What Happened To The Jones' ?! - Selling Options to the 'Simplifier'

Hello all - This post is coming to you from Europe, where I am taking great photos to show you design influences from Amsterdam, Zurich, and tomorrow, Milan.... New post very soon!

Perfect for the Simplifier Consumer Interested in Experience and Design

Heat & Glo's Contemporary Fireplace

Red 40

The October Harvard Business School review features an article by Harvard professor John Quelch on the new breed of consumer – the middle-aged Simplifier.

This new consumer can be recognized by her refusal to ‘buy-in’ to the conspicuous consumption so popular in the 90’s and early 2000’s. John Quelch calls out the following characteristics:

Downsized- The simplifier perceives that they have more ‘stuff’ than they truly need, and looks to downsize and simplify.
Experiences- The simplifier seeks to add to life through rich experiences, not possessions. Dining out, foreign travel, spa experiences, learning a new sport, activity or hobby all fit the desires of this emerging consumer group.
Possessions– They are embarrassed by their possessions, especially those flagrant indicators of their wealth.
Wealth– Although this group is self assured in their wealth, they remain comfortable leasing their car, renting a vacation home, and no longer feel it necessary to amass possessions.

John Quelch tells us empty-nester baby boomers make up a large portion of this group, already trading in their large SUV’s for a Prius. They seek detail and architectural character in their new homes, and even special spaces to display a few carefully chosen items from their life ‘experiences’, be it travel, or painting lessons. They seek low maintenance, smaller spaces. From a design perspective, we see this consumer seeking clean, modern minimalism.

While this consumer is downsizing, they are not downscaling, and they value quality over quantity in goods. High end finishes and new home add-ons such as wine storage, closet organization, and luxury spa bathrooms will reach this consumer. Adding additional fireplaces in the home add to the ‘experience’ for this consumer, be it in the kitchen, bedroom or bathroom. Sarah Suzanka’s now 10 year classic “The Not So Big House” becomes even more of a guide in creating a finely crafted and well designed home interior that will satisfy this consumer.

John Quelch points to EBay and the internet as the high tech equivalent of a yard sale allowing these consumers to rid themselves of unnecessary things and start fresh.
The October 2008 issue of Details gives well to do, style conscious men tips on how to minimize the showy appearances of wealth and status in these uncertain times. A recent Wall Street Journal article discusses the same, as well as John Quelch’s article in The Economist, “Too Much Stuff”.

When selling to this consumer, speak to quality, design, durability and green aspects of features and upgrades. This consumer may be more willing to upgrade in interior experiential home options rather than status exterior home upgrades. Think outdoor living rooms, luxury shower heads, art niches, fireplaces and top end granites. The important thing to this consumer is quality without showiness. The Jones’ be damned.
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The Design Minds at Hearth and Home Blog is geared to support design center staff and the new construction industry in selling options and upgrades to the new home consumer. Subscribe for updates. Contact Krisann Parker-Brown for merchandising or marketing support of your design center. She will be happy to work with you on your assortment and presentation to ensure you are on track for the upcoming decor and lifestyle trends.

Krisann Parker-Brown is the merchandising manager for Hearth and Home Technologies, the leading manufacturer and retailer of fireplaces and hearth systems. Krisann supports design centers and new construction builders in presenting Heat & Glo, Heatilator and Quadra-Fire hearth systems, and consulting on design center merchandising, point of sale and the consumer experience. Krisann is a member of the Institute of Store Planners, now the Retail Design Institute. Contact her at brownkr@hearthnhome.com or 952-985-6537.

Preparing for the International Home Buyer

The dollar is at near record lows against the Canadian Loonie and the Euro. Although tough for American's right now, ( I felt like I was on a back packer's budget on my recent trip to Amsterdam, Germany and France), European and Canadian visitors have more buying power than any time in recent memory.

While Canadian border stores in the US have long been known to accept the Canadian dollar, A recent Reuters article told of New York City stores accepting the Euro as currency. Domestic tourism is one industry that is still faring remarkably well in this downturn. My retail contacts at the Minneapolis Mall of America are passing on anecdotal evidence of increasingly large numbers of free-spending foreign tourists, including Canada, Asia, Europe, and surprisingly, Iceland.

WHAT THIS MEANS TO YOUR BUSINESS

Iconoculture is an internationally known consumer trend research firm, based in Minneapolis. A recent report highlights the growing trend of international consumers here in the US. The report discusses the customer service needs of making travel and transactions 'easy' for this customer.

For home builders in tourism destinations such as California, Florida, Colorado and even Montana, you could see an increase in the number of international customers considering a second home. Your marketing department may want to look for opportunities to reach this target market (airline magazines, perhaps?) Another idea is partnering with the HR/relocation department of large multi-national corporations who import foreign talent.

SOHO Direct Vent Fireplace with Stainless Steel Surround

WHAT DOES THE INTERNATIONAL CUSTOMER WANT?

In terms of home features and design, there are key points this consumer will appreciate.

A low maintenance, easy to 'lock it and leave it' home in a community with security are well thought of. This customer appreciates shops and activities within walking distance and entertainment and fitness options nearby. Accessibility to specific tourism 'destinations' such as the mountains, ocean, or entertainment destination are also important. The Walkscore website displays destinations available within a walkable distance of any address in the US. It highlights everything from restaurants, cafe's, food stores, parks and entertainment destinations near-by, and "scores" an address based on how many options are available nearby. It would be beneficial to have print outs of your communities on hand to share with your customers as a selling point.

In terms of design center options and upgrades, in many cases this customer appreciates clean, sleek design, easy care and ease of use. This customer is already accustomed to seeking out energy efficiency, water conservation and sustainability, so highlight these selling points when pointing our features and benefits of upgrade products. (For all of these reasons, Heat & Glo Fireplaces have been extremely successful in Canada and Europe, your customer will be very familiar with their designs and performance.)

EVEREST FIREPLACE, Shown with Atlas cast surround

The European style ("taller than wide" opening) of the Everest offers a fresh new look that's sure to add charm to any home. Its unique stacked campfire log set and distinctive refractory turns any room into a showpiece. It also features a clean face design that allows for a true masonry appearance. And, because it's a direct vent, it's easy to install and maintains your indoor air quality.

Going the extra mile to make it easy for this customer will go a long way - appreciated tactics could be emailing photos of the building progress, referring the customer to a well thought of interior designer in the area, and passing on community information ahead of time. Of course, in this global economy, it just makes sense to learn how to say "Thank You" in the appropriate languages.

The international consumer may or may not impact your business, but being knowledgeable and prepared will differentiate your community from the many available choices.

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The Design Minds at Hearth and Home Blog is geared to support design center staff and the new construction industry in selling options and upgrades to the new home consumer. Subscribe for updates. Contact Krisann Parker-Brown for merchandising or marketing support of your design center. She will be happy to work with you on your assortment and presentation to ensure you are on track for the upcoming decor trends.

Krisann Parker-Brown is the merchandising manager for Hearth and Home Technologies, the leading manufacturer and retailer of fireplaces and hearth systems. Krisann supports design centers and new construction builders in presenting Heat & Glo, Heatilator and Quadra-Fire hearth systems, and consulting on design center merchandising, point of sale and the consumer experience. Contact her at brownkr@hearthnhome.com or 952-985-6537