Future proofing an Estate Agency business in the UK hinges not only on leveraging advances in PropTech or navigating the highs and lows of the property market. It is also about marketing initiatives and customer relationship management being in being in sync with who property buyers are and their buyer behaviour. Moving into the future, the majority of property buyers will fall into Millennial and Gen Z generational cohorts.
Millennial property buyers are vat an all-time high
An article on millennial home ownership in in the May 2024 issue of Business Matters magazine stated: “Homeownership among (UK) millennials has climbed to its highest level in over a decade, driven by a significant rise in earnings among young people, according to recent research from the Institute for Fiscal Studies (IFS).”
Millennials are tech-savvy clients
Millennials are the largest generation in the UK today, making up 22% of the population. Age wise, they range between 28 and 43 years old – and two thirds of them have at least one child. Millennials were the first generation to be raised with smartphones, instant communication methods, and social networking. According to a recent survey of millennial homeowners, when it comes to looking for a new home, this cohort is highly likely to start their property search online. This means Estate Agents have no alternative but to use online tools to reach and connect with these tech-savvy clients. Plus, they are used to instant access and expect an immediate response and availability when talking to a service provider.
Millennials are strapped for time
Online research and shopping are entrenched in Millennials’ consumer behaviour. This is amplified by the fact that their lives are super busy with work, family, and other commitments. They may not have the time or desire to spend driving around to endless open houses or meetings with Estate Agents to narrow down their search. Online platforms allow them to search for ideal homes from the comfort of their own homes – anytime day or night. Seeing a property they like online will trigger their contacting the Agent.
Gen Z want to buy property
Older members of Gen Z are already in their mid to late twenties. According to the National Center for Social Research Gen Z, as the future movers and shakers in the property market, “face the biggest gap of any generation between housing aspiration and reality,” from a financial perspective. However, the majority still want to buy property. Gen Z as first-time buyers are fully immersed in the digital landscape. Not only are they digital natives, increasingly they will live in the Metaverse – a 3-D reiteration of the internet that includes immersive virtual worlds where people can connect with friends, work, play games and shop. Marketing to Gen Z consumers demands a very specific language and approach. Successful Gen Z marketing is based on common themes of ethics, humour, relatability, honesty, knowledge and community.
Here are 3 ways Estate Agents can future-proof their businesses while aligning themselves with the property buyers of the future:
- Digital marketing: Smart Estate Agents have websites and social media platforms that offer detailed listings with information about the features and amenities of each property. This includes featuring property videos or virtual tours that allow potential buyers to get a better sense of the property before they visit in person. Yet, despite the fact that property listings that include a video receive approximately 400% more enquiries, research shows that 80% of UK estate agents still don’t use video.
- Harnessing AI: With Estate Agents being kept busier than ever, custom software has never been more important for this fast-paced industry. The integration of generative AI as part of bespoke property software solutions, though not yet prominent, is a growing trend. AI can analyse massive volumes of data to identify and prioritise leads, ensuring Agents focus efforts on high-potential prospects. And AI can analyse marketing data to create highly targeted advertising campaigns, reaching the right audience with properties that perfectly suit their requirements.
- The virtual office: Digitally savvy Estate Agents can now lower their overhead costs, generate a following and promote their stock entirely via digital marketing and social media without needing a high street presence. This has paved the way for growing their businesses through growing the team – taking on experienced, tech savvy Virtual Assistants who bring specialist skills into the business and who free up their Agents’ time by tackling important yet routine tasks.
Clever Estate Agents are future proofing their businesses by containing their costs and upping their efficiency. This is accomplished by taking on an experienced Virtual Assistant – or a team of them.
VAs can manage a range of roles in Estate Agency, from Executive Assistance to Administration, Digital Marketing, Social Media Management and Bookkeeping. The right VAs can also take on Sales and Letting Administration roles – or Property Management. If a role can be managed using up-to-date digital communications software, then there is a VA who can fill the role, efficiently and cost-effectively.
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