Foxtons London Estate Agents
Jon Hunt and his business partner Anthony Pelligrinelli established Foxtons Estate Agency in 1981, named Foxtons after a village close to Hunt’s home in Suffolk. Hunt ran a two-person Notting Hill estate agency quickly distinguishing themselves from their competitors by opening 76 hours a week including weekends. Foxtons struck a substantial land deal to Wimpey Homes at the end of their first year, which generated sufficient funds to implement a radical marketing technique of 0% commission undercutting their competitor’s fees of 2.5-3%. Although after one year trading with 0% commission Foxton’s policy was changed to charging a similar fee or higher fee than their competitors with the promise to vendors that Foxtons would achieve a higher price for their properties. Foxtons quickly established their mantra “our clients expect us to go to war for them” with agents doing whatever they could to gain properties onto their books and then sell them.
Foxtons found themselves struggling due to the property crash of 1989 as their business model had concentrated primarily on residential property sales. During the recession of 1988-1994 Foxtons experienced very difficult times almost going under however this period prompted a move to diversify into the lettings market which would later prove a wise move when the next recession hit.