STRATEGY 2024
Our strategy is aimed at strengthening Etalon Group's leading positions in the residential housing sector and exceeding our customers' expectations by providing sound and sustainable solutions that are based on new technologies and that are in line with the needs of society – both today and in the future.
The strategy was developed to address the accelerating pace of change in the industry and the latest trends, while taking into account the resources available to Etalon Group. It involves rethinking all business processes: from land acquisition and project design to construction, sales and residing in our buildings.
5 goals of strategy implementation
BUSINESS SCALE
Long-term focus on replenishing the land bank, supported by the acquisition of non-zoned plots, broadening the geography of projects through expansion and non-organic growth
PRODUCT DEVELOPMENT
Design based on modern principles, product standardisation to reduce costs, offering human-сentered architectural and urban planning solutions
NEW TECHNOLOGIES AND R&D
Create R&D unit to ensure leadership in new construction technologies, entering new market segments
CUSTOMER LOYALTY
Extending the life cycle of customer interaction by developing a platform for in-demand services and offering best-in-class service quality based on an understanding of the customer experience
REDUCED COMMERCIAL AND ADMINISTRATIVE COSTS
Personalised communication and optimised promotions based on big data analysis and AI technologies
Our principles for achieving our strategic goals
New technologies and standards that we rely on to optimise costs and improve the efficiency of business processes
Customer-centricity, which allows us to prioritise features of our product and the customer experience that matter to our customers, and to put them at the heart of efforts to improve our management model
Sustainability, which underlies the growth and development of our business and allows us to contribute in a meaningful way to efforts to increase the resilience of cities where we operate
Strategic Goals
Strategic projects and initiatives
GENERATION ZIL educational media platform
Following the principle of participatory design, we launched the Generation Zil platform, where experts from all over the world take part in discussions about future projects. Sociocultural studies, workshops and exchanges of experience with global experts in the field of behavioural economics, urban planning, digital technologies, design and culture enabled us, together with the Dutch design firm KCAP, to develop a master plan for the grounds of ZIL-Yug
Predictive analytics
A smart solution for the automation of systems for analysing future demand and assessing the competitive environment for a product at the stage of choosing a land plot. Using this system, we can: - analyse the cost of apartments of all types in any location with one click, - determine the most important parameters when forecasting costs, - instantly calculate a project's economic efficiency, and - compare land plots.
Modular housing construction
Modular housing construction is a promising technology that reduces costs and enables us to shorten the production cycle by three to six months. In the near future, we will adapt the technology to Russian standards, and we plan to launch the first project in 2022.
New housing standards
We have created a single database of more than 380 of the layouts that are most popular among customers and that meet the criteria necessary to create an integrated product, and we continue to improve it. For each of our segments – Etalon.Start, Etalon.Comfort and Etalon.Plus – we have identified the most promising technologies for housing construction, and in the near future we will develop standards for facade solutions, concepts and layouts for common areas, engineering solutions, as well as layouts for ground floors and parking areas.
15-minute city: new standards for the urban environment
Housing is now becoming a service – not a commodity – that includes not only premises for full-time residence but also an entire infrastructure within walking distance. Based on the best international design standards and practices, we are developing, together with the design firm KCAP, a master plan for the first 15-minute city in Russia on the grounds of ZIL-Yug in Moscow
Prefabrication
The main idea behind this technology, which we consider promising in terms of increasing productivity, is to prefabricate as many building elements as possible: from reinforced concrete products to engineering systems and finishing
Etalon.Partnership programme
Any company or startup that can make a positive contribution to the development of our digital platform can become one of our partners, and they can also take part in an acceleration programme. That's why we're implementing our Etalon.Partnership programme.
Etalon My Home 2.0.
An important step for us in the implementation of our strategy is the development of a single mobile platform that enables clients to move seamlessly – from the moment their personal accounts are authorised – from choosing an apartment and paying for utilities in a single transaction to receiving after-sales and personal services or buying food or other goods through the application.
Computer-aided design
In the near future, we plan to automate the master planning stage, which will enable us, right up to the moment of purchasing a property, to understand its future economics with a high degree of accuracy. By 2022 we plan to automate the process of preparing design and working documentation, to integrate outgoing estimates from our system with suppliers' databases, and also to enable online certification of all of our new projects thanks to the complete integration of our CAD system with BIM Revit.
Dynamic pricing
A smart solution for price optimisation that ensures an in-depth understanding and follows market trends. Day-to-day decision-making is supported by a machine-learning algorithm that was developed using artificial intelligence. Using a wide range of price factors allows us to build a highly accurate model for determining the rate of sales. The use of this tool is already resulting in a 5% increase in revenue for each property.
Big data analytics of the target audience
A tool that now enables us to optimise our communication policy, develop precise targeting tools, and build up our competencies in analysing one of the most challenging and least transparent stages of the customer journey – choice, i.e., the stage where the customer has not yet made a purchase decision.
Our ambitions
2x
increase in volumes under construction without increase in overhead costs
35%
GROSS PROFIT MARGIN Industry leading profitability:
2x
Strong double-digit growth in sales
