Mitchell J. Schlesinger

 

This is clearly the market segment that has drawn the most attention and focus from marketers over the past 20 years as they eagerly awaited the first baby boomers to start turning 50 ten years ago. And marketing to lifestyles (psychographics) takes precedence over traditional expectations based on their demographics.
Defined as the segment of the population born primarily during the 10-year period after the end of World War II, baby boomers are a key target market for a wide spectrum of travel alternatives. In the core age range of 50-62, these consumers are at the height of their economic life stage in terms of income from employment (many with two-income families) and investments, PLUS the additional accumulation of wealth as a result of inheritances from parents.

From a demographic standpoint:
• We already know how old they are.
• At this stage of life, many are becoming “empty nesters” as children graduate college and start lives of their own living outside the home.
• More importantly is their economic value as a market segment. Ken Dychtwald, founder & CEO of “Age Wave LLC,” indicates that boomers earn roughly $2 trillion in annual income and represent 50% of all discretionary spending. His book “Age Wave” is valuable reading.
• Additionally, this segment, representing almost 30% of the total U.S. population:
• Control 70% of the wealth;
• Own 77% of all financial assets;
• Represent 80% of deposits in S&Ls;
• Own nearly 50% of all credit cards;
• Purchase 50% of all luxury cars.

But the key for baby boomers is that they focus on numerous lifestyle pursuits and do not think about “acting their age.” The impact of key psychographic factors attracts the boomers to a wide variety of travel experiences:
• They are drawn to purchasing “experiences” that provide enjoyment, having spent a lifetime accumulating “possessions.”
• They have much more time to travel because they are not constrained by young children or have already reached Empty Nester status.
• They are active, vital and want to fulfill the lure of a variety of different travel experiences. They are just as likely to purchase an exotic itinerary based vacation as they are an active sun/fun trip. And both in the same year!
• Service is critical to baby boomers. Based on the scope of their economic impact, they insist on service that is attentive to them personally and their expectations in purchasing a vacation.
• And value is equally important. This is a target market that should always be sold the components of the travel first. Your recommendation of the kind of trip that appeals to their psychographic needs should be focused on the overall value.

The baby boomer generation has changed the way marketers design a myriad of products and services and they are the core group who have redefined the “age perception.” And it is their outlook on their own age and vitality that makes them such good prospects. A few things to remember to be successful in soliciting their business:
• Think active and not sedentary. Whatever products you promote, make sure that there are elements to the trip. For cruises, there must be active shore experiences and not just bus rides. A sun/fun resort trip should have water sports, golf/tennis, interesting walking trails.
And exotic travel should include the allure of “exploring” and soft adventure.
• In terms of time away, most baby boomers are still working. For a good purchase response, 14 days should be the longest length, 10 or 11 days is even better.
• Appeal to their “lifestyle” affinity. For repeat clients, you should have this information stored in their profile. Whether it is wine tasting, cooking, scrapbooking, NASCAR, hiking/biking or eco interest, sending them information about a vacation opportunity that strikes a personal chord dramatically increases your chance for a sale and lets your clients know that you are thinking about THEM.
• Promoting lifestyle affinity travel is the perfect way to build groups. Clients involved in affinity activities have family and friends who participate, as well. And this can bring you new clients from across the country as “they tell two friends, and they tell two friends, and so on and so on....”
• Never send too many offers, as it detracts from their ability to focus. You can send two to three choices of completely different types of vacations for them to select. Just make sure that these trips will appeal to their interests and that you have included sufficient detail about each trip to convey the VALUE.

Baby boomers have markedly changed “traditional” lifestyle patterns. The more you know about these clients, the more successful you will be in capturing their business... today. And remember, they are tomorrow’s seniors and retirees. They are customers who are loyal to products and services they know and trust and to those whom they perceive know them.