The commercial property industry sees a digital metamorphosis with the infusion of AI-driven technology known as Proptech. According to a recent report by MRI Software, this technology can effectively tackle the industry's prominent challenges, such as complex legacy systems and a ubiquitous reliance on manual processes. Simplified, streamlined, and automated solutions offered by Proptech are said to serve as a linchpin for the industry's future.
"Digital Transformation Journey," the report by MRI Software, delineates the prevalent issues faced by industry professionals. The survey indicated that the most significant challenges were performance-based, with a majority struggling to offer a seamless customer experience across various mediums. Besides, there are issues in achieving measurable performance improvements and definitive business outcomes.
Chief concerns on the process front, among commercial real estate (CRE) leaders, included streamlining complex processes and reducing manual workloads (33%), enhancing reporting and analytics capabilities (30%), and securing optimal resources allocation coupled with cost-efficiency (19%).
Nikki Steadman, Senior Director, Professional Services, Asia Pacific at MRI Software, states that AI-driven Proptech is currently utilized to simplify operations and enhance efficiency. Not only instrumental in everyday tasks, this technology also plays a pivotal role in insightful planning that makes real estate portfolios more strategy-oriented rather than just process-led. The long-term aim of property professionals using Proptech rests on strong data to bolster their investment and achieve customer satisfaction and retention.
Mark Cohen, Asia Pacific Vice President for Product Innovation at MRI Software, points out an array of everyday workflow benefits offered by AI. From automating property and facilities management for boosting efficiency and crafting best practices in terms of digital leasing processes and online tenant services to handling more significant data volumes for market research. Further benefits include predictive analytics for informed strategic decision-making, creating new products and services, cost savings, accentuating the adoption of sustainability-focused property innovations such as smart building management, and unearthing key insights in corporate and legal documents to further streamline processes.
Paul Faulkner, Head of Business Technology for Asia Pacific at JLL, recounts his experiences with MRI Software's solutions such as MRI Property Management X and MRI Investment Management. These solutions have been critical in managing their real estate portfolio. Faulkner states, “We currently use a number of MRI solutions... to get real-time data insights across their portfolios that aid in making better decisions and ensuring growth...”. He appreciates the consistency in reporting and data visibility across all environments these tools offer. Business efficiency, good reporting for automated monthly reports, and a focus on sustainability are amongst the appreciated facets of these applications.
The paradigm shift in the commercial real estate front attributed to AI-driven Proptech promises efficiency, consistency and strategic growth catering to the industry's needs. The next four years till 2024 are anticipated to register an escalated usage and various improvisations in this segment.