Landy Home targets 15% growth in sales
As demand for self-built homes remains strong, particularly in the high-end segment, homebuilder Landy Home (Thailand) is aiming for sales growth of 15% to 2.4 billion baht this year.
Pornrat Maneerattanaporn, the company's deputy managing director, said demand for self-built homes is always strong regardless of the economic conditions.
"Demand rose during the pandemic as people spent more time at home and wanted to have a new self-built house," she said. "Half of our sales were from people replacing their existing home with a new self-built one, up from fewer than half previously."
The company's sales growth this year will continue with the same momentum as last year when it posted an increase of 15% in sales to 2.1 billion baht from 1.8 billion baht in 2019.
"We saw the growth against a drop of 5% in overall homebuilding market value as consumers looked for a reliable firm amid unfavourable sentiment," she said.
About 45% of 2020 sales came from Trendy Home with units priced between 2 to 5 million baht, followed by Landy Home with units priced at 5 to 15 million baht which accounted for 30% of sales. The Landy Grand with prices of 15 million baht or higher accounted for 25% of sales.
Ms Pornrat, who is also director of the sales department, said demand in the high-end segment -- units priced above 15 million baht -- grew as this segment received less impact from the economic slowdown.
These customers are business or factory owners aged between 45-50 years old with a turnover in their business of at least 1 billion baht per year.
To capitalise on this market, the company yesterday opened a new flagship branch with a space of 400 square metres on Ratchaphruek Road with a budget of 20 million baht. The firm's ninth branch will tap customers in the Thon Buri area where individual land plots are available for those seeking a self-built home. The firm aims to have 300-400 million baht in sales by the end of the year from the new branch.
Founded 33 years ago, Landy Home has a registered capital of 200 million baht, the highest in the home-building market.