In the United States, Baby Boomers account for more than 75 million, and in Canada about 10 million. Starting this year the boomers begin turning 65 and analysts plus marketing specialists are paying a great deal of attention to their habits. This is the group that grew up with dynamic change, rebellion, exploration, breakthroughs in technology; all of the above characterized in the decades that make up their personal history. Their experiences influence the decisions they are making now regarding work, travel, where to live and how to spend their money.
When the last of the children of the baby boomers leave the nest, a discretionary income becomes available and according to Ken Dychtwald, CEO of Age Wave LLC, boomers account for 50 percent of the discretionary spending in the country and control 70 percent of the wealth in the US.
Time to Focus on Lifestyle and Experiences
When the psychology of this large segment of our population is profiled, baby boomers are seen as focusing on lifestyle. They've worked hard and raised families for the recent 20 - 30 years and feel that now is the time for experiences and the best way to accumulate life experiences is by traveling.
Evidence of baby boomers' focus on gathering new experiences is seen in the way travel is being marketed; not with images of old folks seeing the sights from an air conditioned tour bus or from a lounger on the deck of a ship. Cruise vacations include exciting stops for hiking, exploring and shopping at the ports of call. The best fishing vacations are on a picturesque lake within proximity of an evening nightlife including dancing and fine dining.
Vacations are being taken in 1 to 2 week segments because many boomers are still active in the workplace and even though they are retirement age, they are choosing to work past age 65.
Analysts are seeing that the baby boomer generation is unpredictable and that means be cautious of stereotyping for example while many boomers are excited about their retirement party, others are enjoying second and third careers. And even others are opting to divide their time between work and grandkids or work and travel because they can now afford to work less.
Retirement Communities focusing on Lifestyle
There's almost a 20-year span between the oldest and youngest boomers and it's still too early to see how their spending is affecting the housing market but one thing we do know is that the demands of this new generation is affecting the look of retirement communities.
Concepts in retirement such as we're seeing in the Holiday Retirement Community are appealing to baby boomers love of travel for example, as a member of a Holiday Retirement community you become part of a network of more than 300 communities and are invited to stay up to seven nights at no charge, in a Holiday Retirement Community in another city.
Retirement communities are also appealing to baby boomers' demand for healthy choices and an active lifestyle. In communities like Rideau Garden in Ottawa, game rooms, fitness programs and social events are part of life.
The baby boomer generations' spending habits and demands will continue to have a great impact on society. Now that they are reaching the milestone age of 65; they're also proving to be as unpredictable as they've been all along. One things we know for certain however, is that in marketing of all things to do with lifestyle choices, the baby boomers will be the biggest audience so far!
By Alice Lucette
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