Association e-Commerce Defined Invoice Presented On-line Provide a “Checkout Counter” Offer Immediate Validation Deposit Money Electronically

Flow Through Policy … In Colorado, if a Local Association chooses the “flow through” option, both the State Association and NAR will pay their individual portions of the credit card and e- check fees.

Transaction Is Real-time End to End View Invoice Enter Payment Information Receive Authorization (or Rejection) Move Money A Member Can …

After Two Years … 311 Associations are Now Live on REALTOR e-Commerce

CARLiveMMSI Invoice Colorado Springs LiveRap Invoice DenverLiveMall MontroseLiveNAR Invoice EPOE +1 Pikes Peak LiveRap Invoice Status of e-Commerce in Colorado

Your Options Use the NAR E-Commerce System Build Your Own Interface Purchase the Rapattoni or MMSI Interfaces

Previous Method of Dues Processing

Simplification of Dues Billing Functions: FunctionManualElectronicEliminated Developing Statements X Printing Statements X Billing Members X Sending Reminders X Receiving Dues X Verifying Amounts X Shortages/Refunds/ISF X Posting to Financials X Endorsing Checks X Depositing Funds X

When Members Embrace On-Line Dues Payment Associations No Longer... Print Dues Statements Sort, Stuff and Mail Dues Statements Post to Member Financial Records Endorse and Deposit Checks Deal with Overdrafts Forward Payments to State/NAR Issue Late Notices

How Much Can You Save By Collecting Dues Electronically? An audit was performed in Vermont in February 2000 by Grant Thornton to identify actual association costs in the dues billing and collection processes before and after the implementation of electronic dues payments. Savings Per Member in Time and Materials $10.14

REALTOR Associations are not the only associations that understand the savings e-Commerce brings. USA Today: January 15, 2002 “Airlines Use Fees to Encourage e-ticket use” USA Today: January 15, 2002 “Airlines Use Fees to Encourage e-ticket use” Four major airlines now charge $10 for paper tickets … estimate e-ticketing saves $15-20 million a year, or $2 a ticket. Banks realized the savings e-Commerce provides and began charging for teller- assisted services.

Additional Savings* Include... Credit Card: (1.88%) savings of $2.39 per electronic member Electronic Checks: (1.9%) savings of $2.34 per electronic member EFT: ($.08) saving $8.92/Transaction. * Based upon 1999 survey of average fees paid by state and local REALTOR associations. Variables include dues amount and previous fees paid.

Will the Members Use It …

NRDS Technical Resources E-Commerce CD ORP search: “ecommerce manual” E-Commerce Lab Help Line: Realtorae.com/association technology/ nrds & e-commerce resources/realtors e- commerce network

NAR’s Center for REALTOR ® Technology (CRT) Program Overview

Goal 1 Advocate Technology for REALTORS ® Represent industry needs to vendors. Promote features that assist REALTORS ®. Encourage the adoption of technology that works now. Assist vendors who want to demonstrate their solutions to REALTORS ® Maximize the Technology Investment of REALTORS ®

Goal 2 Implementation Support for REALTORS ® Help the implementation of NAR policies with technical guides written for "technical staff“. Provide architectural support to vendors serving the market. Publicize the implementation of tools that assist REALTORS ®. Support standards that assist information exchange. Tools and Techniques for REALTORS ®

Goal 3 Provide Information to REALTORS ® Vendor Guide Trends How-to Publications Speaker series Self Help for REALTORS ®

Center Staffing Initial group of 5 staff by December – Focus on technologists and practitioners Located in Chicago Keeping the Center Cost Effective

Questions/Comments/Discussion Mark Lesswing

Thank You!