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The implications are not tiny

Unless you have been under a rock for the last two years, you are aware of the small movement of the house that takes the country by madness.

In case you are one of the people who do not know this concept, small houses are exactly what they look like: super small homes, usually less than 300 square feet, which are designed in order to maximize space, while using virtually no space at all. They can be stationary on the ground, but in many cases they are built on a trailer so that they are mobile.

The movement began at the beginning of the century but has recently exploded thanks to this new generation of consumers and the media. There are all kinds of TV shows focusing on small houses like Tiny House Hunters on HGTV. If you are looking for a tiny Google home, you will find a very dynamic community where the owners exchange information and offer advice on living in a small space.

Here is an overview of the typical small house:

  • They have an average income of $ 42,038 ($ 478 more than the average American)
  • 89% of small landowners have credit card debt below the US average
  • 65% of small landlords have no debt on their credit card
  • 55% of small landowners have more savings than the average American
  • 68% of tiny landlords do not have mortgages (compared to 29.3% of all US homeowners)
  • 2 of the 5 tiny owners are over 50 years old

Although all of this is fascinating at first glance, when we dig deeper – I think this move is a huge marketing call. There are fairly significant signs in this phenomenon as to the orientation of consumers that will affect us all.

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Here are some of the trends I see buried in the movement of small houses:

Independence as the main theme: Imagine all the levels of freedom that you would have if your house could be moved where you wanted it, you had not got it. mortgage and your housing costs were electricity, water, internet and insurance.

A return to a simpler life: Tiny home buyers want less, so they have more choices to spend time with their families, work less and have much less to maintain. By default – if you live in 350 square feet, you can not have a lot of things. Simpler by default.

A Different Definition of Success : For these consumers, success is not a big house with a big screen TV and a well-maintained lawn. This is not a debt and no strings. This frees the owners to spend more time traveling and going out.

Mobility: By default, if your house is on wheels – you do not plan to create permanent roots. Even if you stay in the same community, you are not attached.

Environmentally Friendly: These homes are very environmentally friendly with composting toilets, very little energy, solar panels and versatile furniture. The footprint created by one of these houses is tiny compared to a traditional home.

A new relationship with money: These consumers do not want to owe anything to anyone. They want the economic freedom to do what they want when they want it. But that does not mean that they do not like the right things. Many tiny homes have very high-end appliances and finishes such as cherry wood floors and stained glass. When you have less than 500 square feet, these types of upgrades are very affordable.

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This group of consumers is growing at an incredible rate. Even if someone does not opt ​​for a small house, it is safe to assume that these consumer attitudes are emerging among more traditional homeowners.

These attitudes and buying habits will spread in all categories. I think it's important that you start thinking about how this will translate into your business. Because if it's not already – it's happening.