Internet the way to influence buyers, says consultant

SUBANG JAYA: Some 97% of “property seekers” search for property online, of which 78% use property portals as a key source of information, according to Dehinc Asia’s futurist Gerard Kho.

Dehinc Asia describes itself as “an advocate group for all things Future”.

“Internet is the primary source for property seekers and it is a huge number. Property portals are the place where we can influence the buyers,” said Kho at the 25th National Real Estate Convention (NREC) yesterday.

Malaysians top the region in using property portals as key source of information. Ninety-five per cent of Singaporean property seekers search online, and 72% of this number use property portals as key source of information.

The equivalent figures for Thailand are 97% and 62%; and 95% and 74% for Indonesia.

“Exploration, search process, are much dependent on online sources,” said Kho. “It is critical to help consumers know more about the industry and give [them] useful tips to make better decisions.”

In his presentation, Kho said Malaysians in general, take two to three months to search for and view properties – slightly shorter than in Singapore (four months) and Thailand (three months).

He noted that it is better to address the needs of property seekers during the information-search and consideration stages to help drive conversion rates.

About one-quarter of Malaysian mobile users search for property on their mobile devices.

“Regardless of what type of homebuyer they are ... downgraders, upgraders, investors or even first-time homebuyers, they are all looking for information. So we need to look at what are the infrastructure and capacity that allow us to influence them even more.”

Giving the example of millennials in the US who spend up to 18 hours a day online, he added that the industry can influence buyers online.

Millennials in the US ostensibly spend 3.5 hours daily browsing the Internet and slightly more than three hours for social networking. They spend an hour to talk about news, products and brands; and about half-an-hour reading print magazines and newspapers.

“In Malaysia, the Internet constitutes 42% of total media consumption time, but Internet ad spend is only 9% of total media ad spend,” he said.

“Compared with Australia, Internet time is 60% [of total media consumption time], and its Internet ad spend is 52% of total media ad spend,” he added.

“It is not so much we have to spend more money online but it is a place where we can influence them.”

Organised by the Royal Institution of Surveyors Malaysia and the Association of Valuers, Property Managers, Estate Agents and Property Consultants, NREC 2015 was themed, “Homes for generations – Redefining development trends” to highlight major concerns for the future of the real estate industry in the country.

The event was attended by 250 participants from property development, banking and consultancy industries.
 

This story appeared in The Edge Property Pullout, Nov 13, 2015. The Edge Property pullout appears every Friday with The Edge Financial Daily. Click here to download the current and past issues for free.