The 1001 Startup Ideas – Virtual 3D environment for Real Estate from YoStartups is to to create an impressive 3D environment to help real estate professionals and renters/buyers explore spaces online, and in real-time. This will solve one of the biggest hurdles in the closing of the deals, i.e. visiting the premise, hence making the complete process more efficient and faster.
Market Definition for 1001 Startup Ideas – Virtual 3D environment for Real Estate
Virtual Reality is already emerging as the next big thing and taking the user experience to the next level. We have started seeing its use in several industries, including gaming, healthcare, entertainment, education, tourism, etc and real estate is not lagging behind as well. Based on a report on TechCrunch, the AR/VR market is projected to reach $108 billion by 2021, with Virtual Reality contributing 25% and rest coming from Augmented Reality. 2-3 % of the total VR/VR market is expected to come from its usage in Real Estate.
Competitor Analysis for 1001 Startup Ideas – Virtual 3D environment for Real Estate
With the advancements in AR and VR technologies, there are a few startups which have made their name in the segment. Floored, an NYC-based startup creates an impressive 3D environment for real estate professionals to explore the space online in the comfort of their office or homes and feel as if they are on the premise. The technology also helps designers to get more realistic feedback and feel of their designs and hence can run extensive design experiments.
The Third Studio from France is another startup specialized in augmented reality visits for indoor and outdoor architectures.
Pain Point & Target Audience for 1001 Startup Ideas – Virtual 3D environment for Real Estate
The target audience for the startup is real estate professionals and renters/buyers who currently have to visit the different properties before closing a deal. It will also attract buyers looking to buy property outside their country of residence.
Currently, one the main steps before closing a deal is simply visiting the premises of interest and finalizing the one. It usually takes longer time due to availability issues of the concerned parties. It also becomes very difficult for all the decision makers to be available from the buyer side, as a result just stalling the process.
The technology will eliminate the most time taking process by creating a real life model of the property using 3D modeling and virtual reality.
Value Proposition for 1001 Startup Ideas – Virtual 3D environment for Real Estate
The proposed startup will enable Real Estate professionals to give a real-time virtual tour of the projects to their prospective buyers/renters. This will eliminate the whole delay of arranging the site visits and juggling around with everyone’s schedule. This tool will also enable project managers and architects/designers to take more detailed feedback from their clients by walking them virtually through the project environment. It will also enable them to incorporate the changes in real time, reducing the turn around time.
Business Model for 1001 Startup Ideas – Virtual 3D environment for Real Estate
The startup will work on B2B SaaS model with Real Estate Construction and Asset Management companies. The startup will have to use the combination of Building Information Modeling (BIM), 3D Modeling and Virtual Reality to make the interactive application which can be easily used and updated by the professionals.
The startup will sell the license to use the application to the companies for a certain subscription fee which could be charged annually. The startup can come up with different subscription plans depending on the level of customization available, and the number of permitted users for collaboration.
Way to market for 1001 Startup Ideas – Virtual 3D environment for Real Estate
Firstly, the startup would need to develop a sleek platform which is easy to use and has the functionality to create a close to real life environment with the minute design details. Then it needs to collaborate with some of the leading design and architecture firms and convert some of their upcoming projects into virtual 3D models through the application. This will help the startup to test the usability of the application and improve upon based on the feedback from designers and the clients.
Once the application is refined and validated, the startup should start approaching real estate developers and asset management companies and pitch about their product and its benefits.
Milestones for 1001 Startup Ideas – Virtual 3D environment for Real Estate
The first milestone would be to develop and validate the application. The startup should target to collaborate with atleast 2-3 leading design architecture firms to validate and refine the application. The startup should get the application ready to launch in the market in 12 months. Then the startup must target to acquire 5-6 small and medium scale Real Estate development companies and atleast one large development and asset management company over next 12 months.
Investment Needed For Prototype of 1001 Startup Ideas – Virtual 3D environment for Real Estate
For developing and testing the prototype, pitch for raising 200k USD from angel or seed investors. The startup can also look to approach AR/VR specific accelerators and funds, namely Boost VC, Samsung Next program, Presence Capital, etc.
Team Capability for 1001 Startup Ideas – Virtual 3D environment for Real Estate
The team must include an experienced full-stack developer having a passion for user experience and meticulous attention to details for defining and leading the ambitious roadmap for product development. You would also need to have a team member with Real Estate brokerage or Asset Management background to lead the business development and sales.
Investors / Expert Take for 1001 Startup Ideas – Virtual 3D environment for Real Estate
Based on their study, Digi-Capital mentioned that VCs and corporate investors poured $2.3 billion into AR/VR startups in 2016 which is over 3 times the $700+ million invested in 2015. 300% growth in investment is impressive for any sector, and that too for an early stage market.
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This 1001 startup idea article is from Yostartups, YoStartups is a Pre Accelerator and it empowers entrepreneurs to propel their business ideas into successful ventures. Yostartups’ core mission is to take the message of entrepreneurship to 1 billion people globally by 2020.
In case you are looking at scaling or launching a venture on similar lines, you can apply for our virtual acceleration program Excelrate on our website, Yostartups.com, Yostartups’ Excelrate program will help you in streamlining and structuring your startup idea. We have limited scholarships and discount packs for deserving startups, depending on the strength of your application, you may qualify for a discount.