How much property data do you currently use within your agency? And what data do you collate and utilise in your agencies sales and marketing efforts in order to gain a valuable competitive edge? In this blog post, we touch on the increasing importance of data within the estate agency sector. Plus we give you some useful advice and guidance on how you might be able to start using data more effectively. Let’s get started…
What is driving the increasing importance of data in the property sector?
You’ll no doubt be well aware that Proptech has now been with us for some time, and is continuing to evolve and help shape the future of the property industry.
In this post, we’re going to touch on how we see this affecting the industry in the upcoming years, and the significant role that data will play within that evolution.
One of the most obvious purposes and applications of Proptech must surely be to make the consumer journey with agents easier and less painful to navigate and manage. Accurate and reliable data that is used really well by agents has an important part to play if we are going to achieve this objective.
After all, surely one of the main purposes of incorporating all this new technology and innovation into the industry should be to simply make the process of buying and selling property and real estate easier for everyone!
We’ve reached the point now where technology and innovation is firmly embedded into almost all areas of the property industry. Since about a decade ago, things have moved fast in terms of new technology and innovation coming into the industry. Some aspects of the estate agency sector have been somewhat slow to adopt this new technology, but we’ve now probably reached a point where if your agency does not take a very close look at this, you’re going to get left behind.
There is no doubt that Proptech is going to continue to challenge and ask questions of the industry over the next few years too – so you need to be prepared for what is to come.
What’s driving all this continued new technology and innovation?
We can be confident that Proptech is going to continue to reshape and industry when we look at the level of funding that is being pumped into developing new technology. There are still many very large investment firms and organisations making significant investments in this area.
Investment in property technology and innovation has seen very significant increases in the past few years, to the tune of some 70%. There is no sign of this slowing down significantly during the next few years either.
But with such drastic investment leading to ever more change and adaption of the industry, the risk is of course that you might be left wondering how best you should adapt to these changes?
One really key consideration that you should always factor in, is exactly how any new technology or innovation helps your customers. How much value does it genuinely add to them in real, practical everyday terms?
Certainly data has a crucial role to play in this. For example, if you are going to use new technology or systems that collate and process additional data about your prospects and leads- then ask yourself exactly what those consumers get out of it? Does this additional data ultimately help them to make better decisions about their property purchases and other transactions? That should be the million-dollar question that you ask when assessing just how valuable new data and technology really is to your customers.
Where does all this new property data come from?
There are now many various sources that valuable data can be pulled from in relation to your prospects, leads and customers.
In this modern era of property search, about 90% of your potential customers will now start searching for their ideal property online. Valuable data starts to become available to you the moment they conduct their very first searches.
These days they will be able to select from any ever-growing list of various search preferences, which cover everything from location, number of bedrooms and bathrooms and price range – but also now many other variables such as very specific features and attributes that they are seeking in their ideal property.
They may also then want to learn more by accessing an array of various online tools that all collate further data about them and their individual preferences. These can include online resources such as valuation tools and reviews tools and information.
Consumers are now able to find out a vast array of information related to properties in their area without the help of an agent. But the plus side is that whilst they are conducting these online searches, they are leaving a trail of valuable data that can help you to gain a better understanding of their specific needs and preferences. Use this data wisely and in the ‘right’ way, and you can provide a better service to these customers that ultimately will lead to more sales and revenue for your agency.
So in this respect, all this increased data is a win-win for all parties, providing the data is collated and used in the right way of course.
So what can you do to start using all this property data more effectively?
One of the real keys here will be going beyond simply trying to establish what type of property a potential customer is looking for and in which location. You can start to add a whole new range of other criteria to your dataset for your prospects and leads, which will give you a much more rounded and comprehensive picture of how best to serve them.
Try to factor in things like the buyer’s lifestyle preferences, and incorporate things like AI and predictive data and analytics to send them property recommendations based on not just these preferences, but also further datasets that you have uncovered about them such as their personality traits and other behavioural data and preferences.
How are consumer trends changing and what impact should this have on your data?
Speaking of behavioural data, there is evidence to suggest that homebuyers are now increasingly more focused on purchasing properties that cater for other factors such as their personal health and well-being.
With this in mind, it’s worth thinking about how this relates specifically to property data, and what kind of data might become particularly valuable. People are more likely to be interested in filtering properties based on features and functions that tie in with this increased focus on well-being. For example, it may be increasingly important to them to only see properties that cater for specific rooms and areas within their home that would cater for activities relating to fitness and meditation.
Or perhaps there might be an increased focus and importance on specific features within the kitchen and/or dining area, in order to meet very specific catering requirements that the home seeker has that they are not prepared to compromise on.
In addition, many home seekers are now becoming increasingly more environmentally and eco-friendly. This is bound to be reflected in the kinds of terms and datasets that consumers demand with their online searches in the future. It will also no doubt have a significant impact on the kinds of properties and associated information that potential buyers want to receive from you going forward.
Ideally, you need to know exactly what specific features and functions are important to each of your prospects and leads based on data you are able to collate from them. Then use this data to adjust your marketing and promotional messages accordingly to each individual. This kind of segmentation within the property industry will most likely become a necessity in the near future, rather than simply a ‘nice to have’.
Conclusion regarding property data
If you’d like to find out more about the importance of property data and how you can use it more effectively and in a more innovative way within your agency, why not schedule a demo with us now. We’ll be happy to offer you some tailored advice and assist in any way that we can.