This year’s Ramadan witnessed a significant increase in advertising campaigns from real estate developers despite the noticeable decline in property sales caused by the global crisis kickstarted by the Russian-Ukrainian conflict.
In spite of a high number of innovative advertising campaigns for real estate development companies to showcase their new projects and the luxury they offer, most of them simply reviewed the specifications of these projects.
The ads did not present any Ramadan offers, nor did they announce any new phases due to companies’ inability to price units in light of the high cost of building materials.
The most important companies that advertised their projects this year are Talaat Mostafa Group, which used a prominent Egyptian star to promote the eastern Cairo community ‘Madinaty.’
Ora Developers also used Egyptian celebrities to market and brand its ‘ZED’ project. This is in addition to Memaar Al-Morshedy, SODIC, Palm Hills, Misr Italia Properties, and Maadi for Development and Construction.
Moreover, some companies launched ad campaigns for the first time such as Al-Ahly Sabbour Development, PRE Developments, and Founders — which is owned by Hyde Park Developments.
Ahmed Samir Al-Desouki — Head of Sales at NCB Developments — said that the aim of such campaigns is to mainly market projects, adding that most of the advertisers have a huge inventory of products/units they would like to market.
He noted that most of these projects that were introduced in the ads are ready for moving-in, with various spaces such as apartments, villas, and other properties.
Al-Desouki also pointed out that most real estate companies turned to TV campaigns in Ramadan more than social media campaigns due to the nature of the month and Egyptians’ tendency to stay at home and watch TV.
Furthermore, Egyptian expatriates also watch Egyptian channels during Ramadan, which means that overseas clients are now aware of the latest real estate developments.
Meanwhile, Ashraf Diaa — Country manager of Business Concierge — stated that the main goal behind these companies doing advertising campaigns in Ramadan is mainly branding and not to achieve a sales percentage, especially that no offers were announced, or new products/phases revealed.
He also said that TV ads this year were successful in highlighting the objectives of advertising companies and emphasising the importance of the community, amenities, and services they provide.
Additionally, Diaa explained that the slowdown in sales during the current period is mainly due to the vast majority of customers waiting for unit prices — along with the USD exchange rate — to stabilise, which would create a state of balance in purchasing power, considering that this decline is expected given the current circumstances.
Furthermore, Fathallah Fawzy — Chairperson of MENA For Real Estate Development Consultancy — said that the number of companies that introduced advertising campaigns during Ramadan was indeed greater than previous years despite the apparent decline in sales.
He believes that this step represents a state of optimism among developers for the situation of the real estate market over the coming period, expecting that starting from this month, a noticeable revival in sales will occur.
Fawzy also stressed that it is not possible in any way for the movement of sales of residential units in particular to witness a complete halt, pointing out that no one can forgo housing and that every family has plans that it seeks to implement by acquiring new housing in more luxurious areas.
He assured that business results for the first half of this year will show tangible progress in sales starting this May, while the major recovery in sales will kick in by June.