We, as human beings, assume a lot and get fascinated by extremes. The current pandemic is no exception. While reactions are given and are necessary to understand the 360 of any given situation, what we miss sometimes during the extremes is the significance of staying balanced. A lot of noise around what may happen to demand post Covid, the crude reality however is that most of us still do not know how the situation will finally unfold. As a matter of fact, demand engines were anyway facing headwinds even much prior to Covid and this was reflecting in either the volumes or pricing for most.
Industries across the Indian economy – including real estate and tile industry – have supported the government’s steps. Covid has only perhaps acted as a catalyst necessitating a slew of measures, some of which were long desired to put India back in a better economic place which it rightly deserves. Whether the reforms themselves are adequate or whether these could have been more direct to create the necessary impact on demand in the short term, is a trillion dollar open question. As an industry, real estate will have to adapt to a tech-savvy future in terms of digital platforms for sales and marketing while also adopting enhanced automation at sites.
A “V shape” recovery is thus probable as and when things do become normal – early signs of this are already visible in the form of the positive news flowing over since the last 2-3 weeks. Even if we discount these learning’s and the emerging green shoots, the urge of “social distancing” in the medium to long term may actually lead to a surge in the demand for and requirement of independent places instead of shared ones such as bigger homes, larger workplaces. At the end of the day the requirement of bigger and better infrastructure will only rise- all of which could mean more demand for building products in future.
I am an avid optimist and hence firmly believe that our species is not here to perish but to survive, thrive, recover and evolve – building new products are only enablers to this evolution process.