Brand value – Not the ultimate real estate trend-setter
According to industry experts, the real estate sector has been witnessing a level playing field, wherein cutting-edge brand equity is increasingly getting more challenging for the key real estate companies.
A traditional approach that existed until recently, in which the realty biggies used to expand their business in various cities of India, mainly with the help of their brand value, is not going to exist hereafter. Now, the prime opponents to such leading realtors are some of the regional players, corporate groups and other professionally managed new entrants, who have managed to bring a change in the market dynamics which cuts down the difference between the prime realtors, in terms of brand premium as well as the price they command.
All these days, only some of the developers like Oberoi Realty in Mumbai, Sobha Developers in south and corporates like Godrej Properties, Tata Housing, etc, with pan-India presence had been enjoying the monopoly in real estate sector with projects in all major cities of the nation. It was not easy for other not so popular developers to expand their business across the nation.
However, the scenario has changed to a large extent. The difference between the established realty biggies who have expanded business across various cities and the ones who have recently join the stream is decreasing gradually. In case if any real estate firm tops in brand value, then there are more pressing issues to deal with along with its increased responsibilities.
The real estate companies are actively working to maintain their positioning to the desired metrics of branding, be it consumers’ or investors’ confidence, financial performance or media perception. Here the challenge is to speculate on what more can be done to build a better brand reputation. In this challenging world, although there is no fixed way to attract buyers, few things that developers need to do in order to increase value to their brands is to implement a strong feedback mechanism that initiates the changes as per changing customer tastes and desires.
Innovative developers seem to have understood that travelling on the tried and tested roads was an easy way to success in the past but it is definitely not the case the way forward. For instance, a 3 BHK apartment in Amrapali Tropical Garden by the famous Amrapali Group in Greater Noida West is available at around Rs 40-45 lakh while another JM Flora in the same locality by a less popular builder J M Housing Pvt Ltd also offers a 3 BHK unit in the same price range.
Every brand innovation has a shelf-life and as a brand, to remain relevant, one has to keep reinventing themselves, said experts. Retaining a brand at the top for a long time is not easy and that too in an age where shelf-life of any given brand is declining. The ultimate points to be reached by any brand to scale fast in the market are good user experience and consumer confidence. Many leading real estate companies have a clear understanding of the fact that to be successful in this line, one should stand fairly well on this given metrics of branding.
Strategic brand management and market intelligence play an important role in the success of any brand. Real estate firms need to realise that branding is not just about the customers’ rating, investors’ funding or media’s promotions; it is all about winning the goodwill of end-users. In the recent times, many brands have been learning to transform irate buyers to loyal ones through handling issues with care, communication, acknowledgement, respect, regard and empathy. This is something much needed in today’s reputation economy, which helps to increase brand loyalty along with overcoming the tough competition that exists among industry players.
