As Gen-A.I. And Data Fuse With Homebuyers’ Journey, Trust Matters Most

Housing economics thought leader John Burns and his team describe 2023 as a “a year of resilience” in a freshly-released wrap-up and preview analysis.

 Essential to that resiliency, structural drivers of age demographics (household, job-, and family formation) and a durably strong economy continue to motor along in the face of an array of headwinds.

Drilling into the 2024 outlook, Mikaela Arroyo, a team member who leads trend research for John Burns Research & Consulting’s New Home Trends Institute, keys into ways that technology and data will play an ever-larger role in the all-important buyer’s journey and purchase experience. Arroyo writes that “smart selling” will emerge as an essential tool among builders as they solve for both affordability and confidence that now is the right time to buy.

 Three out of five of Arroyo’s critical “tools and tactics” focus on a buyer experience powered by fast-developing generative A.I. and social media solutions. She writes:

• Relatability rules. Authentic content emerges as king, forcing a pivot from edited advertisements to relatable imagery.
• New search. The way consumers source information is shifting, impacting how they find products and establish beliefs.
• AI raises the personalization bar. Businesses continue to leverage AI to deliver hyper-personalization. Consumers increasingly expect personalized experiences tailored to their individual needs.

In lockstep with Mikaela Arroyo’s evidence-based insights, customer experience guru and author Joseph Michelli amplifies a 2024 emphasis for all brand marketing stakeholders around a narrative of “velocity” and simplicity powered by technology.

Michelli spotlights Hyper-Personalization, Voice and Conversational Interfaces, Augmented Reality Experiences, Emphasis on Customer Privacy, and Growth in Customer Self-Service Options as essential pillars of a consumer “thrill-ride” experience homebuyers have now grown to expect as market dynamics pivot from a sellers’ to a buyers’ market.

By staying ahead of emerging trends and preparing accordingly, you will exceed your customers’ expectations, ensure loyalty, increase referrals, and drive growth in what will surely be a wild ride,” writes Michelli.

Both Arroyo and Michelli strike a cautionary note about the double-edged sword of accelerated technological and data applications growth in our high-speed economy, adding to what is already an emotional – if not nerve-racking – process for home seekers as they begin what is typically their lifetime’s most expensive and meaningful purchase.

Especially of late, the topic of homeowners’ insurance has blown up from an afterthought in the homebuyers’ journey into a genuine area of concern and anxiety.

For many Americans, getting insurance for both their cars and homes has gone from a routine, generally manageable expense to a do-or-die ordeal that can strain household budgets,” writes Wall Street Journal staffer Jean Eaglesham. “Insurers are coming off some of their worst years in history. Catastrophic damage from storms and wildfires is one big reason. The past decade of global natural catastrophes has been the costliest ever. Warmer temperatures have made storms worse and contributed to droughts that have elevated wildfire risk. Too many new homes were built in areas at risk of fire.”

 The Wall Street Journal analysis delves into the causes and consequences of worry, strain, and cost-of-living impacts around obtaining and paying for homeowners insurance in a climate-challenged backdrop.

 This makes a trustworthy and transparent experience in the homebuying journey and purchase all the more meaningful in a volatile, uncertain, and complicated economic time period.

Westwood Insurance Agency started in 1952 by understanding what the customer wanted which was to make the insurance process a lot easier for them,” says Mark Tribendis, Vice President of Business Development at Westwood, a sponsoring partner of The Builder’s Daily. “We do this better than anyone in the industry now by combining trust and innovation.”

 Tribendis notes specifically that the all-important younger-adult Millennial and Generation Z digital natives who are now driving the new-home marketplace both want and expect all the positives of the power of technology to make their experience simpler, clearer, faster, and more seamless, without any of technology’s downsides.

Some companies have it backwards,” Tribendis says. “They start with the technology portion and then back into understanding who their customer is and what they want. Since the very beginning, Westwood has always put the customer needs first by understanding what they desire such as a seamless insurance process that saves them time/money. The outstanding technology we provide has only enhanced the already stellar customer experience.”

Recent Pew Research analysis notes that -- more and more -- Americans have warmed to the benefits of technology, data, and generative A.I.’s natural place in their experiences as consumers.

There are generally higher levels of support for AI when it is used to help with routine or basic tasks. A majority (57%) of Americans say they would be excited for AI to perform household chores, while just 19% express concern about this. Saving time or helping handle mundane tasks are also common reasons for excitement about AI. Americans are also pretty positive when it comes to AI’s ability to help people find products and services they are interested in online.”

 It is areas such as privacy and surveillance that add anxiety and hesitation to engage for fear that their personal data could be used to disrupt or harm their lives, according to the Pew Research analysis.

A seven-plus decade reputation and track record of reliability, transparency, and customer care help homebuyers feel a sense of peace-of-mind and confidence as they progress through their purchase experience, says Westwood’s Tribendis.

 Trust is everything when dealing with our customers, and everything begins and ends with trust,” Tribendis says. “Our sales agents have outstanding knowledge and the best technology at their fingertips. This helps the customer feel comfortable during the home-buying experience by providing accurate and precise information during their smooth interaction.”