New Normal for Thailand’s property developers as marketing moves online
“The coronavirus pandemic comes at a moment where the Thai real estate market has seen an over-supply coupled with reduced demand since 2019 due to appreciation of the baht and overall economic sentiment.”
Restrictions on movement, a lack of foreigners visiting and inspecting properties, and an economic slowdown are putting pressures on Thailand’s property market. At the same time there is a surplus of quality stock available in excellent locations.
A recent survey by FazWaz shows that nearly 61% of property developers expect that the crisis will last longer than six months, with 16% indicating they believe the pandemic may last more than a year.
“Regionally we’re seeing developers adjusting operations and setting frameworks for disruption,” explained the CEO of FazWaz, Brennan Campbell.
“72% of the developers have re-forecasted their sales revenues, with both internal and external expenses being reduced.”
Online movement
Developers are clearly embracing technology to maintain their branding and consumer engagement. 83% of those questioned agreed that they’re investing in online tools and channels to improve their visibility. With buyers having their movements restricted, they are spending more time at home which leads to the opportunity for recreational real estate shopping.
To accommodate both buyers and sellers, FazWaz will launch its Flash Thursday Online Property Sale on June 18, in conjunction with The Thaiger. There will be real deals to be had on select developments around Thailand.
“The sales event will be one of Thailand’s biggest online discount hub, offering exclusive reductions and buyer incentives not available to the public before.”
Covid-era environment
Covid-19 can be viewed as “the straw that broke the camel’s back”, especially in the Bangkok market. For years, the property market has overflowed with unnecessary supply, paired with marketing strategies to attract speculators into a non-existent buy-to-let environment.
The coronavirus pandemic comes at a moment where the Thai real estate market has seen an over-supply coupled with reduced demand since 2019 due to appreciation of the baht and overall economic sentiment.
Marciano Birjmohun, Director BD at FazWaz says it’s not viable for developers to maintain the same price points with no uptake, and the post-Covid situation will have repercussions for the sales cycle for years to come.
“This is definitely going to change the traditional way of doing business – a new normal of doing business is on the horizon after the pandemic.”
Source: https://thethaiger.com/hot-news/events/new-normal-for-property-developers-as-marketing-moves-online
