Tuesday October 26, 5:11 am ET
The Future of the Home and Building Industries Are in Their Wallets!

ATLANTA, Oct. 26 /PRNewswire/ — The 40 million consumers who make up Generation X are laying waste to the perception that they are not yet a viable market for the home building, design, decor, and remodeling industries to pursue.
A study by Kleber & Associates Marketing and Communications found Gen X, ages 25-34, will buy their homes and build new ones with a focus on individuality and personal style that will drive the trends in design and style, not follow them, for the next 20 years.

“This group is nomadic, pragmatic, active, and non-traditional. They value personal time and convenience and, they expect ready access to the things they want,” comments Steve Kleber, president of Kleber & Associates. “They represent a powerful buying force that cannot be overlooked.”

According to 2002 CEX data, Gen X accounts for 16.5 percent of the home furnishing market and 19.9 percent of furniture purchases. The recent study by Kleber & Associates confirmed that GenX makes buying decisions differently than the previous generation. Product attributes that motivate them to purchase are quality, longevity, value, and reliability.

When they shop, the study found Gen Xers often research purchases on the Web, and then shop in-store where they rely heavily on point-of-sale information to make their selection. GenXers are attracted to companies with toll-free telephone lines or a user-friendly website. Their decisions on major home improvements are driven by the positive impact on the value of their home and its resale potential. And, they want what’s new.

Looking at home buying, CEX data shows that 49 percent of people in the GenX group own homes. Another study puts the number even higher at 68 percent. According to the National Association of Realtors, the median age of first-time homebuyers is 31. This is nearly five years younger that it was in 1993. First-time homebuyers made up 40 percent of the overall home sales in 2003.

“They are an undeniable emerging power in the home buying, furnishings, and home improvement marketplace,” Kleber adds. “Clearly, the high expectations of the 25-34 demographic will be a catalyst for a range of new products, fresh design ideas, and a focus on convenience. Their preferences and purchasing patterns will drive home design and decor for the foreseeable future.”