Real estate services company, Anarock, has announced the launch of a novel AI-driven property technology tool that it says could boost new residential sales by 15 percent. Christened 'Astra’, the AI tool has been in the works since the onset of the pandemic last year. Anarock has put Astra to trial in partnership with Lodha Developers and Piramal Realty since January, hoping to boost residential sales at both companies.
"On average, Astra helps us juice out between 30 and 50 percent more from existing sales leads, and ranks these leads based on their prospects of closure," said Anuj Puri, founder and chairman, Anarock.
What this means is that the AI tool ends up sifting through discarded leads, and brings them back up to the notice of sales personnel who initially did not pay heed to them. "The best leads end up going to the best sales agent and hence it increases the efficiency of the agent by 15 percent too," Puri added.
How does Astra work?
Analysing Anarock’s 2.8 million leads, Astra segregates prospective home-buyers into 74 models before analysing and ranking each buyer in terms of how likely they are to close a purchase. "Enquiries are ranked based on data like the handset used by each customer or what time the enquiry was made and how long the phone call was," said Puri.
What Astra could also do is boost Anarock's share of sales closures made by its partner developers. "Before the pandemic, there were 250,000 new homes sold every year, of which Anarock helped sell 25,000 or 10 percent of the inventory," Puri added, "The AI tool can now work on 25 percent of this total inventory, which means we believe we can use Astra to sell 60,000 units annually."
According to Anarock’s projections, if Astra were to be used by the top-rung developers who build 50 percent of the country's housing inventory, nearly Rs 6,000 crore worth of sales could result from this "juicing" of discarded leads, and enhancement of closures.
'AI works better with large inventories'
Anarock admits that there are a few limitations to using artificial intelligence in boosting home sales. "Developers who can benefit are those who have large inventories. Astra does not work on smaller inventories or boutique projects like the ones at Pali Hill in Bandra that have about 12 units," said Puri, "It definitely works when there are more than 200 apartments in a building — that is when volumes and data turn advantageous."
Despite developing Astra, Anarock says it isn’t looking at a subscription model at present. "We will be rolling out Astra on a success basis," said Puri, "If we are able to deliver successfully and show an incremental sale, we take a percentage of that."
At present, the entire sales inventory of the Lodha Group and Piramal Realty is on the Astra platform. Anarock is also in talks with two other developers — one in Bengaluru and the other in NCR — to get on board.