MLSs mistakenly refer to their customers as members. They are NOT members. MLSs are not trade associations. They are technology companies. Have you ever heard Verizon, Apple or AT&T call their subscribers – “members”? 
Have you ever Starlink or Spectrum call their paid subscribers – “members”? These subscription-based technology companies think of every one of their paid subscribers as customers. They understand that every one of their customers has a choice to pay for their services or not so they continually focus on how to retain their customers.
This is just one of the subtle, but important changes MLSs need to make if they want to position themselves as the technology service companies they really are.
Let’s also think about the mindset of calling your subscribers a customer versus a member. With customers you have to EARN their loyalty and trust. You have to assume they have a choice whether to be your customer or not. Since brokerages representing nearly 600,000 agents cannot require NAR membership any longer as one of the terms of the proposed settlements, MLSs are going to have to think about how to earn their customers and provide an open subscription available for all licensees. If you want to hear from MLSs that already offer Open MLS subscriptions, you can watch the replay of a workshop we hosted on the subject a few weeks ago featuring Art Carter(CRMLS), Merri Jo Cowen(Stellar MLS) and Jeff Bosch (IRES MLS).
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Is your MLS ready for NON-REALTOR subscriptions?
While MLSs are still closely connected to their Association Shareholders, it is important to differentiate the service and value of the MLS as a technology company and separate entity. It is also important to think about how to govern MLSs to be effective technology providers. MLSs brought the legacy of Association volunteer management with them. In today’s pace of technology innovation and need for real-time service and effective technology education, it’s time to think about modelling the governance of MLSs after technology companies, not Associations. In my article, Why are we not treating MLSs as the technology companies they are?, I highlight the ways to become a more customer-centric technology organization with a Board of Directors skilled at providing oversight and gentle guidance to the staff by bringing relevant skills in finance, technology, cybersecurity, marketing, and human resources to the party.
MLSs need to take this time of uncertainty and legal and regulatory scrutiny to examine every element of their organizations to ensure their long-term survival. Scenario planning and subtle, but important moves like calling your paid subscribers “customers” instead of “members” is one step in the right direction.
