Everyone is talking about the millennials and how they influence trends in fashion, electronics, music and pop culture. While trying to figure them out remains a top priority for most marketers, the reality is, we shouldn't ignore the group that is most attractive today: Baby Boomers.
The truth is, millennials are saddled with debt and lack the disposable income needed to feed the proverbial cash cow. On the contrary, Baby Boomers (defined by the U.S. Census bureau as individuals born between 1946 and 1964) control roughly 70% of the country’s disposable income. They have a net worth that is 75% higher than that of 18-49 year olds (as indicated by a recent article in U.S. News & World Report).
There are roughly 75 million Baby Boomers with a great deal of spending power currently living in the United States — and they’re active. They’re living longer. They’re enjoying a more exciting lifestyle.
Bottom line……………They’re spending money.
A recent study from AARP indicates that Baby Boomers spend a staggering $120 billion annually on leisure travel — roughly 99% of Boomers planned trips in 2016 alone. Casinos are benefiting from the action and Boomers need to be a very aggressive target for the New Jersey casinos as a destination to fend off the encroaching local casinos in suburbia. An October, 2016 AARP Bulletin article noted that nearly half of the 101 million visitors to American casinos were age 50 and older.
As a Boomer that just put two kids thru an excellent New Jersey college, Fairleigh Dickinson University, I know firsthand the high cost of continuing education and the relief of writing the last tuition check. I, along with my fellow Boomers, now have even more discretionary income and are willing to spend it on everything from leisure activities, to home improvement/real estate, fashion items and more.
Companies need to embrace this group and have rewards programs for consumers and employee recognition programs that increase revenue and growth.
Never underestimate this audience and their desire to embrace new technologies and brands. Consumers of all ages have access to more information than ever before and are adept at using that information to make business and personal decisions. And with the life cycle of products becoming shorter, businesses need to keep their offers fresh and their programs nimble.
And as for the millennials, they like generations before, will turn into their parents and the cycle will begin again.