BABY BUSTERS: ‘GENERATION X’

–The cohort of consumers between the ages of 18 and 29 consists of over 30 million Europeans who will be a powerful force in years to come. This group, which has been labelled ‘Generation X’, ‘slackers’ or ‘busters’, was profoundly affected by the economic downturn in the first part of the 1990s. So-called baby busters include many people, both in and out of higher education, whose tastes and priorities are beginning to be felt in fashion, popular culture, politics and marketing.

–Marketing to busters or marketing bust?

 Because many busters have been doing the family shopping for a long time, marketers

are finding that they are much more sophisticated about evaluating advertising and

products. They are turned off by advertising that either contains a lot of hype or takes

itself too seriously. They see advertising as a form of entertainment but are turned off by

over commercialization

–As the Vice-President of Marketing for MTV put it, ‘You must let them know that you know who they are, that you understand their life experiences. You want them to feel you’re talking directly to them.

–What seems to make this age cohort the angriest is constantly being

labelled as angry by the media

–to study the buster subculture. These researchers identified four key segments:

1 Cynical disdainers: The most pessimistic and sceptical about the world.

2 Traditional materialists: The most like baby boomers in their thirties and forties, these

young people are upbeat, optimistic about the future, and actively striving for what

they continue to view as the desire for material prosperity.

3 Hippies revisited: This group tends to espouse the non-materialistic values of the 1960s.

Their priorities are expressed through music, retro fashion and a strong interest in

spirituality.

4 Fifties machos: These consumers tend to be young conservatives. They believe in stereotyped gender roles, are politically conservative and are the least accepting of multiculturalism. 

BABY BOOMERS

–are the source of many fundamental cultural and economic changes.

–The reason: power in numbers. As the Second World War ended, they began to establish families and careers at a record pace.

–The cultural impact of boomers

This increase in the proportion of older citizens and

decrease in the proportion of youth is often referred to as the ‘greying and de-greening’ of the European population, a structural trend which has major implications for the marketing of goods and services.

–Economic power: he who pays the piper, calls the tune

Because of the size and buying power of the boomer group over the last 20 years, marketers focused most of their attention on the youth market. The popular slogan at the time, ‘Don’t trust anyone over thirty’, also meant that people over 30 had trouble finding products appropriate to their age groups. Times have changed, and again it is the baby boomers who have changed them.

Consumers aged 35–44 spend the most on housing, cars and entertainment. In addition, consumers aged 45–54 spend the most of any age category on food, clothing and personal pension plans. 

In addition to the direct demand for products and services created by this age group, these consumers are creating a new baby boom of their own to keep marketers busy in the future. Since fertility rates have dropped, this new boom is not as big as the one that created the baby boom generation: the new upsurge in the number of children born in comparison can best be described as a baby boomlet.

Many couples postponed getting married and having children because of the new emphasis on careers for women. These consumers are now beginning to hear the ticking of the biological ‘clock’. They are having babies in their late twenties and early thirties, resulting in fewer (but perhaps more pampered) children per family. 

–many marketers largely neglected the elderly in their feverish pursuit of the baby boomer market. But as our population ages and people are living longer and heal their lives, the game is rapidly changing. A lot of businesses are beginning to replace the old stereotype of the poor recluse. The newer, more accurate image is of an elderly person who is active, interested in what life has to offer, and is an enthusiastic consumer with the means and willingness to buy many goods and services

–Seniors’ economic clout

There is abundant evidence that the economic health of elderly consumers is good and getting better. Some of the important areas that stand to benefit from the surging grey market include holidays, cars, home improvements, cruises and tourism, cosmetic surgery and skin treatments, health, finance and legal matters, and ‘how-to’ books for learning to cope with retirement

It is crucial to remember that income alone does not capture the spending power of this group.

elderly consumers are no longer burdened with the financial obligations that drain the income of younger consumers. Elderly consumers are much more likely to own their home, have no mortgage or have a (low-cost or subsidized) rented house or apartment. 

–Researchers have identified a set of key values that are relevant to older consumers. For marketing strategies to succeed, they should be related to one or more of these factors:

–● Autonomy. Mature consumers want to lead active lives and to be self-sufficient. Financial services and financial planning are increasing markets for the elderly segment, who have a strong need to remain independent. While companies are the largest purchasers of cars in the UK, the majority of private buyers are ‘greys’ – a further sign of their financial muscle and desire for autonomy.

–● Connectedness. Mature consumers value the bonds they have with friends and family. While the ‘grey’ don’t relate well to their own age group (most elderly report feeling on average ten years younger than they are, and feel that ‘other’ elderly behave ‘older’ than they do), they do value information which communicates clear benefits to cohorts in their age group. Advertisements which avoid patronizing stereotypes are well received.

● Altruism. Mature consumers want to give something back to the world. Thrifty Car Rental found in a survey that over 40 per cent of older consumers would select a rental car company if it sponsored a programme that gives discounts to senior citizens’ centres. Based on this research, the company launched its highly successful ‘Give a Friend a Lift’ programme.

● Personal growth. Mature consumers are very interested in trying new experiences and developing their potential. By installing user-friendly interactive touch-screen computer stations in European stores, GNC has found that older consumers have become better educated about health issues, and are loyal to the brand.