Author: Annette Malave, SVP/Insights, RAB
In today’s advertising landscape, there is a great focus on Generation Z – what they like and don’t like. It isn’t that this generation isn’t important. It is that there is another that is often missed – baby boomers.
Baby boomers are active consumers who lead vibrant lives. They are the generation with the greatest disposable income and one of the population segments to see the greatest growth in recent years. According to the U.S. Census, people ages 65 and older grew nearly five times faster than the total population over the past century.
Boomers are also spending money. According to data from Bank of America (BofA), baby boomers (born between 1946-1964) possess more financial assets and real estate, spending less on housing and more in other areas such as travel, entertainment and home improvement. A year-end BofA report found that boomers, along with Generation X, spent more on travel and entertainment in 2023 than other generations. The report, based on credit and debit card spending, also disclosed that they spent more per household on pets. While there were declines in electronic, furnishing and appliance spending among boomers, the decline was less so than other age groups. Boomers are a marketing and sales opportunity for businesses.
When it comes to generations and media use, boomers are connected with radio. It is a medium that they grew up with and continue to connect to. Broadcast radio reaches various age groups within the boomer segment. Per Nielsen, radio reaches 85% of adults 55-64 and 82% of adults 65+ every week.
As noted by BofA, boomers spend money on travel and home improvement. Radio listening baby boomers enjoy travel. Seventy-three percent prefer traveling to places they’ve never been, and while they have a high disposable income, they are thrifty. Discounts and package deals will influence their travel decisions. Sixty-four percent will be influenced by travel and hotel discounts, and 59% enjoy package deals because “they don’t have to think,” per MRI-Simmons data. Businesses in travel and hospitality should keep these insights in mind when using radio to target boomers.
Advertisers in the home improvement and furnishing categories also have sales potential when reaching this group. Baby boomers who are radio listeners are 26% more likely than the U.S. population to remodel a bathroom, kitchen or some other area within the year, according to MRI-Simmons.
Boomers are an underserved consumer segment. While many businesses may focus on future generations, it would be wise to stay connected with boomers. Radio is an excellent choice to connect with boomers because they are 22% more likely to trust radio the most and 18% more likely to say that radio is their main source of entertainment.
Yes to all of the above. I’m in the mid-Boomer span & my spouse was born in ’64. I’ve always loved radio–in the car & at home.
There’s another radio ad market you didn’t mention: political ads.
One Party seems to understand that & another doesn’t.
Here’s a clue as to which political group uses radio successfully: in VA, the current GOP Governor flooded AM Radio w/ads before his election.
It made a difference. Sure wish my Party had done the same.
Cheers, anyway!