Digital Transformation of Commercial Real Estate Industry
The CRE industry is a complex ecosystem with multiple stakeholders and has been rather slow in its adoption of technologies. How are things evolving?
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Digitalization is a topic that has become needed in every industry. The real estate industry, that is conservative by nature, is facing to keep up with technology as their biggest challenge by 44% of the CRE companies according to 2019 Profile Real Estate Firms. Nevertheless, the Nordic real estate industry is becoming increasingly digital accelerated by the Covid-19 pandemic, investing in technologies like IoT. Some of the more substantial digital challenges and trends facing CRE companies are augmented reality, online accessibility, big data, property and technology, and digital platforms.
Augmented Reality (AR)
In the real estate world, augmented reality means using digital platforms to allow clients to tour the properties, virtually. The way it works is that the customer can use their phones to “walk” through the space, as AR is more effective at picking up details that photos fail to convey. Over 64% of buyers said that 3D and virtual reality has helped them get a better understanding of the accurate size, volume, and proportions, but what might be even bigger of a benefit is that virtual tours save time.
Online Accessibility
Online accessibility is prevalent in all other areas, such as shopping, grocery shopping, booking trips, and scheduling in doctor’s appointments. The digitalization has allowed clients to conduct research, buy, sell, rent, solicit bids, and put in offers online. According to the National Association of Realtors, 99% of millennials start house hunting online, 77% of realtors promote their real estate business on social media, and 47% of real estate professionals have seen social media generate higher quality leads than other sources.
Big Data
Machine learning and automated algorithms have become invaluable tools that help people within the CRE industry identify trends by gathering, aggregating, and interpreting vast quantities of data. Oftentimes, realtors, investors, developers, and others rely on big data to inform decision-making.
Property and Technology, PropTech
PropTech offers another innovative digital approach to real estate. It’s a business specific software that optimizes the way people research, rent, buy, sell, and manage a property. This cross-industry technology benefits all parties involved in the RE, developers, investors, and property management companies. All PropTech startups are companies that are attempting to make the real estate industry better, more efficient, and easier to navigate.
Digital Platforms
Digital platforms, that are a part of PropTech, offer significant value to real estate professionals because they improve work processes and streamline costs. With the help of these platforms, automating previously manual processes and digitizing paper-based tasks becomes possible, which in turn eliminates human errors and enables people to address more critical tasks.
How xNomad Helps Digitize CRE
xNomad is a PropTech company that helps real estate companies utilize their vacant spaces. Finding a tenant, listing a space, and leasing a space couldn’t be any easier with the help of xNomad’s digital platform. We help landlords connect with brands and e-commerce stores on a short term contract, for the brands to create a Pop Up store experience in the premises. This will not only help real estate companies utilize their spaces, but it will also make the area lively with the increased foot traffic that comes with the buzz created by the Pop Up. Our software can help real estate companies adopt the digital trends mentioned above, and here’s how.
All you have to do as a landlord is to list your vacant space on our platform, and xNomad will help you photograph the space and we also offer to take 360º photos of it, to give the brands the chance to tour the spaces virtually on our platform. Your spaces will henceforward be accessible for brands online, and booking your space will be as easy as booking an airbnb. When a brand later books your space, we’ll help you with the negotiations and with the electronic contracts in order for the activation to happen within a few weeks from signing. When a brand then activates a Pop Up, we can gather data on the foot traffic to help you as a landlord, but also the brand to understand the effectiveness of the Pop Up.
Conclusion
With today’s software capabilities, electronic signatures only take a few minutes to arrive in contrast to the traditional ones that take a few weeks. There’s no denying that time is money in the world of CRE, which is why digitizing certain processes is incredibly crucial. xNomad is an online marketplace that can help landlords digitize their processes. All landlords have to do is to list their vacant spaces on our website and we take care of the rest.
Sign up now and list your space on our website by clicking on the link https://xnomad.co/signup or contact us via [email protected]!