Both proptechs and estate agents have been breaking new ground in real estate marketing in recent years. These include digital exposés, 3D models, YouTube films and virtual tours with augmented reality. Technologies such as big data and artificial intelligence are making these innovations in real estate sales possible.
In this article, we will show you how real estate brokerage has changed, what big data actually has to do with it and what role proptech brokers play in this. You will also learn about the advantages that digital real estate marketing offers customers.
Brokerage then versus now: How has real estate brokerage changed?
Real estate brokerage was already changing before the coronavirus pandemic. New technological possibilities mean that customers are increasingly searching for real estate online. They therefore also need to be picked up online with offers such as video tours, virtual exposés and viewings, which are even possible from abroad thanks to the Internet.
Since spring 2020, the digital brokerage of real estate has become an integral part of real estate agents’ everyday lives. After all, it was only thanks to digital offerings that it was possible to continue brokering properties even at the height of the pandemic. As a result, companies that have previously relied less on digital offerings have also begun to rethink their approach.
One major difference between real estate brokerage in the past and today is that IT specialists, web designers and data analysts now work in real estate agencies alongside traditional brokers. This is particularly the case in proptechs. The aim here is to combine the best of both worlds, i.e. to offer better real estate brokerage with the help of digital technologies.
Another development in recent years is that many real estate companies are now also active on social media channels. They also post the exposés of the properties for sale online. Depending on the provider, special features such as three-dimensional 360-degree visualizations or video sightseeing flights through the surrounding area are possible.
Despite these outstanding opportunities, there is still some catching up to do in the real estate sector. Although many real estate companies have been using digital marketing tools for some time, they are often not yet able to make full use of the new technologies. Big data, artificial intelligence and the like offer great potential in the areas of financing and real estate management.
And there are always new ways of finding the best tenants or buyers for a property. At Properti, this “matchmaking” is particularly important to us. We therefore use artificial intelligence and other technologies to find exactly the right property for each customer.
What is big data and how is it used in the real estate industry?
Today, digitized real estate marketing is increasingly dependent on big data. This refers to large volumes of structured and unstructured data that are used for analysis purposes. They show trends and help to make the right decisions.
The volumes of big data are already so large that they can no longer be processed by humans. Automated solutions are therefore used. These extract information such as the average age of a neighborhood’s residents, the air quality or the availability of elementary school from the data. Software helps to find the desired connections.
This analysis enables real estate companies to make their sales processes faster and more efficient. This starts with marketing to the right target group, continues with the semi-automated creation of exposés and extends to the automatic placement of advertisements for potential buyers on social media and other channels.
What role does the proptech broker play in the digital transformation of the real estate market?
Proptech brokers are particularly well positioned to correctly assess the digitalized real estate market and market properties intelligently. Because they bring technical skills, creativity and a spirit of innovation with them. Despite some challenges during the coronavirus pandemic, the proptech sector’s drive has continued to decline in recent years.
The Swiss PropTech Report 2021 by Credit Suisse and SwissPropTech shows that around 80% of Swiss proptech start-ups have increased their headcount by more than 70% in recent years. Further growth is expected, as proptechs not only benefit from digital trends, but also drive them forward.
According to the study, the following factors lead to the success of proptechs:
- Clear customer benefits of innovative technologies
- Strong team with outstanding management
- Scalability of digital solutions and growth opportunities on the market
Other success factors include simple product integration, the timing of the innovation, a unique selling point, a good network and sufficient financing. The digital technologies of proptech providers are particularly interesting for customers when it comes to real estate marketing. Although they still receive personal advice, they receive additional services such as real-time information via software, video tours and updates from the broker.
Does artificial intelligence represent competition for brokers?
At first glance, it may seem as if big data and artificial intelligence could soon put brokers out of a job. However, this concern is unfounded. Although digitalization and the automation of processes allow broker tasks to be simplified and accelerated, this leaves more time for personal contact.
Even if some activities are completely taken over by software in the future, this will only be an advantage for brokers. This means you can dispense with routine tasks. This can save time and money, while the broker has more time for personal contact with the customer. This personal contact is particularly important for customers when making such an important decision as buying an apartment or a house.
How do customers benefit from digital real estate marketing?
Digital real estate marketing not only brings many advantages to proptech start-ups. New tools are also interesting for customers. 3D visualizations, high-quality photos from drones and virtual viewings via video are new ways to find a property. In addition, brokers can take better care of their customers thanks to digital real estate marketing.
The following four advantages for customers are particularly noteworthy:
Advantage #1: Forecasting price trends
One of the most important questions when looking for a property is how the price is made up. For example, many customers ask themselves when the ideal time has come to sell their property. Big data can also be used to easily answer the question of how the value of properties has changed in software. Real estate valuations are also easily possible using big data.
Real estate agencies can now combine market information, customer data and public data sets to provide their clients with price, performance and financing forecasts. In addition, real estate seekers can request details on the expected development of the real estate sector in a specific city or street. A forecast based on artificial intelligence and big data is also becoming increasingly relevant for rental price trends.
Advantage #2: Quick search for suitable buyers
In addition to the right price, it is also important to find the right buyer in digital real estate marketing. Real estate agents can open up new opportunities for their sales customers with the help of big data and artificial intelligence. This is because software is able to connect suitable properties with potential customers. It can create suitable offers that match a receptive target group from a certain district and at a certain time of day.
In addition, customers who want to buy or sell benefit from fast, uncomplicated contact with brokers. They can use a chatbot, store their contact information online or simply arrange their next meeting with the broker via digital appointment scheduling.
Advantage #3: Increase buying interest through digital marketing
Digital real estate marketing helps to make the purchase decision easier. Virtual reality and augmented reality are key words here. Virtual reality allows customers to immerse themselves in a digital environment such as a home, while augmented reality involves inserting digital content into the real environment, for example using VR glasses.
Technologies such as 3D simulations of properties reduce the time and effort involved in house viewings for both estate agents and clients. They are an ideal solution for getting a first impression of the property. In this way, it is possible to direct the buyer’s interest in a targeted manner and to organize a successful viewing if there is interest.
Advantage #4: Improved customer relationship management
Despite all the digital innovations in the real estate industry, the relationship between client and estate agent is not changing. On the contrary, thanks to the automation of certain processes, it is possible to spend more time with the customer. Artificial intelligence also helps to provide customers with better offers, which leads to increased customer loyalty and satisfaction.
Last but not least, software from the field of digital real estate marketing in Switzerland helps to keep in touch with customers at all times. They remind you of appointments and important events. This means that customers are well looked after and can rely on receiving the full attention of their broker.
All data are without guarantee. The information on these Internet pages has been carefully researched. Nevertheless, no liability can be accepted for the accuracy of the information provided.
