The housing arm of SET-listed industry conglomerate Siam Cement Group (SCG) has launched new building materials to help drive 2015 revenue to grow by 5% from 14 billion baht.
Saravut Sumransub, managing director of SCG Cement Building Materials, said sales of new materials would help drive sales to reach the target due to rising demand in the sector.
"Almost all material products we offer are new innovations with the added value of premium grades that will attract customers in the housing and building market," he said.
The company is offering six house styles for consumers that will feature the new materials.
The new products include roofs, ceilings, walls, wood substitutes and landscape items.
Thailand's building materials market is worth 27 billion baht, with SCG having a market share of 40%.
SCG has earmarked 20 billion baht as an investment budget to help reach the increased revenue target.
Mr Saravut said the company would focus on customers seeking houses, which is a sector with potential to grow substantially, rather than the condominium market, which is saturated in many areas.
However, he said there would be some negative factors that would still weigh on demand in the housing market.
These factors include rising household debt and weak income in the agricultural sector that were likely to cut purchasing power amid the gloomy economic outlook.
"We hope the government will ramp up its spending on several investments in infrastructure projects to help drive domestic demand in the second half of the year to help boost our domestic sales," said Mr Saravut.
SCG sells 40% of its building materials in Bangkok, while the remainder of its sales are in the provincial market, which has continued to grow in line with rising demand from the increasing number of upper-middle-income customers.
"As we cannot fight a price war with low-cost producers, the low-end market is not our target, as we see minimal growth there among lower-income earners," Mr Saravut said.
"We are aiming to make products with new innovations that will create added value for the high-end market."
SCG shares (SCC) closed yesterday on the Stock Exchange of Thailand at 532 baht, down two baht, in trade worth 1.09 billion baht.