PD House Fears Economic Downturn Could Affect Future Sales. The Company has Plans to Launch a Four-Step Promotion to Maintain Q3 Growth.
PD House announced increased sales for the first half of the year congruent to the company’s forecast. They are now concerned of the possible effects due to the economic downturn and political protests which could effect the planned third-quarter growth.
New strategies will be launched to target a market share increase for PD House. This includes providing access to the professional home builders with the company’s offices in more than fifty provinces throughout the country.
PD House’s accolades include building more than ten thousand homes, receiving rewards for home energy conservation, online operations and marketing support and a four- step “MIDYEAR SALE” promotion to boost sales. It is also expected that material prices will be reduced in order to lower the overall construction costs. If Q3 continues according to forecast, the annual sales will exceed one billion baht.
Mr. Pisan Thammawiset, the director of Patum Design Develop Co. Ltd., under the brand ‘PD House Home Builder Center’, disclosed that the first half of the year’s booking results grew contrary to economic forecasts.
This success was attributed to the thirty offices throughout the country which cover the service area of more than fifty provinces, including the more than 30 years’ experience and 10,000 homes built. The concept of building energy-saving and environmentally friendly homes verifies the more than 36 awards received for home energy conservation from the Department of Energy Substitution and Conservation and the Ministry of Energy.
The online operations system also provides PD House staff to efficiently market and promptly target potential customers. All the factors mentioned are the sustainable investments the company has made to navigate PD House through this economic downturn, contrary to alternative views on this matter.
Regardless of possible opposition from other entrepreneurs — whether by opening offices up-country or building energy saving homes—when faced with an economic recession, they too will feel the effect from this unfortunate situation. This, however, has had only a minor effect on PD House and the ability of achieving one billion Baht in sales remains realistic.
“The current trend in the home building market for the second half of the year 2020 is almost impossible to predict. This is due to the unprecedented spread of the Corona Virus throughout the world, especially in the economic leading countries like the UK and the U.S. The internal public and social media unrest caused by the protestors, who have lost confidence in the current government’s response to cope with the economic recession, is also an additional factor.”
“The home building entrepreneurs will need to adapt in order to seek out new sales opportunities and construction prospects. The limited purchasing power will also create more competition amongst the professional builders. However, amid this challenging situation there still remains an advantage for the builders and consumers. It appears the cost of construction materials will fall which means reduced house prices in the future,” added Mr. Pisan.
Ms. Tiraporn Suwannasut, the director of Marketing Division, PD House International Co, Ltd. and the franchisor of PD House Home Builder Center also added that, “The overall image of the home building business tends to decline, especially in the third quarter. The entrepreneurs will have to adapt and implement multi-marketing strategies. In lieu of Covid-19, PD House also uses social distancing techniques to prevent the spreading of the disease by providing an on-line channel service for customers. They can seek out the right builder virtually which eliminates the need to attend any events or typical exhibitions in person. PD House is holding a “MIDYEAR SALE” campaign which will provide our customers with a four-step promotion. This includes a seventy percent cash discount, a one-million-baht discount on contract signing with deposit (in accordance with the price of the house), an eight hundred-thousand-baht budget for upgrading construction materials and a fifty percent discount voucher for interior decoration. The promotion is for those who make a reservation to have PD build their homes within August 17, 2020 at any PD House office throughout the country.”
Ms. Tiraporn also added that “This is the golden hour for the consumer. If they plan to build a house, they should take this opportunity to ensure a quality-built home at reduced prices from PD House.”
No matter how much other building entrepreneurs try to compete with PD’s attractive promotion, she leaves the message for the consumer to “ensure they study the details of all the services provided, the quality of materials used and a thorough background check of the potential builder. In some cases, the low price offered is not the net price and the consumer could be required to make additional payments.”
Currently, PD House Home Builder Center has offices both in Bangkok and upcountry. All offices provide the same work standard and are well accepted by those who have had PD House
build their homes previously, including government agents and related business partners. PD House is a modern management company with a solid work ethic and is socially responsible in their construction of energy efficient and environmentally friendly homes.