Posted in Marketing and Strategy Terms, Total Reads: 216
Definition: Baby Boom
Baby boom is a period with higher birth rates, where baby refers to new born and boom refers to a period with rapid growth. The reason of such kind of boom can be due to ban of contraceptives, abortions or due to some other reasons like end of wars. The most popular baby boom that happened was during the cold war (post WWII). This baby boom started in 1946 and ended in 1964. Therefore, generally the people born during that period were called as baby boomers.
Today, the youngest to the oldest baby boomers ranges in their 50s to 70s. Now as a marketing perspective, baby boomer is a completely different segment altogether. Marketers can neither treat this segment as older generation nor they can treat them as younger generation. This segment has a lot of disposable income and are more tech savvy compared to others. They are much active on social networks like Facebook, Twitter. Although they aren’t the first adopters, they aren’t also the laggards. The following are some key insights that every marketer should keep in mind which targeting the baby boomers.
• They aren’t old: They don’t want to be treated as aged, senior citizen, elderly.
• They have a lot of money to spend.
• They are brand loyal.
• They are active on social media.
• All of them are not alike: They love to get recognized. So prefer one on one marketing like email marketing, rewards, referral programs etc.
• They try to find out benefit of a product rather than features: Show them what impact your product can make in their life, then your job is done.
• They are often neglected by marketers and treated as laggards.
Example: Video Gaming
While Microsoft’s Xbox 360 and Sony PS were in market way before the arrival of Nintendo Wii, but they neglected targeting a very important segment which is baby boomers. Nintendo understood the latent demand and tried to reach the new customer segment. Today, with such kind of disruptive innovation, Nintendo Wii is an arch rival of the market leaders Microsoft and Sony.
Therefore, marketers should understand the growing demand of niche segments which could help them achieve a huge profits and market share.