Customer Survey

  1. New Homes Today 2002 - Introduction
  2. Key Findings 2002
  3. Preference for New Housing 2002
  4. Affordable Housing and Planning Policies
  5. Executive Summary (2001)
  6. Glamorous, Aspirational, Well Designed (2001)
  7. More people want new homes (2001)
  8. Higher density homes - the impact of PPG3 (2001)
  9. The power of brand in house building (2001)
  10. Tomorrow's Homes Today (2001)

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The power of brand in house building

What determines consumer perception of house builder brands?

Consumers differentiated house builders on the basis of the following criteria:

  • Their own previous experience of the house builder
  • Word of mouth recommendations or warnings from friends and family
  • Their own observations of the quality of the house builders' product gleaned from current developments and especially from the show homes
  • Their assessment of the design of homes
  • How they were dealt with by sales staff on developments
  • The desirability of the type of location in which the house builder typically builds
  • Perceptions of the sector of the market for which the house builder caters (e.g. exclusive, upmarket, affordable etc)
  • Media reports about house builders, especially those on television

1. Previous experience and personal recommendation

Personal experience of house builders was very important in perceptions of the brand, particularly experience of after sales service.

2. Observations of quality, especially from show homes

For many people, the show homes on developments are the embodiment of the house builder's reputation and brand image. They look carefully at the build quality, taking note of any signs of shoddiness in the way the show home is presented.

3. Assessment of the design of different brands of home

Well designed rooms or layouts can also lift the brand image of a builder and the customer's propensity to buy from them. It is not simply that they like that particular home but that the house makes a statement about the design qualities of the brand.

4. The influence of sales staff

The helpfulness of sales staff on developments also plays a role in shaping consumer perceptions of the housebuilder. Bored or off hand sales staff could undermine the builder's reputation in an instant.

5. The type of location associated with house builders

One argument often put forward is that location is the most important factor in choice: a good location will overcome any prejudice against a particular builder. Our research confirmed that location is vital in the decision of what to buy.

However certain house builders have the reputation of building in good, or less good, locations. The ability to secure prime locations is part of the builder's brand image.

6. Perceptions of market sector

Consumers understand that different house builders are geared to different market sectors. Although some builders may build a wide range of properties, people tend to pigeon hole them into a particular category. These judgements about market sector were made on a combination of criteria, particularly price but also style of property and development.

Some customers who were looking to buy at the affordable end of the spectrum thought that this part of the market had rather a mixed reputation and was seen sometimes as a risky purchase. Nevertheless economic pressures meant that people were sometimes prepared to take that risk even if there had been bad publicity about a particular builder.

There was an optimistic feeling that certain companies who had acquired a bad name in the past had greatly improved the quality of their products.

7. Media exposure and reputation

Shock horror stories in the media do have an impact on reputation. However people place much more credence on their own experiences and the recommendations of people known to them. Bad press can be damaging but most people would not be swayed only by this. People believe damaged reputations can be redeemed. Nevertheless media coverage does play a part in contributing to overall brand image.

8. Customer care and brand values

The potential purchasers felt that the relationship that they had with the house builders was an important element of that house builder's reputation. It would influence their likelihood of buying again from the builder and of recommending them to family and friends. The qualities they sought were:

  • Friendliness and approachability
  • Accessibility
  • Reliability
  • Responsiveness
  • Trustworthiness
  • Honesty

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