Four predictions about the future of commercial real estate
Wouldn’t you like to have a crystal ball that could tell you, with clarity, what the future holds for the commercial real estate market?
It may be wishful thinking, but I have four predictions for how the leading commercial real estate agencies will drive results in the future:
- Greater emphasis on diversity.
- Creating more leverage.
- Less time on personal relationships and more attention to the importance of data.
- Increased use of processes that retain know-how and create efficiencies.
Let’s break them down and explain how you can get ahead of these trends.
DE&I stands for diversity, equity and inclusion.
Committing to DE&I means creating a more welcoming environment for people with less privileged identities, which is not only the right thing to do, but also a huge opportunity for our industry.
Besides gender, other areas to consider include disability status, ethnicity, sexual orientation, socioeconomic status, age, and more.
Thinking about your team, do you see a commitment to DE&I?
If you don’t, you may be at a disadvantage because more diverse companies perform better. they have more innovative ideas and appeal to a wider range of clients – including people who want to see themselves reflected in the agencies they work with and those who believe in DE&I ideals.
Sidebar: If you notice DEIB, the B is for membership. This extends DE&I to creating a workplace where people can belong – which is, of course, relevant to commercial real estate.
When you see the word leverage, you might think of financing.
But leverage is also created by focusing on activities that create greater impact and produce a greater result at scale.
A leveraged activity is showing someone how to do something you do yourself over and over again, then letting them keep doing it over and over again, so that you can spend your time doing something you do. greater value.
You can create leverage when you reuse content. An example is recording a list video and then uploading it in different formats to different channels.
You’re probably already creating leverage with digital marketing – because you write an email once and it reaches multiple people.
Above all, technology now makes it possible to create this leverage effect while offering a certain degree of personalization via (well-maintained) databases and relevance via targeting.
Speaking of the importance of data, customers will rely on it even more to make decisions in the future, while service providers will leverage data to find new customers and then demonstrate their market coverage through data. which they have.
This means that relationships will become less important. Not meaningless, but certainly not the be-all and end-all of how customers make decisions.
It is no longer enough to rely on your connections to secure and keep your business. Customers are more sophisticated than that.
Decision makers want credible partners – and data is the currency that will be used in favor of long lunches to demonstrate that you are a specialist with the ability to create superior results.
So even if you’re not friends with the prospect, just being a friendly, cooperative person with quality data to back up your credentials can put you in the seat of a sticky incumbent.
When you win an ad, what are the 23 things you know you have to do before the campaign starts?
When a tenant signs a lease on a property you manage, what are the 16 steps that happen before they move in?
Even though they know what they’re all about and never miss them, more of my clients are documenting how things are done – and they’re using cloud-based software to create processes, manage projects and assign responsibilities.
Processes can be simple checklists or detailed standard operating procedures, complete with how-to manuals. Either way, the processes reduce errors and improve efficiency.
Process creation should be a team activity to ensure that you capture the best practices that exist in your organization.
This removes the risk companies face when employees leave and take their expertise with them, and creates a situation where you have a larger pool of talent to hire (because people with less experience become easier to train).
What to do with these predictions?
In a rapidly changing industry with changing markets, a little more clarity about the future isn’t a bad thing.
The problem with predictions, of course, is that they can be inaccurate.
Whether or not you agree with these predictions, knowing them — and understanding the insights in this article — will help you formulate goals and take action more in tune with what the future holds.