Totaling a record-breaking $809 billion in 2021, commercial property sales have been skyrocketing in the past years. And, as the industry continues to boom, there has never been a better time to launch a commercial real estate business.
But while the sector undoubtedly provides appealing profit opportunities, it also presents some significant challenges, including emerging – and potentially disrupting – trends and high levels of competition.
So, how can you help your commercial real estate business stand out from the competition and achieve your growth goals?
Start with the strategies below!
Build a Solid Network of Professionals
For how your experience in the sector might be substantial, growing a commercial real estate business isn’t a one-person job. Without a network of architects, engineers, surveyors, investment specialists, and marketers you can rely on for core and non-core aspects of your business, it can be hard to provide your clients with well-rounded services.
If you are building your network from scratch, great ways to expand your connections include participating in seminars, taking part in industry events, and connecting with professionals through platforms such as LinkedIn.
Pro tip – Actively look out for a mentor who can pass on insights and give you access to their own set of valuable industry connections.
Find Your Niche
Commercial real estate transactions have surged in 2021, and they have hit record levels in the past months. But not all niches present the same growth opportunities, making it a priority for new businesses in the industry to choose their specialty wisely.
Some of the booming niches in commercial real estate worth considering specializing in include:
- Retail spaces
- Coworking spaces
- Parking structures
- Self-storage and cold storage
- Multifamily buildings
- Industrial structures
- Medical facilities
- Life science buildings
Study the Industry and Monitor Indicators
The commercial real estate sector is a fast-changing one, and it is important for all businesses in the sector to stay nimble and ready to adapt to sudden market changes. And, to do so, you’ll need data, real-time information, and market insights.
Some of the critical types of data you need to track to grow your commercial real estate business include target market data, rent and price adjustments, geographical data, and performance indicators.
Invest in Technology That Helps You Make Better Decisions
Given all the metrics you need to track and the effort required to build your network, growing commercial real estate might seem an overwhelming task.
However, today, you can count on several types of commercial real estate technology that can help you automate multiple aspects of your day-to-day operations. These aspects include lead management, customer relationship management, accounting, underwriting, property management, and gaining market intelligence.
Use Digital Marketing Channels to Your Advantage
Just like in the case of any other business, you need marketing to grow your commercial real estate enterprise. However, if you are just getting started, you might find that your marketing resources are limited.
Luckily, thanks to the advent of digital marketing, there are multiple options business owners on a tight budget can explore. Start by building an online presence, keeping your business website up to date, and using social media platforms to generate engagement.
Be a Step Ahead of the Competition
With over 2,398,922 commercial realtors actively operating in the US, the commercial real estate market is quickly becoming overcrowded. So, how can you get through the fierce competition?
A great way is to launch complementary services and initiatives to benefit potential and returning clients. For example, you could introduce credit repair courses to help buyers qualify, deliver closing gifts to make referrals more likely, and offer additional property management services.
Provide Added Value to Your Leads
Commercial real estate represents a significant investment for most buyers, and the chances are that your prospective clients look for a professional figure who can offer them guidance and support alongside great deals.
To win over your audience’s trust and build your business’s reputation, consider creating online courses, digital products, eBooks, guides, and webinars. These might seem like an investment of time and effort at first, but they will pay back in client loyalty, referrals, and increased sales!
Interesting Related Article: “3 Benefits And 3 Risks Of Commercial Real Estate“