The fundamentals of China's real estate sector are changing dramatically.
In the past, buying a home was widely seen as a primary means of investment and even as a form of speculation.
Now, the traditional batch copy development model no longer works. As a pillar industry that contributes nearly 1 4 percent of China's GDP, real estate urgently needs to introduce a new development model.
At this stage of structural transformation, it will undoubtedly take several years for real estate companies, ordinary people and practitioners engaged in related industries to complete self-reconstruction.
Written by Abscisic Acid Article Architect Ma Jia Produced by Series A Finance
What is the real estate industry like in 2023?On the supply side, Evergrande, Country Garden, and Sunac have collapsed one after another, causing significant impacts and losses to the financial market and upstream and downstream industrial chains. On the consumer side, after two generations of mad running, supply exceeds demand in most cities, and the national transformation from a seller's market to a buyer's market has become the main theme overnight. In the past few years, the strengthening of policy regulation, the increase in taxes and fees on second-hand housing transactions, and the tightening of mortgage policies have put a tight spell on the real estate market. Since the beginning of this year, the property market in various places has successively introduced relaxation measures, and Guangzhou, Shenzhen, Shanghai and Beijing have successively announced the implementation of the policy of "recognising houses but not recognising loans". This situation has led to widespread belief that the real estate industry is about to have a breakout moment.
Pessimists complain about the general environment, optimists perceive faint light.
Standing in the old thinking, complaining about the downward cycle is a kind of collective correctness, as if everything is really like a mantis arm as a car. However, this is a kind of self-subconscious blinding, not the truth of the industry.
Real estate is at its darkest hour, but it's not the whole of the industryThe new signal is that society is evolving from being dominated by rigid housing to being dominated by improved housing. It's counterintuitive, but it's true.
This process is irreversible, and once the people perceive what a good house is, they will never be able to go back to the old property market system.
Smelling the industry signal of "rigid demand" shifting to "improvement", some real estate companies have begun to put forward product strategies from the top.
At the beginning of this year, Poly launched the product concept of "Humanistic Community" and the product and service system of "Tianyue Ren", aiming to create an ideal living environment with a stronger sense of belonging, inclusiveness and community spirit.
At the same time, CR Land reshaped its brand strategy and officially released its annual brand proposition of "For a Better City", always adhering to the high-quality strategy to help the city's comprehensive and high-quality development.
Product strength has become the best touchstone to measure the comprehensive strength of a real estate companyWhoever can quickly jump out of the traditional scale effect and capital compound interest routine, and turn to the "single-disc doctrine" idea that pays more attention to a single project, will be able to gain the initiative in the future industry competition.
Single-disc doctrine, as the name suggests, is to focus on a single real estate, abandon standardization, and wholeheartedly create a project development model.
Doing a good job in a project is the biggest way out for this industryFor example, the brand Chenjia 100 has only been established for more than two years, which is a completely unfamiliar brand to the market, but this brand is remembered by everyone with only one project. Its first project, in Wuhan's Erqi Binjiang, Erqi Binjiang has the best resources in the whole city, of course, it has also attracted a lot of high-quality real estate companies, such as Greentown, Yanlord, China Resources, Vanke, etc., a large number of real estate companies are developing a huge number of high-end products here, and Chenjia 100 is in this time. Chenjia 100 has chosen a very niche track, and it tries to create a completely different and differentiated product - art mansion. For this project, the team invested a huge amount of design money, and each link presented its artistic aesthetics with the highest dimensional design standards. Even in the final stages, they are holding various exhibitions around art. 
It is precisely because of the good enough differentiated products that Chenjia 100 has achieved a higher premium and a faster flow rate: the average price of the project is about 50,000 yuan, which is 1 higher than the surrounding area50,000 yuan. The total construction area is 70,586 square meters, with a premium of about 10600 million yuan. Chenjia 100 opened with 378 sets of daylight, and 10 sets of surrounding real estate were sold daily. It is not difficult to see that in the current era of improvement and replacement and residential upgrading, developers will do a good job and do the ultimate in a project, which can help the project jump out of the red sea of tragic fighting and change its life against the sky, and can also help the brand to occupy a better position in the entire market and the world.
In addition to Chenjia 100, there is more like Aranya, which is the most typical single-disc doctrine, which has been unknown for many years, why it has gradually become known in the past two years, because the time has come, its scarcity and uniqueness, and what it provides people with is more of a spiritual pursuit.
So, we have reason to believe that2024 is the era when products are king and seeing is believing.
In the past two years, Shanghai's real estate projects were too easy to sell and not worry about selling, so there were few demonstration areas. However, as the demand for housing shifts from "have-not" to "good-not", it becomes necessary to do a good job in demonstration areas.
Since the beginning of the year, almost every project in Shanghai has taken out the attitude of top-of-the-line products no matter what location, so this year we have seen that no matter what product, what pricing, whether there is a second-hand upside down, the decoration standards are the best, giving customers an obvious sense of quality. Secondly, the display area is also done as much as possible, and as big as possible, to show users sincerity and attitude.
Secondly, try to think about it from the perspective of the developer or the first hand of a real estate, in order to comply with the market, it is a pity that the demonstration area that has been made at a cost of millions of dollars has not been seen or interpreted well. Therefore, there is reason to believe that making the product good is only the first step, and the second step is to find a third party who can really understand the product.
Based on this, if a company understands real estate products and knows how to interpret products in user language, then it can help developers solve the problem of product cognition.
This is a rare product interpretation column in the industry with two creative thinking, it is not to re-say the sales rhetoric, but as a detailed supplement to the sales rhetoric, to enlarge the details that are not easy to be perceived by buyers, and to amplify the details that have not had time to be perceived in the short viewing time.
At the same time, the content of this kind of detail is not dotted, nor is it piled upIt's really called Lu Jun, and the content team is determined to find the only product gold line that belongs to the project.
The so-called"The "Golden Thread Theory" is essentially to find the unique product highlights of each project, which is also the consistent content creation principle of Lu Jun's team. They firmly believe that no two communities in the world are exactly the same, and that each development has its own unique characteristics and target customer groups.
As a content practitioner, I am still very emotional.
The point is to convey one thing clearly, rather than listing all the details too trivially. In the future of real estate content, only by distilling the most valuable core points to help potential buyers better understand and recognize the project can we continue to attract and retain the attention of users.
The well-versed Lu Jun team is committed to becoming a reference book or manual for consumers before buying a house, providing more accurate, truthful and convincing information for different real estate projects, truly matching market needs, and standing out in the fierce market competition.
Single-disc doctrine is in the ascendant, and sooner or later it will become a more mainstream consensus.
Talking about the company's future positioning, Lu Jun said: "We don't position ourselves as a self-leading person, nor do we say that we position ourselves as advertisers, the company has a slogan, which is very pure and simple, hoping to help 100 single-disc developers to achieve brand content transformation." ”
In this promised year when the real estate industry is undergoing great changes, it is good that someone is shouting in a small place.