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In the United States, between the end of World War II and 1964, 78 million Baby Boomers were born and are now part of what we call the “Baby Boomers” generation. Millions of people born during this period are now entering middle age and thus changing the demographic of the total population. They contribute to our economy on a grand scale and because they are now able to enjoy themselves without obligation to their kids, they often buy luxury goods like cars, vocations and expensive jewelry. The reason we had such explosion in births is a simple one. As men came home from the war, and families reunited, people wanted to start over and move on with their life. Four out of ten households are between ages 35 to 54 and the numbers of household’s ages 45 to 54 will increase twenty percent in the next couple of years.
Born after the war, Baby Boomers experienced one of the most prosperous times in our history. While Europe was slowly recovering from the tremendous damages from the war, this same war brought United States out of the Great Depression and into a whole new era of huge productions of consumer goods. As men returned from the war and went back to factories, women were sent back to their kitchens to become the perfect moms. Production at this time soared as it shifted from war equipment and machinery to consumer and household goods. How did all of this affect the growing generation of the 1950’s? The kids growing up during this era, usually lived with both parents, in perfect little houses with a white fence, were properly behaved, and were neat, polite and patriotic. At least this is what the television of the time had us believe. But then came the 60’s. A time for great change, protests, experimentation, and rebellion. This was the time to cut class to protest the Vietnam War, and the time to push for equality for both ethnic minorities and women.
We are the product of our decade, and each decade brings with it its own culture, music, and values. The baby boomers of today are often conservative, and uncomfortable with anything deviating from the ‘norm’. Today’s generation is challenging the concept of ‘normal’ and lines of ethnicity, cultures, appropriate behavior, and even gender are being blurred. Because Baby Boomers were raised in primarily heterosexual marriages, with both parents there to teach the values and life’s lessons, many grow up believing that homosexuality is wrong and abnormal. That is also the reason why family becomes so important to this generation. The years following the war and even decades after it, parents worked hard to instill family values, and the importance of family in their kids. Baby boomers also carried with them the gender roles and stereotypes, re-enforced after the war. Because a lot of women were housewives and the fathers brought home the bacon, the kids got the lesson that this is the way society is meant to function. Like I previously mentioned, the 1960’s was a decade of rebellion and change. Kids growing up at this time lived through the deaths of President Kennedy, Bobby Kennedy, and Dr. Martin Luther King; the Vietnam war and related protests; and of course the Watergate scandal. This can perhaps explain why so many of the aging members of our society pay such close attention to the news and read the newspapers religiously. Living at a time when major news were happening and social change at its peak, it was important to be informed. It is also important to point out that other countries also experienced increased birth rate about the same time as United States. For example Russia, although having suffered major destructions, was trying to get back on track, and with a lot of the soldiers returning home, could also witness increased birth rate. The Baby Boomer’s generation there, had similar characteristics and values to those, growing up here in United States.
They are now between forty and sixty years old, an age when their kids leave the nest and the time has come to live for yourself. Studies show that it is also the most affluent consumer group that exists (accounting for over 40% of total consumer demand). Because Baby Boomers are now free to enjoy life, and because they have over $24,000 of annual disposable income, they take luxurious vocations, spend a lot of money on clothes, spas, and over $29 billion yearly on grandchildren's gifts. Having nothing to look forward to in the future, they make the most of their time and live for the present. The need to save for a house or college is no longer there, and they can finally live for themselves. Tired of spending a lifetime in the kitchen, couples feel that they can now treat themselves to eat out, and do so 4-5 times a week. So how does all this impact the economy? Aside from creating numerous jobs in the health care industry, and senior day care centers (ready for them when the time comes), they spend almost 3 trillion dollars a year on goods and services and visit malls more often than any other age group. Because a lot are either not working or working part time, they have more time to browse through the malls and do some quality shopping.
Boomers value individuality, youth, optimism, determinism, and social activism. Understanding these values is crucial to effective marketing and comprehension of boomer’s consumer attitudes and behaviors. If companies want to succeed, it's extremely important for marketers to understand Boomers’ attitudes and desires – they account for a large chunk of the population and they buy everything from diapers to diet pills to denture cleaner, because they are in many various life stages. Some married young, some delayed family and marriage, and some never have had kids. They also have higher discretionary income than all other age groups because they have been productive for so long and most have had dual income households. Many not only purchase for their children (because they married late), but their parents too as they grow older. It is important for marketers to understand baby boomers values and needs. Although people are turning fifty every day now, they still value youth and some still feel young. They don’t feel old, they don’t want to be called old, and they don’t want to be marketed to as old. While some are open-minded and are willing to try new brands, others consider themselves brand loyal and are afraid to try something different. They are more interested in the utility of a product than the brand name and stick to what works.
Some companies have really understood the Boomers and realized in time that they need to be careful about how they phrase their slogans and advertisements. Pepsi, for example realized the American value of youth and the Baby Boomers desire to see themselves as young. Instead of keeping their tagline “taste of a new generation,” which risks alienating older generations, they changed it to “for those who think young.” This is a perfect appeal to Baby Boomers because it is precisely who they are. Another company that attempted to appeal to the older generation is “L’Oreal”. Although the product helps women look younger, they do not just focus on youth. Instead they have focused on the self-indulgent side of baby boomers with their slogan “Because I’m worth it.” In order for a product to capture an older target market, advertisers need to use older people, and portray them as sexy and beautiful, they way Pepsi uses Britney Spears for their ads. If advertising a car to target the 50 year olds, why not have an aging, but still handsome man drive the car?
Products that could be advertised to the Baby Boomers are cruise packages, pet food/supplies, expensive chocolates and fancy restaurants. There are of course those, who do not have huge savings or those who still has to care for children or their elderly parents. To be able to capture the entire target audience, lower priced vocation packages and more affordable menu choices could be offered. People growing up without internet access are more comfortable with shopping in person rather than order things online, although that is slowly changing as well. Personal selling would be a great way to get those Boomers into a store and they are usually very grateful for good service. For a lot of people, human interaction is more valuable than dealing with email or electronic commerce, and stores that value themselves for customer service can offer personal shoppers and make the customer happy.
Baby Boomers are an important segment of the population and contribute much to our economy. They also hold much influence in our political arena, for they are the most dedicated members of our society and are still very devoted to make a difference. It is no surprise that most CEO’s and many of the richest people in this country happen to be Baby Boomers. Among these are Bill Gates, Al Gore, Bill Clinton, Bush, Steve Jobs, Jay Leno, Tom Hanks, and Denzel Washington are all baby boomers.
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