Selling Health & Comfort
Transcript of Selling Health & Comfort
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Selling Health & Comfort3 keys to successfully marketing the homes consumers now demand
IBS• February 11, 2021
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2 Gain a sustainable advantage
We create a market advantage for organizations that create a sustainable, energy-responsible future
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We start here…
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...and we end with marketing strategies and plans that build brands, shift perceptions and drive sales…
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..and communications that build brands, shift perceptions and drive sales.
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Pre-Covid…
America was in the middle of a cultural shift
Post-Covid…
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9Source: Millennial Pulse 2017
81%of Millennials are anxious about how
climate change will affect their children’s quality of life
2019; n=625
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41%want to be seen as someone who buys
eco-friendly productsQ - How much do you agree or disagree with the following statement: Buying/using eco-friendly products is an important part of my personal image
Source: Eco Pulse, Shelton Group 2018 n=2,012
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of Americans can name a specific brand they’ve purchased – or not purchased –because of the environmental record of the manufacturer… from 2009 - 2014 it was25% 6%
Source: Eco Pulse, Shelton Group 2018 n=2,[email protected] • 865-524-8385© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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What major purchase best reflects our values, green or otherwise?
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This is the new kind of conspicuous consumption.
Tesla Unveils Its New Line Of Camouflaged Solar [email protected] • 865-524-8385© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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So, people want the visual cues, but when it comes down to what really matters…
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Most people don’t connect their homes to their environmental impact
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4%Of Americans name their homes, buildings or electricity production as a leading cause of
climate change
n=2,028
Only
Source: Energy Pulse™, Shelton Group, [email protected] • 865-524-8385© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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47%admit they’ve done little or nothing to improve
the energy efficiency of their homes
How much would you say you have done to improve the energy efficiency of your home?
n=2,028
Source: Energy Pulse™, Shelton Group, 2019
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So, what really matters?
Three keys
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We’ve seen for a while now that health and control are really the key drivers related to sustainability in the home. These drivers are becoming exponentially more important.
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Pre-Covid… Post-Covid…
Keep in mind the new context
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SELF-ACTUALIZATIONdesire to become the most that one can be
ESTEEMrespect, self-esteem, status, recognition, strength, freedom
LOVE AND BELONGINGfriendship, intimacy, family, sense of connection
SAFETY NEEDSpersonal security, employment, resources, health, property
PHYSIOLOGICAL NEEDSair, water, food, shelter, sleep, clothing, reproduction
Pre-COVID
41%
During-COVID
33% 20%
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25%
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Basic needs have risen to the top of our concerns% Extremely/Very Concerned
Source: Eco Pulse® Wave 12 | How concerned are you about the following issues right now? Top 2 Box | n=1,002 Gain a sustainable [email protected] • (865) 524-8385 © 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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Pre-Covid…
Let’s talk about health
Post-Covid…
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Key 1: Pre-Covid 19, Health was already becoming a key driver in the home space
Source: Eco Pulse™, Shelton Group, [email protected] • 865-524-8385© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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72%believed their house has a
moderate to strong impact on their health
How much of an impact do you feel your house has on your health?n=2,028
Source: Energy Pulse™, Shelton Group, [email protected] • 865-524-8385
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Indoor air quality is a big part of health in the home…
Source: Energy Pulse™, Shelton Group, 2019© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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60%Have been at least moderately concerned
about indoor air quality
How concerned are you about the indoor quality of your home?n=2,028
Source: Energy Pulse™, Shelton Group, [email protected] • 865-524-8385
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51% of consumers said it was
important to upgrade the air ventilation system in their
homes
Which has often led to considering upgrades to ventilation systems
How much each statement describe your feelings about creating and living in a healthy home? n=2,028
Source: Energy Pulse™, Shelton Group, [email protected] • 865-524-8385
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They perceived IAQ issues to stem from the original construction of the home; nearly 1 in 4 believe construction materials are the cause of poor IAQ
0%
14%
14%
15%
16%
17%
19%
24%
25%
26%
38%
Other
Type of flooring chosen
Volatile organic compounds (VOCs) in products in my environment
Don’t know
Materials used in home or office furnishings
Personal care products used
Occupants
Materials used in construction and/or home improvement processes
Sources outside (weather, emissions, etc.)
HVAC system
Cleaning products used
Which of the following do you believe most impacts the indoor air quality in your home or work environment?
n=2,012Source: Eco Pulse™, Shelton Group, 2018
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When it comes to home products, their health concerns have been about chemicals/toxins
38%
0%
16%
17%
17%
18%
18%
19%
20%
26%
None of the above
Other
Fiberglass contents in traditional insulation
Arsenic in treated lumber
Chemicals like dioxin and phthalates in vinyl flooring
Chemical refrigerants in appliances
Toxins or VOC’s in carpet
Chemicals and toxins in foam insulation
Formaldehyde in cabinetry for the kitchen or bathroom
Toxins or VOC’s in paints
Which of the following health concerns have you had when choosing home improvement products?
n=2,012Source: Eco Pulse™, Shelton Group, 2018
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25%of the population are strong believers in the connection between
a home’s health and one’s personal health.
We call them Healthy Home Believers.
How much do you agree or disagree with the following statements?n=2,028
Source: Energy Pulse™, Shelton Group, [email protected] • 865-524-8385
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Education and income are
representative of the overall population
Significantly more likely than Gen Pop to believe their house has a strong impact on their health
Healthy Home Believers are…
Predominantly Caucasian, but
significantly more likely to be African-American
or Hispanic
HomeownersSignificantly more likely
to have kids in the home, especially ages
12 and younger
Primarily living in suburban areas, but
significantly more likely to live in urban areas
Younger, primarily
Millennials and Gen Z Significantly more likely
than Gen Pop to beconcerned about the indoor air quality of
their home
Significantly more likely than Gen Pop to
believe a truly healthy home has to be newly
built
n=517Source: Energy Pulse™, Shelton Group, [email protected] • 865-524-8385
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92%of Believers say it is
important to upgrade their air ventilation system
69%of Believers routinely have their homes checked for issues such
as air quality, moisture, contaminants, and pests
They have a bias for action
How much do you agree or disagree with the following statements?n=517
Source: Energy Pulse™, Shelton Group, [email protected] • 865-524-8385
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And they’re willing to invest in meeting healthy home standards now
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87%of Believers believe “upgrading my home systems to meet
healthy home standards is a smart investment right now”
Do you believe an energy-efficient home is a healthier home?n=517, Healthy Home Believers
Source: Energy Pulse™, Shelton Group, [email protected] • 865-524-8385
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94%of Believers would be likely to pay slightly more for a home
that has healthy indoor air quality
91%of Believers would be likely to
pay slightly more for a home that has higher energy efficiency
ratings
What are the top reasons you haven’t made more EE home improvements? Choose your top 2 or 3 reasons.*Asked of Believers who are likely to build or purchase a newly built home in next two years
n=166Source: Energy Pulse™, Shelton Group, 2019
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Pre-Covid19 these Believers were:
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ü very interested in a healthy homeü willing to take action to have a healthy home ü and willing to invest in it
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Pre-Covid… Post-Covid…
Concern for health is growing faster than other concerns
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Because of COVID concern for the overall health of people has increased much more than concern for the planet
57% 52% 39%People Profit Planet
Somewhat to much more concerned about the health and
well-being of people and communities
Somewhat to much more concerned about the health and functioning of the local, national,
and global economy
Somewhat to much more concerned about the health of
earth’s climate and well-being of all plants and animals
Gain a sustainable advantage.
Source: Mini Eco Pulse 2020 How much, if at all, has the pandemic impacted your overall concern for each of the following? n=1,007
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18%
64%
18%
Less concerned about indoor air quality than Iwas before the pandemic
The same level of concern about indoor airquality as before the pandemic
More concerned about indoor air quality thanI was before the pandemic
Today, amidst COVID we see even more concern about IAQ
Gain a sustainable advantage.
Source: Mini Eco Pulse 2020 Would you say you are…n=1,007
And 60% of Americans were at least somewhat concerned about IAQ
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53% are very or extremely worried about climate changeSpending less
money than before the pandemic and not eating out as much
Post-Covid IAQ seekers are…
Ethnically diverse (21% Hispanic or Latino, 10% African-American, 9% Asian)
More likely to have already traveled outside the country, travel for business by plane, take vacation in a car
Have large households (48% have 3 or more people in the house)
n=517Source: Energy Pulse™, Shelton Group, [email protected] • 865-524-8385
Have some distrust in the police, neighbors, large companies, courts, and the government
Are more concerned than last year about many environmental issues (climate change, deforestation, plastic waste, rising sea levels)
Skew Female (57%)
50% think the pandemic will have a negative impact on our planet
Nearly 1 in 5 (17%) have consciously purchased greener heating or air conditioning
Are very concerned about the impact climate change will have on their children’s quality of life during their lifetime
Strongly believe global warming, or climate change, is occurring, and it is primarily caused by human activity
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One last thing while we’re on health…
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Introducing:
The consumer insights platform specifically designed to help high-performance builders improve their products, homebuyers’ experiences and bottom lines.
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ObjectivesThe goal is to understand high-performance homebuyers, why they buy, which features and benefits of their high-performance homes are most valued by them, and how they’re feeling as they go through the build process. These learnings will:
• Help builders do better
• Allow members of the EEBA Builder Benchmark Groups to benchmark against each other…so they do better
High-Performance Builder centric
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Quality of workmanship, building materials, and layout and square footage are most important when choosing to build a home. Healthy IAQ, value, and location are also very important.
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Energy ratings from HERS (Home Energy Rating System) or EGH (EnerGuide for Homes)*
Smart home technology (e.g., digital assistants, smart appliances, security systems, etc.)
Environmentally-friendly construction process
Third-party certified energy-efficent home
Advanced home technology (e.g., triple glaze windows and low solar coatings, smaller HVACducting, instant hot water, etc.)
Customer service/connection with the salesperson
Builder reviews
The location/convenience to areas (e.g., neighborhood, surrounding area, school, etc.)
Value of the home for the price paid
Healthy indoor air quality
Layout and square footage
Quality of building materials used
Quality of workmanship
Survey 0 | Welcome
n=9How important were each of the following as you chose to build your new home?
Count of participants who rated Extremely or Very Important
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6 out of 9 (67%)feel that a house has a strong or very strong impact on an
individual’s health
Survey 0 | Welcome
n=9How much of an impact do you feel a house has on your [email protected] • 865-524-8385© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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6 out of 9 (67%)are allergic to dust and/or pollen allergies
Survey 0 | Welcome
n=9Does anyone in your household have: Dust and/or pollen [email protected] • 865-524-8385© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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1 of 9are allergic to any food
Survey 0 | Welcome
n=9Does anyone in your household have: Food [email protected] • 865-524-8385© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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4 of 6 (67%)considered these allergies when choosing their new high-
performance homes
Survey 0 | Welcome
n=6Did you consider these allergies when choosing your new home?
And of these
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How you can position on health:• Make it part of your tag line:
– Smith Homes: for raising healthy families
– Smith Homes: Beautiful. Comfortable. Healthy.
– Smith Homes: Improvements to keep your family healthy and safe.
• Devote a good portion of your home page copy to health
• Push out ongoing content about how to make a home healthier via social and digital campaigns
• Buy Google search terms for healthy homes in your market
• Do contextual targeting – run ads and sponsored content on web sites devoted to asthma and allergy issues, and beside products people are searching for to solve asthma and allergy issues
• Caveat: You still need to show gorgeous pictures of houses!!!© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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Pre-Covid…
Key Two:Let’s talk about control
Post-Covid…
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Pre-Covid 19, Control –over comfort and utility bills – was a driver in the home space, too
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76%
65%
71%
67% 68%
63%
56%
50%
57%
69%
56%
80%
74%72% 71%
79%
64%
59%
50%
47%
2007 2008 2009 2010 2011 2012 2013 2014 2015 2018
Aesthetic EE
Trend on energy efficiency vs. aesthetics: it’s all about controlwhen people feel anxious about the economy
[OF HOMEOWNERS] If you were suddenly given $10,000 to make home improvements, which two of the following things would you [email protected] • 865-524-8385© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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13% 12% 13%
9%10% 11%
8%10%
2011 2012 2013 2014 2015 2017 2018 2019
Roughly 10% have outright stated that control was their driver for energy efficiency
What’s your top reason to participate in energy conservation activities or buy an energy-efficient product or service? Source: Energy Pulse 2019
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“To save money,” which is about gaining control, has always been a top reason to participate in energy conservation activities or make related purchases
2015
47%
2016
35%
2017
32%
2018
36%
2019
35%
What’s your top reason to participate in energy conservation activities or buy an energy-efficient product or service? [email protected] • 865-524-8385© 2021 Shelton Communication Group, Inc. ALL RIGHTS RESERVED.
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Solar – also about control – has scored high on the wish list of what people want in a home in recent years
2015
36%
2016
17% 2018
27%
2015, 2016 & 2018: Which of the following features do you want your new home to have? Solar Panels.Source: Energy Pulse 2018
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61% of consumers agree that smart home technology
makes their life easier
*Smart home technology defined as devices controlled via the internet or mobile device and learned-behavior devices
How much do you agree or disagree with the following statements? n=2,028Source: Energy Pulse™, Shelton Group, 2019
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59 Gain a sustainable advantage.
Smart tech provides tangible benefits like…
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…alleviating the hassles of everyday life
29%
29%
36%
50%
50%
52%
53%
55%
55%
58%
59%
62%
Preparing my home for resale
Keeping up with the latest technology
Scheduling repair technicians automatically when a problem is detected
Maximizing the performance of my home systems and appliances
Making my home convenient for daily tasks
Detecting problems with my home’s systems and appliances before or as they happen
Running my home efficiently with the least impact on the environment as possible
Improving the air quality of my home
Diagnosing what is causing high utility bills
Making my home a healthy living space
Making my home more comfortable
Making my home more energy efficient
*Percentages are Top 2 box
n=2,028Source: Energy Pulse™, Shelton Group, 2019
Please indicate how important each statement is to you when it comes to technology-driven features in your home.
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…but it also gives emotional benefits such as
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A sense of security, entertainment, peace of mind, etc.
25%
26%
30%
32%
64%
64%
Just because I can
Satisfying my hobby of tinkering with new technology
Satisfying my hobby of doing home improvements or upgrading my home
Adding fun and novelty to my daily life
Feeling comfortable in my home
Making my home a safe, secure place for me and my family
*Percentages are Top 2 box
n=2,028Source: Energy Pulse™, Shelton Group, 2019
Please indicate how important each statement is to you when it comes to technology-driven features in your home.
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• Like Gore-Tex, make clear the non-gadgety material advances of high performance homes
• Help your buyers understand that truly smart, healthy homes are created in the design phase, not tacked on afterwards
From a communications perspective, think about it like the evolution of high-performance gear
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Pre-Covid… Post-Covid…
We’ll want to be even more in control of our homes
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Our prediction:
Control is going to be even more important. We will want our homes to be true sanctuaries that we are the masters of. We will want to know that our homes can weather health and climate emergencies and keep us safe.
We will want homes we can work from and be entertained from. We will want homes we can control the costs of. We will want homes we can be healthy in.
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Our predictions aren’t just based on instinct or experience. They’re based on social commentary happening right now, and on surveys recently fielded.
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67 Gain a sustainable advantage.Source: Bryant, Kelly. “9 Things We Can All Learn from Doomsday Preppers.” Reader's Digest, Reader's Digest, 1 Apr. 2020.Source: Barea, Maria. “We're All Preppers Now.” Brandchannel, 18 Mar. 2020.
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68 Gain a sustainable advantage.Source: Ism, Carin, and Julien Leyre. “16 Ways Coronavirus May Change the Way We Look at the World.” Singularity Hub, 25 Mar. 2020.Source: “You Guys Worry Me.” Reddit, 29 Mar. 2020.Source: Rao, Tejal. “Food Supply Anxiety Brings Back Victory Gardens.” The New York Times, 25 Mar. 2020.
69 sheltongrp.com • 865-524-8385sheltongrp.com • 865-524-8385 Source: MacIntyre, Blair. “MR Isn't About Escaping Reality, It's About Connecting with People.” Blair MacIntyre's Blog, 1 May 2018.Source: Gent, Edd. “Forget Video Conferencing—Host Your Next Meeting in VR.” IEEE Spectrum: Technology, Engineering, and Science News, 13 Apr. 2020.
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Tying this together:Beyond health and control, can you make a broader self-sufficiency claim about how your homes?
Can you include solar+storage standard in your homes?
Can you create plans/packages for taking homes off grid?
What else can you offer that helps build in self-sufficiency?
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Two things we’ve learned as we’ve marketed sustainability, health and control value propositions:
1. Quick pieces of info perform much better than e-books or longer form content: A user is 5x more likely to click on an infographic than an ebook offer. And videos perform 3x better than written content.
2. Sustainability messaging performs best as a SECOND LEVEL messaging. People that already show an interest in a product are 5%-8% more likely to engage with sustainability messaging than feature/benefit messaging
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Key Three:Going forward, customers won’t just be looking at how you can support their new lifestyles and keep them healthy, safe and in control…They’ll also be looking at your company and what you stand for. That will also drive whether or not they want to buy from you.
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69%say it’s important for companies to take a
stand on social issues
Consumers are looking to buy from socially conscious brands(up from 62% in 2018)
Gain a sustainable advantage.
Source: Mini Eco Pulse 2020 How important is it to you that companies take a stand on social issues? n=1,007
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29%of Americans say companies should not publicly align with a social issue – they should just focus on their own business
Source: Mini Eco Pulse 2020 How should brands decide what social issue(s) to stand for? n=1,007
Only
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Keys 1 & 2: Health and control will be important drivers in home purchases going forward (protecting the environment is a cherry on top)
This means consumers will want solar panels, health built-in, and smart technologyThey will also begin seeking out home offices with doors, total connectedness, built-in entertainment screens/speakers, bigger pantries, gardening areas, exercise nooks.They will NOT accept trade-offs! They will also want the home to be high-quality and beautiful.There’s a lot you can do with your digital targeting to find people looking for healthier, self-contained, high quality homes. Remember that you still need to show pictures of beautiful homes!
To Recap
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Key 3: They’ll want to buy from companies that stand for something more than just making money.So:1. Create home designs that offer maximum control, self-sufficiency,
flexibility and connection2. Make health and control central to your brand and marketing.3. Create supporting social campaigns that tell the world what your
company stands for.
To Recap (cont)
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Free Resources
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Resources
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Discussion
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Thank you!
Suzanne Shelton
865-414-3926
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