Why Target New Movers?
Over 45 million people move in the US each year. And these movers are ready to spend. This makes movers a prime target for businesses.
Did you know?
- $9,700 is spent before and after a move. Renters spend nearly $4,000.
- 80% try new products and services from local businesses.
- 80% redeem coupons from merchants before, during, and after a move.
- 60% change their service provider and 42% upgrade their service.
- According to the United States Postal Service, 70% to 90% of new move-ins are families new to the area.
- The majority of new movers are 18-34 year olds, with people in their 20s representing the highest concentration. Once people reach their 50s, their move rate is minimal. (Melissa Data)
Targeting new movers clearly presents a huge opportunity for customer acquisition within a variety of industries. Here are 3 ways to help you turn new movers into new customers:
Start with a targeted list.
Be sure to spend the time securing a list of new movers that is updated frequently from multiple sources. For example, data may be sourced from providers including utility connects, deed records, publisher’s change of address, financial change of address, and telco new connects and disconnects. The list should also be enhanced with consumer demographics. So for example, if you own a pet store, you can choose only those movers who are pet owners. Or if you run a childcare center, choose to target only new movers with children within a certain age.
Send frequent messages.
It’s important to keep your marketing efforts going constantly. A mover may not be ready to purchase your service right away so the key is frequent messaging to keep your brand top of mind when they are ready. People need several communications before they decide to act, so keep in front of them regularly —especially during the early months when movers are establishing relationships with businesses that may last many years. Response rates for single touch direct mail campaigns tend to yield an industry standard of 1-2% but with a second, highly targeted touch, response rates go up to 5-6%. If you don’t stay top of mind with new movers, somebody else will.
Communicate Across Multiple Channels.
Consumers move and shop across multiple channels. They may head to the Internet to research a new service provider, see a direct mail piece from your company, and then finally respond to your email offer. As we discussed, it takes multiple touchpoints before a consumer is ready to purchase but these communications must be spread across different channels. According to a report by Marketingprofs, 40% of consumers try new businesses after receiving a direct mail piece and the DMA states that on average, direct mail advertising gives a business a 13 to 1 return on investment. When using email, 91% of consumers check their email at least once per day on their smartphone, making it the most used functionality. (ExactTarget) And when utilizing digital advertising, clicking on an ad on a social site is often the first step toward a sale, rather than the last. 80% of consumers do “a lot” of online research for purchase decisions, and 46% say they count on social media when making such choices.
It is also critical for marketers to understand that with so many people moving on a yearly basis, mailing lists quickly become stale. Nearly 33 percent of the people who move do not report their new address to the U.S. Postal Service. Because of these unreported moves and other restrictions, processing a mailing list through the National Change of Address catches only about 50 percent of new moves.
New movers must start fresh, establish new patterns, and find a new network of providers, services providers and merchants. They are gathering information and are open to offers. By strategically targeting these consumers, you can generate awareness, establish your brand presence, and gain troves of loyal new customers.