Boomers account for nearly $230 billion in sales

Baby Boomers—Americans born between 1946 and 1964—number 80 million, and have long been the most marketing-friendly consumers in the country’s history. Their sheer number has amplified their impact and transformed every product category they have embraced. Today, Boomers are rapidly growing out of the 18-49 cohort — long thought to be a sweet spot for marketers — but this generation is simply too big, valuable, and important for marketers to revert to the traditional “cut off” at age 49.

Instead, they remain important as ever to the success of marketers and brands. T[inlinetweet prefix=”” tweeter=”” suffix=””]oday, the 50+ age group consists of almost 100 million consumers, and by 2030, it will grow another 34 percent.[/inlinetweet]

[inlinetweet prefix=”” tweeter=”” suffix=””]Today, boomers account for nearly $230 billion in sales for consumer packaged goods (about half of total sales), and in five years, they will control a full 70 percent disposable income in the U.S.[/inlinetweet] They will continue to dominate spending, yet advertising dollars are being funneled elsewhere.

“Whatever the reasons for this divide, it’s a missed opportunity,” said Beth Brady, Nielsen’s leader for marketing effectiveness.

 

So why are marketers focusing on younger demographics instead?  A lot of reasons, but primarily the belief that it’s better to get younger people on board with your brand even thought research shows this group is not that brand loyal and doesn’t spend as much as Boomers.

[inlinetweet prefix=”” tweeter=”” suffix=””]The other issue that is taking marketers back is that Boomers are the “skeptical generation” which means they aren’t falling for the same old push marketing as before[/inlinetweet].  They want proof your product works or makes them feel good and by the way they are willing to pay more for products that make them feel really good or help them manage their free time as Apple fully is aware.

Even if you target Boomers you still have to think mass niches in marketing and not treat them all as one big demographic segment. [inlinetweet prefix=”” tweeter=”” suffix=””] Remember, Boomers see themselves as 15-20 years younger than they are and they don’t like words like “silver” or “retired”[/inlinetweet].  It comes down to knowing your audience better than they know themselves and being able to appeal to those drivers that convert them into customers.

About richmeyer

Rich is a passionate marketer who is able to quickly understand what turns a prospect into a customer. He challenges the status quo and always asks "what can we do better"? He knows how to take analytics and turn them into opportunities and he is a great communicator.

View all posts by richmeyer →

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.