Millennials and Gen Zers may be nipping at the heels of Baby Boomers (born between 1946 and 1964) … but they haven’t caught up yet. While developing strategies to attract and retain younger generations of customers remains paramount to the future success of institutions, it would be careless to exclude today’s most lucrative group from your marketing efforts.
The Boomer generation still controls 70% of the nation’s disposable income, and over the next two decades, spending by Americans over age 50 is projected to increase by 58% – whereas ages 25-50 will only grow by 24%. And yet, organizations are spending 500% more on marketing to Millennials than to any other demographic group. Unfortunately for community banks and credit unions, this oversight has led to nearly 25% of all Boomers being unhappy with the banking industry and 12% being actively disengaged with their primary institutions.
So, what can institutions do to make their Baby Boomer customers happy and increase retention rates?