MARKET IS GOOD, IF….

‘There Is Recession In The Market.’

‘There’s No Money In The Market.’

‘Market Kharaab Hai.’

I’m sure these are some of the most depressing expressions we have been hearing, which are part of our day to day life. From a small construction contractor to a building material supplier, from a small-town developer to a multi-city builder, no one is immune to this feeling.

In a common man’s language, recession is absence of sale and collection of money. In Real Estate industry, volume of bookings and collection figures, are the general barometer to know whether “Market kharab hai, ya achha hai”.

For Students of Marketing, recession is a subject consisting of complex definitions, intricate diagrams, endless tables and volumes of text that they might never use again in their life.

For a Real Estate Marketeer, recession is a market situation, arising due to the reluctance of customer to spend his money NOW. And at the same breath, Real Estate Marketing is an ‘ART’ of convincing such reluctant customers to prepone their decision to buy instantly.

If ‘Recession’ is the malady, ‘Marketing’ is the panacea.

And therefore, ‘Market Is Good, If Marketing Is Good’.

A good Real Estate Marketeer thrives in worst market conditions. He or she never misses the focus on reluctant customer’s Mind, Heart and Wallet. The only aim has to be provoking the THOUGHT in the Mind, re-igniting the PASSION in the heart and re-fill the MONEY in the Wallet of the customer.

Real Estate Marketing is like Belly Dance. Basic structure remains still and firm while the body parts move according to the music. This also means that Real Estate marketing can be as enticing and entertaining as belly dance.

Fundamentals of Real Estate Marketing remain the same. However, the components of Marketing will keep responding to the changes in the variables that influence the decision-making process of customer.

This brings us to the famous 5 Ps of Marketing.

Product, Price, Promotion, Place, and People.

Most Marketing manuals explain these 5 Ps for an ideal market situation. These 5 Ps are glorified to such an extent that anyone who does not know about these Ps, are dismissed as ‘no-marketeers’.

Now let us face the reality.

Business runs when CUSTOMER BRINGS the money. We must also know that only good marketing BRINGS THE CUSTOMER. And as long as customers keep coming, market is ‘Never Kharab Hai’.

While the 5 Ps are ever relevant irrespective of the market and the product, the Real Estate Industry is yet to evolve and adapt to the fundamentals of Marketing. Barring few big developers, most builders still believe that

Advertising=Marketing.

PRODUCT:

Just like a young lady who uses every trick to attract a handsome man or vice versa, a Real Estate Marketeer has to use all the tricks to catch the attention of the ‘acting too pricey’ customer. The basic specifications of the product do not change. The difference is same as that of appearance of a boy or girl on a ‘normal day’ and on a ‘date day’. Passion re-ignited. Couldn’t have made it simpler.

Unfortunately, most Real Estate Marketeers do not pay enough attention to the presentation of the product in a manner which can captivate the Mind of Customer.

PRICE:

Good days, good price. Bad days, not bad price. But bad ‘pricing’ can make way for ‘worse days’. The price should be like a mini skirt. Long enough to cover the costs and short enough to arouse customer’s interest.

Innovative pricing strategies like Multi Level Pricing Layers (MLPL), Bottom Out Pricing (BOP), Interest Linked Pricing (ILP) etc., can be offered to help the customer choose whatever suits him.

PROMOTION:

Real Estate Marketeers must do ‘promotion’ and not create ‘commotion’. Especially during bad business days one must not go silent. A Real Estate Marketeers doesn’t have mourning period. In fact, the best time to promote the product is when others do not. Not just competition, but even bad days call for smart promotions. Marketing books do not tell us about Carpet Bombing, Cluster Bombing, Surgical Strike, Bouquet Marketing etc. Well, wooing an ‘acting too pricey’ lady, needs a lot of creativity, persistence, perseverance and patience.

PLACE:

Who would want to take his lady love on a date to a stinky place? Spruce up. Deck up. Clean up. Let the place look as if Diwali is being celebrated every day in the sales office, construction site, and even washroom and pantry. In short, customer goes back home with long lasting impression and sweet memories. Presenting chaotic and unkempt place is the surest way to discourage the customer for a re-visit.

PEOPLE:

I must mention, no matter how well we re-visit the other 4Ps, the 5th P can bring everything to a naught. An ill-trained, demotivated and lethargic employee, a bad mouthing insincere broker, a brooding vendor, are the biggest liability on our balance sheet. And they can prolong ‘Market Kharaab Hai’ days endlessly.

In 1989, I saw a signboard in one of the units of Johnson & Johnson which read, ‘People Are Our Best Available Resources’.

Simply put, for customer, from ‘Watchman’ to ‘Chairman’, everyone is ‘Salesman’.

No definitions. No diagrams. No tables. No formulas. Simply ‘Market Is Good If The Marketing Is Good.

Counter to depressing sentences mentioned in the beginning:

‘Recession Is In The Mind. Not In The Market’.

‘Money Is Not In The Market. It Is In The Bank’.

‘Market Kharaab Nahin. Marketing Kharaab Hai’.

Happy Marketing!