2016’s year-end numbers reflect a lot of changes in the greater Edmonton new home market and not a lot of them are good. Technically, we are likely at the mid-way point in Alberta’s latest economic swoon, however, the anticipated recovery is likely going to be slow and bumpy. The latest #CSG builder market share numbers also show an emerging trend that is not all that good for long time industry participants. The old leaders are being torn down and new market leaders are emerging. Now, market share changes are nothing new in any industry but the dramatic scale of change is something to be considered. If we go back to historic numbers in 2007 and 2008, the top two market leaders of the day had total market share values of about 11%. Today, the top two market leaders have share per cent ages of 8.5% and 7.9% respectively.
This change in trend indicates that new market entrants, changing retail demands and conditions, buyer behavioural changes and the switch from single family dominance to multi-family have caused material upheaval in greater Edmonton’s share numbers and there is likely more to come.
Recessions are always a great time for strong brands to get stronger while the fringe players usually take a beating. Hence, Qualico (made up of five branded builders) maintains its position at the top of the industry while Brookfield Homes has emerged as a clear runner up within striking distance of the leader. This is in stark contrast to their seventh place position in 2012. Everyone else is falling far behind with no one holding even a 3% share.
2017 will be another year of big industry change and challenges and your need to protect and build market share in these tough economic times has never been greater. To get your company solidly positioned to benefit from industry changes, the anticipated recovery, as it unfolds, and emerging opportunities, contact Consumer Strategies Group to get the latest research, digital strategies and tactics, and marketing support required to move your brand’s market share needle up the ladder.