Growth of Real Estate in India (1)

GROWTH OF REAL ESTATE IN INDIA

GROWTH OF REAL ESTATE IN INDIA The real estate sector has been the backbone of the Indian economy and has been a major contributor in the economic growth. It comprises four sub sectors - housing, retail, hospitality, and commercial. The growth of this sector is well complemented by the growth of the corporate environment and the demand for office space as well as urban and semi-urban accommodations. It is evident from the very fact that the Real Estate Sector contributes 8.53% of the total GDP and also witnessed growth rate to the tune of 30%. It is also pertinent to note that this sector has emerged as the fifth largest destination of foreign investment.

GROWTH OF REAL ESTATE IN DELHI NCR Our economy is currently facing such a contraction. Overall economic activity has slowed, with GDP growth estimated at 4.9 percent in 2013-2014. True, this is an improvement of 40 bps over previous year and we have seen growth in the traditional agricultural and allied sectors In Delhi NCR's commercial office, we have seen moderate to healthy levels of net absorption over the past three years. INVESTMENT RETURN COMMERCIAL VS RESIDENTIAL Commercial properties are used for business like retail, office space or industry. Generally, commercial investments involve stricter lending conditions and a larger deposit than residential property.AdvantagesTenants are generally responsible for outgoings like rates and insurance.Tenants are more likely to make improvements that will increase your propertys value.DisadvantagesCommercial properties can sit untenanted for long periods, particularly in uncertain economic times.Commercial properties typically have lower capital growth potential because the building (which will depreciate) takes up most of the land.

RESIDENTIAL PROJECT

AdvantagesResidential property is less likely to stay untenanted for long periods.Residential properties have a higher land-to-building ratio than commercial, so usually offer higher capital growth because land values go up, but buildings depreciate.DisadvantagesResidential properties typically deliver a lower return because you cant charge as much rent as commercial properties.Youre responsible for maintenance costs.

DELIVERY OF COMMERCIAL PROJECTThe Krasa developers has organised a commercial project in Noida sector140 whose name is Centrade Bussiness centre. The project has launched in October 2014,and the construction started in march 2015 and it is expected to be completed in december 2017.and the delivery of the construction will be in April 2018.

Real Estate with respect to marketingFixturesincludebuildings,fences,andthingsattachedtobuildings,suchasplumbing,heating,andlightfixtures.PropertythatisnotaffixedisregardedasPersonalProperty.Forexample,furnitureanddraperiesareitemsofpersonalproperty.ThesaleandleaseofrealestateintheUnitedStatesaremajoreconomicactivitiesandareregulatedbystateandfederallaws.Thetwomajortypesofrealestatearecommercialandresidentialrealestate.Commercialrealestateinvolvesthesaleandleaseofpropertyforbusinesspurposes.Residentialrealestateinvolvesthesaleandrentaloflandandhousestoindividualsandfamiliesfordailyliving.

Philip Kotler definition "Marketing takes a day to learn. Unfortunately, it takes a lifetime to master." Philip KotlerNo matter what aspect of real estate investing you choose to engage in, you will probably need to use marketing in some fashion. Marketing is the process of reaching outside your normal sphere of influence to propel your business forward. Types of Marketing mediaOnline media The internet and online media have completely changed the real estate experience. The traditional practice of buying or selling a property through real estate agents and brokers has given way to a refined, sophisticated and user-friendly procedure. The growing popularity of the internet, e-commerce and mobile applications has opened new, unthinkable avenues for the real estate market.

Print mediaReal estate marketingis a cutthroat business. Considering the number of agents trying to one up each other in a game of networks and figures, it is becoming increasingly more difficult to come up with ways on how to rise above your competition and make an impression to your prospects. Still, one of the better ways to make yourself known to potential clients is to market your real estate services using tried and tested print media. These marketing tools let you connect with your target audience on a more personal levelVisual mediaOnline media has changed marketing forever. We dont have captive audiences. Were competing to capture the attention of consumers, and thats a big challenge. Visual marketing is simply harnessing the power of images. Some examples of visual marketing include photographs, infographics, video and the very familiar image quotes you see all over social media.

4 Ps of Marketing Putting the right product in the right place, at the right price, at the right time. You just need to create a product that a particular group of people want, put it on sale some place that those same people visit regularly, and price it at a level which matches the value they feel they get out of it; and do all that at a time they want to buy.

Marketing mix "Marketing mix" is a general phrase used to describe the different kinds of choices organizations have to make in the whole process of bringing a product or service to market. The 4Ps is one way probably the best-known way of defining the marketing mix, and was first expressed in 1960 by E J McCarthy. The 4Ps are:Product (or Service).Place.Price.Promotion.

Product and servicesWhat does the customer want from the product/service? What needs does it satisfy?

What features does it have to meet these needs?Are there any features you've missed out?Are you including costly features that the customer won't actually use?

How and where will the customer use it?

What does it look like? How will customers experience it?

What size(s), color(s), and so on, should it be?

What is it to be called?

PlaceWhere do buyers look for your product or service?

If they look in a store, what kind? A specialist boutique or in a supermarket, or both? Or online? Or direct, via a catalogue?

How can you access the right distribution channels?

Do you need to use a sales force? Or attend trade fairs? Or make online submissions? Or send samples to catalogue companies?

What do you competitors do, and how can you learn from that and/or differentiate?

PriceWhat is the value of the product or service to the buyer?

Are there established price points for products or services in this area?

Is the customer price sensitive? Will a small decrease in price gain you extra market share? Or will a small increase be indiscernible, and so gain you extra profit margin?

What discounts should be offered to trade customers, or to other specificsegments of your market?

How will your price compare with your competitors?

PromotionWhere and when can you get across your marketing messages to your target market?

Will you reach your audience by advertising online, in the press, or on TV, or radio, or on billboards? By using direct marketing mailshot? Through PR? On the Internet?

When is the best time to promote? Is there seasonality in the market? Are there any wider environmental issues that suggest or dictate the timing of your market launch, or the timing of subsequent promotions?

How do your competitors do their promotions? And how does that influence your choice of promotional activity?

Using the 4Ps of MarketingThe model can be used to help you decide how to take a new offer to market. It can also be used to test your existingmarketing strategy . Whether you are considering a new or existing offer, follow the steps below help you define and improve your marketing mix.

Start by identifying the product or service that you want to analyze.

Now go through and answer the 4Ps questions as defined in detail above.

Try asking "why" and "what if" questions too, to challenge your offer. For example, askwhyyour target audience needs a particular feature. What if you drop your price by 5%? What if you offer more colors? Why sell through wholesalers rather than direct channels? What if you improve PR rather than rely on online advertising?

4 Ps of Krasa Product

Lockable office Space (200&350 *multiples)

Premium business suites (500&750 *multiples)

Retail Space ( 350,500,750 )

Virtual Office Space ( 100 * Multiples) Food Court ( 350,500,750 )

Place

Promotion Ekta advertising and promotion coming up with up with its first times Verified Dealers Meet U.P-2015 it is a unique approach to infuse trust in a very challenging reality market . The selling and buying of properties is a complex process for new entrants and we plan to bring simplicity and transparency through education.The first important thing while investing in real estate is to take the mystery out of the ownership process . Real Estate investment offers the security of bricks and mortar as compared to the fluctuating values of shares and commodities provided you find your steal deal and get the right property at the right place.

Sales and Marketing sales marketingIn sales revenue will be produced.

Sales is related to marketing.In marketing custmomer buy goods which will increase the sales.Without marketing sales cannot be done.SWOT AnalysisThe standard SWOT analysis, as we know it, was developed by Albert S. Humphrey, a successful management consultant in the 60s and 70s. Humphrey was looking for a tool that went beyond maximizing strengths and minimizing weaknesses; he wanted one that addressed how those strengths and weaknesses interacted with the broader business environment. SWOT stands for:

Strengths

Weaknesses

Threats

Opportunities

Diagraamatic Representation

Strengths Solid understanding of real estate taxation

Access to an affluent natural market

Live in a desirable community with generally high real estate prices

Well respected in the neighborhood/community/church/synagogue

Connections with a good hard-money lender

Expert on condominium association rules

Willingness to do shoe-leather prospecting

Fluent in Mandarin Chinese

Good mentor

Low monthly expenses

WeaknessesSubstantial economic uncertainty in local area

Lousy computer skills

Overweight

Limited savings

No interest in property management

No family money to speak of

Limited budget for marketing/direct mail

Poor Spanish skills (but lots of Spanish-speaking people in my market)

Weak back office/poor systems in place

ThreatsInterest rates on the riseOverpriced stock market could implode, reducing the wealth effectMajor storms in South Florida have been known to impact demandAgencies are recruiting heavily in my area, resulting in more competitionCash flow problems could possibly force me out of the business if I go more than a couple of months without a sale

OpportunitiesNew markets offer great potential Real Estate market segment is poised for rapid growth Government considering relaxing FDI norms for Real Estate sector 4 % of the commercial launched in the last 6 7 years. SWOT Analysis of Krasa Strengths

Infrastructure in place

Location is highly suitable for Retail cum office space

High demand due to large scale urbanization in the vicinity

Rising high middle class families numbers ensuring higher entrepreneurships Buying affordability

Very focussed approach & highly motivated, experienced team

Major Government Clearance

Airport Connectivity, Metro Connectivity, ISBT connectivity OpportunitiesNew markets offer great potential Real Estate market segment is poised for rapid growth Government considering relaxing FDI norms for Real Estate sector 4% of the commercial launched in the last 6 7 years.SWOT Analysis Weaknesses ThreatsHigh Government regulation.

Highly politically motivated

Availability of fianance

Higher interest rates Competition/ major players may enter targeted market segment

Economic inflation

Political instability

Economic slowdown could reduce demand

Targeting the customers

Any individual or a buyer who knows and understand the growth in the real estate industry as he may be invested and benefited from his past experience. Highlights of the Project Easy access to Delhi, Noida, Greater Noida, Ghaziabad & Faridabad. Well connected to New Delhi, Airport & Railway Station via the DND Flyway 10 minutes from DND flyway 10 minutes from Sector 37, Metro Station 10 minutes from Sector 18, Noida 5 minutes from Mahamaya Flyover Proximity to FNG Expressway & ISBT Sponsorship programs Ekta advertising and promotion coming up with its first time Verified Dealers Meet 2015.it is a unique approach to infuse trust in a very challenge really market .The buying and selling of properties is a complex process for new entraints and we plan to bring simplicity and transparency through education.