Meet The Demographics of New Markets

According to a report by April Jeffries, President, Ipsos Understanding UnLtd., derived from company marketing research analysis, Millennials are the social and always-connected generation; Moms in the new economy choose price over convenience; Seniors are living a far different life than their parents. The report speaks to the characteristics and demographics that define each generation.

Generations, like people, have personalities, says the author. The report reveals significant trends behind the real motivations, values and behaviors of the American consumer. Referencing verbatim insights and featuring focus group video segments, the study provides raw, intuitive and instinctual behaviors of Millennials, moms, and seniors. A number of tactics that marketers can employ were discovered among the questions that the study set out to answer,.

The Millennial Personalities

Millennials are confident, open to change, liberal, and self-expressive. And, with 21% of total consumer spending in the U.S., they are a coveted demographic. But companies still struggle with how to talk to them, what they want and the best way to reach them.

Millennials want to roll up their sleeves and experience the world. They strive to be part of something bigger than themselves. So to make this happen, they choose access to possessions over ownership. Millennials want and believe they can change the world. This strong social conscience is amplified by technology. Because of the Internet, they are now capable of doing things that previous generations couldn’t imagine. Certain brands have a passion for a specific cause, and this plays a big role in strengthening the brand relationship, say the millennials.

Millennials want what is real and authentic, says the report. They value stories behind brands and believe that authentic is better quality. Consider the growing popularity of craft beers or buying local from farmers markets or urban flea market which takes consumers directly to the source, says the report.

As young as they are, Millennials have a connection to the past. They watch the shows that older generations have grown up with and have nostalgia for a simpler time (e.g. Mad Men or Boardwalk Empire). Marketers, says the report, should flaunt nostalgia but it has to be real and authentic.

The takeaway for businesses, says the report, regarding how to win with Millennials, is:

  • Make them feel individualistic
  • Help them feel part of something bigger
  • Engage them with conversation (online and offline)
  • Go to them, don’t make them come to you
  • They want to be respected by companies
  • Give them good deals

Moms and the New Economy

The next group of consumers considered in the report is Moms. Incomes are going down, while prices are going up, and this has a big impact on moms, says the report. Here are a couple of trends that emerged from the interviews.

In some ways, it’s been tough for moms. Life isn’t working according to plan, and this is creating a strong sense of disappointment. To help, consider the emotional benefits such as security and confidence marketers can provide. Above all, moms need someone to tell her she is going to be okay.

Because it’s been tough, there’s a new normal in the way they shop, take care of themselves, and entertain their family. They don’t even think about impulsive buys as their shopping is now strategic and precise. They can no longer afford conveniences and are willing to work a bit harder to save extra money. Often, this means spending hours finding the best deals, loyalty programs and coupons. Style choices are driven by cost and eating out is a luxury that just isn’t in the budget.

So for your next campaign,  says the report, consider what tools, information and support can be provided to help her succeed in the do-it-yourself space. And given that her life is full of sacrifices, give her a product that can make her feel like she is enjoying a little luxury without compromising her family’s budget.

How to win with Middle Class Moms:

  • Sell optimism
  • Discover and innovate with moms
  • Be experiential
  • Recognize her creativity
  • Help commercialize her barter system
  • Make an everyday luxury accessible
  • Take advantage of her home time – to connect

The ‘New’ Retirees (65+)

The New Retirees are independent, resilient, optimistic, proud, wise and hardworking. They’re also the fastest growing population segment on earth. In fact, by 2025, one in every five Americans will be 65 or older. They know how to live, and if marketers call them old, they’ve lost them immediately. Three ways to resonate with this audience, says the report, are…

The new retirees are very much connected to home. They want to age in place and bring healthcare into the home. To resonate with the New Retirees, one needs to be an expert in aging, regarding what products, services, and cause marketing initiatives can support their desire for independence.

Health is the primary motivator and influencer in their decision-making. In fact, they have a proactive approach to it and are receptive to technology in this area. Many have been exercising and trying to stay active for a long time. Think health care innovation, and dream big!

The notion of retirement is very different for the New Retirees. This is not their parents’ retirement. For them, a second career calls for retooling and rebranding. And it’s not always about the money.

To win with the New Retirees, suggests the report:

  • Don’t talk health benefits, scream them!
  • Ride with the silver surfers
  • Make technology easy to adapt. Once they do, there is no going back
  • Influence the influencer: their kids
  • Consider changing physical limitations in product design

To learn more from Ipsos and  gain access to the full report, please visit here.

 

 

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1 comment about "Meet The Demographics of New Markets ".
  1. Rob Frydlewicz from RAF Consulting , June 10, 2014 at 9:29 a.m.
    I can assure you that it's not only Millennials who want to be respected by companies.