Maximise profit by designing for your target market
In this article, we will explore how developers, can maximise profit by designing spaces specifically for our target market. We will look at how to research and create a specific buyer profile and why this helps the entire process from conception to sales and even after-sales!
Why bother designing for a target market?
Firstly, let’s look at why we should design spaces with particular people in mind.
There are many reasons for developers to do this, including:
- By identifying your ideal buyer, you will find that both designing for and selling to them becomes effortless. This is because you have already considered their pain points, potential barriers to purchase and are clear about exactly what they’re looking for.
- When you design specifically for this person, you create their ideal (or dream) space. This will mean that they are willing to pay more for it.
- Knowing your ideal buyer inside out and designing especially for them will help you to avoid costly mistakes or time wasting. For example, it enables you to fully brief everyone from your procurement team, QS, marketing team and interior designer. This knowledge will influence everything, from choice of building materials, room layout, brochure look and feel etc. from the very beginning of the project.
- Make marketing decisions easily with a clear and specific ideal buyer profile. Knowing your specific target means that you know how they gain information, what influences them and how to target them online using analytics.
- Once your ideal buyer has purchased (or perhaps reserved and pre-paid a deposit) for their dream home, they will tell their friends about it. Their friends are likely to include more of your ideal buyers, who in turn will be likely to buy. Word of mouth is a powerful tool!
How do I find out about my target market?
You likely already know a fair bit about who will want to buy your home(s), but do you know enough?
You need to get truly specific. For example, targeting “young professionals” is not enough. For your project to be successful, you must be far more precise. Here’s where your buyer profile comes in.
What is a buyer profile?
A buyer profile is a way of getting to know and understand your ideal customer, thus giving you a sales advantage. It’s a kind of fictional persona of someone who would most want to buy what you’re selling. While it’s not a real person, it is realistic and based on real data.
Of course, not every buyer will fit this profile exactly. However, the idea is to distil trends and analytics into a portrait of your ideal buyer (i.e. the person who it would be easiest to sell the property to).
How do I create a buyer profile?
The first step to creating a buyer profile is research. Gather as much information as you can.
Consider the following:
- Do your previous/current buyers have common attributes?
- Talk to current and prospective customers to find out what makes them tick. Ask questions, in person, over the phone, by email or via social media. What are they looking for? What are they keen to avoid? Why?
- Get to know the area, talk to your estate agent and involve them from the outset. They are the experts and will be able to help gather information from prospective buyers.
- If you are targeting a specific generation, research it. Here’s a good overview and here’s a more in-depth generational differences chart.
- Look at government data for the local area. What are the demographics of homeowners?
- Consider your ideal buyer’s situation. What are their hopes, dreams, worries or fears? Put yourself in their shoes.
- A mortgage calculator can help you determine their likely income.
- Mine your website and social media analytics for information about your visitors and followers’ interests, lifestyle etc.
What to consider when creating a buyer profile
The more aspects you consider when creating your buyer persona, the better. The more accurate and specific it is, the more success you will have.
To help, we’ve created a free home buyer profile template at Watermark Homes for you to download and complete as fully as possible. We’ve also listed plenty of considerations to get you started, so pop over to download the digital template, research and complete it, then come back here…
The Balance, Small Business site summarises the benefits of finding out about your ideal buyer as knowing:
- what will motivate them to find your business
- the benefits they are searching for
- where they are most likely to interact with your brand
- the messaging that will best appeal to their needs and wants
For developers, we would add that this information allows you to:
- tailor your home(s) to be exactly what your ideal buyer is searching for
- be the brand that ticks every box on their dream home wish-list
So, once you’ve fully completed your free home buyer profile template, you’ll be able to use it to help you reach and target your ideal buyers. You will also be able to design spaces that perfectly suit your ideal buyer.
Designing for a target market – some real world examples
To give you an idea of how knowing your ideal buyer can influence design decisions, here are some examples from our current development projects:
At Catherine House, our Borough Green development, we:
- switched out standard electrical outputs to incorporate USB points in both the lounge and the bedroom to reflect our first time, young millennial buyer’s love of technology
- decided to put in fitted wardrobes, removing the pain point for first time buyers of having to buy furniture. This also makes the room look more streamlined and modern, which our ideal buyer is seeking
At Davison Close, our Greenwich development, we:
- altered the design layout to better suit our ideal buyer profile family. We created a larger kitchen/dining space, ideal for our Gen X move-up buyers, who are looking for the home of their dreams, with plenty of space to entertain family and friends.
- maximised cabinet and storage space, putting in full height fridge and freezers wherever possible. We decided to make the kitchen islands longer to incorporate more storage and seating for our ideal buyer family to enjoy time together or socialise with and cook for friends.
In summary, it’s clear that knowing your target market and designing specifically for them leads to a simpler, more focussed marketing process, faster, easier sales, more profit and happier buyers!
This is a guest post by Watermark Homes.
Visit our website for property development and investment information. Established in 2016 and based in Kent and SE London, Watermark Homes is a young, dynamic, independent property company with an uncompromising focus. We create high-quality, safe and welcoming homes that are functional and practical in design, yet affordable to rent or buy. We believe that everyone deserves a home like this.