Customer equity marketing and management of Chinese real estate market

Along with the increasingly fierce competition and the development of technology, the market of Chinese real estate has become buyer's market, changing from the traditional pattern of "please pay attention, customers" to that of "please pay attention to customers". Thus in order to survive and develop in the fiercely competitive market of the real estate industry, enterprises of real estate should break away from the old beliefs and carry out innovation and reform in operating market. The customer equity marketing pattern discussed in this paper is a brand-new marketing concept which was put forward in mid 1990s and became a hot topic since then. On one hand the concept of customer equity marketing is the continuance and development of that of customer relationship marketing and customer lifetime value marketing; on the other hand for the first time it perceives customers as assets equally important with other tangible and intangible assets of enterprises. From the angle of customer equity marketing, this paper analyses the current situation of marketing in the market of Chinese real estate and the drivers of customer equity, constructing the pyramid model of customers of this market. In the end this paper establishes an optimization model of customer equity based on elasticity analysis and also derives a simple solution to this optimization problem, bringing forward several solutions to reengineer core competence of enterprises of Chinese real estate.