Friday, April 24, 2009

Is it the Market or your Marketing?

Many of the resort style real estate developers and a great variety of service providers from Mexico and Latin America, like mortgage companies and title insurance companies, are struggling right now and have the urgent need to reach a target audience of affluent Americans & Canadians, the majority of them Baby Boomers. “Who continue to be the most powerful consumers in the marketplace and will continue for many years to come, regardless of the economic climate and the current market conditions”, according to David Weigelt & Jonathan Boehman.

The number of Americans and Canadians living abroad, approximately 7 Million, accroding to The Washington journal, has steadily grown over the past decade and it is expected to more than double within the next 10 years. In the next 20 years, 100 million baby boomers, from the USA and Canada, are going to retire. Five million baby boomers turn age 60 each year, Ten Thousand per day, Eight per minute, and scores of them are purchasing property abroad as vacation homes or investment homes. Naturally, many of them are auditioning these homes for potential primary retirement residences.

There is also a strong upward trend in the number of Americans traveling abroad for health care. According to Modern Healthcare, there were 750,000 Americans who traveled abroad for healthcare in 2007 and this number is predicted to increase 700% to 6 million by 2011.

In order to reach the target audience Real Estate Developers and Service Providers need to do things differently. They need to seek innovative ways to create awareness about their properties and products. Expensive direct mail, brochures, magazines and newspaper advertising, videos, radio and TV have been the predominant marketing methods. These traditional, conventional methods have become more and more expensive and less and less efficient.

Most of the times the proposals that are made from traditional PR and Marketing firms to Latin American Developers are out of context, are prohibited. There is not enough money to do what these firms propose. Traditional means of marketing and selling resort properties and services are no longer working. “Traditional Marketing is Broken” – David Henderson. Real estate developers and service providers need more cost efficient ways to generate buyer-investor traffic. There are buyers out there and they are actively looking for a better weather and for more affordable places to live.

The National Association of Realtors reports that more than 95 percent of all home buyers use the Internet to help find a home. The internet changed the power dynamics of the property industry by giving consumers unprecedented access to information previously only available to agents and developers. The use of effective Internet Marketing Strategies in Latin America has been slow to develop due to the lack of useful messaging, poor search engine marketing and poor search engine optimization.

Online Marketing has evolved and in Latin America we have not catch up with it. According to Domus, Online Marketing has evolved as follows: 1995: Learn Email, 1998: Learn CRM, 2001: Get a website, 2003: Email Marketing, 2005: Buy Online leads, 2008: Participate in Social Media.

Social Networks have evolved into open platforms to organize users internet experience. Users are posting a massive variety of content like in Facebook, My Space, Twitter, LinkedIn, Technorati, etc. Social networks have effective search tools, a simple user interface and the ability to post content quickly. A means of fast and broad distribution to perhaps millions of users simultaneously.

Social Media has become a powerful medium for real estate marketing and lead generation at a significant lower cost than traditional marketing methods. The Future of Resort Style Real Estate and Marketing has arrived with Social Media. Latin American Developers and Service Providers have the urgent need to start using Organic Marketing, Viral Marketing. They need to jump in Social Media and Social Networks as soon as possible in oder to create and establish relationships with consumers.


Boomers Abroad is niche portal, an online community and Social Network.


BoomersAbroad.com was born in direct response to hundreds of conversations with baby boomers from the USA and Canada who were seeking to better understand how they could live, move, relocate, retire and/or invest abroad, specifically in Mexico, Latin America and in the Caribbean.


Challenging Traditional Marketing to Baby Boomers from Latin America

By Luis Miranda.