*
*
FC Tucker Real Estate
Buddy West…Wilmington, Delaware
* Facts about Millennials
* Demographics…national and local
* Road Blocks
* Motivators
* Lead Generation / Marketing
* Do’s & Don’ts of Selling to Millennials
* Features & Designs
* Buying a Boomer’s house
*
* Born 1980 – 2000 Ages 14 – 34
* Over 90 million strong, 80 million over 22
* We are within 6 years of a massive purchase
* Most educated segment ever 55-45 women
* Gallop Poll:
* 14% 24-34 live with parents.
* 51% pursuing higher education & living at home
* 70% 24-34 single and living at home
*
* 30% live on own
* 12% of married 24-34 live at home
* 46% of married 24-34 on their own
* Unemployment rate 16% or double national avg.
* Over 60% are not working in their field of study
OTHER FACTORS
Poor job prospects; Availability
*
* Tuition 1980 $3000+ 2020 $9000+
* Pell grants dropped from 69% in 1980 to 34% in
2010. We have gone from a grant base to a loan
base.
* Personal debt increased by 40%
* BHG Study
* Despite these road blocks, over 70% still believe in
“The American Dream. They also believe that
homeownership is the biggest indicator of
success.48% are planning to invest in real estate in
the next 3 to 5 years.
*
* Millennials are obsessed with research
* They grew up with technology & connectivity
* Committed to results & efficiency
* Love to laugh
* Procrastinate better than most
* Quick to influence peer groups
* Optimistic. Pay bills & have fun
* Politically Independent & may create a 3rd party
* Gallop
*
* Risk Adverse..
tough job market, light wallets,
they believe luck plays a role in success.
* Offer incentives in social media to capture their
attention based on them re-tweeting you.
Want Answers immediately. No BS, clear
action steps & quick answers. Offer reasons
to take the next step without pressure.
Cautious; Entered the workforce in a weak
economy & manage their money carefully
*
* Nationally
80 million strong to over 90. Like
urbanization with amenities. Walkability,
bicycling, restaurants and social meetings
* Now starting to branch out into the “burbs” as
long as they have the amenities required to
grow their life.
* Healthy living, good schools and fun top their
list
* 1 out of 7 have incomes of $100,000 or more
*
* Dated shopping malls are being replaced by
mixed use market & living centers
* Parks, hiking trails, bicycle paths athletic fields
recreational facilities are important
* Indianapolis weekly April 2013
Monon Trail
traversing Carmel and Westfield and many
other communities surrounding “Indy” Great
selling feature
*
* Approximately 205,000 18-34 yr olds
* Surrounding suburbs an additional 200,000
including, Meridian Hills, Carmel, Fishers,
Whitestown, Noblesville, & Geist (ICOC)
* According to CRS Magazine April-May,
Indianapolis ranked # 3 as best places to live in
the USA.
* Forbes ranked it in the top 5 for 5 years
*
* They like accomplishments, CRS, GRI, MilRES
* Integrity is a must or you will loose them quick
* They flock toward agents who are tech savvy
*
* There are many roadblocks that face today’s
millennium buyers. This was common with
boomers during the late 80’s and early 90’s.
We as Realtors® need to focus on how to make
homeownership possible.
* Huge debt Trans Union says avg score is 628
with revolving credit of $23,232
* Tuition payments $29,400 up from 23,450 in
2008
*
* DO Keep it short and sweet..era of tweets
* DO maintain a comprehensive online presence and
use it as your base camp
* DO cultivate a laid back presence, under promising
rather than overstating
* DON’T try to be someone or something you aren’t
* DON’T play know it all. Positioning yourself as the
only expert will backfire. They will use blog, face
book, and You Tube to become informed
*
* Erin and Scott Dowling Settled 5.30.14
* No kids, purchased 4500 sq ft $600.000
* Face to face- 4 times including settlement
* E-mails- 86 (sent and received jointly)
* Test messages- 60
* Referrals (so far) 2
* Note- Ask how they would like to communicate
*
16
*
3.
4.
*
* Slate Magazine gets it.
Check out their FB
page. News Media Website directed to
millennials.
* Slate is the preferred format for getting
information
* They shop on line before shopping in a store
and only if they need to go to a store
* Amazon’s targeted millennials successfully
*
NOT …
TRADITIONAL MARKETING
&
ADVERTISING
TRADITIONAL MARKETING & ADVERTISING
ADVERTISING CLUTTER
MEDIA FRAGMENTATION
CONSUMERS TUNED OUT
LESS EFFECTIVE
MORE EXPENSIVE
LESS TRUSTED
LOWER ROI
18%
ONLY
OF TV ADS
GENERATE POSITIVE ROI
ONLY
14% TRUST ADS
69% Seek Ad Blocking
Technologies
Creating
BUZZ
*
90% = Choose service provider based
on trust, likability, competence, etc.
10% = Choice based primarily upon
cost
30
LAW OF FEW
10% INFLUENCE PURCHASING
BEHAVIOR OF OTHER 90%
31
91% LIKELY TO BUY ON
RECOMMENDATION
32
92% PREFER WOM
RECOMMENDATION
33
Networking
vs.
Connecting
* Huge boomer sell off coming in 4-6 years 1.5 to
5 million homes per year by 2018 to 95 million
perspective buyers
* Many homes not ready to attract buyers
* Opportunities abound for the agent
*
* Shell out some bucks to appeal to the
millennial buyer. They are looking at HGTV to
see what they want.
* $15,000 can yield twice that. “Ilyse Glink”
* Use modern colors and furniture
* Make the home an emotional buy for them
*
* In: Granite
* In: Media Room
* In: Home Office
* In: Great wireless
* In: Bold Colors
* In: Hardwood
* In: Stainless Steel
*
Out: Formica
Out: Living Room
Out: Dining Room
Out: Dead zones
Out: Neutral walls
Out: Carpet
Out: Dated appliances
* Walkability
* Public Transportation
* Near Parks / recreation areas
* Social areas, restaurants, movie theatres
* Schools
*
* Visit nearby homes for sale and see how yours
compares
* Hire a home stager NOTE: most younger buyers
don’t have imagination when they walk into a
home with outdated stuff)
* Cards saying this room could be….
* Repaint walls to add zing
* Pull up carpet and freshen up kitchen
*
*
*Lifestyle considerations
*Generational
considerations
*Behavioral styles
Dominant
Direct
Determined
Demanding
Decisive
Influencing
Inspirational
Interactive
Interested in People
Power
People
S
C
Cautious
Calculating
Conscientious
Contemplative
Procedure
Steady - Stable
Supportive
Status Quo
Shy
Reserved (Methodical)
Predictability
People Oriented
Task Oriented
*
*
1. Why?
2. What?
3. Can you Explain?
42
*
Interview
*
Pre-Approval
Home Selection
Tour Communities
View Homes
Discuss Strategies
Write Proposal
Offer Presented
Make Selection
B
Seller Notified
Negotiate Offer
Rejection
Earnest Money
Mortgage Co
Credit Report
Underwriting
Approval
Contract Accepted
Deliver Papers
Loan Approval
Verifications
Appraisal
Reports
Title Company
Title Search
Home Inspection
Termite
Assemble Papers
Inspections
Settlement
Moving Day
B
*Home Selling Process
BEGIN
PROCESS
MARKET RESEARCH
LISTING SIGNED
OFFICE
INSPECTIONS
GRAPHICS
MULTIPLE LISTING
OFFICE TOUR
MLS COMPUTER
BROKER’S TOUR
MLS MEMBERS
MLS TOURS
CONTACT PROSPECTS
SHOWINGS
OPEN HOUSE
OFFER RECEIVED
OFFER
NET SHEET
COUNTER OFFER
CONTRACT ACCEPTED
EARNEST MONEY
TRANSACTION
PROCESSING
*Contract To Close
TRANSACTION
PROCESSING
PROCESSING
REJECTION
MORTGAGE CO.
UNDERWRITING
LOAN APPROVAL
TITLE CO.
ASSEMBLE PAPERS
SETTLEMENT
HOME SOLD
CREDIT REPORT
APPRAISAL
VERIFICATIONS
“The minute real estate listings
went online was the minute
that it was no longer sufficient
that a real estate broker
merely had information
about real estate listings.”
Seth Godin
*All businesses & professionals
must compete In two major
ways
1. Positional advantage
2. Capability advantage
*
CONVERT
ATTRACT
TRANSFORM
RAVING FANS
TWO THIRDS OF U.S.
ECONOMONY DRIVEN BY
WOM
50
BRAND ADVOCACY DRIVES BUSINESS
GROWTH
Harvard study
BRAND ADVOCACY EVEN MORE
IMPORTANT THAN BRAND IMAGE OR
BRAND SATISFACTION
Harvard study
BRAND ADVOCATES
AVERAGE
CUSTOMERS,
CLIENTS,
CONSUMERS
BUZZ =
INFECTIOUS CHATTER
WHAT’S HOT
WHAT’S ATTRACTIVE
11-12 intimate
contacts
150 social contacts
500 – 1,500 weak ties
HOMOPHILY
BIRDS OF A FEATHER
FLOCK
BIRDS
OF TOGETHER
A FEATHER FLOCK
TOGETHER
56
The term homophily stems from study of social networks.
CLUSTERS
CLUSTERS
Interests hobbies beliefs age gender
social class ethnicity religion values
politics geography education
occupation