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15 Jan2019

PD House Overjoyed the End of the Year Promotion So Hot,Get the Last Quarter Sales 300 Million

News & Activities / PR News

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          PD House bragged that their Q4 sales amount reached 400m.baht.This is because they launched the promotion at the right time when the consumers made decisions to build new houses because the rainy season passed and word of mouth from the customers. They also disclosed that in the year 2018 the foreign customers increased by 18% with construction cost 180 m. baht. The upcountry home builder market competed heatedly on price. They had to adjust marketing strategies by using franchise system and applied new construction technologies and economy of scale concept to cope with the competition. It is believed that consumer behavior will be rapidly changed so marketing strategies should be adjusted for every short interval and set the sales target for Q1 at 300 m.baht.

  
 

          Mr.Pisan Thammawiset, the manager of PD House International Co., Ltd, disclosed that from October to December 2018 or the last quarter, the company launched the promotion “PD House Count Down’ to give special discount 200,000-1,000,000 baht for the customers who made reservations within December and got the total sales 296 baht. This resulted from a few factors. Firstly, the timing is good for building a new house. Secondly, the work and reliability of PD House and thirdly and the last is the attractive of the promotion. However, there is some more purchasing power and need of customers left and the decision is not made, the company will get ready to cope with the changes. 

          “The company has forecasted that the purchasing power and the decision to build a new house of the consumers will be expanded during October to December. The data from surveying target group in the past 9 month should that some of the purchasing power and the needs to build new houses are slow down because of the heavy rain in the middle of the year. So the needs to build new houses will start again at the end of the year and the beginning of the new year because the consumers don’t have to worry about the rain. The concept of energy saving house, the workmanship of PD House group both in Bangkok and upcountry satisfied the customer and word of mouth spreads so the company got more customers. The foreign customers (with Thai wives)increased by 18% with sales amount around 180 m.baht. At the same time, the promotion “PD House Count Down ” by the end of the year which gives 200,000-1,000,000 baht special discount to the customers who build the house by the end of the year urged the customers to easily make the decision. They also knew that if they slow down their decisions, they will have to pay more in the coming year.”

          “The company has forecasted that the purchasing power and the decision to build a new house of the consumers will be expanded during October to December. The data from surveying target group in the past 9 month should that some of the purchasing power and the needs to build new houses are slow down because of the heavy rain in the middle of the year. So the needs to build new houses will start again at the end of the year and the beginning of the new year because the consumers don’t have to worry about the rain. The concept of energy saving house, the workmanship of PD House group both in Bangkok and upcountry satisfied the customer and word of mouth spreads so the company got more customers. The foreign customers (with Thai wives)increased by 18% with sales amount around 180 m.baht. At the same time, the promotion “PD House Count Down ” by the end of the year which gives 200,000-1,000,000 baht special discount to the customers who build the house by the end of the year urged the customers to easily make the decision. They also knew that if they slow down their decisions, they will have to pay more in the coming year.”



          For the risk managing that may occur especially the increasing cost of labor and materials, the company has negotiated with the suppliers and business alliances and was confirmed to fix the price of materials for the customers who have made the reservation
stated above. The company also applied construction technologies that depend less on human labors and decrease the duration of construction such as prefabrication structures, new method of plastering which can prevent cracking of plastered cement. These will reduce the cost and time of construction. The company has improved the quality and standard of construction regularly to assure the consumers that we are a professional home builder. 

          Miss Tiraporn Suwannasut, director of Marketing Division PD House International Co.,Ltd, as the executive right of PD House Home Builder Center added that an overview of home builder market in the year 2018 was radically competitive especially upcountry. This is because the entrepreneurs upcountry are new or small companies who has just come into the business. They lack experience in marketing, construction management and specialist s in the field so they use low price strategy for marketing. PD,on the other hand, emphasizes on quality and standard of construction under the concept energy saving house. This causes the company to adjust themselves to cope with the competition because the cost of materials and labor are higher than those of the competitors. PD then brings the concept of Economy of Scale of the franchise system into use. This can lower the cost but maintain the quality and standard of the construction so the company can lower the price thought it is not as low as that of the competitors. However, the quality and standard of construction satisfy the target group so they can easily make a decision to have us build their houses.

          In the year 2018,the group of companies of PD House Home Builder Center franchise had total sales amount around 1,100 m .baht, a little low than the target. In the tear 2019 the company forecasts that the situation is not different from last year. The needs of the consumers go in the same way as the trend of the economy of the country. There are both plus and minus factors that affect the decision making of the target and the consumers and the competition among medium and large entrepreneurs is high in Bangkok and perimeter.

        For the sales target in the year 2019,the company sets a short term target or quarterly target. This is for assessment and changing marketing strategies to suit with the situation in each quarter. The sales target for the first quarter is set at 300m.baht.It is generally known that the behavior and needs of the consumers are dynamic so we have to adjust ourselves to cope with the changes to help make the business continuously grow, Miss Tiraporn added.