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We present to you

blackprint PropTech Yearbook

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The most compelling and exhaustive overview of the German-speaking PropTech scene.

The numbers

9

Categories

100

paper copies send out to real estate decision makers

368

PropTech companies included

Categories of PropTech companies

Not all about selling, letting and managing.

AI/Analyze

These Business models pick up the change of user behaviour and offer different kinds of areas (spaces) in a more flexible manner than established companies do.

Appraise

Businesses, which valuate Real Estate through already existing or self-acquired data digitally.

Finance

These companies digitalize the process financing of Real Estate.

IoT/Measure and Control

Companies, which control buildings and make them more efficient through self-developed or third-party data.

Plan & Build

Companies, which control buildings and make them more efficient through self-developed or third-party data.

Space-as-a-Service/Use

These Business models pick up the change of user behavior and offer different kinds of areas in a more flexible manner than established companies do.

Selling & Letting

Companies, which control buildings and make them more efficient through self-developed or third-party data.

Manage

These companies support the management of Real Estate. However, they do not only carry out the key functions of this sector but also broader tasks concerning this field.

Visualize

These companies offer visualization through 3D-/VR-/AR- technologies as a substitute or a support of physical home viewing.

At the distribution of fields, it becomes obvious that the by far biggest share of PropTechs arised in the fields “selling and letting” and “managing”. The legislator’s decision in 2014 to introduce the “Bestellerprinzip” for accommodation pushed this area in the Tech-companies focus. Add to that, that these fields of the Real Estate economy are easily accessible even for founders which do not originate from this industry because most of the relevant processes are open to a large extent. Furthermore, great efficiency gains can be realized in these sectors through software or web applications (so called Space-as-a-Service models). The initial entry barrier is therefore lower than in the other sectors, which are significantly more complex concerning technology, capital and knowledge. So, it is no surprise that the greatest number of PropTechs emerged in the categories “selling and letting” and “managing”.
However, this distribution also indicates that there is still potential in the other sectors. Significantly less innovative business models emerged on the market from these sectors. Since the fields “selling and letting” and “managing” are established for the most part, it can be expected that more complex fields will follow next.
From our viewpoint, the peak of the PropTech development is in no way over. Quite the opposite: We experienced a first wave of business models, which established themselves quicker on an easier-to-penetrate market. Because of more complex technologies, higher capital requirements and profound knowledge for complex industry processes, the following waves will potentially arrive with a longer warm-up time.

Geographic distribution of PropTech companies (Top 7 cities)

Berlin is not the only hotspot anymore.

1
Berlin

92 companies – importance relatively increasing

2
München

29 companies – importance relatively decreasing

3
Wien

26 companies – importance relatively decreasing

4
Hamburg

20 companies – importance relatively decreasing

5
Zürich

18 companies – importance relatively decreasing

6
Frankfurt

12 companies – importance relatively increasing

7
Köln

9 companies, importance relatively increasing

Even tough Berlin is most commonly pushed in the focus of the German-speaking founder-scene, a rising activity concerning the PropTech-scene in further cities can be observed. Regarding the absolute amount and the share of PropTech companies, the German capitol city is leading by far. However, all in all it is obvious that the PropTechs are evenly spread out over the German speaking major cities. One exception being the newly founded companies: In this sector the strong tendency towards Berlin as location of choice is clearly noticeable.

Financing rounds greater than one million Euro

To form a definite statement about the effectiveness and the development of the PropTech companies, it only makes sense to look at the amount of financing rounds of a volume of over one million Euro a year. Up until 2016, seven-digit financing rounds only occurred occasionally. Between 2016 and 2017 their number increased to over 20, meaning over 320 percent. The average financing is situated at 4,1 Million Euro. Further information about this is only partially available for the public and is based on the company’s data and their own surveys. We trace this development back to the following factors: The Real Estate economy is more and more willing to invest in digital Business models. Next to that are Venture Capital companies and family offices pushing the digital Real Estate industry more and more in the center of focus.

Financing rounds sorted by stage of company

Specifically, the amount of late phase financing increased in the time span between 2013 and 2017. Early phase financing increased particularly in the years before 2015 and then only went up again in 2017. Two conclusions can be drawn from these observations: On the one hand, that the Prop-Tech industry is getting more „grown-up“. Companies which were founded a long time ago are now able to close greater financing rounds. On the other hand, there is an increasing amount of capital available, which specifically pours towards the PropTech sector. The growing trend is clear: The amount of successful financing rounds increased steadily and reached its absolute maximum in 2017 with 21 rounds.

Seed

2014

10%

2015

40%

2016

0%

2017

20%

Series A

2014

10%

2015

20%

2016

30%

2017

100%

Series B

2014

0%

2015

10%

2016

20%

2017

40%

Series C

2017

20%

Series D

2017

20%

Curious about the companies behind our statistics? Get to know them all in our Proptech Yearbook!