Consumer Groups Are Rapidly Changing!
Would you believe me if I told you that Baby Boomers control $230 billion in annual sales? Incredibly Boomers contribute about 50% of the United State’s total sales overall. The next largest consumer groups are moms and low-income consumers, which caught me by surprise.
The current consumer group of 50+ which is already 100 million people, is expected to grow by a third over the next 18 years. Beth Brady, Nielsen’s leader for marketing effectiveness, warns advertising dollars are being funneled elsewhere: “It’s a missed opportunity.” I agree that it is a missed opportunity considering this consumer group will control 70% of disposable income in an estimated five years.
It is hard to gain the attention of the mom cohort because moms spend much of their time media multi-tasking. Rarely are they locked into one television show or website long enough to watch and evaluate a series of ads. On any given day, 67% of moms use the Internet while watching TV simultaneously. While away from the TV, more than 20% of moms with children are experimenting with mobile shopping. Marketers must differentiate themselves from the competition and find a way to get mom’s attention.
The low income consumers (people who make less than $30,000 per year) are the opposite of moms. This cohort watches the most television (especially daytime tv), watches the most online videos, and spends over nine hours per week on Facebook. Nielsen says: “They collectively represent a big part of the country’s total spend and are expected to grow in the future.”
Which consumer groups would you focus on, and why? Also, which cohort do you think would be the easiest to profit from?