Big Data is a recent development in the world of technology but it has a lot of benefits. As a result, it is being used in a variety of manners including within CRE management.
What is Big Data?
Big Data is defined as being a large dataset. The dataset is so large that it cannot be manipulated or extracted from using a standard database software tool. Instead, something much more powerful is needed to gather the data and then store it, manage it, and even analyze it. To put that into perspective for you, IBM has stated that within Big Data, more than 2.5 quintillion bytes of data are generated on a daily basis. To even further define that, approximately 90% of the data that we have in to world now was only created in the past two years. That is a lot of data that is being gathered and used in specific ways.
How Big Data Impacts CRE
In general, businesses in all sectors and markets of the world are doing everything they can to get this data and get control of it. This is a global race for information and because of this, all industries are fighting to not only take part in the race but also develop or use technology that can help them further refine this data into something that they can use. This is no different for CRE. In CRE, there is just as much of a push for businesses to get this information and use it to their advantage.
What Kind of Data is Being Collected for CRE?
For CRE, in order to keep up with the technology, you first need to know what you are looking for. There are all kinds of data that can be beneficial to CRE. Some of the main types of data being collected are buyer and renter data, demographic data, financial data, and geographical data. These types of data are important because they can help CRE companies know and understand not only who their clients are but also where the best and most profitable properties may be. This ultimately can help your company provide better service and a better success rate for your clients who are looking to make a smart investment in a commercial property. Beyond that, you can also learn about up and coming parts of town for your clients so they are able to get in on the ground level of an area at a lower cost. This data is collected all around you but for most businesses, it is hard to do it on your own. Instead, it is important to find companies that are getting this data and purchase it from them. Not only is this another cost saver but in the end, it can really help you boost your business.
Big Data is the next big thing and there are many benefits for your clients and your company. Using it to your advantage is the key to getting the upper hand in the market.