Need for differentiated strategy in design and innovation
A home is the costliest purchase that an Indian makes. Hence selling a residential property is not an easy task since the Indian customer by nature is very discerning and price conscious.
Despite the demand-supply mismatch, developers find it challenging to sell their properties and they need to devise different strategies as times change. Today, as developers do thorough research before taking up any projects, so do the customers before putting in their hard-earned money. The challenge, as I see, is therefore manifold.
Real Estate industry by nature is cyclical. Though we are witnessing sluggish market conditions now, I am sure we will very soon see an upswing as the economy improves. This is something about which also I am very positive.
In recent years, India has begun to catch up with the global trends in terms of quality and even designs. No wonder, we get to see skylines changing rapidly with structures akin to those in Manhattan or Singapore coming up in Mumbai, Delhi, Bangalore and other places.
While the developer community is able to deliver properties on a mass scale, the challenge is in meeting the taste and aspirations of the fast emerging new upper middle class. As we achieve global standards in business and services, it is but natural that we tend to expect similar standards even in properties–be it residential, office or even retail.
Here, I must point out that the retail sector has already matched the global standards with the swanky malls coming up in almost all cities. The luxury home segment has also begun to meet the new standards. The challenge is in continuously improving on designs and in innovating.