On the night of April 18, 1775, after closely watching British troops in Boston, Paul Revere saw the lamps in the Old North Church indicating their next troop movements. He led a team action plan to rally fellow colonialists. Soon British troops felt the heat from colonial muskets, an act that forever changed the political landscape of New England. Revere's clear analysis, decisive leadership, and timely action delivered significant results.
What happens when markets change and product developers don't respond? Missed opportunity. I was surprised to read that Americans 55 and older will buy one out of every 5 homes this year. That's a $103 billion total market according to the National Association of Home Builders.
Consider that soon-to-be retirees may work out of home offices to avoid outliving their savings. This demographic reality affects the number of bedrooms. Also nearly 30% of people from 55 to 64 have some physical difficulty, thereby making wider doorways to accommodate a walker or wheelchair important design considerations. They are picky and have money to pay for what they want.
The point is that builders are reexamining how demographic changes affect the homes they build. Have you recently reviewed who you're selling to and demographics by market segment? Examine these options: client industry, company size, required service level, geographic location, or benefit sought. As home builders are learning, changing customer needs demand innovative responses.
When it comes to market segmentation - are you your company's Paul Revere? Do you see the light or will you have to feel the heat to upgrade?
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