Social media has broadened the way we interact with one another. Meet HENRY, a niche demographic of millennials and Gen X who have a household income of more than $100,000 with high earning potentials. Luxury real estate brand Engel and Völkers coined the term and has recently released an original report analyzing millennials’ definitions of luxury, key factors influencing purchasing decisions and how brands, specifically real estate professionals, can reach them as the next generation of wealth.
The way we establish personal and working relationships has changed drastically. Companies would find it beneficial to position themselves as influencers in order to connect with HENRYs; the high-earning-not-rich-yet generation. The key finding uncovered by this report? HENRYs are more apt to use a real estate advisor they view as an influencer. Because of the personable nature of a follower – influencer relationship, brands would benefit from cultivating and building a rich online presence, one that builds relationships.
People born in or after 1984 heavily rely on influencers when making purchasing decisions. 84% of HENRYs say influencers have impacted their decision to make a purchase and 80% would consider hiring an influencer for their specific expertise (e.g. a fitness instructor, real estate agent or interior designer). When deciding on a real estate agent, HENRYs consider the opinions of friends and family (59%), the neighbourhood’s reputation (53%) and the agent’s expertise on the sought-after area (50%).
“80% of wealthy Millennials would consider using a real estate agent who they view as an “Influencer”
President and CEO of Engel and Völkers Americas, Anthony Hitt, “With HENRYs poised to become the next generation of wealth, luxury brands must start planning as to how they will service this distinctive demographic.”
While living in a desirable area points to a comfortable lifestyle, the idea of luxury is not correlated with price point, according to HENRYs. 38% of HENRYs would consider a high price point only one factor in determining if a property is luxurious. More so, aesthetic qualities like finishes (68%), location (64%) and amenities (57%) are noted as main attributes and a desirable commodity.
As HENRYs increase the time spent online, brands should model and target themselves as influencers and thought leaders. As influencers are piloting and establishing as an ambassador to sell and market products, real estate agents should attempt to do the same.
To view and download the full HENRY report, please visit https://www.evfranchise.com/henry-report.