Transitioning to a more satisfying lifestyle
The Baby Boom generation controls 77% of United States financial assets ... has 45% more spending power than younger consumers ... and loves splurging on new brands and experiences.
And, Census data shows the 55-plus-age segment of the United States population is expected to grow 56% between now and 2020, to 95.8 million.
The advertising and marketing world is beginning to understand that this market constitutes what author David Wolfe calls a "New Customer Majority. Marketers turning their attention to the Boomer market are intrigued by its attractive demographic characteristics.
Many Boomers view the next phase of life as a transition to a more satisfying lifestyle that will blend learning, community involvement, staying fit and—of course—being ardent consumers.
Baby Boomers are...
Affluent spenders and investors.
They account for 36% of the adult population of the United States, but account for 75% of all wealth, 55% of financial assets and 50% of discretionary spending. Boomers' average personal expenditures are 45% higher than the 18-34 demographic.
What's more, many have built substantial investment portfolios and some have inherited substantial sums. Increasingly, they recognize the need for advice and assistance managing their assets, making them an attractive target for marketers of financial services.
Engaged in their careers.
They are seeking meaning and fulfillment in work--and many are considering starting their own businesses or striking out in new career directions. This report by Roper Starch Worldwide, Inc. conducted for AARP indicates that roughly 80% of Boomers plan to continue working in some form during their "retirement" years.
Traveling extensively.
Boomers purchase 80% of all luxury travel, according to the United States. Travel Data Center and many are exploring new adventure and learning-related travel opportunities.
Optimistic about the future.
A 2004 survey Harris Interactive conducted for Del Webb, the developer of active adult community developer Del Webb shows that Boomers are looking at the transition to the "empty nest" experience in a positive light. They're focused on becoming debt free, wellness/health, relaxing, traveling and enjoying hobbies."
Buying and selling real estate.
Boomers' wealth and purchasing power makes this demographic one of the top drivers of the real estate market. Ernst & Young forecasts that Boomers will "push more of its new-found wealth into second and third homes, vacation getaways and even commercial real estate investments..."
Tech-savvy.
The Internet has shaped Boomers' working lives. They are very comfortable with e-mail and using the Web as source information and purchasing goods and services. A study by the Pew Internet & American Life Project identifies the boomer demographic as a key segment of the United States technology elite.
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