• by Jack Loechner , Staff Writer @mp_research, February 10, 2017

According to Loyalty360, with Phil Seward, regional director, Americas, ICLP, a global marketing agency, “retailers that overlook customers in the Baby Boomer demographic risk are missing out on valuable financial opportunities. This age group controls 70% of the disposable income in the U.S., making them some of the most affluent generations of customers. Retailers face the possibility of losing their business to competing brands when neglecting their preferred rewards, failing to recommended relevant products or services, and overall communicating poorly.”

Seward notes that “since Millennials surpassed Baby Boomers as the largest generation in 2016, retailers naturally assume marketing to millennials, as the most tech-savvy demographic, is the smartest strategy in an increasingly mobile-forward landscape where consumers are adopting online and mobile shopping habits. Many don’t consider that those same rewards apps are also used by Baby Boomers, with 84% using a smartphone for online shopping.”

“Only 12% of baby boomers expect that brands will spend the time to get to know them and understand what they want. Personalizing rewards, making relevant recommendations, and being more responsive to their needs are ways to demonstrate you value their loyalty” according to Seward. “Individualizing is also key for this generation. Tailoring communications and recognizing them according to their personal relationship with your brand will make them feel special and, in turn, drive loyalty and repeat purchases.”

Concluding, Seward says “as the retail experience becomes increasingly complex and further focuses on the omnichannel experience, we’re finding that Baby Boomers are significantly less loyal to retailers because they feel overlooked and not adequately rewarded, with 93% willing to shop at competing brands. This also affects their expectations from retailers as 80% don’t assume brands will make relevant recommendations for them. Nearly all consumers devoted to their favorite retailers would recommend them to others, but only one-third of Baby Boomers are doing so regularly, demonstrating an overall lack of enthusiasm and commitment.”

For additional information from Loyalty360, please visit herel