Real Estate Market Analysis 4
Purpose
There is a place, also a need for improved marketing strategies in real estate development industry. Companies in this industry generally limit their marketing activities to marketing communications. Commonly used marketing activities are newspaper and/or TV ads according to size of the project and advertisement budget. Marketing communication activities that are currently used will not be sufficient as industry improves and competition arises. Neither giving full page newspaper ads is marketing, nor organizing a conference at a reputable hotel for industry’s media is public relations.
As long as macroeconomic environment is suitable real estate development industry will attract many new entrepreneurs with industry’s high sales figures, profits and other preferable financial rates like IRR. Since existing players have not made so much investment to marketing, only entry barrier is financial power, which is not a very hard obstacle to handle for many possible entrants.
Introduction
Real estate development is a very attractive industry in Turkish economical environment. With economical growth and suitability, evolution of peoples tastes, company needs, and retail industry, entrance of foreign investors and developers, Turkish construction industry shift up to real estate development industry along with brand new developers.
Almost every day a new project is being announced, a new real estate developer established or an existing construction company extend or claim to extend its operations to real estate development. Number of players and naturally supply are increasing, but still it looks like market has not been saturated yet. The main reasons for this fact are maybe Turkey’s young population and its emerging economy state.
Real estate development market may not be saturated yet, but power of buyers is increasing. Increasing power of buyer’s forces suppliers to develop more considered projects. Differentiation becomes a hygiene factor, rather than a
There is a place, also a need for improved marketing strategies in real estate development industry. Companies in this industry generally limit their marketing activities to marketing communications. Commonly used marketing activities are newspaper and/or TV ads according to size of the project and advertisement budget. Marketing communication activities that are currently used will not be sufficient as industry improves and competition arises. Neither giving full page newspaper ads is marketing, nor organizing a conference at a reputable hotel for industry’s media is public relations.
As long as macroeconomic environment is suitable real estate development industry will attract many new entrepreneurs with industry’s high sales figures, profits and other preferable financial rates like IRR. Since existing players have not made so much investment to marketing, only entry barrier is financial power, which is not a very hard obstacle to handle for many possible entrants.
Introduction
Real estate development is a very attractive industry in Turkish economical environment. With economical growth and suitability, evolution of peoples tastes, company needs, and retail industry, entrance of foreign investors and developers, Turkish construction industry shift up to real estate development industry along with brand new developers.
Almost every day a new project is being announced, a new real estate developer established or an existing construction company extend or claim to extend its operations to real estate development. Number of players and naturally supply are increasing, but still it looks like market has not been saturated yet. The main reasons for this fact are maybe Turkey’s young population and its emerging economy state.
Real estate development market may not be saturated yet, but power of buyers is increasing. Increasing power of buyer’s forces suppliers to develop more considered projects. Differentiation becomes a hygiene factor, rather than a