Century Communities, Inc. (CCS): Marketing Mix Analysis [10-2024 Updated]

In 2024, Century Communities, Inc. (CCS) continues to carve out a significant niche in the housing market with a strategic focus on affordability and convenience. Offering a diverse range of homes under its two main brands, Century Communities and Century Complete, the company has successfully delivered 7,809 homes, reflecting a notable increase from the previous year. With a robust operational footprint across 18 states and a commitment to engaging promotional strategies, CCS is well-positioned to meet the needs of entry-level and move-up buyers. Explore how their product, place, promotion, and price strategies interconnect to drive growth and customer satisfaction.

Century Communities, Inc. (CCS) - Marketing Mix: Product

Offers single-family attached and detached homes

Century Communities, Inc. primarily focuses on the construction and sale of single-family attached and detached homes. The company emphasizes quality and designs that cater to various buyer preferences.

Operates under two main brands: Century Communities and Century Complete

Century Communities operates under two key brands: Century Communities and Century Complete. The Century Communities brand offers a range of homes with personalization options, whereas Century Complete focuses on entry-level homes with minimal customization.

Focus on entry-level, move-up, and lifestyle homebuyers

The company targets entry-level, move-up, and lifestyle homebuyers, ensuring that its offerings meet the diverse needs of the housing market.

Approximately 93% of homes delivered are for entry-level buyers

In 2024, approximately 93% of the homes delivered by Century Communities were aimed at entry-level buyers, highlighting the company’s commitment to this segment of the market.

Majority of homes are move-in ready, enhancing customer convenience

Most of the homes offered by Century Communities are move-in ready, providing significant convenience for buyers looking to settle into their new homes without delay.

Provides personalization options for Century Communities homes

Homes under the Century Communities brand offer various personalization options, allowing buyers to tailor features and finishes according to their preferences, thus enhancing customer satisfaction.

Century Complete brand targets entry-level buyers with minimal customization

The Century Complete brand specifically targets entry-level buyers and provides homes with minimal customization options, focusing on affordability and efficiency.

Recent acquisitions increase community offerings and lot inventory

Recent strategic acquisitions have expanded Century Communities' community offerings and increased its lot inventory, contributing to a total of 80,121 lots owned and controlled as of September 30, 2024, compared to 73,720 lots at the end of 2023.

Total homes delivered in 2024 reached 7,809, up from 6,411 in 2023

In 2024, Century Communities delivered a total of 7,809 homes, marking an increase from the 6,411 homes delivered in 2023, reflecting a strong growth trajectory in home sales.

Category	2024 Data	2023 Data	Percentage Increase
Total Homes Delivered	7,809	6,411	21.8%
Entry-Level Homes Delivered	Approximately 93%	N/A	N/A
Total Lots Owned and Controlled	80,121	73,720	8.7%

Personalization and Customization

Century Communities continues to enhance its offerings by providing personalization options that allow buyers to modify aspects of their homes. This strategy is designed to cater to the evolving preferences of modern homebuyers.

Market Positioning

Through its dual-brand strategy, Century Communities positions itself effectively in the competitive housing market, addressing the needs of diverse buyer segments while maintaining a focus on affordability and quality.

Century Communities, Inc. (CCS) - Marketing Mix: Place

Operational Reach

Century Communities, Inc. operates in 18 states across the U.S., which enhances its market penetration and accessibility.

Reportable Segments

The company is structured into five reportable segments: West, Mountain, Texas, Southeast, and Century Complete.

Selling Communities

As of September 30, 2024, Century Communities has 305 selling communities, a significant increase from 252 selling communities in 2023. This represents a 21.0% increase year-over-year.

Segment	Selling Communities (2024)	Selling Communities (2023)	% Change
West	27	28	-3.6%
Mountain	49	49	0.0%
Texas	74	42	76.2%
Southeast	38	29	31.0%
Century Complete	117	104	12.5%

Expansion in Texas

There has been a 76.2% increase in selling communities specifically in Texas, highlighting a robust expansion strategy in a high-demand market.

Sales Channels

Century Communities employs direct sales through retail studios and online platforms, optimizing customer access to its offerings.

Land Acquisition Strategy

The company has implemented a strong land acquisition strategy to support future developments, ensuring a steady pipeline of projects.

Lot Inventory

As of September 30, 2024, Century Communities has increased its lot inventory to 80,121 lots owned and controlled, up from 68,570 lots at the end of 2023.

Market Focus

The company focuses on markets with solid demand for affordable housing, aligning its operations with consumer needs and market trends.

Century Communities, Inc. (CCS) - Marketing Mix: Promotion

Utilizes multiple marketing channels including digital and traditional advertising

Century Communities employs a blend of digital and traditional marketing channels to reach potential homebuyers. In 2024, the company allocated approximately $132.97 million for selling, general, and administrative expenses, which includes marketing efforts.

Offers incentives such as discounts on base home prices and financing options

In 2024, Century Communities has provided various incentives, including discounts on base home prices and attractive financing options aimed at making home purchases more affordable. The average sales price of homes delivered was $393.8 thousand, reflecting a strategic pricing model that includes these incentives.

Engages in community-focused marketing strategies

The company actively participates in community events and initiatives to enhance local visibility and brand recognition. This approach has helped Century Communities to build strong relationships within the communities they serve, aligning their marketing strategies with local interests and needs.

Increased presence in online real estate platforms

Century Communities has significantly enhanced its online presence, particularly on real estate platforms. In 2024, the company reported a 19.3% increase in net new home contracts, attributed in part to improved visibility on these platforms.

Regularly updates promotional strategies based on market conditions

The promotional strategies of Century Communities are dynamic, with regular updates based on current market conditions. The company has adapted its marketing efforts to respond to fluctuations in demand, leading to a 25.2% increase in the number of homes delivered during the third quarter of 2024 compared to the previous year.

Highlights affordability and move-in readiness in marketing materials

Marketing materials from Century Communities emphasize affordability and move-in readiness. As of September 30, 2024, the company had 1,580 homes in backlog with an aggregate sales value of $671.4 million, showcasing their commitment to providing ready-to-move-in homes at competitive prices.

Leverages social media to reach potential homebuyers

In 2024, Century Communities has utilized social media platforms to engage with potential homebuyers, sharing promotional offers and community highlights. This strategy has been effective in reaching a wider audience and driving interest in their homes.

Participates in local events to build brand awareness

Century Communities participates in various local events throughout 2024, which has contributed to increased brand awareness. The company has expanded its selling communities to 305 by the end of September 2024, reflecting a 21.0% increase year-over-year, supported by these community-focused marketing efforts.

Century Communities, Inc. (CCS) - Marketing Mix: Price

Homes Delivered at Average Sales Price

In 2024, Century Communities delivered homes at an average sales price of $391.3 thousand. This figure reflects a 3.7% increase from the previous year, driven by a higher mix of homes delivered in more expensive segments.

Competitive Pricing

The company employs a competitive pricing strategy aimed at attracting entry-level homebuyers. This approach is critical in a market where affordability remains a significant concern for potential buyers.

Pricing Strategy Includes Discounts and Financing Incentives

Century Communities implements various discounts and financing incentives to stimulate sales. These strategies are designed to enhance the perceived value of homes and make purchases more accessible to buyers, particularly in a fluctuating economic environment.

Average Sales Price in Backlog

The average sales price in the backlog reached $424.9 thousand in 2024, indicating a strong demand for higher-priced homes. This backlog value represents a 13.4% increase from the previous year, reflecting a shift in buyer preferences towards more premium offerings.

Gross Margin Percentage for Homebuilding

The gross margin percentage for homebuilding stood at 21.9% for the nine months ending September 30, 2024. This margin reflects the company's ability to manage costs effectively while still offering competitive pricing.

Focus on Maintaining Affordability

Century Communities places a strong emphasis on maintaining affordability to attract a broader customer base. This focus is critical in ensuring that their homes remain accessible to a diverse range of buyers amid rising material costs and interest rates.

Pricing Adjustments Based on Market Trends

The company regularly adjusts pricing strategies based on market trends and demand fluctuations. This responsiveness allows Century Communities to remain competitive and capitalize on emerging opportunities in the housing market.

Financial Strategies Include Prudent Leverage

Century Communities employs prudent financial strategies, including leveraging debt to manage costs effectively. As of September 30, 2024, the net homebuilding debt to net capital ratio was 32.1%, reflecting a balanced approach to financing growth while maintaining financial stability.

Metric	Value
Average Sales Price of Homes Delivered	$391.3 thousand
Average Sales Price in Backlog	$424.9 thousand
Gross Margin Percentage for Homebuilding	21.9%
Net Homebuilding Debt to Net Capital Ratio	32.1%
Increase in Average Sales Price from Previous Year	3.7%
Increase in Backlog Average Sales Price	13.4%

In conclusion, Century Communities, Inc. (CCS) exemplifies a robust marketing mix that effectively addresses the needs of its target market. With a strong focus on entry-level homebuyers, the company has successfully expanded its product offerings and geographic reach while maintaining competitive pricing strategies. The combination of innovative promotional tactics and a solid presence in key markets positions CCS favorably in the affordable housing sector, driving growth and enhancing customer engagement.

Article updated on 8 Nov 2024

Resources:

1. Century Communities, Inc. (CCS) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Century Communities, Inc. (CCS)' financial performance, including balance sheets, income statements, and cash flow statements.
2. SEC Filings – View Century Communities, Inc. (CCS)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.