As everyone navigates the complexities of inflation, the question remains: When will things truly turn around?
We recently gathered data from over 200 home improvement business owners to understand their concerns. One constant: advertising is crucial to success. So, we asked over 1,000 homeowners about their spending on home services and what motivates them.
Key Findings:
- Incentives Matter: 81% prefer ads with offers.
- Maintenance Budgets: 27% spend up to $250 annually; 49% over $750.
- Lawn Care Preferences: 27% want full-season discounts.
- Pest Control: 48% would switch for lower costs.
Homeowners are looking for value and incentives to make decisions. They prefer trustworthy brands and need consistent, clear communication about offers and benefits.
By the Numbers
- Ads with Incentives: 81% of homeowners are more likely to engage with ads containing offers.
- Annual Maintenance Spending: 27% budget up to $250, and 49% spend over $750 on home maintenance.
- Lawn Care Offers: Homeowners prefer discounts for full-season services, with 27% willing to commit for significant savings.
- Pest Control Switching: 48% would change providers for lower costs, highlighting the importance of competitive pricing.
- Preferred Ad Imagery: 60% prefer ads showing a well-maintained lawn, aligning with their desire to see the end result of services.
All growing lawns need care
Homeowners are showing a clear willingness to invest in lawn care services, especially when incentivized. Our survey revealed that 27% of respondents prefer a significant discount, with 25% off a full lawn care season being the most popular offer. This indicates that long-term savings and comprehensive service packages are highly appealing to homeowners. By providing attractive, season-long discounts, lawn care companies can effectively tap into this market and encourage homeowners to commit to ongoing service plans.
Lawn Care Ad Preferences
We asked survey respondents to choose between lawn care ads featuring a family in the yard versus a beautifully maintained lawn. 60% preferred ads showcasing the finished lawn. This preference aligns with our experience that homeowners are motivated by seeing the potential results of the service. Emphasizing the visual appeal of a well-maintained lawn can be a powerful tool in attracting customers.
Pest Control Insights
Pest issues vary by region, with places like Florida facing constant battles, while other areas also deal with pests regularly. Our survey found:
- Monthly Spending: 46% pay up to $50 monthly for pest control, and 19% pay $100 or more.
- Switching Motivations: 48% prioritize low cost when considering new pest control services.
These findings highlight the importance of competitive pricing in attracting and retaining pest control customers across the country.
Home Maintenance Priorities
Home is Where the Bulk of the Budget is Spent
Homeowners often invest heavily in maintenance to avoid costly repairs. One homeowner shared, “I spend more on home maintenance to avoid costly repairs and to give myself a break. When I find a provider I like, it takes a lot for me to be ‘disloyal’ to them. I would only consider leaving if the price increased too much or the quality of work decreased too much.”
Maintaining homes is essential, and our respondents have utilized a wide range of services.
Spending on Repairs
- HVAC and Plumbing: Most popular services, with 62% and 58% of respondents, respectively.
- Annual Spending on Repairs: 55% spend up to $1,000, while 24% spend over $3,000.
Regular home maintenance and upgrades are unavoidable, and homeowners prioritize these to ensure their homes remain in good condition.
Homebuyers’ Spending Trends
Today’s homebuyers face increasing costs beyond mortgages, leading them to settle in and stay longer. The right offer at the right time can secure long-term contracts. Our survey revealed that:
- Home Maintenance Spending: 27% spend up to $250 annually, and 49% spend between $250 and over $750.
- Insurance Challenges: High premiums force many to cut insurance, saving for inevitable repairs.
- Home Repair Spending: 55% spend up to $1,000 annually on repairs like electrical, flooring, painting, plumbing, and HVAC, with 24% spending over $3,000.
Ad Preferences Among Homeowners
A significant 81% of homeowners prefer receiving ads that include incentives or offers. Furthermore, when presented with two different ads, 89% of respondents favored the one that contained an incentive. This highlights the importance of incorporating offers in advertisements to attract and engage homeowners effectively.
Preferred Advertising Channels
One homeowner mentioned, “I flip through your mailings and keep flyers of interest for reference. You never know when the need will arise!”
- Direct Mail: 68% prefer receiving offers via mail, appreciating the tangible aspect.
- Trust in Brands: HGTV and Amazon are considered the most trustworthy, with Valpak also highly regarded for direct mail.
These preferences indicate that homeowners appreciate the permanence and accessibility of physical and emailed offers.
Personalized Advertising: Effective and Engaging
Adding a touch of personalization to advertisements can significantly impact customer engagement. Tailoring ads to new home buyers, birthdays, and anniversaries enhances their effectiveness. Including personalized messages on postcards, along with coupons, can create a stronger connection with both existing and potential customers, making the ads more memorable and impactful.
The Power of Trust
In today’s world, trust is more important than ever, especially when it comes to spending on home improvement and lawn care. One survey respondent remarked, “Unfortunately, I’ve come to believe that everything is a scam.”
Given this sentiment, we asked homeowners which advertising brands they trust most. HGTV topped the list with 40%, thanks to its strong customer relationships and excellent return policies. Amazon followed closely with 38%, valued for its wide catalog and impeccable customer service. Trust remains a critical factor in consumers’ purchasing decisions.
Trust in Advertising Brands
While the survey allows homeowners to choose their most trusted direct mail brands, Clipp is proud to be ranked as the second most trustworthy brand. This recognition highlights Clipp’s commitment to building strong, reliable relationships with consumers through consistent, professional, and empathetic communication.
Maximizing Advertising Impact
Despite inflation and hidden fees, opportunities for growth remain. Homeowners understand the importance of maintaining their homes, while business owners strive for success and growth. Ask yourself: Are you investing enough in advertising to truly impact your target audience? Are you using the preferred channels and incentivizing loyalty? Reading the market trends is crucial.
Homeowners are looking for value through incentives and reliable brands. Effective advertising that highlights these aspects can significantly influence their spending decisions. Clipp can help businesses reach homeowners with the right offers, at the right time, to drive engagement and loyalty.