Second50Years Marketing Blog

Researchers at Fleishman-Hillard, a public relations agency, and NMI, a market research firm, have released the results of a recent survey of baby boomers. The survey affords a peek at what leading-edge boomers may be like when they start turning age 70 in 2016.

The researchers conclude that while baby boomers will continue the path-breaking ways of their youth, at 70 they will be more “retrolutionary” than “revolutionary.”

Dr. Carol Orsborn of Fleishman-Hillard said,

“…retrolutionaries are the vast majority of boomer-aged consumers who are aiming to get their monetary expenditures in better alignment with values formed at an earlier stage in their lives. Think the 2016 version of Birkenstocks and VW in the 60’s and 70’s: living affordably, but with style.”

The study concludes that baby boomers will become more pragmatic in their older age, especially when it comes to their finances. Here are some data points from the survey.

Today’s boomers predict that when they turn 70:

• 74% still won’t be describing themselves as old
• 86% will be more practical and pragmatic in their purchases, and much less concerned about trendiness and indulgences
• 76% will be using technology to stay connected with family and friends
• 93% will have more time to do things like travel, dine out and pursue hobbies
• 63% will be making some kind of move, but only 9 per cent of boomers now in their 50’s or older imagine themselves at 70 still in search of ‘the dream home.’
• only 41% of boomers state they currently have a
  secure, financially sound plan for retirement.
• 75% anticipate that “their best years are ahead of them.”

The researchers point out that not all boomers will be pragmatic retrolutionaries, but those 59% of boomers that say they don’t now have a sound plan for retirement will be, at 70, a whole lot more conservative in their spending. Nevertheless, boomers predict that, even after paying their bills, they will have, on average, 22% of their income left over for discretionary purchases.

The researchers conclude on a positive note, saying that,

“When the first boomers turn 70, there are still 18 years of the generation to follow, the vast majority of whom are wide open to new products and experiences in virtually every category—as long as marketers stay on top of the generations’ rapidly changing ethos.”

Resources:

Press Release about study.
NMI, Natural Marketing Institute
FH Boom, Fleishman-Hillard’s baby boomer focused division.

Chuck Nyren of Advertising to Baby Boomers has a blog posting about this research, while Matt Thornhill of the Boomer Consumer takes the contrarian view.