Square One recently conducted a real estate survey with 10 questions asked to 50 participants, to understand the consumer behavior of prospective home buyers. This survey also gave Square One an insight into how to effectively target the audience through advertisements using the data collected.
Square One conducted an extensive survey to understand the thinking of property seekers who already own a residential property and are looking to upgrade to a larger more premium space to live in. This in turn helped us achieve an in depth understanding of how to advertise different price categories of real estate to the relevant audience to strike a chord with them.
Conducted in the first quarter of 2020, the online survey saw 50 participants responding to the survey via Survey Monkey, which was forwarded to them through WhatsApp links, so that they could respond easily and immediately. No personal identification questions were asked so that the participants could answer all questions freely, without any reservations.
THE PARTICIPANTS WERE CAREFULLY SELECTED TO FIT THE BELOW MENTIONED CRITERIA:
Senior level/ management level executives in MNCs, small business owners and successful professionals.
Geographically located in Pune.
People with cars with a purchase value of 15 lacs and above.
People with an affinity for luxury lifestyles, bespoke tailoring and fine-dining.
Thereafter, the answers collected were analysed in-house and data was correlated to the present economic conditions. The views expressed in the report are completely unbiased.
DISTRIBUTION OF SURVEY PARTICIPANTS
HOW MUCH ARE YOU WILLING TO SPEND ON A NEW HOME?
The participants were questioned about buying a home to live in and not as an investment. We were able to deduce that 28% of the participants who had an annual household income of `20 lacs would have the spending power to purchase a home between `1.0-1.5 Cr. We understood that even those who climb the corporate ladder rapidly and reach senior positions in MNCs look out for sub `1.0 Cr homes. This also implies that sub `1.0 Cr valued homes have a good chance of getting sold faster. Another inference is that people prefer a `15 lac car to a luxury residence, as people’s lifestyles get more flamboyant with time while residential rentals stay low.
WHAT CONFIGURATION OF HOMES WOULD YOU PREFER BUYING?
We found that 2BHK homes had very few takers among the participants. The statistics indicate that even people who have a budget lower than `1.0 crore for a new house would prefer a 3BHK home. In fact the survey tells us that the demand for 2BHK homes is almost negligible amongst people who are settled in life. There is a high possibility that people who are just starting out prefer 2BHK homes in the lower price segments.
WHAT SIZE OF SOCIETY WOULD YOU LIKE TO BUY A NEW HOME IN?
We can see that the participants show a clear preference for big societies. This could be because often big societies come with a lot of amenities for the entire family as well as ample green spaces. A sizeable 34% would prefer a single building, which could be a need for a more private an intimate environment to live in. Two building projects have a relatively low preference.
WHAT AREA OF PUNE WOULD YOU LIKE TO HAVE A NEW HOME IN?
The survey figures to this question almost matches an earlier question about the participants current residence locations, implying that people of this segment, are already settled in a locality in Pune that they are comfortable with and therefore would like to buy their home within the same locality.
People have cited reasons like child’s existing school and knowledge of the current neighbourhood, to not shift to another part of Pune.
We can thus ascertain that if your target audience is a second home buyer, or if he/she is living in a rented residence conveniently located near his/her child’s school, you should focus on putting up advertisements of your real estate project around their existing location. So if your project is in South Pune, putting up billboards in North Pune may give you very meagre returns.