Home buyers can be counted on

Share this content:
Elizabeth Perks
Elizabeth Perks

It is an indisputable fact that new move cre­ates new needs. From new furnishings to home renovations, new movers spend more than the average consumer — 20 times more by some accounts.

That is why the change of address (COA) market is crowded with lists derived from various sources of new movers. Everyone is rushing to reach the mailbox first and wel­come the new mover with their offers.

Now imagine if you could reach buyers of newly built homes. According to a Housing Economics study, these new movers spend 32% more than existing homeowners in the first year on home furnishings, appliances, and home repairs.

A recent ALC and Decision Analysts Inc. study determined that new homeowners out­spent existing homeowners by an average of three times more in many product categories including furniture, dish satellites, home secu­rity systems and, not surprisingly, swimming pools. They also applied for financial loans, purchased new cars, and signed up for cell phone service in higher percentages.

Overall, the study found that new hom­eowners spend eight to 10 times more than the average consumer within the first two years of living in their new home. Those who move into newly built homes spend even more.

When you think about it, buyers beginning a new life in a new house will do much to cus­tomize it. Landscaping, window treatments, play-gyms, sprinkler systems, bed and bath linens, financial services, construction and home repair products are just some of the products they are likely to seek, and the list goes on and on. The need for so many brand new items boosts the buying power of new construction homeowners exponentially.

The market potential of new construction homebuyers is vast. Valassis reports that more than 30,000 Americans move into brand new homes every month, or 1.6 mil­lion per year.

From day one, these New Construction home buyers begin spending, and continue outspending existing homeowners and other new movers for at least the next two years. Therefore, new construction targeting rep­resents a new strategy that marketers can implement to truly achieve speed-to-market and be among the first to get offers delivered into brand new mailboxes.



Next Article in Datamine

Sign up to our newsletters

Company of the Week

Brightcove is the world's leading video platform. The most innovative and respected brands confidently rely on Brightcove to solve their most demanding communication challenges because of the unmatched performance and flexibility of our platform, our global scale and reliability, and our award-winning service. With thousands of customers and an industry-leading suite of cloud video products, Brightcove enables customers to drive compelling business results.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here