Government support, relative affordability and easy accessibility to financing are among some factors that are driving the boom of PropTech in Asia.
The Asian tech scene is one that is booming like mushrooms springing up after rainfall. While the rise of Fintech initially set the ball rolling for Asian cities, the prominence of PropTech has rapidly come to light in recent times. PropTech, short for Property Technology is a segment of the tech scene that possesses the ability to stand on its own or combine two or more fields of technology under its umbrella. As it stands today, PropTech 3.0 is at peak stage, very possibly moving on to its next phase in the near future.
The Asian region is home to an array of emerging markets making it a playground for start-ups in all fields alike. So what does the dawn of 2019 hold in store for the PropTech industry?
Over the past year or so, multiple capital cities around Asia have been centre stage for PropTech conferences and conventions throughout the region. There appears to be an obvious paradigm shift as prior to this, we witnessed events such as MIPIM in France and Future PropTech UK carried out with a keen focus on the European and North American markets.
While highly disruptive to the real estate conference scene, these go-to names provided a more “elite” platform in the PropTech sphere and appeared to be out of reach for most Asian start-ups, regardless of field. This is no longer the case as we observe an extensive list of PropTech-focused events popping up in the Asian arena. In just a short time, the industry has seen Property Portal Watch Bangkok, Propteq Asia, RISE Asia and Malaysian-grown PropTech conference in November 2018. The accessibility of these events has allowed smaller players in the PropTech industry to strut their stuff and compete with global corporate entities in real estate.
Unicorns have become Asia’s favourite not-so-mythical-creature! With unicorns like Grab, Go-Jek, Sea and Razer, regions like Southeast Asia are headlining internationally and subsequently drawing a significant amount of attention from stakeholders and potential industry players alike. To many, there is a perception that there are better chances for FinTech or e-commerce based business to catapult in the unicorn dynamic in comparison to a PropTech business model simply because of user engagement.