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Marketing to Millennial? How much money & time are you spending?..

By
Real Estate Agent with Berkshire Hathaway HomeServices California Properties 01238708

Marketing to Millennial? How much money & time are you spending? I am just wondering and very interested.

There has been so much “stuff” written about Millennial and I just kept quiet. Needless to say I was quietly shacking my head and wondering, what is all the fuss about?

I do not recall in my life so much catering to a segment of the population that has no money.

www.endrebarath.com

 I heard that name brand marketers are getting rid of their “logos” like “Coach”, “Armani” and the list goes on and on. Why? Strictly because Millennial do not like them… well OK I was not a big fan of wearing “status labels” paying an arm and leg for the same T-Shirt manufactured by the same Indonesian Garment Factory, who is changing labels on the same T-Shirts and local US Stores marking the prices up according to “Trend & Fad Factors”.

Now getting back to my point, there are many Realtors, Motivation Gurus, Marketing Experts who say that we need to go after the Millennial, because they are all renters and here is an opportunity to convert them to buyers. What a Market Segment we seem to leave behind. REALLY??

In the greater Los Angeles specifically in Marina Del Rey, and other upscale communities, I see three to four Millennial living in a two-bedroom rental units and each paying about $1,000 -$1500 per person for the privilege to be living in Marina Del Rey, Venice or even Beverly Hills just to name a few of the communities.

But I digress, let me get back on track. I get a daily email from: Trivia Hive, they send interesting questions with multiple choice answers. This is a fun way to learn and at the same time get a 30 second break from every day Real Estate Drama, stress, call it what you want it. I enjoy trying to guess the answers and when I miss there is an explanation of the correct answer. I find it fun and enjoyable to get a break from the everyday routine.

To illustrate my point, this was the question that was raised:

How much money do most millennials have in their savings?

  •         $3,200
  •         $5,000
  •         $12,000
  •         $1,000

The answer might be very surprising to some of you, I did not think it was that low either and missed the correct answer.

  Well the correct answer is here as well as the explanation:

Want to hear a staggering statistic? 51% of millennial have less than $1,000 in their bank accounts.

Not wanting to be snarky, how much money do you need to put down to buy a property? 10%,20% depending on the price and income of the buyer…. So my take is “...have a party…” and listen to the “false prophets” and market to Millennial. I will spend my marketing money on people who can afford and want to buy a home. (OK that is another blog post i.e.: who can afford and want to buy)

 www.endrebarath.com

When you are considering buying or selling a home, a luxury home, luxury investment real estate, luxury vacation homes, or luxury beach properties in Southern California, Los Angeles, Century City, Westwood, West Hollywood, Beverly Hills, Marina Del Rey, Venice or Malibu, feel free to contact me at me at 10.486.1002 (m) or homes@endrebarath.com or visit one of my websites at http://www.endrebarath.com.  I am a pet friendly realtor and I contribute a portion of my commission to local animal rescue organizations.

Paul McFadden
Responsive Pest Control - Seattle, WA
Pest Control, Seattle, WA.

Interesting statistics Endre. Up here a lot of the millennials are techies and have managed to save thousands.

Jan 07, 2016 11:06 AM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Joy Bender  you made me laugh ironically very true, here in  the greater Los Angeles -Beverly Hills- Malibu we reap the benefit of the Hollywood Millennial:))Endre

Jan 07, 2016 11:09 AM
LUXURYSOCALREALTY COMPASS La Jolla

No Mr. Monopoly here, if you saw that episode on MDL LA

Jan 07, 2016 11:23 AM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

I think I'm going to get a little more intense with my millennial marketing this year and beyond.

Jan 07, 2016 03:47 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

Joy did make some good points overall! I'm overall inspired to step it up from both of you!

Jan 07, 2016 03:48 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

One thing I've learned from this post is the power of statistics when I'm not looking for it.

Jan 07, 2016 03:49 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Becca Rasmussen  you need to start selling a whole bunch of Real Estate and build up that nest egg:), Endre

Jan 07, 2016 03:55 PM
Becca Rasmussen

Yes, yes I do! 2016 shall be a banner year for me (of course, being in on my first transaction will be a banner in and of itself.) :0) 

Jan 07, 2016 07:30 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Shannon Milligan, Richmond VA Real Estate Agent/Associate Broker  I market to sellers and then the buyers with funds come:), Endre

Jan 07, 2016 03:56 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Kathy Streib  I always felt that the various platforms give bad advice to Realtors, focusing on buyers is the wrong strategy, Listings is the name of the game... we get the listings... the buyers will come... on a side note that is great about your niece, Endre

Jan 07, 2016 03:58 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Paul McFadden  you are absolutely right it is a geographic factor too, Endre

Jan 07, 2016 03:59 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Laura Cerrano  always enjoy your input and comments on my post glad you liked this one too, Endre

Jan 07, 2016 04:01 PM
Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400
The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803 - Plainview, NY
Long Island Condo and Home Specialists

Never thought any group would surpass Baby Boomers. I market to everyone and the phones are ringing!

Jan 07, 2016 08:26 PM
Georgie Hunter R(S) 58089
Hawai'i Life Real Estate Brokers - Haiku, HI
Maui Real Estate sales and lifestyle info

I guess it depends on the price of homes in your market.  Here on Maui there's not a lot of Millennial buyers either.. unless they are trust funders, haha.

Jan 08, 2016 12:13 PM
Praful Thakkar
LAER Realty Partners - Burlington, MA
Metro Boston Homes For Sale

Endre Barath, Jr. its like selling to someone who has no dough!

Great point you make in this post!

(Though I am lucky to have worked with couple of millennial who were 'SOLID' and knew what they are doing!)

Jan 08, 2016 02:36 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Lawrence "Larry" & Sheila Agranoff. Call 631-805-4400 (c)  I strictly market to sellers and find that the buyers come when I have the listings:)), Endre

Jan 08, 2016 02:38 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Georgie Hunter R(S)  yes we have a few Trust fund babies too:) I had one bought a Condo All Cash in Marina Del Rey....everyone won, Endre

Jan 08, 2016 02:40 PM
Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Praful Thakkar  me too I was the agent representing the buyers in a $4.6 million purchase... but that is the needle in the haystack:))Endre

Jan 08, 2016 04:17 PM
Rob Spinosa
US Bank - Larkspur, CA
Mortgage Loan Originator, Marin County

Here's another thing about this generation Endre Barath, Jr..  Everybody assumes they're too hip to actually want human interaction (I'm talking about the ones who are willing and able to buy).  I have found just the opposite.  Yes, they use their mobile devices to vet the heck out of me before they call, but often when they do, the floodgates open...

Jan 09, 2016 01:00 AM
Joe Petrowsky
Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709 - Manchester, CT
Your Mortgage Consultant for Life

Good morning Endre. A well deserved feature and a topic that should get attentions. There is a lot of money being spent on the Millennial market, as you know, but money part will not be my focus.

Jan 10, 2016 06:06 PM
Troy Erickson AZ Realtor (602) 295-6807
HomeSmart - Chandler, AZ
Your Chandler, Ahwatukee, and East Valley Realtor

Endre - I have not marketed to any specific generation, but I have read all the news about millennials being the buyers of the future.

With that said, it doesn't surprise me that 51% of millennials have less than $1,000 in their savings, and I have a daughter who is a millennial.

Jan 11, 2016 07:00 PM
Paul McFadden
Responsive Pest Control - Seattle, WA
Pest Control, Seattle, WA.

I could be wrong but when I was in the mortgage business I saw some hefty bank balances.

Jan 13, 2016 10:33 PM