Should You Market Your New-Build to Millennials?
Born between the early 1980s and late 1990s, millennials are one of the most culturally diverse and highly educated generations of all time.
They're expected to make up roughly half of the workforce by 2020. They're undoubtedly a generation to look out for and cater to in building and marketing new products.
But for property managers, it can be a challenge to decide if and when to market new-builds to millennials. Signet Group weighs in on why it's sometimes worth it to market new-builds to millennials, and why it may not be.
Why you should market your new-build to millennials
Millennials today are around the age where many people start moving out of their childhood homes and start renting. Even millennials in their mid-thirties have indicated that renting is preferable to buying. In some cases, renting is a necessity, as millennials overall tend to be less well-off than their baby-boomer parents were at the same age.
Still, with rental prices at all-time highs in many cities throughout the nation, many millennials realize that they'll be financially better off buying a condo than renting one. Some even have parents that will help out with a down payment.
Regardless, millennials have surpassed baby boomers as the largest generational group, so choosing not to market to millennials leaves a massive portion of the population out of your target market. Plus, the majority of millennials can't afford to purchase large or expensive units, making smaller new-builds a great option for them.
Why you shouldn't market your new-build to millennials
Just as there are reasons to include millennials in your target market, there are also reasons not to. One of the main things to think about is neighbourhood. Not every location is appealing to millennials, and by only marketing to them you will miss out on other generations that may better fit the neighbourhood demographics.
Empty nesters wanting to downsize will often have the equity to purchase a much larger, more luxurious condominium. If you're building larger, more expensive condos, then millennials are not a demographic you want to target. Instead, many baby-boomers are thinking about retirement and how downsizing to a condo will benefit them, so they're a great generation to think about and market your new-build to.
If the units you are marketing fit the millennial bill, here are a few tips on how to market to millennials:
- Make digital marketing your friend
- Prepare to offer pet-friendly units
- Highlight eco-friendly aspects of the units
- Focus on the lifestyle your residents will experience
- Choose locations that are transit-accessible and full of amenities