The American Advertising Federation Central Regional Conference was terrific last month. I presented there about the economic strength of baby Boomers and their behavior online and began with this statement: if you are a marketing or media executive and you don't know that Boomers hold 70% of the U.S. wealth and Boomer women make or influence 80% of household purchase decisions - then you should be looking for a new job.

Link to Article:

http://www.mediapost.com/publications/article/160581/life-transitions-create-new-opportunities-for-mark.html

Brand marketers focus their attention on display advertising, a medium historically known to elicit a direct response.

"Online display advertising continues to shift from a direct-response form of advertising to branding media" Laurie Sullivan says on Mediapost.com in an article published last Friday. She points at a study released by Collective, finding that 57% of agencies believe the majority of their display objectives are to build the brand, yet only 11% cite ad creative as critical to the campaign's success. Although 60% of agencies cite brand recall and intent to purchase as the most important measures of online success, clicks and conversions however remain the key criteria agencies say they use to evaluate media, according to the Collective study.

New technologies and ad formats, enabling interactive messages, brought advertising and promotion to a next level beyond clicks, impressions and conversions as a measure performance. 

Full article on Mediapost.com: 

http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=159708&nid=131751

Note: We are seeing a shift of ad dollars to baby boomers because they are online more hours each week and spend more money online than the Gen Y.

Boomers are healthy, wealthy, and online. While generation Y, also known as the millenniums are thought to be the most media savvy, many Boomers spend more time of the web than their children and grandchildren. Many brands are targeting this lucrative audience online because they spend 15 hours per week online, more time than teenagers. 

• Not only boomers spend more time online, they are also more likely to interact with online ads and click on them.                   
• 76% of respondents age 55+ had clicked on online ads during the preceding six months, compared to just 58% of 15-24 year-olds. (AARP Survey)
• Younger demographics have been shown to be more cynical about advertising, boomers seem to use the internet as a way to gather information for a future purchase

Here are reasons why marketers are targeting boomers:

• 98% more likely to have an investment portfolio $100,000+
• 80% more likely to own a vacation home
• 60% more likely to have a valid passport
• 57% more likely to have a master's/higher degree
• 54% more likely to be an influential
• 42% higher median household net worth

Sources: AARP, US Census; GfK MRI Fall 2010 AARP 

Marketers cannot ignore Boomers anymore: Largest generational group, they buy and spend more than any others.

They are the largest generational groups: Baby boomers. They are also the most influential, fastest growing and longest lasting. 42% of the adult population is composed of boomers; they are growing fast, and estimated to grow 7 times faster than their successors aged 18-49. It is essential that businesses tap on this demographic, understand their needs and develop a strategic communication plan to reach them today. 

• Indeed, Boomers are in the market, and will not leave it for a while
• According to 2010 US census figures, they will dominate the market for the next 40 years. 
• No wonder the demo is the battle cry of many retailers such as CVS or Wal-Mart.

Here are Five Boomer Facts that demonstrate the attractiveness:

• Biggest demographic - 42% of adult population
• Boomer Group - 84% of Boomers are already 50+
• Buy more - 45% of all consumer goods 
• Most assets - 75% of discretionary wealth
• Most influential - 68% give money to their adult kids

Sources: AARP, US Census; GfK MRI