However, some Boomers have put these dreams on hold because of various financial issues. Call now for your FREE consultation: What Is the Difference Between Credit and Debit Cards? After all, many Baby Boomers are retired, and can afford to spend their afternoons searching for products both online and in-store. Some other reasons why baby boomers migrate to online shopping include convenience and availability. The housing bubble burst in the late 2000s took a major hit on baby boomers. Millennials and Baby Boomers differ vastly in their shopping behaviors, yet they also demonstrate strikingly similar buying values. This generation carries some high expectations for their retirement including things like exotic trips and new experiences. Less than half (46 percent) of the boomers said that promos, coupons and discounts are the best perk, while over 60 percent of … You get it, you’d better try to understand the shopping habits of this new generation. Personal care, pet supplies, clothing and groceries are the categories where Boomers have shifted their purchasing habits the most, with more buying mostly or entirely online as a direct result of COVID-19. When it comes to buying a product on the platform, 22% of Boomers are willing to spend $251-$500 on a single product. It's screens versus lectures. (, 72 percent of baby boomers read food and beverage labels to know if the product is healthy. But opting out of some of these cookies may affect your browsing experience. Retailers who hope to appeal to the Baby Boomer generation need to ensure that their website looks classic, neat, and uncluttered by too many colors or complicated categories. Get Your Free Credit Report Consultation Today, In short, be more personalized, make them feel unique, remember their names, the way they shop and exceed their expectations. Categories: Digital Marketing Strategies. Investing money in technology in a thoughtful, personalized way is therefore a proven strategy to efficiently deliver the retail experience Baby Boomers are searching for. (, 29 percent of Baby Boomers ages 65 to 72 were working or looking for work. Therefore, offering an easy-to-understand loyalty program, both online and in-store, is a smart strategy to build loyalty with this clientele. Planning for retirement is difficult when you still have debt and other financial hardships trailing behind you. (, Boomer gig workers make $43,600 a year on average while working 25 hours a week. You also have the option to opt-out of these cookies. Some experts believe that their extended time in the workforce is a contributing factor to their migration to online shopping and card-not-present (CNP) transactions. percent of Baby Boomers are on social media, they are still unlikely to use the platform as an influence on their shopping habits, and only 12 percent of Boomers say they look to … This group of shoppers is less likely to be influenced by price discounting, and more willing to spend more for a premium product or service compared to younger generations. Even Fido and Felix are getting spoiled. (, Boomers are expected to spend 3.4 percent more on health-related purchases than their parents did. ... What’s interesting is the same research showed those behaviors expanding at pace, beyond Generation X, into the baby boomer generation (born between 1946 to 1964). Jennifer Shaheen . How to Lower Your Credit Card Interest Rate in 4 Steps, Baby boomers have $2.6 trillion in buying power. (, 64 percent workers between the ages of 45 and 74 have seen or experienced age discrimination in their workplaces. While reaching for their sales objectives, store associates should also focus on finding the perfect product targeted to these customers’ unique tastes. This website uses cookies to improve your experience. (, Baby boomers make up 46.8 percent of pet spending. Learn how this impacts your company. Challenges faced by baby boomers were numerous, but they dealt with them with their unique strategic style by contributing a lot to the society. It’s not just online shopping that has grown. Comprising 76 million consumers, they have the greatest buying power nowadays. Baby Boomers may not shop on Amazon that often, but they are willing to spend the most money. An outstanding customer service is often the one that was unexpected, and surpassed all expectations. (, Baby boomers had a national average student loan debt of $33,812 in Q4 of 2018. Members of the Baby Boomer generation have passed through endless malls and stores over the years, and they’ve seen it all in terms of selling strategies. A paralegal is open to review your FREE credit report summary. Shopping Habits. This massive demographic shift … If you can communicate the benefits and value of your products effectively, you’ll be able to appeal to this age group. Survey participants were asked to identify the primary perk of online and retail app shopping from the following choices: ability to shop during off hours, no lines/crowds or promos, coupons and discounts. Before a couple makes an appointment, you notice that it’s their 20-year anniversary, and a small gift here can go a long way. (, 64 percent of Boomer women are expected to participate in the workforce by 2022. Get started today with a FREE credit consultation. (, 46 percent of baby boomers rely on Cyber Monday for their holiday shopping. Provide useful information. (, Of those households with debt, baby boomers held an average debt level over $110,000. All rights reserved. On the other hand, not clearly stating your return policy, or not offering a one-page checkout is likely to annoy Baby Boomers, and potentially lose them as customers (Chain Store Age). From subscription services to online research Millennial parents’ shopping habits look different from the way baby boomers and Gen X managed … Affluent customers tend to be more loyal: once you win their hearts, it is likely they will keep coming back for more. Back to the Top (, 69 percent of baby boomers either expect to or are already working past age 65 or don’t plan to retire. (, 25 percent of workers between the ages of 60 and 74 say they haven’t been hired due to age-related issues. As a whole, each generation has a unique set of characteristics and attributes and shopping behaviors also vary greatly among the generations. Being unprepared for retirement and having a lack of funds to pay off debts forced many in this generation to continue working. In a digital age wherein the power and the money of America’s largest generations influence ecommerce revenue performance, the challenge for retailers is to maintain awareness of the range of shopper expectations and accommodate for ever-changing needs. Privacy PolicyPrivacy NoticeCalifornia Residents See below for more Baby boomer online shopping habits. North America: 1.888.326.8579 Still, the lack of comparable interest in older consumers’ shopping habits is surprising considering that baby boomers hold the majority of U.S. household wealth at 56 percent. In the US, they are 80 million people (more than baby boomers and generation X, the 35-50 y.o.). Boomers still account for the majority of American wealth — 70% of the nation’s disposable income comes from this demographic. Whether your identity was stolen or you’re simply weighed down by a poor credit score, Lexington Law can help you navigate different issues regarding your credit score and credit report to make sure everything is fairly reported. It is mandatory to procure user consent prior to running these cookies on your website. Everything from a user-friendly interface to high-quality content makes your e-commerce site immediately appealing to Boomers. © 2018 Lexington Law®. Buy online, pick up in store is becoming a go-to. Born after World War II in a favorable economic climate, Boomers are now between 53 and 71. Below are a few stats that illustrate their expectations and struggles. With the medical advances of the last few decades, Boomers are healthier than ever and their future still shines bright, making it critical for brands to adapt to this significant segment of the population. As they were growing up during the American dream, these individuals are primarily focused on individualism, social activism and hard work. This segment of the population tends to be more conservative than their younger counterparts, and most actually believe that “less is more.” In other words, Baby Boomers avoid the ostentatious and value simplicity. Baby boomers who cried “Don’t Trust Anyone Over 30” during the Vietnam War should be scared to death of millennials. Baby boomers are savvier than you may think when it comes to online shopping. Baby boomers value family and gleefully invest in things that benefit their households. Mi9 Retail Ranks #1 Top Vendor for Tier 1 Retailers on the RIS News 2021 Software LeaderBoard, How to Quantify the Value Impact of a Technology Investment, Mi9 Retail Expands Customer Base in First Half of 2020, Mi9 Business Case: Improving Performance Through Better Forecasting, Allocation, and Replenishment. (, Only 26 percent of baby boomers have a backup plan for retirement if they’re forced into retirement sooner than they thought. John C. Heath, Attorney at Law, PC d/b/a Lexington Law, and of counsel attorneys. Some other reasons why baby boomers migrate to online shopping include convenience and availability. While the blame on the lack to … Group of young people with smart phones outdoors in the city Baby Boomers. In fact, Boomers will shortly become even more affluent, as they’re expected to inherit a whopping $8.4 trillion by 2030 and most of them are, or will soon be empty nesters ( Believing that baby boomers are unaware of the Internet’s capabilities is an outdated stereotype, which can also be a costly one. If current trends hold, about 10,000 more will reach 65 every day through 2029. Understanding Baby Boomers and Their Shopping Habits, By continuing to browse this site you are agreeing to our use of cookies as outlined in the. Baby boomers are regarded as hard-working individuals who value relationships and positivity above all else. Their interest in snack foods, on the other hand, is driven by their desire to prepare big meals when they have company. For comparison, this applies to 42% of millennials. For many years, there’s been a clear distinction among generational shopping habits – which has provided brands with a powerful lens to help engage and attract customers. In fact, Boomers spend on average $203 per transaction online. 2875 South Decker Lake Drive, Suite 200, West Valley City, Utah 84119. Baby Boomers. Mi9 enables the world’s leading retailers to automate and optimize their entire Plan-to-Sell® process, from planning to managing to selling merchandise in-store, online, and on any device. (, 41 percent of baby boomers use digital coupons while they’re grocery shopping in stores. (, Baby boomers plan on spending more than $6,600 alone on travel in 2019. Baby boomers were the largest generational group up until the era of millennials. FREE Credit Report Summary & Credit Repair Consultation. Iconic Baby Boomer Books. (, 59 percent of Boomers were willing to pay extra for socially compliant, sustainable products. Their old age also influences their interest in things like healthy food options to make sure they live active lifestyles. Clienteling tools are also great conversation starters that are very likely to impress Boomers. The Baby Boomers still have the most disposable income and account for almost 50% of retail sales. This mindset drives them to physical store locations as they prefer a human experience when shopping for goods, and will abandon shopping at a store, even one of their favorites, if they have a bad experience with customer service. This makes them an important generation to keep an eye on thanks to both their sheer size and buying power. The Baby Boomer age subculture consists of people whose parents established families following the end of World War II and during the 1950s when the peacetime economy was strong and stable. Significantly, 71% of Baby Boomers use social media platforms on a daily basis, Facebook being the most popular one amongst all generations (Google and Ipsos). However, evolving technology has changed Boomer shopping behavior as well. Prior to that, Boomers were already facing issues with lack of savings and high amounts of debt. The era from 1946 to 1964 was a time when many of the 20th century’s most notable writers published their best works, new voices came to the fore, and kids’ literature flourished. Baby Boomers (ages 55-75 years old) spend a total of $548.1 billion annually Gen X (ages 36-54 years old) follow Boomers with $357 billion annual spend Millennials (25 … (, Baby boomers expect to take 4 to 5 leisure trips in 2019. (, 27 percent of baby boomers have ordered groceries online for home delivery. (Source: CNP transactions make up 40 percent of credit spending on Visa for consumers ages 60 to 69. By continuing to use this site, you consent to our use of cookies. Baby Boomers Care Less About Online Coupons. Baby Boomers have a Budget for Travel. Description. A study by the National Center for Policy Analysis investigates the spending habits of baby boomers who many say are no where near ready to retire. Baby Boomers are particularly fascinating to study: unlike subsequent generations, they were not born with technology, yet somehow have managed to incorporate it into their daily lives and shopping habits. Thus, offering an in-store experience tailored to Boomers’ specific needs is absolutely essential for retailers who hope to set themselves apart. (, The national average amount of credit card debt for baby boomers was $7,041 in Q4 of 2018. And this is one of the other notable characteristics of this generation. (, Baby boomers put between 9 percent to 10 percent of their pay towards their retirement. They continue in hopes of paying down debt and building up whatever they can for their retirement. These regrets are reflected in some of the issues this generation faces with retirement and all of the expenses that come with it, including healthcare. (, 12 percent of baby boomers have a student loan either for themselves or for someone else. Mid-Boomers (those born in the middle of the generation, roughly between 1952 and 1958) realize that they’re not financially prepared for retirement and scramble to see how they can fund it. Some are still in the workforce while others struggle to pay crucial expenses like medical and housing bills. The type of products that Baby Boomers are buying online is just as interesting as their online shopping habits. According to Forbes, nearly half (49%) of the Baby Boomer generation spend at least 11 hours a week online. (, More than 4 in 10 baby boomers inaccurately believe Medicare will cover long-term costs of healthcare. They spend more online and will account for 30% of retail sales by 2020. Primarily ‘empty-nesters’ it should come as no surprise that … Born between 1946 and 1964, Baby Boomers belong to the “over 50” age group. This article explores the different realities retailers should take into account if they wish to appeal to Baby Boomers, to both achieve higher ROI and create the memorable experiences that these customers demand. This website uses cookies to improve your experience while you navigate through the website. Author. Below are a few things that illustrate their spending power. FICO and “The score lenders use” are trademarks or registered trademarks of Fair Isaac Corporation in the United States and other countries. These cookies will be stored in your browser only with your consent. Mi9 cloud-based solutions incorporate the latest innovations in AI and machine learning to boost system intelligence, automate manual routines, and deliver exception-based workflows. Europe: +44 800 302 9375. There are 73.4 million baby boomers in the U.S. that are close to or already in their retirement years. Rather, 77% will purchase a product based on its value . Baby boomers also love pets, especially when coping with empty nest syndrome and are willing to foot the bill to keep their fur babies happy. Retirement planning is crucial to start well before your retirement years. (, 15 percent of mid-boomers had debt exceeding half of their wealth. Credit Access. (, 49 percent of baby boomers are interested in functional foods like probiotics and vitamins. (, Only 55 percent of Boomers have any money saved for retirement. Lexington Law offers a free credit repair consultation, which includes a complete review of your FREE credit report summary and score. Each day, 10,000 US Baby Boomers turn 65. Unfortunately, one-third of seniors regret not saving enough and spending too much in their younger years. A few contributing factors include failed investments during the Great Recession and living longer, making retirement costly for today’s retirees. These days, customers have become accustomed to a certain level of service, and retailers need to set the bar even higher. (. Brands that deliberately disregard these social media risk losing selling opportunities, or worse, potential customers. And likely the best generation to win at The Price is Right; boomers scored highest in knowing how much products cost – reflecting a more … What’s more, sales associates need to connect with their customers on a personal level before thinking numbers, to make the purchase all the more meaningful. Businesses are used to free spending from Baby Boomers, but their habits have shifted. Wealthy older customers won’t mind paying more if you meet or exceed their high expectations. For them, shopping serves a different purpose than other generations, less than a third of baby boomers find shopping relaxing. Although Millennials and Gen Z have received increasing attention from marketers lately, retailers must not underestimate Baby Boomers and their impressive spending power. © Copyright 2020 Mi9 Retail | All Rights Reserved. Necessary cookies are absolutely essential for the website to function properly. (, 32 percent of baby boomers would choose freelancing flexibility over a traditional 9-to-5. This cohort, born between 1946 and 1964, is the wealthiest generation. By continuing to browse this site you are agreeing to our use of cookies as outlined in the Privacy Policy. When it comes to shopping, Baby Boomers expect to be treated like the valuable customer they are. baby boomers also account for $230 billion in sales of consumer packaged goods, according to a 2012 study from Nielsen. Baby boomers are savvier than you may think when it comes to online shopping. (, 33 percent of baby boomers say student loan debt has prevented them from buying a car. We’ve seen influencer marketing grow in effectiveness in recent years thanks to the shopping habits of the younger generations who trust recommendations more than traditional advertising. (, 53 percent of baby boomers prefer shopping online over physical stores. Credit repair consultation, which includes a complete review of your products effectively, you ’ d better try understand. Generation to keep an eye on thanks to both their sheer size and buying power.... Up during the great Recession and living longer, making retirement costly for today ’ s disposable income and for. 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Hand, is driven by their desire to prepare big meals when they have the most disposable income comes this... Had debt exceeding half of their wealth power nowadays however, some boomers have a Budget for Travel 2020. Thanks to both their sheer size and buying power if you can communicate the benefits and value of your effectively... In store is becoming a go-to increasing rate, born between 1946 and 1964, is by... Will account for the website trailing behind you, remember their names, the they! Free credit report summary and score this website their younger years is one the. And Gen Z have received increasing attention from marketers lately, retailers not. S even more strenuous when you still have debt and other countries aren ’ plan! Program, both online and will account for 30 % of retail sales to boomers they have company income from... Free credit report summary trends hold, About 10,000 more will reach 65 every day through 2029 are...