Are You Missing the Mark When it Comes to Marketing to Baby Boomers?
Baby Boomers make up 50% of all consumer spending, but only 10% of marketing is directed at them!
Whatever business you're in, there’s a good chance that many of your most desired customers are over the age of 50. But this isn’t your grandpa’s "mature adult" crowd any more, it’s officially dominated by the Baby Boomer generation. Consider this: The 50+ demographic accounts for half of all consumer spending today. It's time to take a closer look at Boomers, their buying style, and what your marketing can do to attract these very desirable consumers.
Baby Boom Consumers Today
In recent years, the traditional view of the senior demographic has changed dramatically. With the last of the Baby Boomers hitting the big 50 in 2014, the first of the boomers are now among the largest number of 65 year-olds living at any time in human history.
Contrary to what television commercials lead you to think, this big segment of the market buys a lot more than prescription drugs. The youngest of the Boomers are still in their peak savings years. They may curb spending or even defer retirement, to rebuild retirement savings and home values.
Though they may be more selective about how they spend their money, they are still spending. They are nearly outpacing the spending of GenX and Millennials combined. Finished with the costs of raising a family and still in good health, more and more Baby Boomers are taking advantage of the opportunities to spend on themselves, their homes, and maintaining their health. In fact, there are many businesses that can boost their bottom line by focusing at least some of their marketing efforts on the 50+ Boomer audience.
Here's the top three on our list of "Boomer Consumer" business sectors that can benefit from a generational-marketing strategy:
HOME IMPROVEMENT - The 50+ crowd has a lot going on at home. Finally empty-nesters, they are turning the kid's bedroom into an art studio, creating a playroom for grandkids, updating the kitchen, and adding an in-law suite to take in an aging parent.
Boomers are spending big to make big changes at home. The National Association of Home Builder (NAHB) estimates the aging-in-place remodeling market to be worth $20-$25 billion, about 10% of the $214 billion home improvement industry. Beyond remodeling, there's also home technologies aimed at making life easier and safer for older generations.
TRAVEL - Adventure, experiential, and cause-related travel came of age with the Baby Boomers. These travelers show no signs of stopping now that they are over 50.
In fact, they spend a whopping $157 billion on travel every year, according to NextAvenue. If your business is a travel destination or travel experience, or if you provide a travel-related service or product, it’s time to make sure your marketing helps you get the Boomers on board.
FITNESS - Baby Boomers are the generation that put fitness clubs, step aerobics, Jane Fonda workouts, and Zumba on the map (it's no surprise their children and grandchildren love CrossFit and Insanity). Now over 50, those same Boomers are spending to enjoy their good health. They are taking up new sports, signing up with personal trainers, and getting out for those healthy morning walks.
Southwest Florida is booming with 50+ communities offering tennis, golf, swimming and activities calendars that could challenge the energy of a much younger person. Businesses serving up athletic apparel, fitness memberships, sports instruction, and more, would be smart to focus a good portion of their marketing on these active Boomers.
And there are many other business sectors that can benefit from focusing at least some marketing efforts on Baby Boomers.
How to get the Boom in Your Business
The 50+ numbers add up. Imagine how your business could profit by attracting the boomer consumers! So what’s a business got to do to woo the boom? AARP reports that while Americans over 50 are responsible for 50% of consumer spending, only 10% of marketing is directed at them. That means there's a lot of opportunity to get smart about marketing to this audience — and chances are your competition isn't doing much about it.
In part two of this series, we look at the basics of Boomer Marketing and how your business can focus marketing efforts on winning over this generation of powerful consumers.
Can't wait to learn more? Contact us today! We'd love to hear from you!
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