Global PropTech Survey 2018 (KPMG)

Summary

• A total of 97% of survey respondents think digital and technological innovation will impact their business, up from 92% in 2017.p.6
• 73% of real estate decision makers view digital and technological innovation as an opportunity, while 25% see it as both an opportunity and a threat.p.3
• 56% of traditional real estate businesses rate their digital and technological innovation maturity at 5 or below out of 10.p.3
• 33% of real estate incumbents have an enterprise-wide digital and innovation strategy in place, compared to 24% in the previous survey.p.18
• 30% of traditional real estate organizations report that they currently invest or plan to invest in PropTech start-ups.p.3
• 78% of respondents feel that digital and technological innovation engagement across the corporate real estate sector has increased over the last 12 months.p.3

Key insights

1. The proportion of respondents expecting a very significant impact from digital and technological innovation rose to 60% from 46% in 2017.p.6
2. In the short term, 30% of respondents expect automation to have the biggest impact on the real estate industry, followed by big data and data analytics at 27%.p.8
3. In the long term, 32% of respondents identify Artificial Intelligence as the technological innovation that will have the biggest impact on the sector.p.9
4. Among respondents investing or planning to invest in PropTech start-ups, 45% cite complementing their existing business activities as the primary reason.p.23
5. 66% of respondents do not have a clear enterprise-wide digital and technological innovation vision and strategy.p.3
6. 93% of respondents agree that traditional real estate organizations need to engage with PropTech companies to adapt to the changing global environment.p.3
7. Collaborating with a supplier remains the primary approach expected by incumbents to develop their digital and technological innovation capability.p.22
8. Sales cycles present a key challenge for start-ups, with 30% of PropTech respondents reporting average sales cycles of 1-3 months and another 30% reporting 3-6 months.p.30