Case Studies
Issue No. 3 - December/ 2001/january
Marshall Thompson Homes
room to grow
Marshall Thompson Homes is a relatively late bloomer, having progressed slowly from its start in the 1980s. But since the mid-1990s Marshall Thompson has boomed to national significance following some astute marketing decisions.
Founder and chairman of the Marshall Thompson group, Graham Thompson stepped up from the building trades to create one of SA’s strongest home design and building firms. Managing Director, Paul Thompson, now responsible for day-to-day operations, has been with the firm for the past 14 years. It is a Thompson company. The ‘Marshall’ belongs to a sales agent once associated with the firm; marketing advice was that customers would regard the double-barrelled name more highly.
The Marshall Thompson rise got underway in dark times: the 1995-96 collapse of the home building sector.
“The story was slow growth until we changed direction,” says Paul Thompson. “In the recession of 1995-96, 60 per cent of our industry disappeared. Home building in the State declined from 11,500 starts per year to 4,800.”
Marshall Thompson enjoyed a reputation for quality work, so the decision was taken to exploit it and seek a niche market.
“We decided to target middle and upper brackets rather than to continue competing in the very volatile first home owner market, which reacts violently to unemployment figures, government grants and fluctuations in interest rates.
“We wanted to isolate and insulate ourselves from that, and we have.”
Increasingly Marshall Thompson focused on urban infill and the policy has worked emphatically. Selling house and land packages in established areas, Marshall Thompson has formed alliances with what he calls “boutique developers” in select projects. The policy has become more effective as it developed during the past few years. “We should have believed our own marketing a bit more,” Paul quips.
Underpinning operations in higher market segments is quali...
