European PropTech Association – PropTech House issued its yearly eBook on European PropTech in December
In December 2020 the European PropTech Association – PropTech House issued the 2nd edition of its yearly European PropTech eBook.
PropTech Bulgaria presents Bulgaria alongside 10 other European national PropTech associations in the eBook. PropTech Bulgaria is a member of the European PropTech Association from its very launch in 2018.
Let us focus your attention on some of the key findings:
The majority of European PropTechs decide on which market to enter based on 3 majour reasons: firstly, 23.3 % point out the size of the market; secondly, 20 % of PropTechs expand following their customer; and third,13.3 % cite market maturity and openness to tech innovation.
When talking about obstacles for successful market expansion, European PropTechs underline 2 majour bottlenecks. One being the different country legislation (66.95 %), and the second one being the issue of scaling the processes (46.95 %).
When we look at the development stage of all European PropTechs, it is evident that the most saturated life cycle stages are ‘Manage & Operate’ and ‘Market & Transact’. We also see that the PropTech companies there are the most mature in terms of their development stage.
The authors of the eBook observe, ‘Last year, we were estimating that the consolidation of the Proptech space – the moment where the construction & real estate sector are completely digitized, or modernized, and when there is not much space left for new solutions – would happen in the next 5 years, but this could now happen in the next 2 years, due to the COVID-19 effect. We set a growing number of M&A’s, and we are getting closer to this consolidation.’
Eleven national associations are presented in the 2020 eBook by their founders, namely, Germany, Belgium, Bulgaria, Poland, Slovakia, Czechia, Romania, the Netherlands, France, Finland, Denmark.
Bulgaria is presented by PropTech Bulgaria and our founder Sylvia Pavlova MBA.
A QUICK SNAPSHOT ON THE BULGARIAN EXPOSE
There is no formal research in the CEE countries on how countries perform in PropTech. Only Bulgaria is an exception. PropTech Bulgaria annually publishes BULGARIA: PropTech Mapping Reports. See the 2nd edition issued in 2020 here. See also the Report on the impact of Covid-19 on PropTech in Bulgaria released by PropTech Bulgaria in 04/2020 here. Based on data provided by national associations, up to now the number of PropTech solutions in each of four EE countries is as follows:
Bulgaria – 106
Romania – 100
Slovakia – 112
Czechia – 50
The most recent report of McKinsey & Co. ‘Digital Challengers in the next normal: Central and Eastern Europe on a path to a digitally-led growth’ features the 47 highest performing CEE tech companies and classifies them in 3 groups: unicorns, rising stars, and large exits. There are only 3 PropTech companies listed among these high performers, and these are: Qualia (Croatia), OfficeRnD (Bulgaria), and Sinergise (Slovenia). All three are classified as ‘rising stars’. There are neither PropTech unicorns, nor large exits in the sector in the CEE region.
To read more in the eBook, download it below >