Slowly & Steadily, the Proptech industry adopts digitization trends.

The proptech sector has been cautious concerning widespread digital adoption. Lately, they have also witnessed disruptive trends brought about by increasing digitization taking shape in various operations of the industry.

- R Sai Venkatesh

Disruption in workplaces and industries caused by rapid digitization has often led businesses on the path of a quick transition to remain in the business. However, some industries and sectors have been slow to adopt the trend. The Proptech sector is one among them.

Proptech, in layman terms, property technology, employs Information Technology in the vast industry of real estate and enables firms to increase convenience and drive better efficiency in their end-to-end property management operations. A report from the real asset insight, quoting Ireland's Leading Commercial Property Company (IPUT), enunciates how the real estate industry as a whole has been slow to embrace the digital revolution. It estimates that the sector falls behind other industries in terms of digital adoption by about five years.

"On a daily basis, the industry is witnessing the emergence of new companies and funding sources. Prop Tech will soon be embedded in all aspects of real estate. While the property industry has been slow to adapt, this is changing and will create opportunities," A Report by BMO Capital Markets

Changing trends

However, the trend has been changing. A report from BMO Capital Markets states that the proptech industry has witnessed significant growth following a whopping $54 billion invested in the space in 201920 alongside special purpose acquisition companies (SPAC) that target proptech companies, raising an additional $7.4 billion. As stated by the BMO report, a major catalyst for this boom is the growth of technology companies that target real estate and the increase in capital, which supports these platforms.