nbm developer
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Dhaka City, born during the Moghul Empire and grown with the British rule, is expanding rapidly. From the beginning of the 20th Century its growth and latter development is marked with sheer lack of proper and far-reaching planning. The impact is now being felt at the end of the century. Dhaka City is undergoing terrific growth phase throughout the last two decades. While there are so many real estate developers in the market, there are also very few of them who have maintained the quality, safety and customer preference. It is customary in the country that the first day quality and impression is lost after a while when people start getting a bit of familiarity. This happens due mainly to lack of professionalism. Sometimes the consumers here are in a fix to choose a particular brand out of many.TRANSCRIPT
“Effectiveness of Marketing Strategic of NBM Developers Ltd”
Real Estate Sector in Bangladesh: An OverviewReal Estate Sector in Bangladesh: An OverviewDhaka City, born during the Moghul Empire and grown with the British rule, is expanding
rapidly. From the beginning of the 20th Century its growth and latter development is
marked with sheer lack of proper and far-reaching planning. The impact is now being felt at
the end of the century. Dhaka City is undergoing terrific growth phase throughout the last
two decades. While there are so many real estate developers in the market, there are also
very few of them who have maintained the quality, safety and customer preference. It is
customary in the country that the first day quality and impression is lost after a while when
people start getting a bit of familiarity. This happens due mainly to lack of professionalism.
Sometimes the consumers here are in a fix to choose a particular brand out of many.
A good number of real estate companies are working under one umbrella association
named 'Real Estate and Housing Association of Bangladesh' (REHAB). Almost 361 Companies
are at present affiliated with this association, while more than 400 companies are working
independently. BTI took a leading role in the formation of the industry association and is
one of the founder members of the REHAB.
Real Estate Business: a Positive nation for Bangladesh
Rehab profile and its activities in Real estate Sector
Urbanization is an outcome of both population growth and rural-urban migration. As
urbanization increases, more and more people are becoming city dwellers. Bangladesh is
not any exception to that picture. The ever-increasing urban population is catering an
increasing demand for shelter. The right of shelter is a fundamental right, which is ensured
by both UN declaration and the constitution of Bangladesh. But it is very difficult on the part
of the government of Bangladesh alone to ensure housing for all. Here comes the need of
private sector real estate development.
It is a recognized fact that the health of the Real Estate Development Sector is the
barometer of the National economy. In Bangladesh Real Estate Business started in Dhaka in
late seventies. During 1970s there were fewer than 5 companies engaged in this business. In
1988 there were 42 such developers working in Dhaka and now in 2004 there are about 250
companies engaged in this business.
Formation of REHAB: With the number of companies increasing gradually, various problems
concerning the housing sector cropped up requiring early solution. At this stage it was
necessary to form a trade association of the Real Estate developers to protect the overall
interests of the sector. To strengthen the role of real estate sector Real Estate & Housing
Association of Bangladesh (REHAB) was formed with only 11 members in 1991. The
objective of REHAB was to promote formal private sector Real Estate Development in
Bangladesh.
Present Performance: REHAB is the only trade organization of Real Estate Developers with a
current membership of 260 Developers. All major institutionalized Developers are members
of this organization. REHAB is also the "A Class" member of the Federation of Bangladesh
Chambers of Commerce and Industry (FBCCI). In the recent years REHAB has played a very
significant role in nation building through Real Estate Development by its members. The
members of REHAB contribute a large amount of revenue to the Government exchequer in
terms of Registration Cost, Income Tax and Utility Service Charges.
REHAB organizes its most colorful annual event REHAB Housing Fair each year in Bangladesh
for the member developers, financial institutions and building material providers. It has
already successfully completed three Housing Fairs during 2001, 2002, 2003, 2004 & 2005 at
Dhaka Sheraton Hotel Complex. To foster the growth of Real Estate Sector REHAB plans to
organize Housing Fair abroad for the Bangladeshi individuals who are living different
countries of the World to buy apartment, land and commercial spaces in their home
country. Accordingly, the first - ever Housing Fair abroad organized by REHAB on August
2004 at Quality Hotel Hempstead, 80 Clinton Street, New York, USA.
Accelerating urbanization has become tremendous problem to face for the country. The
present rate of urbanization is 5-6% annually1 which is really alarming. About 25% of
Bangladesh is now living in urban areas and 34% will be living by 20151 & 50% by 20252.
There is acute shortage of housing supply in all urban areas and it’s increasing with current
demand of 600,000 to 800,000 units all over the country. Particularly in Dhaka this demand
is estimated at 60,000 units of real estate apartments combined with 200,000 units of
replacement plus backlogs1. Dhaka is currently growing very fast compared to other.
Name of the Association: Real Estate &Housing Association of Bangladesh
Year of Establishment: 1991
No. of Member in 1991: 11
No. of Member in 2008 (January): 508
Bangladesh Market: some Key Indicators
Growing Scenario:
Real estate sector in Bangladesh is in a growing situation. From 1994-98, over the last 13
years, Bangladesh real estate sector grew at an average of 3.64% reaching the peak at 3.87%
in 1999-00. Though it had a fall in 2000-01, there was recovery in 2001-02. For the last 6
years this sector grew impressively and showed a smooth rising trend again it fall in 2008
The comparative scenario of GDP shows a steady 6% growth for Bangladesh. The real estate
experts have expressed the opinion that as GDP of Bangladesh is still below that of other
South Asian Countries, Bangladesh has more to grow which can be fostered by the
continuous increase in the share and growth of real estate sector in the country. The
contribution of real estate and construction in GDP of Bangladesh was 16.20% in 1994-95,
which became at 16.69% in 2000-01 and attained 17.30% in 2006-0. Compared to India,
Bangladesh real estate sector economy is contributing more to the country’s GDP. But
Real Estate Share of GDP – 2004-08 (%)
India 7.00
Bangladesh 8.90
USA 16.00
Malaysia 15.09
Source: Bangladesh Economic Review 2008 http://www.hdfc.com/23032008.htm, Executive Intelligence Review:” Fannie and Freddie were lenders”: U. S. Real Estate Bubble Nears Its End, by Richard Freeman, June 21, 2002http://rozwat.com/pages/science_fin_re_article002.htm and Department of Statistics, Malaysia
Malaysia – one of the most rapidly developing countries has the share at 15.09% while USA
has about 16%. This picture of Malaysia and USA shows that real estate sector can
contribute more to country’s GDP. Therefore the real estate sector in Bangladesh has huge
scope to grow.
Real Estate & Construction Share of GDP
YearThe persistent increase in the real estate sector indicates that real estate activities have
been rising which strongly supports more future growth.
A positive notion for Bangladesh Market
Shar
e (%
)
The positive trend of the neighboring countries with the global expansion in the real estate
sector also shows a growth opportunity. According to the above graph and past record of
INDIA & USA we see that the real estate sector market experiences an average rise of 5-10
years if it is started once. In Bangladesh, before 1985 people in Dhaka city never thought to
buy an apartment for living. Before 1995 people would have thought twice buying an
apartment. But in the last couple of years the interest in apartment buying has increased
rapidly. The boom in Bangladesh real estate market took place between 1988-1991. But it
faced fall in 1991-1992 gaining rise in 1993-1994. From 1995-1998 there was not so high
growth but the market was stable. From 1999 to 2004 it has been growing rapidly caused by
huge household demand, lack of enough land, rapid urbanization etc. in Dhaka City.
The present rate of urbanization is 5-6% annually. About 25% of Bangladesh is now living in
urban areas and 34% will be living by 2015. Only 40% of the people of Dhaka city have
housing facilities with standard or below standard. Thus from the comparative analysis
experts assume that according to the trend of the global market & neighboring countries
the growth of housing demand will stay for next couple of years more. Main reasons for
positive expectation have been presented evidently in the following section.
Reasons for positive expectation
Increasing Urbanization
Statistics & studies show that in 2000-2015, urban growth rate has been expected to
be at an average of 3.7% for Bangladesh. India – one of the most attractive markets
for global real estate is expecting 4.9% growth of urbanization.
Moreover where India is estimated to have 36% people living in urban areas by
2015, Bangladesh is expected to have 34%
Thus in South Asia, Bangladesh holds the second position in terms of urbanization
rate & proportion of urban population. This scenario tells that, as India is a rapidly
growing real estate market for the world, Bangladesh also may attract more real
estate investors and have more growth in this sector.
By 2010, Dhaka is estimated to have about 20 million people that show about 55%
estimated growth from 2000. With this amount of people Dhaka is estimated to be
the 5th largest city in the world by 2015. This fast urbanization needs enough
accommodation and housing supply, which is expected to create a huge market for
the real estate sector in Bangladesh.
Urban growth Rate Projection Population Projected Annual Average Growth
(%) 1975 2000 2015 2000-2015Bangladesh 9.0 25.0 34.0 3.7India 21.0 28.0 36.0 4.9Nepal 5.0 12.0 18.0 2.7Srilanka 22.0 24.0 32.0 3.1Source: Making Cities Work, Urban Fact Sheet, USAID
Urbanization Data of Bangladesh (In '000)1970 1980 1990 2000 2010 2020
Urban Population 5,059 12,713
21,750 34,354 52,223 74,432
% Urban 7.6 14.9 19.8 25.0 31.1 37.7Urban Annual Growth Rate 7.8 5.8 4.7 4.3 3.7 3.0Area BasedDhaka 1,474 3,257 6,621 12,519 19,393 *Chittagong 693 1,332 2,265 3,651 5,389 *Khulna 325 632 973 1,442 2,081 *Rajshahi 108 238 517 1,035 1,676 *
Source: Rural and Urban Development Case Study- Bangladesh, Oxford Policy Management, June 2004
Rising House rent
House rent has been increasing in Bangladesh since 1994 at high rate. In 1994 and
1999 the inflation rate in house rent was around 25%. Though in the recent times
this inflation has been a little bit lower, still in 2008, statistics shows increase of
house rent at about 10% in the country.
According to the real estate participants, the inflation in the house rent is
encouraging to people to buy apartments not bearing the increasing expenditure of
house rent.
Rate of inflarion in House Rent
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
year
%Iin
crea
se in
Hou
se R
ent
Source Consumers Association of Bangladesh (CAB) Research Report 2008
Easy and Available Financing:
Financing the apartment purchase for individual has become more easy and
available. In 1952 Bangladesh House Building Finance Corporation (BHBFC) was
established as government organization to finance the middle-income household civil
servants which was the first housing finance institution in Bangladesh.
Interest rate is competitive ranging from 14% to 16%. Maximum amount can be
financed is BDT 5 million to 6 million with maximum 20 years repayment option,
which varies with the different financing institutions. Loans can be taken to buy
apartments or for construction purpose in any part of the country.
Now there are a number of private specialized housing finance institutions, financial
institutions and banks, which provide housing, finance facility up to 70% to 80% of
the value of the house or apartment.
Inadequate and costly land:
Researches indicate that only 30% population in Dhaka city has occupied already
more than 80% of residential areas with human settlements and supportive
infrastructure1
Economists and real estate experts states it as highly significant and thus land is
becoming increasingly inadequate to provide individual housing solutions. Moreover
land is quite unavailable in Dhaka at suitable location for individual housing
fulfillment.
For huge demand and inadequacy of land, price of land is very high in the urban area
according to the real estate participants.
This is making more people inclined to build and share apartments.
Targeting the middle class:
Studies reveal, in Dhaka city only 5% of the population is in high-income group. Thus
45% of the total population falls into the middle-income group and the rest 50% in
the low-income group.1
Economists and real estate participants see the middle-income group as a huge
market for the real estate sector. Builders have started building apartments for
middle-income class of 600-900 sft.
The large unsatisfied middle-income class is expected to be boosting market for the
real estate business.
Encouraging in Remittance Flow:
The Government of Bangladesh has declared the foreign remittance inflow through
banking sector as tax-free and any purchase of fixed assets by Non Resident
Bangladeshis will not require producing any Tax Identification number. It increased
remittance inflow in Bangladesh in the recent years.
According to the economists, non-resident Bangladeshis are vital investors for the
real estate sector in Bangladesh, which is continuously supporting it to grow.
Other Issues:
1. Asian City Development Strategies, Fukuoka Conference 2000
There is hazards customers face in purchasing lands, which encourages them to buy
apartments rather than lands.
Construction & maintenance of buildings require spending huge time and energy,
which make the people reluctant from building houses.
The influence of western culture & housing design is attracting people more to buy
apartments
These reasons also are contributing to the decision of individuals to buy apartments.
Population growth trend and Demand Analysis
Now in Bangladesh the demand for residential real estate unit is rapidly increasing. The
current urbanization rate is 5-6% and 50% people will be living in cities by 2025 according to
experts. In the Dhaka City from 1991 the urban population density has increased by about
79% to 2004. It was 4795 persons/sq. km in 1991 and 8573 persons/sq. km in 2004 1. The
population growth in Dhaka city is shown below in Graph.
Population is increasing rapidly in Bangladesh. Dhaka – the mega city is in very faster rate in
population increase. This rapidly increasing people need more housing facilities. In the
above graph it is noticeable that the house rent in Bangladesh in an increasing condition.
More and more increase in house rent implies that people would become less interested to
stay in rented house and would try or tend to buy own home. This is also increasing the
Graph : Population Growth Trend in Dhaka City
1.683.43
6.9
9.9
13.21
16.45
19.68
0
5
10
15
20
25
1974 1981 1991 2001 2011(E) 2021(E) 2031(E)
Year
Popu
latio
n (in
mill
ion)
Source: REHAB Annual Report 2004, 1974-2001
Population growth in Bangladesh
76.489.91
123.1143.17
166.52
189.87
020406080
100120140160180200
1981 1991 2001 2011(E) 2021(E) 2031(E)
Year
Popu
latio
n in
mill
ion
demand of apartments in Bangladesh especially for the middle or upper middle class group
of the society.
This huge lift up in the urban density & rush of the people to Dhaka city has created great
demand of accommodation and housing services. Moreover the real estate developers have
started targeting the middle-income groups in the last few years to sell apartments. As the
major portion of the society is in this group the demand has got to be high. According to
REHAB there is demand of about 60000 residential units plus 200000 units of backlogs and
replacements every year. But REHAB members can supply only 5000 to 6000 units each
year. Now in this intense situation of rapidly growing demand the existing number of
developers cannot satisfy the current demand. This scenario ensures us a rising demand
oriented situation in future as the gap between demand and supply is increasing.
Overview of the Company
About NBM
NBM DEVELOPERS LIMITED: A HISTORY OF SUCCESS
NBM DEVELOPERS LTD. is one of the leading builders in Bangladesh. A flagship company of
the 'Ideal Group', it has developers and builders who are well known for quality
construction, loyalty and commitment. With the accent always being on style, the group’s
projects are specifically designed and today adorn strategic points in the twin cities as
projects with uncompromising construction standards and matchless aesthetic beauty.
Precisely why the customer base is growing parallel to company’s growth. To build and
develop housing projects that accomplishes the dreams of our esteemed customers by
providing all the luxurious, modern facilities, amenities and lively environment at very
affordable prices.
Purpose of NBM
To be an optimum business template for the real estate industry.
Optimize relationships, service and profitability.
To be the pacesetter in real estate services by exceeding customer expectations.
Aggressively pursue business through innovation to provide exceptional customer
service.
Build lifetime relationships with our customers and communities.
Mission of NBM
Against the emerging backdrop of Dhaka's urban outlook and life style, NBM DEVELOPERS
LTD Limited's mission is “to build beautiful homes keeping pace with the changes in taste
and needs of modern lifestyle”.
Vision of NBM
"Aspiring for world class living standards and contemporary work places come within reach
of all." We at NBM DEVELOPERS LTD ltd build the future. We expand horizons, link people
and organizations, set up new trends, and continually enhance the values entrusted to our
care. Our aim is setting up of comfortable and luxurious dwelling spheres that impeccably
match world-class infrastructures. We aspire to create establishments that give our
customers the joy of owning a paradise. Our true satisfaction comes through a million smiles
of our customers we have generated over the years.
The current pace of progress of the organization guarantees newer avenues for the coming
future. We as an organization believe in moving forward to attain our ambitious goals while
taking care of what we have created in the past. With clear vision and concrete ideologies,
converting dreams to reality does not seem too big a feat.
We Believe In
Serving with integrity
Conducting ourselves and our business in an honest, ethical, and trustworthy
manner
Treating everyone with care, respect, and fairness
Providing financial stewardship
Growing through innovation and creativity
Company Details
Company Name : NBM
Corporate Office : House No.-37, Road No-7, Sector-3, Uttara, Dhaka.
Business Area : All over Bangladesh
Company Achievement : Recognized as a Class a Company
Contract Number : +8801715811051, +8801913193766, +8801615889901, +88-
02-892068
Web Address : www.NBMgroups.com
Email Address : [email protected]
Legal Status
Registered with the following:
Registration Authority Registration Number
Company Registration C77621/09
Dhaka City Corporation 0454240
Board of Directors
There are 42 Members in the Board of Directors of NBM. Alhaj Md. Abul Basher,
Managing Director as Chairman while A.B.M. Mizanur Rahman as Managing Director &
Mohammad Habibur Rahman Miazee and Engr. Didarul Alam (Miru) as Director of Admin
& HRM and Marketing respectively. These Corporate Personalities already have tremendous
Success in Business due to their Commitment to the nation, Clients, Suppliers. They
acknowledged for their honesty, sincerity & hard working life patterns by the society.
Chairman
Vice Chairman
Managing Director
Executive Finance & Account
Executive Admin &
HRM
Director Admin & HRM
Director Marketing
Executive Marketing
Accounts Officer
Engineer
Sales Officer
Admin Officer
Public Relation Officer
Accounts Assistant
Promotion Officer
Designer
Office Assistant
Organ gram:
Management of NBM
NBM always follows the horizontal management system. Managing Director is the highest
position & Directors are the second highest position of this company. Other powerful
positions of NBM DEVELOPERS LTD Ltd are Manager & Senior Executive.
Marketing Strategy for NBM
NBM DEVELOPERS LTD Ltd. follows the marketing strategy as
Internal Marketing Strategy
External Marketing Strategy
Advertising Strategy for NBM
Advertising Strategy of NBM DEVELOPERS LTD Ltd is shown below:
Indoor Advertising Strategy
Internet
Radio Add
TV Add
Newspaper Add
Seminar
Outdoor Advertising Strategy
Billboard
Light Box
Mega Sign
Social Responsibility of NBM
NBM is committed to change the society. NBM thinks that an educated person can help to
change a society. For that NBM establish a foundation for financial help of education. NBM
is trying to establish a school for children. It also provides deep tube well for water in village
Graphical Analysis
Factors customers prefer most to take decision to purchase a flat or plot
Categories Percentage
Brand name 08%
Price 60%
Construction Quality 02%
Location 30%
Fi
g: Factors customers prefer most to take decision to purchase a flat or plot.
Figure Discussion
About 8% of the customers of apartment or plot prefer Brand Name, 60% of the customers
prefer Price, 2% of the customers prefer Construction quality and 30% of the customers
prefer Location.
Factor motivates customers to purchase a flat or plot.
Categories Percentage
To avoid the troubles involve in building a house 30%
To live in the centre of the city 60%
To live with same class people of the society 10%
Others 0%
0%
20%
40%
60%
Preferable factors to take decision to purchase a Flat or plot
Series1 8% 60% 2% 30%
Brand name Price Construction Quality
Location
Reason behind to prefer NBM apartments or plots
Categories Percentage
Quality 70%
Brand Name 5%
Reliability 25%
Fig: Reason behind to prefer NBM apartments or plot
Figure Discussion
5% of the customers of apartment prefer NBM apartment’s or plots cause of Brand Name,
70%of the customers prefer Quality, and 25% of the customers prefer Reliability
Consumers’ product choice and purchased of NBM flat
Categories Percentage
Flat 80
Shop 5
Commercial space 15
Reason behind to select MBL Flat
Quality, 70%Brand
Name, 5%
Reliability
, 25%Quality
Brand Name
Reliability
Product purchase by Customers
Flat80%
Commercial space15%
Shop5%
Flat
Shop
Commercialspace
Fig: Consumers’ product choise and purchased of NBM flat
Figure Discussion
80% of the customers of apartment prefer NBM flat, 5%of the customers prefer Shop, and
25% of the customers prefer Commercial space.
Consumers’ purchase of NBM flat on basis of project profile
Categories Percentage
This is a NBM product 10
Location of the project 55
Size of the flat 25
Design of the flat 10
Figure Discussion
55% of the customers of apartment prefer NBM because this is a NBM product, 25%of the
customers prefer Location of the project, 10% of the customers prefer Size of the flat, and
10% of the customers prefer Design of the flat.
Consumers’ thinking about the price of NBM flat
Categories Percentage
Higher price 60%
Reasonable 0%
Not higher in consider of quality 40%
60%
0%
40%
0%
10%
20%
30%
40%
50%
60%
Peoples perception about the price
Higher price
Reasonable
Not higher in consider ofquality
Series1 60% 0% 40%
Higher price Reasonable Not higher in consider of
Fig: Consumers’ thinking about the price of NBM flat
Figure Discussion
60% of the customers think about the price of NBM flat is higher price, 40%of the
customers think not higher in consider of quality, 0%of the customers think price is
Reasonable.
NBM are remarkable construction qualities
Categories Percentage
Construction quality 40%
Construction material 50%
Fittings and features 10%
Work man ship 0%
Fig: NBM are remarkable construction qualities
Figure Discussion
In sense of construction 40%of the customers prefer Construction quality50%of the
customers prefer Construction material10% of the customers prefer Fittings and features
none of the customers prefer Workman ship
40%
50%
10%
0%
0%
20%
40%
60%
NBM’s Remarkable Construction Quality
ConstructionQuality
ConstructionMaterial
Fittings andFeatures
Workman ship
Series1 40% 50% 10% 0%
Construction Quality
Construction Material
Fittings and Features
Workman Ship
Customer’s satisfaction level regarding
their expectation construction qualitiesCategories Percentage
Extremely satisfied 0%
Satisfied 90%
Moderate 10%
Dissatisfied 0%
Extremely dissatisfied 0%
0%
90%
10%
0% 0%
0%
50%
100%
Satisfaction Level Regarding building construction
Extremelysatisf ied
Satisf ied
Moderate
Dissatisfied
Extremelydissatisf ied
Series1 0% 90% 10% 0% 0%
Extremely satisf ied
Satisf ied Moderate Dissatisfied Extremely dissatisf ied
Fig: Customers satisfaction level regarding their expectation construction qualities
Figure Discussion
90% of the customers are Satisfied according to their expectation construction and 10% of
the customers are Moderate level Satisfied.
Remarkable media through which customers come to know about NBM
Categories Percentage
Throw the advertisement 60
Throw the Personal reference 30
Throw the Personal observation 10
Fig
: Remarkable media through which customers come to know about NBM
Figure Discussion
60% of the customers come to know about NBM Throw the advertisement, 30% of the
customers come to know Throw the Personal reference, and 10% of the customers come to
know throw the Personal observation
Customer’s satisfaction level regarding
NBM marketing systemCategories Percentage
Extremely satisfied 0%
Satisfied 40%
Moderate 40%
Dissatisfied 20%
Extremely dissatisfied 0%
How Consumers come to know about NBM
Throw the Advertisement
60%
Throw the Personal reference
30%
Throw the Personal Observation
10%
Throw theAdvertisementThrow the PersonalReferenceThrow the PersonalObservation
Fi
g: Customers satisfaction level regarding NBM Marketing system
Figure Discussion
40% of the customers are satisfied with the marketing system of NBM, 40%of the customers
are Moderate level satisfied and 20% of the customers are satisfied with the marketing
system of NBM
Customers satisfaction level regarding
NBM promotional activitiesCategories Percentage
Sufficient 10
Moderate 20
Not sufficient 70
0%
40% 40%
20%
0%0%
10%
20%
30%
40%
ExtremelySatisfied
Satisfied Moderate Dissatisfied ExtremelyDissatisfied
Satisfaction level about NBM’s Marketing system
Extremely satisfied
Satisfied
Moderate
Dissatisfied
Extremely dissatisfied
Satisfaction level about Promotinal activitiesNot sufficient
70%
Moderate20%
Sufficient10%
Sufficient
Moderate
Not sufficient
Fig: Customers satisfaction level regarding NBM promotional activities
Figure Discussion
70% of the customers think the promotional activities of NBM are sufficient 20%of the
customers think the promotional activities of NBM are Moderate 10% of the customers
think the promotional activities of NBM are not sufficient.
1. Customers preference to buy NBM flat
for the next timeCategories Percentage
Yes 30%
No 0%
May be 70%
Fig: Customers preference to buy NBM flat for the next time
Figure Discussion
In sense of prefer NBM flat to buy for the next time 30% of the customers said yes and 70%
of the customers said yes.
Remarkable media through which
customers come to know about NBMCategories Percentage
Yes 80%
No 0%
May be 20%
Yes, 30%
No, 0%
May be, 70%
0%
10%
20%
30%
40%
50%
60%
70%
Preference of NBM’s flat consider for the next time
Yes No May be
Series1 30% 0% 70%
Yes No May be
Fig: Remarkable media through which customers come to know about NBM
Figure Discussion
In sense of recommend other to select NBM product 80% of the customers said yes and 20%
of the customers said may be.
Customers satisfaction level regarding
overall performance of NBM including
handover timeCategories Percentage
Extremely satisfied 10%
Satisfied 70%
Moderate 20%
Dissatisfied 0%
Extremely dissatisfied 0%
80%
No, 0%20%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Recommence tendency to select NBM product
Yes
No
May be
Series1 80% 0% 20%
Yes No May be
10%
70%
20%0% 0%
0%
20%
40%
60%
80%
Satisfaction Regarding Overall parformance
Extremely satisfied
Satisfied
Moderate
Dissatisfied
Extremely dissatisfied
Series1 10% 70% 20% 0% 0%
Extremely
Satisf ied
Moderate
Dissatisfied
Extremely
Fig: Customers satisfaction level regarding overall performance of NBM including
handover time
Figure Discussion
10% of the customers are extremely satisfied regarding overall performance of NBM
including handover time, 70% of the customers are satisfied regarding overall performance
of NBM including handover time, and 20% of the customers are Moderate satisfied
regarding overall performance of NBM including handover time.\
SWOT Analysis
The following SWOT analysis captures the key strength and weakness within the company,
and describes the opportunities and threats facing by NBM.
Strengths
Strong Brand Image
Strong construction quality maintenance
Strong employee bondage or team work
Well Wastage maintenance
Strong reliability
Proper positioning of work force
Strong communication channel
Availability of instant supply of fittings and feathers.
Weakness
Insufficient employees.
Demarcating
Lack of marketing promotional activities
Opportunities
Availability of external finance from bank and financial institution.
Governments’ initiative to step up real estate business.
Threats
Many market leaders in the market.
Uncertainty or scarcity of utility facilities like- gas, electricity, water
Increasing the price of raw material.
Major Findings
The survey has been done targeting some specific objectives as defined in introduction
chapter. Therefore, after getting the outcome, we are now standing in such point from
where we can conclude some points based on the costume of the survey. The findings can
be summarized as follows:
The customer always prefer on the quality product.
Most of the customers prefer To live in the centre of the city
In respect of quality, the price level of NBM is reasonable.
Most of the customers prefer NBM Flat,
All the customers feel NBM follow better construction reasonable price strategy
Customers think NBM needs to enhance the Marketing system
Customer’s satisfaction level regarding overall performance of NBM including
handover time is satisfactory.
Most of the customers are satisfied on the construction of NBM according to their
expectation construction
Most of the time NBM is using only prints media for promoting its products.
Customer Service
One of NBM’s strongest points is its efficient Customer Service Department. This
department gives personal attention to each client and is known for its prompt, effective
action. A warm, friendly atmosphere is created for the client who can make purchase
decision at his/her pace without feeling pressurized.
After sales services are also very efficient and sensitive to the customer’s needs. At every
stage of construction the customer is informed and his/her decision as regards to the
building of the apartment, is respected as much as possible.
The customer service personnel are always open to new, innovative ideas.
Logistical service include repair maintenance facilities such as plumbing and prompt
troubleshooting. Permanent maintenance personnel ensure that the apartments are in good
condition. NBM is also very conscientious about maintaining the facades of its building and
the landscape, in order to up hold its image of being the creators of aesthetically pleasing
homes.
Satisfaction of customer
Promotional strategy Total hunter Satisfaction
Advertisement 30 60%
Public relations 15 30%
Direct marketing 5 10%
Sales of NMB
The aim of sales promotion of NBM is to increase short term sales and increase inshore of
web traffic. They used discounts, installment, special offers & bank loan facilities for the
customers.
Discounts:
Customers who pay their full payments at a time NBM gives them discount 5-10%.
Installments:
NBM has installment facilities for those customers who are unable to pay full payment at a
time.
Special Offers:
NBM gives some special offers for their customers in a particular season like summer sell
offer, winter sell offer etc.
Bank Loan Facility:
NBM arrange some Bank loan facilities for their potential customers to buy their products.
Price
List price
Average Price of Apartments of varying sizes in different city areas:
PRICE IN DIFFERENT CITY AREAS
Areas
Apartment size (sft)
Rate tk (Per sft)1250 1500 2200 3000
Taka in lacs
Dhanmondi 100 130 110 150 7000-8000
Uttara 75 90 120 150 3500
Mohammadpur 50 60 90 120 3500-4000
Motijheel 60 75 110 1500 4500-5000
Azimpur 50 60 90 120 3500-4000
Shiddershory 60 70 95 140 4500-6000
Shantinagar 60 70 95 140 4500-6000
Rampura 30 50 80 100 2500-3500
Malibag 30 50 80 100 2500-4000
Bashaboo 30 45 70 85 2500-3500
Badda 35 50 65 90 3000-4000
Mirpur 30 45 70 90 2500-3500
Mode of payment:
Payment arranged in the following way:
a. One time
b. Installment
One time: Buyer can pay the price in one time. If he pays the price in one time, he/she
will get 10% discount.
Installment: In case of installment, buyer will get the residual month of project hand
over. After Booking, he will pay the initial deposit within seven days. Then he/she will
bind to pay the residual amount on the EMI (Equal monthly installment) base.
Discount: It is a great opportunity for the client because Genetic provide the discount
based on down payment. The discount amount is generally big enough than bank
interest.
Place
NBM’s products are available at:
LOCATIONS
Shiddershory Mohammadpur Shantinagar
Dhanmondi. Motijheel Rampura
Uttara, Azimpur Malibag
Bashaboo Badda Mirpur
People
Employee: NBM’s has skilled and experienced employees
Management: NBM’s managing board is very much qualified and experienced
Culture: NBM’s background is very much well reputed
Physical environment
Comfort: The employees of NBM’s are very much cordial with the customers and very
much friendly to their coordinates
Facilities: The employees of NBM’s are convinced and launch facilities
Promotion
A study shows that the apartment building companies undertook promotional efforts as a
part of their marketing programs. Newspaper and magazines are the media generally used
by NBM. The advertisement cost is low, compared to the total cost involved in the business.
NBM was found to use different media for advertising, which has shown in Table:
Distribution of the company according to Media used for Advertising
MediaPercentage of
Companies
Newspaper
Television
Magazine
Billboard
94 %
01 %
04 %
01 %
Total 100 %
Sales promotion
NBM provides shot-term discount to encourage sale of our product, mainly at the time of
fair.
Advertising
NBM invests sufficient money for advertising in every year such as TV media, newspaper,
billboard, popular magazine, etc.
Personal selling
NBM sells their product through Personal selling.
Public relation
We are trying to build strong customer relationship with the public.
PROCESS:
NBM creates and delivers product elements based on customer requirement.
NBM designs its process in such a way that lead to fast, dynamic and very effective
service delivery and result in satisfied customers.
As the process of the Real Estate organization is very well designed, it helps a lot to
the marketer to do their jobs well, resulting in high productivity and decrease
likelihood of service failure.
In NBM most of the directions comes from Boards of Directors but there are
different culture in different department based on their jobs requirement so that
everywhere a specific process is highly maintained.
Segment Targeting
It is a natural instinct to want to target as many people and groups as possible. However, by doing this NBM’s promotional strategy never talk specifically to any one group. NBM’s promotional budget is much more cost effective as they promote to one type of customer and speak directly to them. This allows NBM has to create a highly focused campaign that will directly meet the needs and desires of a specific group. Again, this is call market segmentati dentify the following demographic characteristics of the market.
Age: Middle age to senior age
Income: Higher income level
Gender: Both male and female
Profession: Different types of occupation
Education: Most of the people are higher educated
Marital Status: All people are married
Positioning
Positioning is a perceptual location. It is where someone’s product or service fits into the
marketplace. Effective positioning puts one first in line in the minds of customers.
Positioning is a powerful tool that allows creating an image. And image is the outward
representation of being who you want to be, doing what you want to do, and having what
you want to have.
That is why it is so important for entrepreneurs to transform their passion into a market
position. If you do not define your product or service, a competitor will do it for you. Your
position in the market place evolves from the defining characteristics of your product.
The primary elements of positioning are:
Pricing. As NBM’s plots, flats, shops are luxury items, so that they fix the price considering
customers devotion.
Quality. NBM is very much conscious about quality control. They always try to maintain
quality without considering price.
Service. Do you offer the benefit of customer service and support? Is your product
customized and personalized?
Distribution. How do customers obtain your product? The channel or distribution is part of
positioning.
Packaging. Packaging makes a strong statement. Make sure it is delivering the message you
intend.
Decision and payment methods Pricing
Fixed Price Concept:
To avoid all kinds of embarrassing situation between the Company and purchaser NBM
follows the fixed price concept. In addition, it is more ethical in the field of unconfined real
estate business in Bangladesh. For a certain period, the price is fixed. It may change after a
period depending on the cost of construction and land value. As per price schedule, there
are some options of discount based on down payment.
Fixing the price of the property
Fixing the price of the real estate property is very complex compared to any other business.
The real estate firms under the study determine the price in three different methods:
(i) Land price + construction cost + margin is the widely used method of pricing followed
by the real estate firms in Dhaka city. About 75% of the firms are using this pricing
policy. It is to note here that land and construction cost has calculated at cost price.
That is why, the firm charges higher margin under this method and that ranges from
75% to 100%.
(ii) Ascertaining the cost of construction per square feet including the land price is
another method used in fixing the selling price of the apartments. Thus, the price of
apartment varies with its size. At the moment firms using this method, they are selling
the apartments @ Tk. 3500-6000 per square feet. This method is popularity and
followed by about 17% of the real estate firms. Under this method, firms can face the
competitive situation effectively.
(iii) Price escalation with land and construction cost is a method followed by only 8% of
the firms in Dhaka city. In this method, the firm charges relatively low percentage of
profit.
Land price increased tremendously in Dhaka city. The following table 16 exhibits the
increased rate of land price during 1974, 1990 and 1997 in different areas of Dhaka city.
Another study shows that a number of considerations followed by the companies in pricing
apartment houses. 80% of the companies determine the price of apartments based on the
quality of construction while 55% of the companies determine their price based on location
of the apartment building. 40% of the companies originate to consider demand in fixing
price. It has reported that 95% of the companies followed mark up policy in determining
price while 15% of the companies pricing policy based on companies pricing and 10% of the
companies followed a pricing method according to convenience. It has observed that prices
of apartments of similar size in same locality vary due to the variation of quality of
construction.
Recommendation:Though NMB Developers Ltd. is performing well but it has some crucial areas to improve
their promotional activities which are prescribed below:
NBM Developers brochure is too short that is why customers can not get proper
knowledge about the company & company products. NBM should make it’s corporate
brochure in more detail.
The management of NBM should regularly administer promotional research activities in
order to keep a regular track of satisfaction levels. Regular research should also be
conducted to find out customer expectations about various service aspects.
NBM gives the best quality of products & services to their customers for that reason the
cost of their products become automatically very high, which is unbearable for some
customers. So, they should make their product price reasonable & it may help to capture
maximum customers.
NBM is a big & profitable company but the social responsibility or normal activity is very
narrow in country if they emphasize their activity in Bangladesh it is good for there
increasing market growth rate.
NBM should focus more on existing customers in order to build strong & loyal
relationship with them as satisfied customer more aptly or certainly recommends the
hospitals to friends & relative thus the power of relationship will foster positive word of
mouth communication & will attract new customers at a lower cost.
Individual Attention should be given to customers in order to better understand their
needs & better satisfy them.
NBM should pursues on aggressive advertising camping in order to build up a strong
image & reputation among potential customers in this contest.
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