Inman

Surge Homes relies on innovation rather than focus groups

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Parc at Midtown, one of two developments recently launched by Surge Homes, became available to the general public on March 16.

However, when that day arrived, 20 of the building’s 80 units had already been sold in the 10 days prior.

Condos in the Parc at Midtown range from $154,760 to $430,260.

Less than four miles away is the site of the future Upper Richton, a higher-end development also by Surge Homes recently made for sale to public. Prior to the public sale, though, 55 percent of the units were already taken.

Single-family homes in the Upper Richton community range from $573,000 to $671,000.

Surge Homes co-owner Louis Conrad said one of the reasons behind the success of the developments is something he calls the “interactive design development process.”

“It’s a method of launching new developments that we created,” he said.

The process revolves around the idea that engaging the customer head-on with design and development will generate future interest in the product. This involves face-to-face meetings, surveys, and adapting to the social media environment with engaging content.

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Conrad recalled how in the ’90s before social media and the availability of massive amounts of information, his team would rely on focus groups for gathering data on developing trends. This evolved to knocking door-to-door in neighborhoods to survey, and eventually mailers with a minimal return rate.

“The problem was these people were not in a purchasing mode,” he said.

Surge Homes gets community feedback

For Parc and Upper Richton, Surge Homes tapped into a market that Conrad believes his competitors aren’t anywhere near. Using social media and other face-to-face methods, Surge Homes crowd sourced design options and suites for the forthcoming projects. Knowing fully how active his customer-base was on social media, it made perfect sense to start there.

“We wanted to grow with friends of our buyers, those who are interested in our product. Social media allows us to grow slowly but surely into the networks — social, friendship, professional — of the people who are interested [in home buying],” Conrad said.

Buyers were able to purchase the homes early due to Surge Homes VIP certificate program. The VIP certificate program allows would-be buyers to join a list to the purchase the home at a special price before public sale. The VIP certificate costs $1,900, which is placed in escrow before being applied to the final purchase price.

“I told you about how we started and how the internet allowed us to reach thousands,” Conrad said.

“But it’s the most important for us to meet them in person.”

Surge Homes Discovery Center is located at 55 Briar Hollow Lane, Houston, 77027. As of this writing, 31 units have been sold between the two communities.

Email Britt Chester