Big Data: The New Ally of Real Estate Marketing

In the digital era, big data has become a valuable resource in various sectors, and the real estate market is no exception. Real estate agents have found in this resource a powerful ally to obtain accurate and detailed information about consumer behavior, market trends, and the preferences of potential buyers.

We see this in proptech companies, which base their operations on the use of technology (big data, machine learning and geolocation) to improve or reinvent their services within the real estate sector. 

According to the most recent survey carried out last year by Endeavor, a prestigious  entrepreneurship community, there are 112 proptech companies in Mexico, the vast majority of which are dedicated to brokerage services. And everything points to the fact that this vertical will continue to grow, as the tools to obtain accurate information from potential clients will continue to be perfected. 

One of those tools — and for me the most valuable — is big data because the advantages it provides when used correctly make the difference in any real estate company:

In-depth market knowledge. Data analysis and management allow real estate agents to obtain detailed information about the characteristics of a specific market. Through advanced studies, they can identify geographic areas with the highest demand, average home prices, available supply, and buyer preferences.

An example of this is the study, Evolución del Comportamiento de Precios de Vivienda en México 2016-2021 (Evolution of Housing Price Behavior in Mexico 2016-2021), conducted by Intelimétrica, which revealed that in Mexico there is greater volatility in apartment prices than in house prices, and that the states with the highest recorded price increases in this period were Baja California (75%), Nuevo Leon (61%) and Jalisco (40%). This type of information allows marketers to make informed decisions about the type of homes to offer and the appropriate price. 

Analysis of buyer preferences. Through the use of big data, marketers can gather information about their customers' preferences and use it to tailor their marketing strategy. Online platforms, social networks, digital community building, and other data sources provide insight into the interests, buying behaviors, and opinions of potential buyers.

For Inmobiliare, 2023 is an unprecedented year for the sector, as Generation Z is  beginning to meet the requirements that institutions, such as INFONAVIT and FOVISSSTE, request to acquire housing. This will be a watershed moment in  real estate, as real estate projects will need to meet their needs, tastes and pockets, as well as modernizing sales channels to adapt them to the way this generation is accustomed to consuming.

There is no doubt that having accurate information about potential customers, such as Generation Z, allows real estate companies to provide them with a personalized experience, since by knowing their preferences, budget and specific needs, they can offer them homes that meet their criteria. This not only improves their satisfaction, but also increases the chances of closing a sale.

Saving time and resources. Big data technology has helped companies to properly organize their digital resources in order to keep better control of time. This provides the opportunity to focus on more strategic activities and personalized customer service. 

Price optimization. Big data can also be used to determine optimal property prices. By analyzing variables like location, size, specific features of a home and historical market prices, marketers can establish more accurate cost strategies. This helps maximize returns and ensures that properties are marketed competitively.

Trend forecasting. The ability of technology tools to analyze large volumes of information in real time allows marketers to identify emerging patterns and trends in the real estate market. This gives them a competitive advantage by anticipating changes in demand, the development of new areas or the emergence of new buyer segments. Predicting trends based on solid data reduces risk and maximizes investment opportunities.

Without a doubt, big data has transformed real estate and will continue to do so, giving marketers a significant competitive advantage. By harnessing the power of data, they can make more informed decisions, customize their marketing strategies and anticipate market trends. It has become an investment that offers increased business growth as a benefit.

Additionally, there is the arrival of new tools that are here to stay. artificial intelligence and its predictive and generative models, along with big data, will probably be two of the tools that will take us to an acceleration never seen before, with important benefits for the decision-maker.  

The integration of both and the availability for users, which we are beginning to see in some sectors, will mark a new milestone as it will change the way we buy, sell or exchange properties today. Facility, accessibility, and transparent processes for all the actors involved in real estate, must be the guide that marks the development of the sector, not only in the near future, but on the daily path of today. And for this, I have no doubt that big data management combined with artificial intelligence will be the key to this development.