Collaboration with stakeholders has been identified as the biggest challenge encountered during the transaction process, according to a survey of real estate experts and M&A managers undertaken by Drooms and Statista.
The survey on the role communication plays in transaction processes found 76% of respondents think collaboration is the single biggest challenge, with the number of stakeholders involved in a transaction (67%), the complexity of the transaction itself (63%), a lack of transparency (60%), and slow processes (57%) also identified as issues.
More than half (51%) of survey respondents believe the complexity of transactions has increased significantly in recent years and one reason for these difficulties is the plethora of communication channels used by the various stakeholders.
The survey also found that ineffective communication not only leads to delays in decision-making (76%) and process execution (75%), but also to the loss of information (72%) and misunderstandings (69%).
Alexandre Grellier, CEO and co-founder of Drooms, said: “All stakeholders in a transaction must be able to rely on a ‘single source of truth’, otherwise a profitable deal is doomed to failure from the outset. The problems with deal communication identified in the survey significantly reduce the likelihood of a successful transaction. Communication really is the lifeblood of smooth transactions. Miscommunication or delays in clarity can ripple through processes, creating inefficiencies that quickly add up. This finding underlines the importance of clear, timely, and effective communication in any business deal.
“That’s why we launched Drooms Chat last year to centralise all deal communication on one platform. With our modern AI features, high security standards and mobile access options, we are creating a due diligence platform that significantly increases deal security, speed and the probability of success.”
