Mkt 571 - Greater Cleveland Habitat for Humanity

Greater Cleveland Habitat for Humanity

Marsha Pettus

MKT/571

October 29, 2013

Monica "Dee" Guillory

Greater Cleveland Habitat for Humanity

Homeownership for Families in Need

Founded in 1976, Habitat started in Americus Georgia with a mission to globally eliminate poverty housing.  Today, it is one of the largest home builders in the world operating in over 100 countries.  Greater Cleveland Habitat for Humanity (GCHFH) started in 1987. Over the years, GCHFH has built over 150 homes in Cuyahoga County.  The brand and strategy is unique and impressive.

Greater Cleveland Habitat for Humanity works to eliminate substandard housing in communities by providing homeownership opportunities for families in need. Their target market is a family in need living below the poverty level that would be first time homeowners.  The home is deep discounted because the cost of a typical builder’s labor (construction crews) is donated and not passed onto the family.  Habitat builds with their skilled construction crew, the host family, and a vast number of volunteers (both skilled and unskilled).  

Demographic Segmentation

The mainstream home construction industry is geared towards homebuyers that fall above the median income range of $63,400.00 (HUD, 2013).  The homebuyer can be any gender and ethnic background as long as the basic lending requirements are met.  

The demographic for the Habitat homebuyer in Cleveland Ohio is a family living below the poverty level, making 60% of median income, or $ 36,000.00 for a family of 4, for example.  The demographic in Cuyahoga County is largely African American, Hispanic, and Caucasian. The ages of the population are Under 6, 6-11, 12-17, 18-34, 35-49, 50-64, 64+.

Psychographic Segmentation

The target Habitat homebuyer is a family of 3-6, living in substandard housing, never having owned a home.  The parents work more than one job to make ends meet; and they mainly ride public transportation.  They do not have traditional checking or savings accounts, primarily paying bills with cash or money orders.  There are high percentages of African American applicants, however, anyone of any race is eligible to apply and be selected.  The target family has little money for frills.  They struggle to make ends meet.  They also suffer in debilitating housing situations that are unhealthy for their families.

Geographic Segmentation

The city size is approximately 500,000. The density is Urban.  The neighborhoods are divided into 30 wards supported by a council person for each ward.   Each ward has its own community development organization responsible for the economic development and residential planning design and maintenance for that neighborhood. The neighborhoods are comprised of single and two-family homes, rental units and apartment complexes.

Behavioral Characteristics

The needs and benefits are geared towards clean, safe, affordable housing for the entire family, preferably with a backyard where the children can play.