Author: Gaurav Yadav, Director at Uday Homz
Technology has always played an important role in our lives and has grown in all the sectors of the society. When taking a closer look at the digital disruption happening across sectors, the closer targets seem to be factors immediately affecting our lifestyle, like retail, healthcare, finance and real estate. Today, not only IT Industry but the Real Estate Market also has online advertising systems and SEM to reach their audience where they are not able to reach with their organic methods.
Breaking the deadlocks of Indian Realty Market
As forecasted by IBRF (Indian Brand Equity Foundation), the Indian Realty market is to reach USD 180 Billion by 2020. The sector is also contributing massively to the economy being the second largest employer after agriculture. The recent rate cuts by RBI and an amicable industry ecosystem will lead to more spending on the sector. The Industry is through a recovery phase in this year, while the loopholes and bottlenecks are expected to be clear proffering transparency. In addition, recent government initiatives are aggressively foraying to organize the market sector by bringing it under the ambit of a strong regulatory structure.
As deadlocks within the industry are cleared one after another, realty developers and property marketers are finding amicable ways to contribute. On the other hand, improved sentiments of buyers facilitated flow of investments to the industry. An array of factors such as FDI inflows, increasing purchasing power, and even monetary policies rolled out by the RBI has been imperative for this growing industry. The overall ecosystem of the country proffered by growing economy is the underlining reason of growth in realty market.
The Digital Reach of Real Estates
A survey by ASSOCHAM projected that throughout India Real estate firms spends about 2,500 crore across different media on publicity. 25% of this amount accounting to 625 crore is spent only on digital marketing alone. The impact of digital technology on the realty market is witnessed through such data. Accurate information of the online real estate market is tough as the sector is unorganized. However, a number of correlated data provides a good glimpse of the online realty market. According to David Walker, managing director of SARE Homes, 9 out of 10 homebuyers rely on internet as one of their primary research sources. Online home buying is an emerging platform and developers are even collaborating with established shopping portals that offer lifestyle goods.
Apart from reaching out to large customer bases, online marketing also allows to target specific consumer segment. For potential customer segment such as the NRIs, online platforms offer the most amicable ways to buy property. It saves cost for developers as compared with conventional methods of advertisements in newspapers and hoardings. As tablets, smart phones and computers are increasingly being used by property buyers, internet has become a mainstream platform to search properties. Moreover, there are many real estate networking applications on Android and iOS which are helping in growth of Real Estate Sector.
Internet as the ‘Next Level’ Realty Business
There has been a phenomenal increase on online property sales. Reliable sources have reported that increase in number of leads is by 300%. The online medium induces around 25 to 30% of residential sales. The trend of online sales of property is set to increase by 10 to 15% more from its present bulk. A number of developers are using digital platforms on experimental basis and the results are already apparent on the profitable side. The cost of acquisition could move below even 50% if inventory sales on online domain go on increasing at the present rate. Online portals increase buyer’s recall value of properties thereby increasing sales. Even B2B business transactions are being increasingly assisted by online portals.
Online shopping or buying online transformed as a lifestyle pattern. In large metro cities and emerging Tier I and Tier II cities, where most of realty development are taking place, mobile and digital devices plays a pertinent role in business transaction in realty market. Digital ads are cost effective compared to newspaper and television advertisements. In addition, conventional modes of advertisements lack the immediate “call to action” facility offered by internet media.
Digital tech as an useful tool
Another advantage offered by digital technology is a proper control and monitoring of assets and expenses. Online property dealers can have measurable conversion of their expenses on digital advertisements. Calculating ROI is easier and figures that are more accurate can be obtained using these platforms. Compared to public hoarding or newspaper, digital platforms enable accurate calculation of targeted viewers and users. This facet itself is a cost-cutting factor adding to controlled investments.
The au courant methods
Primarily for third party dealers in the industry, the prime players of online realty market, technology has been vital. New techniques such as 3D walkthrough have facilitated buyers to visualize what they are buying. This induces greater brand recall in customers, which in return, induces more sales. Social Media too is playing a crucial role in online realty market. Advertisements on social media platforms bring larger returns. Property dealers are also turning to blogs, forums and review websites to engage with their potential customers.
Online platforms materializing as bridges between developers and consumers are successful to sideline the backlogs in property buying. Buyers now have greater options to choose from and have to undergo no hectic schedules visiting brokers door to door. It have also facilitated faster transaction and quicker closing of deals. Proliferation of Internet technology in this market substantiated as a boon. Digital technology carved out its own niche within the market metamorphosing as exclusive portals for property, classified sites and platforms for Digital marketing. Digital advertising will bring in better prospects to the industry as internet is only a budding entity in the country.
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