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Century 21 Sheds Coats in High-End Market Bid

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<i> Times Staff Writer </i>

Americans may soon be seeing less of one of the nation’s most widely recognized corporate symbols: Century 21’s famous, sometimes maligned, gold coat.

In an effort to enhance their company’s image and get a bigger share of sales in expensive housing markets, many of the estimated 10,000 agents working in about 500 Century 21 offices in Southern California, Hawaii and Alaska will be shedding their golden garb and putting on fancier duds, executives at the firm say.

Many agents in some high-priced markets on the East Coast are also expected to change their coats.

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“Let’s be honest about it: Maybe our jackets aren’t the most attractive garments in the world,” admitted Tom Motter, director of marketing for Century 21’s Pacific Region.

But not all of the company’s agents will be hanging up their gold jackets.

Most of the salespeople in low- and mid-priced neighborhoods are expected to continue wearing the coats, primarily because they instantly identify the wearers as part of a company that most consumers find well-run and dependable.

To Fit in Better

But a growing number of agents hoping to snare a larger portion of sales in upscale markets are expected to swap their golden blazers for three-piece suits and other business attire “to help our people fit in a little better in the high-end neighborhoods,” Motter said.

The company isn’t taking the change lightly. When executives at the firm held their first training session for brokers interested in targeting the high-priced market, the first speaker was a Newport Beach-based image consultant “who talked about when it’s appropriate to wear the coat and when it isn’t,” said Sandy Persky who heads the recently formed Century 21 Upscale Homes Marketing Task Force.

“If you’re going from door-to-door in a (blue-collar) neighborhood, wearing the coat is a good idea because it instantly identifies you as a Century 21 salesperson,” Persky said.

“But if you’re hobnobbing with people at a social event in Beverly Hills, you want to look like everybody else. And you don’t see a lot of gold coats at Beverly Hills fund-raisers.”

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Thinning out the use of the coats is only part of an aggressive plan that Century 21 hopes will increase its already formidable presence in California and some other western states.

Not in Tony Enclaves

The company already has a phenomenal 14.8% “market share” in the Pacific, which means that nearly one in every seven homes in the region--which includes the Southland, Alaska, Hawaii and Guam--is sold through a Century 21 agent.

Yet most of the firm’s sales come from largely blue-collar residential areas. The company has a foothold in Newport Beach, La Jolla and a few other high-end Southland markets, but it has no office in Beverly Hills, Bel-Air and most other tony enclaves.

The company hopes to double its market share in the Pacific Region, and figures those upscale neighborhoods--as well as transactions involving commercial buildings and apartments--are the best places to start.

“There’s still a lot of room for us to grow,” Motter said. “Sooner or later, you’ll see a lot more Century 21 salespeople and offices in those upscale markets.”

Earlier this year, the company began publishing a full-color magazine that it circulates to many of its own offices as well as to U.S. and foreign attorneys, business managers and other professionals whose clients buy and sell high-end real estate. The publication showcases many of the firm’s most expensive listings.

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Plan to Increase Share

The company also plans to modernize more of its offices, including giving their interior decor “a face lift to make them look prettier,” Motter said. It also has hired a national public relations firm to generate more publicity.

While the company’s goal of virtually doubling its market-share in the Pacific Region draws snickers from many competitors, some real estate consultants say it can be done.

“The company’s sheer size shows that the people at Century 21 have proven over the years that they know what they’re doing,” said Barbara Pivnicka, a spokeswoman for the Roulac Real Estate Consulting Group of accountants Deloitte Haskins & Sells.

“Getting a foothold in those high-end markets is tough . . . but if anybody can do it, it’s Century 21. Their marketing is good, and their resources are just phenomenal.”

Still, it’s the shedding of the gold coats that most consumers may notice first.

The company decided to start using the coats nearly 20 years ago in an effort “to show that we all worked for the same organization,” Motter said.

Not Always Beneficial

“We wanted people to know that the agent who wore a gold coat was part of an entire network of people who were ready to help. When somebody sees that coat, they know exactly who you work for.”

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Ironically, the coats may have worked too well. A few studies have shown that the public’s perception of realtors is not very good, and being instantly identified as a sales agent “hasn’t always been beneficial,” a Century 21 insider said.

Compounding those problems, the first generation of the gold coats were made of 100% polyester. “They looked pretty bad after they got frayed,” the insider said. “People used to joke that we looked more like used car salesmen instead of real estate agents.”

The fashion world, however, can breathe a sigh of relief: The all-polyester models, which cost about $75 each, will no longer be available after Dec. 31.

“You’ll only be able to get 100% silk, silk blends and wool,” Motter said. “You won’t be able to buy the polyester ones any more. It’s an image thing.”

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