PRINCIPLES AND PRACTICE OF MARKETING (RES452)

COMMERCIAL PROPERTY (RES452 2A)

SOHO (ESTRALLA RESIDENCES)
by
RE’VOLUTION DEVELOPER

Group Name / Student ID Task

1 DIYANA MARIA BINTI MUHAMMAD / 2020963133 • Introduction
NURUL SAHIRA BINTI NOOR KHALIM / 2020963371 • Name of
AMIR AIMAN HAKIM BIN AB RAHMAN / 2020985911 Company
AMIR AZHAN BIN ALIAS / 2020993429 • Vision &
Mission
• Product
Description
• Plan & Location
of Business
2 AKIL ASYRAF BIN MUSTAFFA / 2020837036 • Cover page
AQILAH SYAUQINA BINTI AFIF / 2020968293 • Table of content
NUR ASYIQIN BINTI MAZELAN / 2020462074 • Market
NUR FARZANA BINTI ABDUL RAHMAN / 2020865784 segmentation and
NUR SYUHADA BINTI HAJI MOHD SOFIAN / 2020952595 targeting
3 NOR ATIRAH BT CHE JUSOH / 2020973595 4Ps of marketing
FARHANAH NUR NATASYA BINTI ZULKIPLI / 2019229516 mix
NUR AFIFAH BINTI MOHAMMAD SABIR / 2020983193
DEANNA NUR IZDIHAR BINTI DANIL / 2020995243
 DESSEY EROY ANAK CLEMENT IMAN / 2020963319
4 MUHAMMAD ERFAN FARHAN BIN MOHAMMAD FADZIL Future plan
/ 2020957435 Conclusion
AMIRUL ANNUAR BIN AHMAD JALANI / 2020959413
MUHAMMAD SHAHIR BIN SHA’MAR / 2020951175
 TABLE OF CONTENT

No. Topic Page

1 1.0 INTRODUCTION 1-7
1.1 Name of Company
1.2 Vision and Mission
1.3 Our Product
1.4 Location of Business

2 2.0 MARKETING SEGMENTATION AND TARGETING 8-14

2.1 Marketing Segmentation
2.2 Marketing Target
2.3 Market Differentiation
2.4 Market Positioning
3 3.0 4PS OF MARKETING MIX 14-22
3.1 Product
3.2 Place
3.3 Price
3.4 Promotion
4 4.0 FUTURE PLANS 23-27
4.1 Cooperate with other companies
4.2 Product price depends on location
4.3 Design of the product
4.4 Customer service
4.5 Corporate social responsibilities
5 CONCLUSION 27
References 28
1.0 INTRODUCTION

RE’volution Developer is a company developer. Our company offers a property to the

customer on their need. Then, we are also encouraging people to have their own property
especially among the carrier people to purchase property from our company. Besides that,
we want to ensure our property can fulfil our customer needs and give satisfaction to
them with the good quality of our product.

We also want to ensure our company are good and best developer. So that we must
ensure we have extensive experience in delivering quality projects to the customer. At the
same time, a good developer company must have strong relationships with great
architects, material suppliers and construction companies to make sure the outcome are
truly outstanding property in the end.

Generally, in Malaysia have a lot of company developer but to be a good developer with
quality product must have a great reputation. Furthermore, the good developers not only
committed to delivering projects without faults but need to more motivated to fix any
problems if they arise. But, usually the best developers in Malaysia just want to keep their
reputation for being well to be the best developers in Malaysia. That means they are less
likely to risk their image as good developers. So that their just ignoring customer
complaints or just avoiding fixing problems during period such as receiving vacant
possession of a building.

RE’volution Developer want to ensure all the service that we give and all the property we
produce must meet the customer satisfaction. Also, the important part must meet the
safety that government have be aligned to protect the people who are involve in develop
the property and people who will choose to live in our property. With that, we just not
only focus on to produce a good product but must meet the safety requirement to ensure
our customer will be saved and will choose our property as their dreaming place.

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1.1 Name of Company
The name of our company is RE’volution Developer. The reason why we choose this
name as a name of our company because there are related to the business that we run in
the company. This name is short form from Real Estate Evolution Developer that means
we are the company that run the business that related to the real estate so that name close
to us as a developer. At the same time this name wants to show that our company will
grow up followed by the evolution of technology nowadays. In the same time, to ensure
that our company followed with the evolutions of development that government have
been line out in the policy of the country.

Also, the developer needs to know with the development that have be happen and will be
happen in the country to plan the new development that our company can do align with
the development that has been happen in the country. Besides that, name of RE’volution
want to show that our company make Industrial Revolutions as a one of guide line that
need to be followed to ensure we are catch up with the environment and the development.
Like now world has been reach with the Industrial Revolution 5.0 so as a developer need
to find out what the best development that we can give to the society based on the
Industrial Revolution 5.0. Where IR 5.0 shows the technology more advanced and as a
developer company need to find the best design and property to be develop followed with
the technology also needy of the demand in market.

In Malaysia have a lot of developer that have their own firm and our company one of
them. So we need to compete with them and must have a good objective to plan the
property that can give revolutions to our project of property. RE’volution Developer also
want to build the property that can help more community to have their own property.
Other than that, our company want to serve a good service towards our property, because
we want to ensure people can access all the facilities in our property.

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1.2 Vision and Mission

1.2.1. Vision
Each one of us at RE'volution Developer has made an independent commitment to
excellence. The outcome of a cooperative desire to be the best we can be implies that our
job as an organisation is ultimately a premium product. Both in the form of developing
long-standing customer relationships or achieving outstanding project outcomes, our road
to success is powered by our own internal barometers, with the ultimate objective of
surpassing desired outcomes.
We are driven as a company to: -

- Delivery of client-focused, team-oriented resources.

- Create equity across our full-service commercial real estate leasing, sales, land
maintenance, construction services and company sales capabilities.
- Often serve the best interests of our customers.
- Take on a transition in the industry and devise solutions for our clients to produce
the desired outcome.

1.2.2. Mission

We are a forward-thinking organisation that aims to look beyond now and to be able to
devise plans for potential growth on behalf of our customers and our society. We remain
committed to our responsibility as the leading provider of commercial real estate services
and will continue to cultivate our team in order to be able to deliver our customer with the
best services for the long term.

We run our company with a vision for the future that helps build and strengthen the smart
growth of our communities. We will continue to adopt innovative approaches to
technology and communications to preserve productivity and to support our clients
effectively. Will consider each client's challenge as an opportunity to be innovative with
our approach to providing solutions.

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1.3 Our Product
SOHO

Our company always the best company delivering a comfy and strategic Small Office,
Home Office (SOHO) unit to our customers located at the heart of the city. This is
Estralla Residences SoHo and it is strata-titled property. The name Estralla itself bringing
the modern vibes as the SoHo is built on a fundamental of modern elements. The
prestigious Estralla name is taken from the language of the Catalan which referring to a
star. Furthermore, the bright star is believed to bring the shine on our company which
then leads us towards glory and triumph and shine like a shining star in this world.

Next, the Estralla Residences SoHo is a hybrid home and office unit on a commercial
land which can be utilized either for offices use and can also be an amazing residential
home. Regarding this concept, this unit integrates working space and personal life thus
can make all the space in growing the productivity rate. Our SOHO units are uniquely
designed to meet the customer satisfaction and ultimately the best to serve for the
commercial purposes.

The most crucial part is that our units are similar with other SOHO units which got the
commercial title and also can be utilize for residential purposes and the units is protected
under House Development Act (HDA) as this unit have a standard Sales and Purchases
Agreement (SPA).

Our SOHO unit is most suitable for self-employed professionals who needs a working
space instead of a home to stay and they might find this unit is very convenient to be used
as living space and working space. This unit also works best for a small business
consisting to maximum of 10 employees regarding the spacious area of the units. Our
SOHO units also have a unique interior design designed by our most reliable and creative
designer which can provide the most for the client out of the limited spaces.

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These are some suggested plan suitable for our targeted customer. It consists studio type
(TYPE A), 1 bedroom house unit (TYPE B) and 2 bedroom house unit (TYPE C).

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 TYPE B
450 sqft

TYPE C

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1.4 Location of Business

1.4.1. Physical location of the project

Jln Plumbum 7/100A, Seksyen 7, 400000 Shah Alam, Selangor

We have decided to build 36-storey SoHo apartment including 1-storey retail shops and
4-storey car park. Near to the town area, this is a strategic place to attract buyer and
tenants. Near to the residential area, hospital, public hall, educational institute
(UiTM and UniKL) and schools.

1.4.2. Building 1.4.3. Basic amenities

● Type : Commercial ● Water : Syarikat Bekalan Air
● Structure : 36-storey towers Selangor Sdn. Bhd
● Size : 328.08 ft x 209.97 ft ● Electricity : Tenaga Nasional Berhad
● Land cost : RM 130,000, 000 ● Communication line : TM Net

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2.0 MARKETING SEGMENTATION AND TARGETING
2.1 Marketing Segmentation

According to Evans, (2017), marketing segmentation is the process of separating a market

into meaningful categories that are significantly closer and recognizable. Market
segmentation helps marketers to target various groups of consumers who view,
differently from each other, the full value of those goods and services. It also an
extension of market research that aims to define targeted groups of consumers that are
appealing to the market to customize goods and advertising. Market segmentation aims to
reduce risk by evaluating which products are most likely to gain a share of the target
market and the best way to deliver the products to the market.

For our SoHo project, the target market will be young adults, students from a private
college, and senior civil servants. We will only focus on our target market to attract them
as our buyers and tenants. Since the location for our SoHo project is in Seksyen 7,
Shah Alam, this area is suitable for our target market to live in because it is near to the
office, university, public places, malls, access to public transportation, etc.

There are bases of segmentation that helps divide the group of consumers in the market
based on this basis which is geographic segmentation by countries, nations, cities,
neighbourhoods, and climates, demographic segmentation by age, gender, religion,
ethnicity, occupation and income, psychographic segmentation by personality, motive,
lifestyle, and social class while behavioural segmentation by benefits sought, application,
user status, usage rate, and brand loyalty. The aim is to allow the company to characterize
its goods or messages according to the market segment's common dimensions.

For our SoHo project, the basis of segmentation that is applied will be psychographic
segmentation and demographic segmentation. We choose psychographic segmentation
because this kind of segmentation tells us what consumer want to do and why they want
to purchase it. Psychographic segmentation is when you break down your consumer
groups into categories, as it relates to their interests, preferences, and purposes for being.
The psychological factors that impact consumer behaviour, such as personality, motive,
lifestyle, and social class. For personality, we learned the personality traits of our target

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market which are neuroticism, extraversion, openness, agreeableness and
conscientiousness to ensure our target market are attracted to our project. For motive, we
ensure our aim of the project is the same as our target market motive. For lifestyle, we
promoted our product and services based on our suitable target market that match our
project. For this segmentation, the target market that suitable is young adults and
students. It is not considered as a hobby because it determined the lifestyle that our target
market choose. If our target market chooses our SoHo, they will have a lavish lifestyle
because our SoHo has aesthetic design and bring the modern vibes. For social class, we
attracted our target market which are middle class and upper class when there is a direct
connection between interest and consumption of our products and services directly.

For demographic segmentation, we choose it because is the most widely and commonly
used for market segmentation. Demographic segmentation refers to the process of
segmenting your market into groups based on ethnicity, age, gender, income, religion and
occupation. For our SoHo, we only focus on income and occupation because it can help
us determine our marketing more efficiently and it influence the buying power. For
income, we divide it based on the personal income. By that, we can see which group have
the high income, middle income and low income. After we identified the income group
and exclude the income group that does not match with our target market, we will
proceed to segmentation by occupation. For occupation, the target market for our SoHo
project is servant from government sector and private sector because occupation play a
big role in decision making on how they purchase the products or services.

2.2 Marketing Target

Segmenting our target market is a common step in marketing strategy. We have multiples
types of customer who have interest in our product. We have gathering and processing
data makes up the majority of the market research and marketing strategy. Identifying the
target market for us is an essential step in our company in the development of a marketing
plan. Not knowing the target market will cost a lot money and time for our company.
Based on segmentation, our target market refers to a group of customers who make up a
target market share similar characteristics such as geography, buying power,
demographics and incomes. Our company have testing a target market before product

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released in order to know which aspects of the product the strongest.
Our Target Market are as below:-
➢ Young adults
➢ Students
➢ Government sector and private sector (occupation)

2.2.1 Young adults

Back to the definition of SoHo, SoHo is shop office and home office, so it designed with
shop at the bottom. It definitely fulfills our target customer which is young adults. Based
on segmentation, young adults have been categorized under psychographic segmentation
which is lifestyle that plays a huge role in whether or not our product will appeal to them.
Young adults definitely choose grand lifestyle especially for those like to shop and stay in
luxury surrounding. Some research show, some of young adult things about lifestyle
which is they like to buy attractive house that provide more features like shopping malls,
restaurants and so on. Our target should be young adults that can afford to buy. So, they
will be our target to buy Estralla Residences SoHo that surely have attractive priced and
strategic location in order to meet customer satisfaction.

2.2.2 Students
We choose students as our target customer definitely because of the location is near with
UITM and other private college. Based on group segmentation, students that have social
status will afford to buy or rent. Social status is about the place people occupy in their
community that has a direct correlation to their purchasing behavior. This student will be
categorized as upper class that these people with vast personal and family resources.
There are a not concerned about the costs of our SoHo. The good things about social class
is that it is straightforward when compared to lifestyle. Student will rent or stay with their
friends especially that generally educated from private college such as HELP University,
Al Madinah International University and ALC college. But the general consensus is that
our SoHo is of a distance from the University, but they might stay at our location because
of social status.

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2.2.3 Government sector and private sector

When look at the location of our project property, it definitely close to Hospital
Shah Alam and the most important is UITM. On this case, Government sector refers to
Hospital and UITM. Private refer to part of the economy that is run by individuals and
companies for profit and is not state controlled. Actually, more than one company
running nearby this area, so we just assume them to be part of our target marketing.
Employer who has been work at Hospital which is Doctor, Nurse with high position
doesn’t have specific time. Besides that, many of them do not want to involve in crowded
traffic so they took the action to live near with their office. Just look at their position, of
course a task as a Doctor is not easy and have not a right timing on their work.
Sometimes can be, they had a called for a case that need them to be there in a short time.
When we focused of this issue, they want a house or shelter nearby by their office and we
consider our property meet their criteria.

Same goes to UITM, but for this target marketing we just only focused on educators
Professor or Lecturer who living in small family and the important one is with high
monthly income. This target marketing have been categorized under demographic
segmentation which is (income). Why we mentioned only to educators with high monthly
income? It is because related with their high position and with this income, we know they
afford to live in our property SoHo. The other reason is mostly same with the Hospital we
mentioned above. Want to reach earlier, do not want to face traffic congestion, and the
most important is when we live nearby and stay with family it can simplify our life. Also,
if had emergency to come to University like “urgent meeting”, they can be reach at that
time without face other problems.

Back to private sector, this is actually random because too many company running nearby
here (Seksyen7). As all we know, private sector with a huge department normally offers a
high salary. This is one of the reasons we focused about. Many of them (workers) also
looking where’s place to stay. So with our property, we can approach them by choosing
SoHo as their living place. Seksyen 7 also have many of public transport such as Bus,
Grab, and also LRT that located around 20mins from our property. With all these
facilities, we might be sure people will be interested to choose our property.

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Our target market is around Malaysia but in future the company’s product sales grow, we
may expand its target market internationally. International expansion allows our company
to reach a broader subset of its target market in different regions of the world. In addition
to international expansion, our company may find its domestic target market as its
product gain more traction in the market place. In facts, expanding and growing target
markets are more reason for our company to monitor the sales and customer preferences
for evolving revenue opportunities.

2.3 Market Differentiation

Our SOHO units are uniquely designed to meet the market satisfaction and ultimately the
best to serve commercial purposes. Our SOHO has a unique exterior and interior design
that will make it easy for you to combine living space with a workspace. Our SOHO was
very suitable for bachelors and newlyweds who want a lavish lifestyle and want to live
near the city with the office environment. Therefore, our SOHO was really suitable for
young people who want to find small office space near to home but do not have enough
budget to buy or rent these two types of property, so our SOHO was the answer. This
SOHO is unique because the environment is very accessible if you plan on driving, our
SOHO is really near to Federal Highway, New Klang Valley Expressway, and the new
one was West Coast Expressway (WCE). Overall it's making our SOHO as a whole a
little bit more accessible. For you who really enjoy walking, it only takes 10 minutes
walking distance to the new LRT project, Hospital Shah Alam, and most importantly near
to Giant for you to find your needs.

Next, our SOHO is very concerned about security that why we have 3 tiers level of
security which is we have a guardhouse and you need an access card to go up the building
and to go to the respective level that will encourage more privacy and security. Also, we
have an infinity swimming pool that producing a visual effect of water with no boundary
and give you a panoramic view, that suitable for those who do not like to go out and want
to ‘rest and chill’. Our SOHO emphasizes the concept of serenity, therefore we have a
garden landscape that can provide the concept of serenity for you who are tired of work,
want fresh air, and prefer a quieter environment.

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As for the interior design our SOHO was designed with high ceilings and full glass
windows all to down that will give you a living and workspace more spacious and give
you a very beautiful kind of view than a typical office unit. Next, for the second floor or
lofts was the space for you to rest which is a master bedroom that will give you ‘chill
vibes’. These 2 floors were divided because we want to give you space to work and space
for you to live with the dual function of office and residential use along with the concept
of SOHO. All the units were partially furnished with a fully fitted bathroom and a
compact kitchen. Our SOHO was an urban culture that we want to give you a residential
option with an edgy lifestyle with commercial use.

Figure 1 Unit SoHo

2.4 Market Positioning

Market positioning is referring to our consumer perception towards our products to

compare with others products. This defined as the location of our product in customer
mind. In order to attract customer, bundle of attributes join to create a concept that aims
at capturing the target market. It is also to differentiate our products from others so it can
give the customer the reason to buy.

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The SOHO units that we provided will be the affordable and luxury property in our
customer mind. This is because of the complete facilities that will be provided and also
the unique design of our unit that meet the customer expectation. The price that will be
offer for the customer will be in reasonable price so that our customer will have a solid
reason to buy the property at our SOHO. The market position that our SOHO target is to
be the affordable, luxury and well maintain so that we achieve to get 100% sold property
in our SOHO. It is also to attract more people to come to our SOHO.

The promotion that our SOHO will be use is in prestige way. This because we provide the
luxury facilities to our customer so that they can have the perception of prestige towards
our SOHO. With this promotion it can attract customer who want to have luxury life in
affordable price to buy our SOHO.

3.0 4PS OF MARKETING MIX

3.1 Product

A product is anything that can offer in a market for attention, acquisition, use or
consumption that might satisfy a need and want. The product in this company will offer is
Small Office, Home Office as known as “SOHO” which can be customized based on
customer tastes and preferences. The product is tangible.

This product also has interesting service. Service is a form of product that consists of
activities benefits or satisfactions offered for sale that are essentially intangible and do
not result in ownership. In our company has one classification of service is profit making.
Profit making service is any organization that focusing on how to generate profit and
make money like ‘SOHO’ which is you can generate profit from business with relax.

3.1.1 Product Level

There are four level of a “SOHO”. This model is developed because consumer actually
has different level of need. Consumer can choose product based on their perceive value of
age by grouping the product into this level and a line in customer segment. Our company
also think how to attract buyers on four different levels, which are the core product,
tangible product, augmented and promised product.

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 1. Core Product
The core product is what the customers are buying and the benefits it gives. Customers
will buy commercial property because comfortable and flexible to do work (Adrenalin,
2020). It is also have bedroom. So, if you tired, you can rest in this room. It is can help
you refresh to do your work when you have comfortable bedroom. We choose colour
blue and white aimed for a sense of adventure. From stimulating hues to rich textures,
there's no shortage of visual interest throughout the space, especially in the main
bedroom. The design scheme features a custom bed and sofa, for make you more relax
and calm.

2. Tangible Product
The tangible product is reflected primarily in its quality level. Actually our commercial
property has a new design for you in 2020. This design, we relate in company situation
with new trends and unique modify furniture. We use high quality furniture in ‘SOHO’.
The designed with high ceilings and full glass windows all to down that will give you a
living and workspace more spacious and give you a very beautiful kind of view than a
typical office unit. If you have started your business the best thing to do is to have some
fun with exterior

3. Augmented Product
The augmented product is the extra consumer benefits and service provided to our
beloved customers. In our commercial property have security guard which is can help for
care about our commercial property. We also have fire safety service in this SOHO. Fire
protection measures lead to a quantified level of fire safety in buildings, provide minimal

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strategies to mitigate fire hazard and do not account for contemporary fire hazard issues.
Fire protection systems, proper regulation and enforcement of building code provisions,
enhancement of public awareness and proper use of technology and resources is key to
mitigating fire hazard in buildings. It is also to improve fire safety in buildings include
developing cost-effective fire suppression systems and rational fire design approaches,
characterizing new materials and developing performance-based codes. It is intuitive,
visual and aware of its surroundings, making it an ideal tool for staff on the ground to
rapidly understand the status of buildings and locations around them, helping safeguard
both public and staff.

4. Promised Product
The promised product is a characteristic that is attached to the product overtime. Our
product very excellent property which is you can get high profit if you sell this property
in future because we near with town in Seksyen 7, Shah Alam. This SOHO near public
transport such as Bus, Grab and LRT located around 20mins from our property. So, make
you easy to get public transport and amenities. Our SOHO also gives you more relax and
calm when you buy and can increase productivity employee. So, buy now and don’t wait
again.

3.2 Place

Place (or its more common name “distribution”) is about how a business gets its
products to the customers. The objective of distribution is clear. It is to: to make
products available in the right place at the right time in the right quantities. Distribution
matters for a business of any size – it is a crucial part of the marketing mix. Marketing

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Mix Place and Distribution strategy is about how effectively our company gets its product
to consumers and end users. This company can sell their products directly to the
consumer (direct distribution) or through intermediaries (indirect distributions). The best
marketing mix place method will depend on the product needing to be distributed and the
"wants and needs" of the firm's customers.

Selecting the most appropriate distribution channel is important, as the choice will
determine sale levels and costs. The choice for a distribution channel for any business
depends on numerous factors, these include:

• How far away the customers are

• The type of product being transported
• The lead times required and
• The costs associated with transport

Distribution strategy is a comprehensive process of making products and services

available to businesses and target customers for their use. There are five types of
distribution strategies that (SOHO) unit could have chosen from, these are: direct,
intensive, selective and exclusive. It is apparent from the RE’volution Developer product
on market that the business in the past used method of intensive and selective distribution
as the product is available at every method. Furthermore, this strategyto ensure that
their products are being catered to the greatest number of consumers possible. Such a
strategy can include a long distribution channel or a short one, depending on the needs of
the target market. In addition, this exclusive distribution also suitable because this unit
has limited outlets. This can mean anything from luxury brands that are exclusive to
special collections available only in particular locations or stores. This method helps
maintain a brand’s image and product exclusivity.

Since the location for our SoHo project is in Seksyen 7, Shah Alam, this area is suitable
for our target market to live in because it is near to the office, university, public places,
malls, access to public transportation, etc. This SOHO is unique because the environment
is very accessible if you plan on driving, our SOHO is near to Federal Highway, New
Klang Valley Expressway, and the new one was West Coast Expressway (WCE).

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Overall, it is making our SOHO as a whole a little bit more accessible. For you who
really enjoy walking, it only takes 10 minutes walking distance to the new LRT project,
Hospital Shah Alam, and most importantly near to supermarket for you to find your
needs. Hence, the properties are attractively priced and in an attractive location that near
with theme parks and tourist attractions, and the huge mall Central i- City. Some research
show, some of young adult things about lifestyle which is they like to buy attractive
house that provide more features like shopping malls, restaurants and so on.

3.3 Price

Every company needs to set prices for the services or product that it provides. For this
purpose, RE’volution SoHo devised a pricing strategy which will help determine the
prices of different units, sizes and services offered at our SoHo as well the degree of
flexibility regarding individual prices. Therefore, we decide to use value based pricing
strategy where it is a strategy of setting prices primarily based on a consumer's
perceived value of a product or service and it can determine the most suitable price for
our unit. This approach regards the following as marketing/price truths which are to the
customer, price is the only unpleasant part of buying, price is the easiest marketing tool to
copy and price represents everything about the product.

The goal of value-based pricing strategy is to fit the price with the customer’s
perspective, introduce customers to a property at a low risk, gather interest in a property,
and build brand loyalty since its determined by the perceived value and genuinely reflect
the value of our property. The major objectives associated with this pricing strategy are
to:
• Hook in new target market
• Create market share
• Undermine established market leaders
• Develop the services that customers want

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These goals are achieved through charging the highest price possible from the start. We are more
likely to earn more as time goes on and can get an even better sense of what our client’s value. It
can also begin to add more valuable products and services, giving us more opportunities to raise
our prices and earn more profit. Besides that, our company will use a price monitoring
software to track average market prices over a given period of time, then use that data to
calculate their introductory price.

The first and foremost advantage of using this strategy is increased value of the property. The
high price of property makes people think that the property is worthy and superior quality. Thus,
it can increase our profitability as we can charge high prices for the units since the value of
property increases in the eyes of customers. It can also help us to develop higher quality property
and services. Exploring our competition will help us understand the advantages of our property
and services, which is where marketing should focus on, and its disadvantages, the parts that
should be altered. Taking on a customer’s perspective will help us discover what clients are
really looking for in our solution.

This strategy makes us better understanding of the playing field because it requires a lot of
research. This research gives us a better understanding of our customers, competitors, and
market. Thus, we have more insights about development and the research that we do on

competition and needs of our target market can spark ideas for project development.

For our initial price range for this SoHo project will be as low as RM 308 000 up to RM 450 000
since young adults, government and private sector’s worker and students are our target market,
especially students that come from high income group that afford to buy or rent our unit. While
for government sector, based on data from salaryexplorer.com, the average salary of government
worker is RM 7200 per month that can make them affordable to buy or rent this property. For
our rental price range, it will be as low as RM 800 up to RM 2100 per month.

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Price Strategy: Competitive Pricing

As a new developer company, we have decided to set prices for our SoHo products based on
competitive pricing. Thus, the price for our SoHo product is starting from RM 308,000 which a
little bit higher than competitive product pricing that recently sold. This is because after
conducting an extensive research, we found that our company closest competitor is i-soho @ i-
city Shah Alam. The price of their SoHo products that recently sold is starting from RM 304,000
(Brickz Malaysia).

In this case, competitive pricing can be defined as an act of determining the price of the same
category of product according to the competitor price (Graset, 2015).

Besides, competitive pricing can be divided into 3 categories which are above the competitive
price, below the competitive price and at the competitive price (Khartit, 2020). Thus, we have
decided to set our SoHo product above competitive price.

Factors that influenced our company to applied competitive pricing because the prices are
relevant with the current market. Moreover, i-soho @ i-city shah alam also is in the same product
category as our company. Although the price that have been applied by our company is little bit
higher than competitive pricing, however, the price is still affordable because it is not too high to
burden the buyer and not too low to reduce its value in the eyes of buyers.

Furthermore, this pricing is also our company strategy to reduce the risk of unsold properties.
This is because there are a bulk of unsold units of residential property mainly from the price of
RM 500,000 and above. As evidence, a total of unsold residential property increase from 160,
672 units in 2019 to 163,011 in the first quarter of 2020 and nearly two-third of them are high
rise properties. (Housing Watch Bank Negara Malaysia, 2020).

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3.4 Promotion

Promotion
The aim of promotion activities is to create demand for a product and the services. Promotion is
a broad term that includes advertising, personal selling, public relations, and others. To sell our
“SOHO”, it is necessary to attract attention, create interest, create desire and get action. Either
personal selling or advertising can carry out all of these steps in the selling process, however the
two used together tend to be more powerful. Advertising is ideally suited to attract attention and
create interest in the product (SOHO) and services. Personal selling is suited to creating desire
and conviction on the part of customer and to closing the sale. Advertising and personal selling
are even more effective when supplemented by publicity and sale promotion.

Advertising

Advertising has been defined as any non-personal presentation of goods, ideas, or services by
identified sponsor. In SOHO marketing, these paid public messages are designed to described
present a location area in such a way as to attract consumers. This can be done through of the
major advertising such as the internet, newspapers, magazines, television, or radio. Effective
advertising gains the attention of the prospective visitor, holds the attention, so the messages can
be communicated, and makes lasting positive impression on the prospect’s mind.

Internet
For our SOHO advertising, we use email and websites to attract our customer. E-mail and
websites have very rapidly established themselves as one of the most pervasive and most
powerful means of directly communicating with individuals in market place. They have the
ability to be interactive, show rich multimedia and be available 24/7. They are particularly
valuable to small and medium size agent operators who had in the past difficulty conveying
information regarding on product (SOHO) and services to the potential customers. With internet
we can promotes through Instagram , Facebook, Telegram, Twitter and others social media.

Newspapers
Newspaper give comprehensive coverage of a local market area, are lower cost than other media,
are published frequently, are flexible (short lead time) and timely, have a wide audience, and get
a quick response. So, within newspapers we can promote our SOHO through newspaper because

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our target is for adult and who already have a job. Of course, they will buy newspapers to read
an information in news.

Television
Television presents both an audio and a visual message and come as close to approximating
personal selling as a mass medium can. Television requires minimal exertion on the part of
listeners and is very versatile. However, television is not flexible medium, commercials have a
short life, and advertising on television is expensive relative to the cost of using other media.
Nevertheless, despite television’s expense, many destinations are using television and finding it
very cost effective. Cable television provides many opportunities for developers advertising. So,
for our Company we will cooperate with channel television like GO SHOP to promote our
product.

Personal selling
Personal selling is the oldest method of creating demand. Because it is adaptable to the prospect,
it is the most compelling and effective type of selling. In contrast to advertising, which is the
impersonal component in the promotion mix, personal selling consists of individual, personal
communication. Personal selling is so widely used because it offers maximum flexibility. Sales
representatives tailor their presentation to each individual customer. They can tell which
approaches are working and which are not adjusting accordingly. Prospect can be identified so
target market customers are approaches and effort are not wasted. In order to promote our SOHO
unit, we will promote to them by face to face and told them that our product is a high quality.

Public relations
Public relation may be defined as an attitude- social conscience that place first priority on the
public interest when making any decisions. Public relations permeate an entire organization,
covering relation with many publics such as visitors, the community, employees and suppliers. In
other words, public relation is developing a positive relationship between the organization and
the media and the public. To create the public relations, our company RE’volution Developer
need to keep in touch with our past buyers such as give them card anniversary, card holiday and
others to keep fresh in their minds. When their friend a ready to buy the property, our past buyers
will recommend our company so this will increase our customers and sales.

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4.0 FUTURE PLANS

4.1 Cooperate with other companies

Cooperate businesses are organized to improving the power of individual members and also the
service and product quality to the members. We also can reduce the cost during the production
process which is there is a lot of cost that need to expense during the production process. We
also can get opportunities if we cooperate with other companies because every company has
their own benefits like they also can sponsor some of capital to our company Estralla Residence
SoHo.

Besides that, in the next 10 years our company also can become branded due to relationship
between the other companies. We also can get big opportunities in the market, so that we can use
it to gain some profits and it will become our advantage. In addition, the organization will
become more stable due to the management every company. Next, our company Estralla
Residence SoHo also can be known by the consumers because of our services and also the
management that can make our work become smooth in our way. Our company is a local product
which mean the components for the SoHo in area Shah Alam based on local products. This is
also can make our company has more link to known the other company that produce the product.
So, we also can make our new SoHo’s branches so that we can gain more investor to our
company. Because of that we can gain more profit if we sold the SoHo to the society.

After that, our company in the future can be growth because many cooperative members will
give more sponsorships and fundraising. This industry will give more good impact to our
company and also the society and we can make sure that our company can be more
accountability to this business. In addition, we also can discuss in the new way of market price of
the product maybe in the next 10 years we IR 5 the SoHo can be upgraded due to industry
improvement. Maybe our company can collaborate with big companies to expend the ideas and
also the funding.

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4.2 Product price depends on location

Product price is very important in marketing strategies and planning process to setting the right
price. As we know, price is basically an amount of money that can be change to a product which
mean something that we buy has a benefits for us.

The prices objective to our company SoHo is a reasonable price. Which mean our SoHo’s
location is around the Shah Alam near UiTM, hospital and also the other shops and supermarket.
The location is a very strategic place so as we know in Shah Alam is a lot of students and also
workers around there. So, our target is them which is to attract them to tenant or buy our SoHo.
In this kind of situation right now, we got into the pandemic Covid-19 so some people will need
the shelter. We as a better company will setting up the price as a reasonable price which is not
too high and too low, the price must be equal to the market price to target the consumers. So that,
we can gain more profit and also consumers. This kind of strategy also can make our company
be known by the local company and also the foreign company.

Before the next 10 years, our company will do some inspection and also a report to the location
either the location in Shah Alam will gain the profit or loss for our company. In other way, if our
product gain more demand we will mark-up the price due to the limited product SoHo. Let’s say
in 2020 our SoHo’s price is RM 500,000 but in 2030 if we get more demand at that time we will
increase the price maybe above RM 1 Million due to time and also the demand. If the company
had be wrong about the demand, we will get a huge losses.

Psychology said that people will buy a product with the odd numbers because it will attract the
consumers view and create a perception of consumers to the price which is they saw the price is
cheaper that actual price. So, our product SoHo can be actually in market competition with other
companies.

4.3 Design of the product

A good design of product especially in property market can open up valuable opportunities or
benefits in business. We can plan to custom our SOHO unit by feedback of our customer need
and preferences. This way can add value to our product and win the customer hearts. Design that
satisfied our customer feeling will make a strong reason why they should buy this unit from our
company than another competitor that provide the same product or SOHO unit. So easy for

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company to strengthen their marketing approach due to greater number of loyal customer to
company product. Company also need to do some research about trend or new interior design
that have high demand in the market. So that our company Estralla Residence SOHO can advise
some of our customer with this design.

Example of interior design that have higher demand in market:

Some of customer are willing to pay more for this kind of property because it give some added
value. So that company can make a maximum profit for all unit of SOHO that have been sold to
customer and give higher revenue to company. This can make our company more productive and
have high ability to create a new product. Company also should have their own team to create
interior design like what customer need. It will give benefit to company product development
because will have an expert worker in creating a good design and other than that also can
reduced company cost to hire another person to design a SOHO unit. Company easily to get a
need new design because have own team to show at their potential buyer.

4.4 Customer Service

As we know, the world has changed to the modern era where most of the people like to spend
their time in online platform. This create a new marketing strategic that very efficient called
online marketing. Online marketing is the best way to evaluate a new customer because it is
reachable to all user. Company also easy to monitor the existing customer by saving all the
database of their customer. Database is very important to make our company grow rapidly
because it content our customer feeling and emotion. So that can save up company times like can
easily access CTOS database of their customer.

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So the biggest factor that make our customer service good is make sure that we respond to our
customer as soon as possible. Make sure that customer not waiting a long for our respond. It can
cause their less interesting with our product although our product have a great deal in the market.
A great interaction is start when we know what a needs of our target market. It really important
to know your customer and collect all the customer database. One of our target market to buy our
SOHO unit is from people who work for government sector. Important to company to do some
research about our target market before proceed to this project for example level of income or
price that willing for customer to buy our SOHO product.

Key of using this online marketing is our company Estralla Residence SOHO can frequently
check about customer review and rating of our product. Some of customer tend to complain at
review websites that give a bad name to our company. So make sure that always keep in touch
with customer and try to give a best deal for both.

4.5 Corporate social responsibilities

Corporate social responsibilities ( CSR ) are refer to the practices and policies that applies by a
company that have aims and target to acquire and have a positive influence and reputation on the
world community. The main goal of corporate social responsibilities is to ensure that the
companies can achieve consumer - owned pro - social objectives in addition to maximizing the
profit gained in long term.

In my view, this method can applied to our company, which is Estralla Residence SoHo as to
ensure that our company can be hold in the real estate market for a long period of time. My
suggestion for the corporate social responsibilities that the company can do is get or manage the
soho development is the areas or places that are damaged caused by the natural disasters such as
earthquakes and floods or fires at low prices.

Although this method considered as a considerable loss at first because of the social communities
that we made it, but it will provide a lucrative profit return in the future where the customers will
be overwhelmed by the services of our company as well as it helps our products to become
famous in the future where it will be introduced to other customers that want to use our product.

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4.6 Patent

Patent is a form of protection that provided by the government or the highest adan of an executer
to the investors as a form of security guarantee against inventions made. In other words, a patent
is an exclusive right to a product of goods or services or generally the provision and production
of an alternative or new way of making changes or measures or offering new technical solutions
to problem encountered.

My suggestion about this method to the Estralla Residence SoHo company is to patent our So Ho
product as our brand ambassador. This is to ensure that our product is well - certificated and can
be introduced more widely and able to give the excellent satisfaction to the uses whom using our
service.

The benefit that can gain from the patent of our product is it can make our product have got the
protection or insurance that providing shield to our product from being copied or pirated from
the companies that make product same to our prototype. Secondly, we can easily sell our product
in real estate market without take into account the progress from the competitors. In other words,
we can monopolize the market from our SoHo product.

5.0 CONCLUSION

After the research for our project, we are totally agreed and proceed to these strategies. Besides
that, we have all agreed and hope that our company will be better and more capable in providing
excellent services to our consumers on our products and all aspects related to our product in
Seksyen 7, Shah Alam.

Besides that, our company’s product SoHo is at a reasonable price to consumer budget. We also
have a safety features that comply with set standard because safety is a first priority to our
consumers. Next, we also focus on promotion and advertising our product SoHo to marketing
platforms.

For overall, this company will be able to survive in a longer on the vision and mission of the
company itself. Thus, our company can be a greatest and outstanding in real estate marketing if
we are looking the other best company to invest to our company Estralla Residence SoHo.

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6.0 REFERENCES

Housing Watch. (2020). Housing Market Development. Bank Negara Malaysia. Retrieved from
https://www.housingwatch.my/02_market_04_unsoldproperties.html
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https://www.lokad.com/competitive-pricing-definition
Khartit, K. (2020). Competitive Pricing. Investopia. Retrieved from
https://www.investopedia.com/terms/c/competitive-pricing.asp
i-Residences i-Soho @ i-city Shah Alam. (n.d.). Brickz Malaysia. Retrieved from
https://www.brickz.my/transactions/residential/selangor/shah-alam/i-residence--i-city-/non-
landed/
Nicky Lamarko. (2018). The Advantages of a Cooperative Business. Retrieved from
https://smallbusiness.chron.com/advantages-cooperative-business-23592.html
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(2009). Use design in your business. Info Entrepreneurs. Retrieved from
https://www.infoentrepreneurs.org/en/guides/use-design-in-your-business/
Steven MacDonald. (2020, December 11). 5 ways to deliver excellent customer service. Retrieved from
https://www.superoffice.com/blog/five-ways-to-deliver-excellent-customer-service/
Bold Patents (2020, January 7). The Top 3 Advantages and Disadvantages of patents. Retrieved
from https://boldip.com/blog/advantages-disadvantages-patents/
Jason Fernando (2020, November 17). Corporate Social Responsibilities. Retrieved from
https://www.investopedia.com/terms/c/corp-social-responsibility.asp
(n.d). Reading: Benefits of value-based pricing. Lumen Learning. Retrieved from
https://courses.lumenlearning.com/cochise-marketing/chapter/reading-benefits-of-value-based-
pricing/
(2020, January 24). Guide to Value-Based Pricing. Pasaban. Retrieved from
https://www.pasabanaccounting.com/guide-to-value-based-pricing/

Evans, M. (2017). MARKET SEGMENTATION. In Brand Planning for the Pharmaceutical

Industry (pp. 25–32). Routledge. Ret https://doi.org/10.4324/9781315261379-11
Ndukwu, D. (2018). Demographic Segmentation: Definition, Examples & How to Use it.
KyLeads. https://www.kyleads.com/blog/demographic-segmentation/
Ndukwu, D. (2020). Psychographic Segmentation: Definition, How to Use it, & Examples.
KyLeads. https://www.kyleads.com/blog/psychographic-segmentation/
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