One of the key drivers of the Indian economy in terms of economic output, employment and consumption is the Real Estate sector. Real Estate is one of the few sectors globally that is yet to transform its processes to the digital age.
But with the rise of e-commerce companies such as Housing.com, MagicBricks.com, etc., the business processes of Real Estate sector have begun to evolve. E-commerce in Real Estate has not only the potential to increase the sales, but also to create new business value for the builders.
Mapping the Value Space
Digital technologies and approaches are changing all aspects of the business world. From mobile payments to big data, digital technologies are reshaping many industries to deliver new and better value to its consumers.
Real estate companies can create new business value through the following four key areas:
Reshaping Customer Experience: Digital platforms can completely eliminate multiple pain points of the customers in exploring and understanding various aspects of the project. Rather than making the customers to have multiple face-to-face meetings, digital platforms will enable them to consume information in what ever way they are comfortable with.
The process of instant information availability and the ability to analyze multiple possibilities visually will help achieve significant improvements in customer experience.
Better Customer Insight: Digital platforms can help gain customer insights from multiple dimensions that are just not possible in traditional methods. It is possible to effectively understand customer behaviors, forms and trends which are invaluable in decision-making.
Efficient Business Processes: Traditional ways require multiple stages for the sales to go through, from lead generation to finalization. E-commerce platform can significantly reduce the stages and make the process efficient and cost-effective. E-selling will give a clear sales funnel and analysis of consumer demands that will improve the overall efficiency of the processes.
Building New Capabilities: Digital transformation will set the stage for the next level of organizational capabilities and performance. New age capabilities such as big data, analytics, augmentation, ready-to-order customizations, etc. can improve the performance of the organization in both short- and long-term and as well as increase the valuation of their projects.
Future is Digital
E-commerce and digital technologies in real estate can create new opportunities for growth and win new customers. More fundamentally, e-commerce can give birth to new business models, help builders differentiate their offerings and deliver better returns for the organization.