Millennials have begun buying homes.
This is according to a study recently released by Google.
What scares me is, that the independent insurance industry will not be able to attract these consumers. Subsequently, we lose more market share as Millennial insurance consumers choose the only insurance providers who’ve thus far been willing to engage them: Direct writers and captives.
For far too long, the excuse of independent agents not adopting digital marketing as part of their standard business operations is that “Only” Millennials use social media and Internet. Who wants to build their business on renters insurance policies and high risk auto insurance?
The rooster has come home to roost on that excuse.
No longer can Millennials be viewed as “Bad risks.” This generation is rapidly moving into the prime spending years of their life.
Millennials are now establishing the professional services relationships which could dictate a decade of buying decisions.
Capturing the Millennial Home Buyer
Have you properly optimized your online presence for Local SEO?
Are you using video to attract the mobile insurance consumer?
Is your agency set up for the modern insurance consumer journey?
It needs to be.
According to the Google Consumer Survey, 18-34 year-olds are twice as likely to buy a new home in the next year than 35-54 year olds.
Jonathan Smoke, Chief Economist at Realtor.com said of these findings, “It is likely that we are on the cusp of millennials starting to emerge from mom and dad’s basement.”
Millennials Are Buying Homes. Time to Become their Resource.
Millennials are nothing if not professional vetters. These new modern consumers know how to do their homework. As evidenced by home improvement video, views on YouTube grew 35% in July of 2014 year over year, and watchtime is growing at 77%.
As Millennial home buyers start the purchase process, they’re not only researching which home to buy, but also how to make the improvements to homes.
Here is where opportunity exists for the insurance agent.
In order to capture the attention of Millennial consumers, we must become more than just an insurance sales mechanism.
Consider creating educational content, helping these first-time home buyers better understand topics such as:
- The real estate market,
- Home improvement,
- Choosing a contractor, or
- Purchasing furniture.
Becoming a resource in topics outside of insurance helps to attract attention from Millennial consumers before they begin shopping for insurance. This creates brand awareness and begins to establish trust with new potential clients.
The Mobile Millennial
According to the same Google Consumer Survey, mobile demand for home project queries is up 69% year over year (versus 11% on desktop).
This means that Millennials aren’t only doing research before they buy, but more and more these “Mobile Millennials” are doing that research on mobile devices. This makes sense, considering over 85% of Millennials own a smartphone.
Insurance isn’t the only industry Mobile Millennials are disrupting. Millennial consumers activity is driving change within the banking industry as well.
Is your agency mobile-ready?
Millennials are evolving from no-budget juveniles to spend-ready adults. These insurance consumers want the deep relationship that independent insurance professionals have been providing for more than a decade.
They just want it in a different way.
Millennials want to do their own homework, on their time, in their own way.
Create that experience, and they will happily choose your agency.
How will you capture the Millennial insurance buyer? Share in the comments below…
Thank you and good luck,
I am Ryan Hanley