Now that the housing market has begun to thaw, marketing opportunities are heating up. Because the average consumer spends an average of $6,000 to $7,000 during the moving process, marketers must take advantage of this prime opportunity to acquire and retain customers as they embark upon this transition. But, while the last few years saw houses sitting for months at a time, the average home now sells within 30 to 45 days, meaning marketers have a much smaller window of opportunity. As Scott Bailey, executive vice president of marketing and analytics at Target Data, highlights, this life event brings multiple levels of spending to the fore. While movers, packing supplies, and a new mortgage are primary needs, secondary spending comes in the form of home improvements. Consumers also tend to purchase new apparel and furniture as they embrace the "fresh start" mentality.
For marketers, the key to knowing when customers are on the brink of such events comes from observing the housing market within their jurisdiction. Simply noticing the "For Sale" sign on the neighbor's lawn can open a pathway to customer acquisition and retention. Cable and other such service providers have the chance to entice new customers with special offers and embrace current customers with special promotions. Local restaurants also have the opportunity to introduce new residents to what they have to offer. As Bailey says, those making the move are figuratively "knocking on the door" of the advertisers and marketers in the area.
Bailey also notes that, based upon an Epsilon report on movers, about $1,200 of that spent moving isn't directly associated with the move itself, leaving consumers open to side purchases, such as updates to their home theater or the addition of a room they didn't have in their previous home. And, because 75 percent of Americans move an average of five times throughout their lives, businesses have a rare but pivotal opportunity to solidify their customer relationships for years to come. They need only embrace the chance as it arises.