The Multifamily Rental market is highly competitive and recent trends show that some renters will not even consider a community without a certain level of PropTech being offered. The latest generation of renters are tech savvy and are demanding a more convenient, tech-oriented approach to their living spaces.
Two important factors to consider when planning a PropTech implementation are selecting technologies that are popular and future-proof. Offering popular PropTech helps to increase interest from more prospective renters, aids in increasing resident retention, and helps your property stand out in an increasingly competitive rental market. However, before you can benefit from PropTech, there are a few hurdles that need to be cleared on the way to a successful implementation.
The following is an overview of the phases and time commitment involved with every new PropTech implementation:
- Research and Education: Typically requires a minimum of two to four months to research each PropTech niche, including vendors and how the solutions they offer differ. This can consist of online research, contacting vendors by email or phone, reading through brochures and sales materials, and/or attending trade shows and PropTech conventions.
- Consideration and Pilots: An additional six to nine months are usually devoted to installing and piloting two or more vendor solutions at your assets to gather additional information that will be used to decide between the vendors you are considering. This can include system data and personal usage as well as resident feedback.
- Negotiation and Deployment: After all the data has been reviewed and a vendor has been selected, another two to four months are traditionally devoted to contract negotiation and deployment process at the property.
Selecting the Right Path for You:
Now that you have an idea about what is involved throughout the implementation process, you must select one of three paths to move forward. The following are the three common paths to PropTech Implementation:
Path 1: Unassisted
This can be an ideal path for you if you:
- Have time to educate yourself on all the PropTech offerings currently available,
- Do not have a deadline for your implementation, or
- Can afford to hire a full time individual dedicated to the purpose of researching and implementing PropTech for your organization.
Path 2: Outsource
Outsourcing can be a viable option if you:
- Have the resources to temporarily hire a 3rd party,
- Cannot afford to hire a full-time employee dedicated to the task of PropTech implementation, or
- Have a project with a limited scope, timeline, and budget.
Path 3: Hybrid Approach
This path can be best if you:
- Have project management and negotiation skills but are unsure where to begin and/or need to get started quickly,
- Need the flexibility to change direction during the process without the hassle of having to renegotiate a schedule of work, or
- Need to augment your current team with a PropTech Expert without the expense of hiring someone full time.
There are many paths to PropTech implementation, but you don’t need to travel the road alone. Innovative NOI offers high-quality hybrid services that provide their clients the confidence and flexibility needed to complete a successful PropTech implementation. Get started on the right path today!