Google Inc. and LoopNet released the results of a joint study: Commercial Real Estate Consumer Online Behavior and Trends. The study, which aimed to understand the role the internet plays in commercial real estate, leverages Google’s proprietary online search data and custom research conducted on LoopNet’s behalf by Market Connections, an independent research firm, in 2014 to survey and analyze the behaviors of tenants and investors currently involved in a commercial property search and who have recently been involved in a transaction.
The joint study revealed that nearly 80% of tenants and investors report using online sources to search for commercial property. The study also found that six in 10 searchers begin their property searches on the internet before any other source. These findings correspond to a 60% increase in commercial real estate related online searches reported by Google over the last six years.
“This study confirms what LoopNet’s traffic trends have long indicated,” said LoopNet President Fred Saint. “The internet has quickly become one of the most valuable and widely used tools to connect buyers and sellers of commercial real estate.”
Some key findings from the study:
- 80% of tenants and investors surveyed agree that they rely on the internet for their commercial real estate information needs more now than three years ago.
- Over three quarters (78%) of tenants and investors surveyed use online commercial real estate services or tools at some point in their commercial real estate search.
- Commercial real estate related online searches have grown 60% since 2008.
- Six in 10 respondents search for commercial properties using their mobile devices at least sometimes.
- Over half the survey respondents (55%) reported that they perform their own online searches for commercial property, even when they are working with a broker.
Along with the increase in online sources being used, there appears to be a decrease in other more “traditional” research methods. For example, only 7% of surveyed tenants and investors report beginning their commercial real estate searches by driving in the desired area. These findings are significant for commercial real estate brokers and firms who are marketing their services and available properties. With this study, LoopNet and Google hope to provide valuable insight to help them optimize their advertising efforts and reach more tenants and investors.
The story originally appeared on Globe NewsWire.
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