Overview: The global real estate sector seems to be on an accelerating disruptive turn highlighted by a change in customer dynamics, demographic shifts and an ever increased demand to access data in order to better serve the users. It is quite clear that the cities are no longer traditional cities which just mean buildings and people, they are moving forward to more advance concepts like smart cities. In this demanding ecosystem companies have no choice but to be aware of the recent developments. The Real Estate Market Research Reports suggest that it is expected to register a CAGR of 15.9% for the period 2016-2028. With this in mind, the sector is expected to expand its services and also work closely with technological developments.
Outlook: The industry has observed a shift from tradition methods used in this sector to online modes of dealing. After the real estate sector saw a shift to online interaction between a buyer and a seller, companies were able to penetrate further and expand their consumer base since the services are cheap and time saving. They also eliminated the need for a middleman by directly establishing a contact between the buyer and seller. Since past few years online real estate industry is trying to experiment into the artificial reality segment with very positive results. One of the most prominent methods by which AI has entered the real estate segment is the use of Chat bots. Chat bots are artificial intelligence powered bots that respond to a person’s query using real time speech analysis. Chat bots help companies to save customer service cost and optimize time spent on answering customer questions that are of a common nature. Nowadays companies send out marketing campaigns through mail to their clients and prospects. However, this eventually results in a user losing interest due to a flood of marketing campaigns received. Companies such as ATTOM data (USA) is making use of artificial intelligence to send out dynamic campaigns based on area of interest or a particular property. Another innovation under AI is the use of intelligence search platforms. The Real Estate Industry Analysis shows that earlier customer preferences could be made only on basic information like price, area of choice. Now with the introduction of intelligent search platforms, information like ROI, neighbors etc. now are also available that help in identifying better consumer preferences.
Market: The market for global real estate industry is expected to grow by leaps and bounds. The major key drivers associated with the above growth are:-
Enhanced income level: Income levels have been raising especially in developing economies like India USD 1,461 (2011) to USD 1,709 (2016) and China from USD 5,633 (2011) to USD 8,123 (2016) have been a major reason for increased growth in retail sector. (Source: World Bank)
Smart Phone penetration: Most retail companies provide their services through an application and with growing smart phone penetration throughout the globe causing real estate industry to rise.
Increasing urbanization: Urbanization is expected to grow roughly between 10-15% in the upcoming years which further improves the future of this industry.
Competition: Companies around the globe especially USA and Europe have entered in the online retail market brining in artificial intelligence techniques like Chat bots. Companies like structurally (USA) have developed platforms like Holmes and Home chat which are chat bots helping the company to improve its customer response system. Address report is a solution acquired by ATTOM data that sends dynamic content to its subscribers using artificial intelligence. X.AI – This personal Chabot assistant takes care of the meeting. They will be responsible for determining the best time and location, and will add an invitation to your calendar. Rex real estate exchange (USA) runs a chat bots connecting sellers and buyers and aims at reducing brokerage fee.
Conclusion: The real estate industry is expected to grow exponentially due to factors like increasing income, urbanization etc. Companies are now trying to enter the market by means of Artificial Intelligence that aims at improving customer interaction by reducing time and money.
Key Topics Covered in the Report
Real Estate Market Research Reports
Real Estate Industry Analysis
Market Research Reports for Real Estate
Real Estate Industry Research Report
Real Estate Market Research Reports Consulting
Real Estate Business Review
Real Estate Industry Research and Market Reports
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Ankur Gupta, Head Marketing & Communications