The majority of the workforce and the generation with the most purchasing power will be Millennials and Generation Z within the next ten years.
But there are significant distinctions between these generations, including how people budget, spend, and save money based on their unique values and brand perceptions.
Gen Z's interests and worries will influence the real estate market for years to come, even though the majority of them are only beginning to reach the age when they can buy a home.
Who Are Gen Z And The Millennials?
Millennials
There are many other characteristics that set millennials apart from other generations besides their obsession with technology. They were the final generation to enter the digital era and are responsible for creating much of the contemporary communication technology we use today.
Millennials are what we refer to as "multi-screen users," which means they are probably in possession of a smartphone, laptop, tablet, apple watch, etc., and use them constantly throughout the day.
The common definition of a millennial is someone born between 1981 and 1995. Overall, millennials favor pleasant customer experiences and convenience over brand loyalty.
Creating a positive client experience is essential for real estate agents who want to appeal to millennials, especially online through your real estate website. This generation is extremely impatient with broken digital platforms.
Gen Z
We frequently overlook the fact that Gen Z was born between 2007 and 2009 when the recession peaked. Many of them are more realistic than the generation before them, even though luxury goods may have become more common with their generation.
Compared to their parent's generation, they frequently have more reservations about personal expenditures, job security, and steady income.
Generation Z was raised with proof of the variety of ways to achieve knowledge and money without a traditional education, after the internet-savvy, free-spirited millennial generation.
The current generation is the first to not remember a time before the internet. They probably have more screens than millennials do, but they still have a natural sense of how to navigate the digital world. Screens are synonymous with connection.
They have a lot of connections and are more likely to use mobile apps and social media.
How To Make Both Generations Feel Welcome
There are many viewpoints that Gen Z and Millennials share. Due to their same upbringing, their positions on values, brand interactions, customer feedback, and more are congruent.
Values
Social justice, environmentally friendly businesses, and sustainability are vitally important to both millennials and Generation Z. In fact, a recent survey found that 86% of Gen Zers and Millennials believed that businesses should take a statement on social issues. 64% of respondents said they were "very likely" to buy something as a result of a company's promise.
The act of taking a stand, however, entails more than merely altering your Facebook profile picture. You can relate to this group's values as a real estate company by revealing the inner workings of your daily operations and how you live in accordance with "green" principles.
Less Advertising And Promotion
Millennials and Generation Z are over being sold to as generations that have been inundated with advertising, primarily online. They place more value on accurate, useful information than any overt marketing message.
It all comes down to creating as much natural buzz as you can about your real estate experience. The best way to get customers to talk about you and spread the word is through earned media (consumer approval that you can't purchase).
Storytelling Online
News Over Sales
Successful advertising relies heavily on storytelling, particularly when targeting younger adult generations. Knowing that Dawn dish soap is used to save the lives of drowning newborn ducks makes it much more enticing.
In millennial and Gen Z branding, your real estate brand should put your story and your company mission front and center. Your background, relationships with stakeholders, and opinions on trending issues are all part of your story, which goes beyond simply assisting individuals in the purchase and sale of real estate. If your goals or operating methods don't align with these age groups, you can say goodbye to those customers.
In comparison to earlier generations, brand loyalty is significantly weaker among millennials and Gen Z. For these groups, loyalty has nothing to do with duration or custom. In the event that their expectations are not satisfied, they are not scared to move their business elsewhere.
Every encounter needed to be tailored to each client's specific needs if you want to keep them as long as you can. These generations are all too accustomed to, and weary of, general fixes or being treated like a number in a system.
Site Design
More than any other generation, Millenials and Gen Z use their smartphones to browse the web, frequently while engaging in other activities.
To draw these leads, your real estate website needs to be appealing and mobile-friendly. Additionally, 90% of Gen Z and millennial customers are very particular about the protection of their data and online activities. They will want your guarantee that whatever private information you disclose to them will remain private.
Assure them that their information will only be shared with your team and utilized to send them the most pertinent emails for their particular circumstance, for instance, if you are trying to collect leads from this group by having them sign up for your newsletter.
On Social Media
As technology becomes more pervasive and intuitive, Generation Z's expectations and comfort levels rise.
Gen Z is probably using technology that combines a variety of features and ways to communicate. For instance, searching through Facebook posts for real estate listings or making original videos on Instagram.
Gen Z and millennials are using more video platforms, particularly those that promote short-form videos.
Review Culture Online
The way customers connect with business owners has altered as a result of online reviews' accessibility, authenticity, and speed.
People today are much more interested in what other customers have to say about your performance than what you have to say about yourself. 68% of millennials claim that they won't make a significant purchase without first talking to family or friends, according to Quick Sprout. This involves deciding on a neighborhood or a property to buy.
Email Advertising
"Skimmers" include members of Generation Z and Millennials. They aren't the group that carefully reads every word of your emails that summarize your month.
Your real estate emails need to be created with useful visual cues that highlight certain content and distinguish it from other stuff. This includes headlines that are adaptable, bullet points, and compelling visuals. In fact, research suggests that Gen Z and millennials have 12 to 8-second filters. What do you want them to prioritize from your email and how much of it can they read in that time?
These users don't enjoy content that is overtly promotional, as was already established. If you're going to use 12 valuable seconds of their time, make the most of them by giving them useful information.
How many emails should I send to maintain their attention is the next thing you're probably pondering (or should be).
One email per day is preferred by more than a quarter of Gen Z. Approximately 63% of millennials also want to get emails once every day but in substantially higher proportions. Turn off no-reply email addresses to continue the discussion and email opens. This essentially indicates to your readers that you are uninterested in hearing from them. Those no-reply addresses will only make you look bad to a conversational audience.
What Sets Millennials Apart From Gen Z?
Millennials
Outlook On Life
Given that millennials are the most educated generation in American history (based on degrees earned), their perspectives on major investments are undoubtedly going to differ. Additionally, compared to previous generations at their age, they are earning more.
Millennials are hardly mindless spenders, despite these facts. Although they enjoy shopping, they view the world through the prism of ongoing education and experience.
Corporate Identity
According to reports, almost 3/4 of millennials are more likely to buy from companies that share their beliefs. Your brand identity as a real estate professional should be centered on and reflect your values in all of your marketing collateral.
Take the time, for instance, to fully develop your About page and prominently display your firm objective on the home page of your real estate website. The bios on your social media profiles, if there is room, should also make a point of mentioning your objective.
Generation Z And Millennials' Use Of Social m\Media
Use Of Social Media
Millennials use social media for an average of 3.8 hours per day, which is substantially more than previous generations but less than Gen Z (although this may have briefly increased during epidemic periods). The most popular networks for millennials, who are all of working age, are Linkedin and Instagram.
Additionally, compared to Generation Z, millennials spend more time shopping, selling, and developing their brand.
Long-Form Informational Content
You can appeal to the millennial audience if you can create valuable material that instructs them on subjects they'd like to understand.
Keeping the attention of millennials and other younger generations is a struggle for most marketers. Videos, photos, infographics, and text combined with other media provide your pages enough diversity to maintain visitors' attention. As an alternative, being able to multitask while engaging with your material is appealing. This explains why so many millennials favor podcasts; the format makes it simple to listen to content while doing other things.
Newsletters And Emails
Email usage by millennials exceeds that of Gen Z. You'll need a well-planned and distinctive email approach if you want to stand out from the typical 6–50 emails people receive daily.
To get you off to a good start, go over our Drip Emails Guide.
Millennials get more emails in part because of this. They are more inclined than the younger generation to sign up for newsletters.
Gen Z
Outlook On Life
Gen Z, who are following in the footsteps of millennials, are notably welcoming and free-spirited. From the goods they buy to the media they watch, they are drawn to authentic content and materials. This generation is brand-new (or about to enter the real estate market) and is probably going to approach real estate with the same sense of humor.
They want real estate agents to be more "real" than to try to upsell them on a luxury lifestyle that they are aware is excessive and impossible. Individuality triumphs against 'perfection' as defined by the marketplace. They constantly favor brands with independent messaging over those with rigid ideologies.
Use Of Social Media
Gen Z is more connected to and defined by social media than any prior generation. They are the generation most likely to browse social media sites for several hours. In every area except for small businesses and politicians, they actually follow more users than millennials do.
In a nutshell, Gen Z is drawn to brief films, dense information, privacy, and authenticity.
Gen Zers should be targeted with brief, information-packed videos that protect their data. Statistics show that Gen Z prioritizes privacy above younger counterparts and favors video material. This explains their fascination with transient content on platforms like Whisper and Snapchat.
The influences Gen Z interacts with also reflect these interests. According to research by Think With Google, 70% of Gen Z respondents said Youtube stars were more relatable than Hollywood stars.
Newsletters And Emails
It's crucial to understand that Gen Z is significantly less likely to check and use email for communication. Additionally, fewer than 20% of people are likely to sign up for an email newsletter (the majority of them are motivated by specials and discounts).
In General...
For those of us who are still living in the TV commercial age, marketing to millennials and Gen Z might be difficult. However, in the coming years, these generations will dominate the real estate industry and establish marketing tactics. You'll have the essential perspective to develop a marketing strategy that produces results if you learn to target millennials and Gen Z.