Most clients chase the younger market, but the real value for many is found in baby boomers.
A surprising number of AJ clients say their target audience is younger than their customer profile suggests. They’re embarrassed about their ‘mature’, old or retired customers and look for help to target a younger audience. AJ has lost accounts over the years in this desire to re-brand to attract the younger, ‘cooler’, urbanite market – seemingly cash rich, time poor.
Look at the figures though, and it just doesn’t add up. As we outlined in New pound coin bang on trend, the value and size of the ‘silver pound’ is increasing rapidly. Retirees are the fastest-growing sector, estimated to comprise 40% of the population by 2025. They spend over £43 billion a year, an increase of 53% over the last 10 years, compared to 21% in the non-retired age group.
With more disposable income than any other age group, they’re making the most of it, with spend focused on enjoying themselves.
The retirement market is not ‘old’ and, many would admit, not always mature. As well as adding years to life, today’s retirees are putting plenty of life into those years. They are often mortgage free, house proud and holiday more than once a year.
If companies look to re-brand, this market responds to a fresh creative approach. Move away from a ‘traditional’ ad, but don’t be ashamed of this older audience. Quite the opposite, embrace all it represents. Connect with these consumers; they can transform your business. They are less price sensitive, valuing customer service and reputation. Recommendations are important and offer your cheapest and most lucrative sales. Focus on exceeding expectations, and your customer journey could result in better margins and ultimately profit.
Find out more about embracing the value of the silver pound. Contact Lesley Bowman on 01225 758222 or firstname.lastname@example.org.