As regular readers of my content will know, real estate is an overarching passion of mine. And while I still appreciate the many benefits offered by traditional property developers, I am also a keen advocate of the digitisation of the sector in the form of proptech.

It’s for this reason that I launched my own Proptech venture, PRYPCO, in 2022. I see this emerging field as an opportunity to improve the way in which the property market buys, sells, researches and markets assets. By providing cutting-edge tools to deliver a seamless user experience, PRYPCO and other such platforms represent a brilliant and innovative way to streamline and simplify traditional real estate processes.

Despite its relative infancy, this segment has already gained significant traction in markets such as the UAE, which is home to more than half of the Middle East and North Africa (MENA) region’s proptech startups. Over the past five years, new ventures within this space have raised more than $100 million in funding in the Emirates alone.

Nevertheless, the sector must not grow complacent, especially when it comes to growth and retention across its client base. Regardless of its digitised nature, I believe that the proptech market must remain focused on the customer experience if it is to secure long-term success.

Here’s why…

Reputation, reputation, reputation

As a business owner, it is my job to understand our customers’ expectations and monitor whether or not we are meeting them. Building strong relationships should be a top priority for any company, but this is especially true for start-ups. In the early stages of growth, individual customer experiences can make the difference between further expansion and failure. One negative review can lead to a snowball effect that can ruin even the best-planned online campaigns.

At the same time, companies that fail to meet their customers’ expectations risk negativity spreading through word of mouth. An oft-cited study from Zendesk found that 95% of service users were likely to talk about negative encounters with businesses, whereas only 85% were willing to share anecdotes about positive experiences. Even so, 85% still covers a high proportion of the population, and more recent research from Ipsos Loyalty suggests service users are equally likely to share positive and negative encounters.

Ensuring that users’ expectations are met and exceeded is crucial for any start-up, whether or not it conducts its operations in the digital or physical world. With this in mind, the proptech industry should be going for gold when it comes to the customer experience. Brands cannot afford to forget this.

The road to expansion

Proptech offers a selection of amazing advantages over traditional real estate channels, many of which people are still discovering. But as with many things in life, our first impressions have a huge influence over whether we decide to adopt or forego new services.

What’s more, 90% of UAE residents say customer experience is as important to them as the products and services they are investing in. The research, conducted by Salesforce, also found that most people living in the Emirates are more likely to use a business multiple times if their initial experience is positive.

Clearly, there is a direct link between consumer satisfaction and commercial success. The more people utilise proptech platforms and enjoy doing so, the more likely businesses are to expand and succeed. So, if your sector wishes to continue on its upward trajectory, it is vital we continue to focus on driving positive engagement.

A question of credibility

Proptech is a fantastic segment with the potential to change how occupants, homeowners and investors interact with the real estate community. However, this change will not take place if certain assumptions go unchallenged.

In my experience, digital-only platforms are often perceived to have inferior customer service to their brick-and-mortar counterparts. Proptech brands must therefore go the extra mile to demonstrate that despite their digitised nature, they are nevertheless able to exceed traditional real estate outfits when it comes to user experiences. Success in this regard will enable our sector to strengthen its credibility and, in so doing, improve adoption and accelerate market maturity.

As the founder of PRYPCO, I understand the challenges that come with establishing a start-up and growing its client base. In the early days of any venture, it is all too easy to focus on your offering rather than your customers. This is why Proptech firms must remember that a positive sentiment among existing and prospective users is a prerequisite for future growth.

If we fail to pay attention to customers’ requirements and expectations, the myriad advantages offered by proptech risk getting lost in the noise.