Marketing in Real Estate

 

Marketing in Real estate

Introduction

The real estate industry today has changed so much that each sector needs special skills to make it work efficiently. All over the world, prices are fluctuating. Global agencies agen cies monitor trends in the top influential cities. With many foreign investments in India and NRIs returning, the Indian  property market watch is on the top most of every big agency. Mumbai is the costliest city to live in Asia. To understand real estate marketing one should at least have the minimum knowledge required to step into the complex industry. Out there, plenty of smart operators are looking for suckers. They may not be dishonest but will technically confuse you to pay higher price and an d outsmart you. Therefore, if you know your onions and the deep layers beyond the skins it helps to get the best.

The purchasing power of the new generation of Indians has increased. They are investing in real estate in a big way- in terms of investment and a nd assets. People have acquired refined tastes in housing needs and become professional in dealing with builders. Financial companies and banks have given a boost to real estate marketing as well. To add to this the government has allowed foreign investors also to test the market conditions here have helped. Every area of real estate be be it industrial, retail space, malls, office complexes, residential colonies, hospitals, clinics and other healthcare units have a vast potential for growth.

As more opportunities grow for people to work they also wish to invest in places close by to live in. Builders or developers in various regions are now separately marketing each space. Even home loan companies and banks are independently marketing the properties they are giving loans. This helps them to guide their dedicated clientele and ensure the marketing trends remain closely monitored for future development.

 

They generally have customer relationship executives who are assigned (usually area wise) to assist customers in making decisions. They do have good knowledge, are professionals on the  job and customers do benefit if they are not very familiar with various technicalities. Each company has its own marketing device and portfolio to attract customers.   Various tie ups with groups in India and overseas have taken place this year with increase in FDI. MGF Developments based in New Delhi and Emmar Properties based in Dubai have joined hands in the first quarter of 2006 for investments within the country. Nowadays most of real estate focus is on shopping malls and residential complexes. In some areas down south, the thrust is on IT parks, and corporate offices and resorts. However, on the other side everyone or every other executive does not feel the real estate sector  in India is being well marketed or managed. Yes, there are some gray areas, which need to be covered up. For instance, foreigners who wish to invest or firms who are looking at a t Indian  partners are feeling the crunch of bureaucracy and familial ways of working. This obviously makes it difficult for them to do business. The potential is there but it needs to be tapped wisely. A proper way is to have real estate marketing with the right professionals. Everyone wants to cash on the business.

The Indian construction & real estate industry plays a vital role in overall economic development of the country. The rapid growth in the construction and real estate sector in past few years paved the ways for robust future growth. Construction & Real estate consulting practice p ractice helps Indian and foreign real estate and finance companies, construction equipment manufacturers, building material suppliers/manufacturer of iron rods, steel, and cements for entering into India market, researching the Indian & global Construction & Real estate industry, Marketing in India and Marketing strategy.

 

The Construction & Real Estate Marketing Consulting Services includes – •

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Real Estate Marketing strategy Implementation support for Real Estate Marketing strategy and plan

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International Marketing of Building materials & Construction equipments

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Real Estate Market Research in India and Global Market

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Branding of Real Estate companies

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India Entry Strategy

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Performance Management and Management Training

Strategic marketing solutions helps real estate clients to meet the challenges ch allenges posed by the transformation of Indian construction & real estate industry and safe guards from the ripple effects from the global real estate industry. The real estate sector in India is of great g reat importance. According to the report of the Technical Group on Estimation of Housing Shortage, an estimated shortage of 26.53 million houses during the Eleventh Five Year Plan (2007-12) provides a big investment opportunity. According to a report ‘Emerging trends in Real Rea l Estate in Asia Pacific 2011', released by PricewaterhouseCoopers (PwC) and Urban Land Institute (ULI), India is the most viable investment destination in real estate. The report, which provides an outlook on Asia-Pacific real estate investment and development trends, points out that India, in particular Mumbai and Delhi, are good real estate investment options for 2011. 2 011. Residential properties maintain their growth momentum and hence are viewed as more promising than other sectors. ULI is a global non profit education and research institute. Further, real estate companies are coming up with various residential and commercial projects to fulfill the demand for residential and office properties in Tier-II and Tier-III cities. For instance, Ansal Properties has several residential projects in cities such as Jodhpur, Ajmer, Jaipur, Panipat,

 

Kundli and Agra. Omaxe has also planned around 40 residential and integrated township projects in Tier-II and Tier-III cities, majority of them being in Uttar Pradesh, Punjab, Madhya Madh ya Pradesh, Rajasthan and Haryana. The growth g rowth in real estate in Tier-II and Tier-III cities is mainly due to increase in demand for organized realty and availability of land at affordable prices in these cities. According to the data released by the Department of Industrial Policy and Promotion (DIPP), housing and real estate sector including cineplex, multiplex, integrated townships and commercial complexes etc, attracted a cumulative cu mulative foreign direct investment (FDI) worth US$ 9,405 million from April 2000 to January 2011 wherein the sector witnessed FDI amounting US$ 1,048 million during April-January 2010-11.

 

New Projects •

Private equity fund IL&FS Investment Managers (IIML) is estimated to have invested US$ 300 million in real estate and urban infrastructure projects in 2010.

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Close to Nalagarh in Solan district, Dabhota is set to be the latest industrial area to be developed by the Himachal Pradesh government, say officials. The state government has already issued a notification and asked the state land acquisition officials to acquire 2,020  bighas of land at Baghota to be developed into industrial plots.

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Ramky Estates and Farms Limited, the real estate arm of the Ramky Group, is contemplating to enter Indian market by July 2011. The company is evaluating on land acquisitions in Kolkata and Bhubaneswar.

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Chennai-based VGN Developers Pvt Ltd has ha s entered into a joint venture with private equity firm Pragnya Fund to initiate a new residential project with an investment of US$ 20.06 million in the city.

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Ascendas has entered into an agreement with a Japanese consortium of Mizuho Corporate Bank (MCB) and JGC Corporation to develop de velop integrated townships in India, according to a press release from Ascendas. The integrated township is likely to be in Chennai, which has attracted investment by a number of companies from Japan. Ascendas of Singapore will be the master developer.

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Godrej Group's real estate company, Godrej Properties and Frontier Home Developers, has launched a residential project in Gurgaon with joint venture partner M/s. Frontier  Home Developers Pvt. Ltd. This is a debut residential project in the national capital region (NCR) for Godrej Properties.

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Shristi Infrastructure Development Corporation will invest US$ 444.7 million over the next three years in seven small cities in West Bengal, Tripura and Rajasthan. The money would be used to build b uild integrated townships, healthcare facilities, hospitality and sports facilities, retail malls, logistics hubs and commercial and residential complexes.

 

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Realty major Ansal Properties & Infrastructure Ltd plans to invest about US$ 330.8 million over the next three years on expansion of its existing integrated townships and to develop a group housing project in Haryana.

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Vision India Real Estate, a closely-held business group in the US, is investing US$ 5 million in Gem Group's upcoming residential project in Chennai. Chen nai. This will be the first  joint development project for the US company co mpany that is proposing to invest US$ 100 to US$ 200 million over the next n ext three years on projects, especially in the logistics arena.

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Realty major Embassy Property Developments has entered into a joint venture with MK  Land Holding, a Malaysian company that specializes in pre-fabricated affordable housing, to build projects in the affordable housing segment. The proposed project entails an investment of over US$ 1.2 billion.

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Thai real estate developer Pruksa Global plans to invest US$ 218 million in projects in India and launched its first residential project in the country at Bangalore in October  2010.

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The International Finance Corporation (IFC) is in talks with several real estate developers to create large affordable housing projects in India. For FY-09 and FY-10 (fiscal year  ending June 30), IFC's highest exposure has been in India. Out of the US$ 3.5 billion that IFC has committed in India, US$ 2.5-2.6 billion have been disbursed. IFC will continue to invest roughly US$ 1 billion in India every year for the next two or three years.

 

Marketing steps –

1. Advertisement & branding strategies across various media including print, p rint, cable, television, radio, internet, etc. 2. Pre-launch sales to property investors, property brokers and actual users. 3. Actual site sales 4. Post Sales support to clients including legalities, loans, etc. 5. In-house interactive agency to help us effectively promote real estate projects using different media