«The real estate industry still has the best years of digitization ahead of it»
As Chief Digital Officer at Steiner AG, Giuseppe Giglio drives digital transformation forward. In an interview with Immo!invest, he explains why older people in particular benefit from smart home applications and why technologies such as virtual reality will prevail in the coming years.
About the person
As Chief Digital Officer at Steiner AG, Giuseppe Giglio is responsible for digital transformation and the development of new digital products. Previously, he was responsible for the digitization of sales channels and the development of support platforms for private customers at Swisscom.
Mr. Giglio, what is your job at Steiner AG?
Together with my team of around 25 people, I am responsible for digital corporate development. Our goal: to keep the company technologically fit and to successfully establish it in new digital markets. A year ago, Steiner AG bundled the competencies for the digital area and gave me responsibility.
You previously worked outside of the real estate industry. From your point of view, where is digitization in the real estate sector compared to other sectors?
Other industries were able to benefit from the advantages of digitization earlier. Real estate is still at the beginning of this journey. However, in the many discussions I have had with various companies in our industry, I sense a great willingness to change. There is a kind of spirit of optimism. The real estate sector still has the best years of digitization ahead of it. It was also this circumstance that made me personally decide to switch.
Was this spirit of optimism stimulated by the corona pandemic?
The pandemic has certainly put some pressure on pushing digital issues. But I believe that the real estate industry would be at this point even without Corona. Companies don’t want to be left behind and remain competitive.
Where is Steiner AG ahead in terms of digitization?
Not least because of its modern IT infrastructure, the company was able to adapt very quickly to the new market conditions of the last two years. For example, we were able to immediately send the staff from the offices to the home office without any problems and ensure operations at all times. We came out of the pandemic more successful and stronger. Steiner AG also consistently relied on BIM for its own developments very early on. Today we can draw on more than ten years of experience in this technology and know all the tricks and pitfalls.
Which digitization topics are currently particularly in demand?
The energy and climate targets for 2030 challenge the industry along the entire value chain. In this respect, there is a great deal of demand for topics relating to transparency with regard to environmental indicators. In addition, online collaboration platforms – which are already standard in other sectors – are gradually gaining a foothold in the real estate industry.
To what extent has BIM already established itself today?
We find that BIM or parts of BIM are very often used in larger projects. We have also registered high demand for renovations and existing buildings in recent months. We have some catching up to do when it comes to smaller projects or explicitly in the area of building operations. Digitization is always associated with process changes and investments – many companies are still cautious here. We need to show decision makers the benefits of BIM and provide evidence.
What are the advantages of BIM?
BIM creates the basis for real networking of real estate projects. If applied consistently and consistently, planning errors can be avoided in an early phase – and it is possible to react faster and therefore more cheaply to new general conditions. Digital planning also enables efficient operation. The benefits for building operations are exponentially greater.
« Artificial intelligence is already indispensable today »
Can you give an example of Smart Home?
The best-known examples are the intelligent control of building technology such as lighting, heating and security solutions, such as door locks or alarm systems. Such solutions are now widespread.
What are the advantages of Smart Home?
One speaks today of “Ambient Assisted Living”. Smart technology in the living area, for example, allows older people to stay longer in their own apartment or house and lead a self-determined life, even if they have health restrictions. For example, with the help of sensors that register when someone falls over and immediately trigger an alarm. There is also the option of controlling lights/blinds, etc. barrier-free via speech and not via complicated control elements. Last but not least, this topic also harbors a lot of potential on the investor side.
Which one exactly?
A smart home can measure and control the consumption of household technology such as heating or cooling, which leads to a reduction in electricity consumption. This results in lower operating costs.
How and where are future technologies such as Augmented Reality (AR), Virtual Reality (VR), Artificial Intelligence (AI) already being used today?
AR and VR are currently still niche topics that are often used as marketing tools. They are excellent for visualizing visions and are breeding ground for inspiration.
AI, on the other hand, is already a reality more often than you think: For example, when determining costs or detecting anomalies in building operation. Since these processes are usually carried out in the background, the user often does not notice that artificial intelligence or an algorithm is involved. If you plan and build digitally today, artificial intelligence has become indispensable.
What is necessary for AR and VR to also become suitable for everyday use?
We have to tackle projects with a «digital first mindset». The earlier a project is tackled digitally, the more profitable it becomes overall. We need more practical examples that show that projects with this way of thinking become more successful. VR in particular is helpful in an early phase to improve cooperation and to quickly make critical decisions. I am convinced that AR and VR will prevail in the real estate sector in the next five years.
Which digitization solutions are most in demand from partners and subcontractors of Steiner AG?
Many companies are still at the beginning of their digitization journey. That is why training courses, BIM management and real estate inventories for the digital inventory of the real estate portfolio are currently in particularly high demand.
In your opinion, how will digitization change the industry in the next five years?
I believe that digitization is bringing us all closer together. Clients, the public and companies work and exchange information on the same platform and actively shape the project. This leads to a democratization of real estate projects, which in turn leads to more successful and sustainable results.