Most C-level executives say big data, digital marketing and social media tools as well as the use of new delivery platforms including cloud computing and mobility are strategic priorities. Big Data is considered more of a priority by senior executives than social software for their businesses according to a recent report from McKinsey & Company.
The fact that CEO’s have begun to recognize the importance of social business tools is refreshing to me. However, I agree with the premise that the rapid advancement of big data tools is going to significantly impact how we all do business.
Preparing for Big Data in CRE
Many have written and commented on the advantages and disadvantages of the large brokerage vs. boutique CRE brokerage firm. Big firms will always tout their resources and small firms will continue to stress more personal service. I suppose that debate will rage on. One factor to consider is the onslaught of big data tools emerging in the marketplace. I believe some of these tools are going to become increasingly critical to compete effectively in the CRE services arena.
One of the niches that I focus on in my real estate practice is healthcare. Recently I have been investigating data tools to improve the site selection process for my healthcare clients. There are some outstanding tools available in the marketplace today, but they don’t come inexpensively.
Anytime you are considering a significant investment in technology the cost/benefit reward has to be considered. So my question is, “Are the large firms in a better position to make these key strategic investments in technology going forward as the tools become necessary to compete effectively in the marketplace?” Some will say that technology levels the playing field between the large national firm and boutique. Regardless of your viewpoint, big data is coming to CRE, better get ready.