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SELF DISRUPTION
HOW THE REAL ESTATE INDUSTRY CAN
PROTECT ITSELF FROM THREATS
Hello!
My name is Daniel.
CEO/CTO of FLOWFACT.
FLOWFACT is a Real Estate
Marketing Automation platform.
Our mission is to improve the real
estate experience.
We are 30+ years in the real estate
industry.
We because the fate of FLOWFACT
and the fate of brokers are intimately
entwined.
60%
of CRM Listings on IS24 are from
FLOWFACT customers
There are a lot of things going on that
threaten to disrupt our industry.
Regulatory.
Demographic.
Technological.
Threat #1 Regulatory
We're an easy target. Much of the value
we provide to the transaction is hidden
from the consumer.
Threat #2 Demographic
Germany is getting older and in the
midst of an intergenerational wealth
transfer. What happens at the climax?
Threat #3 Technological
Every year, new proptechs and
technology come on the market that
reduces the need for the classic broker.
Ouch.
25%
of German brokers will exit the market
over the next 5 years
More and more participants use these
driving forces to realign the market.
Have you heard about hybrid brokers?
Both PropTechs and Incumbents are
pushing closer to the transaction,
closer to the customer
Disruption is inevitable because
technology and progress are inevitable
Disruption is inevitable because
demographic shifts are inevitable
Disruption is inevitable because
politics are inevitable
The question is who survives and who
gains from disruption?
The bad news is we are particularly ill
suited to defend against this because of
how fragmented we are...
...but there's some good news also...
It turns out, there are other industries
that have gone through this before.
Hello!
My name is Daniel.
I come from FinTech.
Community Financial Institutions
also faced a potential existential
realignment because of...
Regulatory.
Demographic.
Technological.
Financial crisis.
Populist backlash
Politicians eager to capitalize.
Community banks were caught in the
regulatory crossfire, compressing their
margins and disrupting their business
Payment disruptors and online lenders
were further putting margin pressure
by disintermediating the consumer
relationship
And finally, the demographic time
bomb.
How did they respond to these threats?
What blueprints can we intuit?
Blunted the populist drive for punitive
regulation by massively increasing
the perceptible value to the
customer/consumer.
Value added services such as
Personal Finance Management and
offered advisory and consulting.
Blueprint #1 Invest in Service
Unprofitable activities such a lettings
marketing suddenly seem strategic with
respect to your customer relationship
Digitalize their infrastructure with
analytics to know their customer.
Used automation to respond instantly
to requests when they could.
When they couldn't, they used their
platforms to optimize their time and
resources.
Blueprint #2 Invest in removing
Friction
Digitalization isn't about cost savings,
it's about making it easy for the
customer to continue to have a
relationship with you
They turned themselves into platforms
by teaming up and forming networks
so they could drive additional
customer value.
They used that network to deploy
technology that turned their pull
processes into push processes.
Blueprint #3 Invest in Nurturing
Share data and contacts so you can
always provide value to the consumer
even if you can't directly monetize the
interaction.
Finally, to address their shifting
demographics, they reinvented their
customer journey and digitalized
and automated their branches so they
could bridge the online and offline
world.
Blueprint #4 Optimize for the
customers of tomorrow
If you delay investment until the
customers of tomorrow become the
customers of today, you're already
behind the curve
So this is what we need to do...
Hello!
My name is Daniel.
I want to make the Real Estate
experience better.
Next Step #1 Define your Flywheel
Map out and participate fully in our
customer's journey so we maintain a
relationship with the customer. Make
sure investment spins the wheel faster.
FLOWFACT is a Real Estate
Marketing Automation platform...
...that can model any asset class and
customer journey.
Next Step #2 Platforms
We need to use technology to build a
platform with the aim of maximizing
customer value
Customers use FLOWFACT to power a
500+ VR Bank MLS platform to share
listings and contacts so they can offer
value across the flywheel
FLOWFACT is working with a few
customers to pilot a completely digital
rental experience to offer value to
owners and provide a digital acquisition
funnel.
Next Step #3 Push
We need to use technology to reduce
our reliance on those who would
disintermediate us
Use a digital architecture to
match-make and do personalized push
marketing to reduce their reliance on
portals
If you have the prospect database, think
of how the ability to match make and
send 50K exposes instantly changes
the way your business operates.
Next Step #4 Be Open
Leverage our networks to add leverage
into our value creation chain
FLOWFACT is piloting providing a digital
distribution channel for developers to
provide unlimited properties for
brokers
FLOWFACT is working with 21st to
syndicate deals to financial buyers to
allow brokers to sell qualified
properties instantly
FLOWFACT is working with
Sprengnetter to weave unlimited
automatic valuations into an
automated customer journey
FLOWFACT is enabling innovative
companies like FeelEstate to provide
free 360 tours to all brokers
What do the numbers look like?
AUTOMATION OF THE FLYWHEEL IS
REWARDED BY THE MARKET
Increase in Qualified Leads
The Annuitas Group
451%
Reduction in Sales Cycle
The Aberdeen Group
49%
Average ROI
VentureBeat
224%
AUTOMATION OF THE FLYWHEEL IS
REWARDED BY CUSTOMERS
of buyers and sellers say
personalization affects purchase
CMO.com
90%
Boost in engagement
DemandGen Report
500%
of Best-in-Class firms saw
boosted revenue
Position2
80%
STRENGTH IN GOOD TIMES AND
RESILIENCE IN BAD TIMES
more profitable than peers
Capgemini
26%
Boost in conversion rates
eMarketer
50%
lower cost per lead
Forrester Research
33%
Cycle time through Customer Journey
50
250
Days
from first touch with Owner to property transaction
Highly Digital BrokersClassical Brokers
200 Day Reduction
in Flywheel Cycle
Time
BasedonFLOWFACTanalyticsdataof1000
propertytransactions
FLOWFACT is a Real Estate
Marketing Automation platform.
Our mission is to improve the real
estate experience.
This topic is so important to us, we
architected our system to work with
all CRMs that support open immo, not
just FLOWFACT CRMs.
So here's your take away...
If you want to leverage real estate
marketing automation to improve
your customer experience...
If you want to disrupt yourself and
reinvent your customer journey...
If you want to activate your flywheel
and turn yourself into a platform...
Come talk to us!

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DMRE Vortrag Selfdisruption Daniel Kim, FLOWFACT

  • 1. SELF DISRUPTION HOW THE REAL ESTATE INDUSTRY CAN PROTECT ITSELF FROM THREATS
  • 2. Hello! My name is Daniel. CEO/CTO of FLOWFACT.
  • 3. FLOWFACT is a Real Estate Marketing Automation platform. Our mission is to improve the real estate experience.
  • 4. We are 30+ years in the real estate industry.
  • 5. We because the fate of FLOWFACT and the fate of brokers are intimately entwined.
  • 6. 60% of CRM Listings on IS24 are from FLOWFACT customers
  • 7. There are a lot of things going on that threaten to disrupt our industry.
  • 9. Threat #1 Regulatory We're an easy target. Much of the value we provide to the transaction is hidden from the consumer.
  • 10. Threat #2 Demographic Germany is getting older and in the midst of an intergenerational wealth transfer. What happens at the climax?
  • 11. Threat #3 Technological Every year, new proptechs and technology come on the market that reduces the need for the classic broker.
  • 12. Ouch.
  • 13. 25% of German brokers will exit the market over the next 5 years
  • 14. More and more participants use these driving forces to realign the market.
  • 15. Have you heard about hybrid brokers?
  • 16. Both PropTechs and Incumbents are pushing closer to the transaction, closer to the customer
  • 17.
  • 18. Disruption is inevitable because technology and progress are inevitable
  • 19. Disruption is inevitable because demographic shifts are inevitable
  • 20. Disruption is inevitable because politics are inevitable
  • 21. The question is who survives and who gains from disruption?
  • 22. The bad news is we are particularly ill suited to defend against this because of how fragmented we are...
  • 23. ...but there's some good news also...
  • 24. It turns out, there are other industries that have gone through this before.
  • 25. Hello! My name is Daniel. I come from FinTech.
  • 26. Community Financial Institutions also faced a potential existential realignment because of...
  • 29. Community banks were caught in the regulatory crossfire, compressing their margins and disrupting their business
  • 30. Payment disruptors and online lenders were further putting margin pressure by disintermediating the consumer relationship
  • 31. And finally, the demographic time bomb.
  • 32. How did they respond to these threats? What blueprints can we intuit?
  • 33. Blunted the populist drive for punitive regulation by massively increasing the perceptible value to the customer/consumer.
  • 34. Value added services such as Personal Finance Management and offered advisory and consulting.
  • 35. Blueprint #1 Invest in Service Unprofitable activities such a lettings marketing suddenly seem strategic with respect to your customer relationship
  • 36. Digitalize their infrastructure with analytics to know their customer.
  • 37. Used automation to respond instantly to requests when they could.
  • 38. When they couldn't, they used their platforms to optimize their time and resources.
  • 39. Blueprint #2 Invest in removing Friction Digitalization isn't about cost savings, it's about making it easy for the customer to continue to have a relationship with you
  • 40. They turned themselves into platforms by teaming up and forming networks so they could drive additional customer value.
  • 41. They used that network to deploy technology that turned their pull processes into push processes.
  • 42. Blueprint #3 Invest in Nurturing Share data and contacts so you can always provide value to the consumer even if you can't directly monetize the interaction.
  • 43. Finally, to address their shifting demographics, they reinvented their customer journey and digitalized and automated their branches so they could bridge the online and offline world.
  • 44. Blueprint #4 Optimize for the customers of tomorrow If you delay investment until the customers of tomorrow become the customers of today, you're already behind the curve
  • 45. So this is what we need to do...
  • 46. Hello! My name is Daniel. I want to make the Real Estate experience better.
  • 47. Next Step #1 Define your Flywheel Map out and participate fully in our customer's journey so we maintain a relationship with the customer. Make sure investment spins the wheel faster.
  • 48. FLOWFACT is a Real Estate Marketing Automation platform... ...that can model any asset class and customer journey.
  • 49. Next Step #2 Platforms We need to use technology to build a platform with the aim of maximizing customer value
  • 50. Customers use FLOWFACT to power a 500+ VR Bank MLS platform to share listings and contacts so they can offer value across the flywheel
  • 51. FLOWFACT is working with a few customers to pilot a completely digital rental experience to offer value to owners and provide a digital acquisition funnel.
  • 52. Next Step #3 Push We need to use technology to reduce our reliance on those who would disintermediate us
  • 53. Use a digital architecture to match-make and do personalized push marketing to reduce their reliance on portals
  • 54. If you have the prospect database, think of how the ability to match make and send 50K exposes instantly changes the way your business operates.
  • 55. Next Step #4 Be Open Leverage our networks to add leverage into our value creation chain
  • 56. FLOWFACT is piloting providing a digital distribution channel for developers to provide unlimited properties for brokers
  • 57. FLOWFACT is working with 21st to syndicate deals to financial buyers to allow brokers to sell qualified properties instantly
  • 58. FLOWFACT is working with Sprengnetter to weave unlimited automatic valuations into an automated customer journey
  • 59. FLOWFACT is enabling innovative companies like FeelEstate to provide free 360 tours to all brokers
  • 60. What do the numbers look like?
  • 61. AUTOMATION OF THE FLYWHEEL IS REWARDED BY THE MARKET Increase in Qualified Leads The Annuitas Group 451% Reduction in Sales Cycle The Aberdeen Group 49% Average ROI VentureBeat 224%
  • 62. AUTOMATION OF THE FLYWHEEL IS REWARDED BY CUSTOMERS of buyers and sellers say personalization affects purchase CMO.com 90% Boost in engagement DemandGen Report 500% of Best-in-Class firms saw boosted revenue Position2 80%
  • 63. STRENGTH IN GOOD TIMES AND RESILIENCE IN BAD TIMES more profitable than peers Capgemini 26% Boost in conversion rates eMarketer 50% lower cost per lead Forrester Research 33%
  • 64. Cycle time through Customer Journey 50 250 Days from first touch with Owner to property transaction Highly Digital BrokersClassical Brokers 200 Day Reduction in Flywheel Cycle Time BasedonFLOWFACTanalyticsdataof1000 propertytransactions
  • 65. FLOWFACT is a Real Estate Marketing Automation platform. Our mission is to improve the real estate experience.
  • 66. This topic is so important to us, we architected our system to work with all CRMs that support open immo, not just FLOWFACT CRMs.
  • 67. So here's your take away...
  • 68. If you want to leverage real estate marketing automation to improve your customer experience...
  • 69. If you want to disrupt yourself and reinvent your customer journey...
  • 70. If you want to activate your flywheel and turn yourself into a platform...