∼ Written and Visualized by Nariste Alieva 

Luxurious apartments of the Elite House are much more affordable to the average buyer in Kyrgyzstan than the one might think. The company invests a lot of effort and money in product quality and advertising. Recent research has shown that potential buyers of the Elite House construction company have a notion positioning created by naming of the company, design, and image of constructions together with quality by an expansive advertisement that apartments of the company are not affordable and highly expensive and elite.

Background

The Elite House company has a short but successful history in the Kyrgyzstan’s construction development market. Elite House is a real estate development company established in the year 2012 the by Chairman and CEO, Timor Faisiev. Elite House builds on the premises of expertise of successful and respected international developer Timur Faisiev.  Timur Faisiev has a peerless track record in constructing more than 75 000 squire feet of premium and comfort retail space over a total of 9 buildings, transforming the image of Bishkek.

The company invests a lot of effort and money in product quality, reputation management, visibility, and advertising

Major Rivals: Avangard, Ihlas, Imarat

THE MOST COMMON CLASS OF OBJECTS IS COMFORT (45% OF ALL ERECTED)

The problem 

Recent research has shown that potential buyers of the Elite House have a positioning created by the naming of the company that apartments of the company elite and therefore not affordable and highly expensive.

The problem is that in the minds of consumers, the company’s products are positioned within luxury and high prices. Thus the company loses potential buyers from the middle-income segment.

Cause and Impact 

This positioning in the mind of the client leads to the fact that sales of the company are at the normal range, the company sells from 30 to 40 apartments per month.

But for the complete success of the company, it is necessary to sell from 40 to 60 apartments per month. And this is only possible if the company will sell more for the middle segment of consumers of the «eldik» segment.

Although Elite House has apartments with high prices, in general, it sells apartments affordable for the average buyer, comparable or even lower in cost in correlation to other construction companies as Avangard (800 perm2); Ihlas (670 perm2), Elite House (550 m2). Source: https://new.flatfy.kg/

Solution 

Within the strategy of integrated marketing communications, it is necessary to focus on informing potential buyers that the company has a unique trading advantage — in terms of price-quality relations. Apartments of high quality and design at an affordable price. This leads to the fact that the company loses potential buyers from the middle segment.

Although Elite House has apartments with high prices, in general, it sells apartments affordable for the average buyer, comparable or even lower in cost in correlation to other construction companies. Thus, the company should invest more in informing potential buyers about the cost of the price-quality ratio. This strategy would be a base for leading the company to desired #1 place in the market of construction companies of Kyrgyzstan.