When it comes to online advertising, Millennials and Gen Z overwhelmingly command the conversation. These demographic groups have highly digital lifestyles, a willingness to try new products, and a robust decision making process, making them perfect candidates as potential life-long customers. Baby Boomers, by comparison, have been slower to adopt online shopping habits in the same numbers. However, with the unforeseen arrival of the lockdown orders surrounding COVID-19, the use of social media and online activity spiked within the Baby Boomers in ways that were not seen previously. It’s official. Your future customer is here, and they were born between 1944-1964.
For a long time, the Boomer generation have been the largest demographic in the U.S., until the Millennial generation came along. Yet, Baby Boomers still hold an outstanding amount of spending power. As a group, they control about 70% of the entire nation’s disposable income. Prior to the COVID-19 pandemic, spending habits looked a little different for the Baby Boomers. 84% of the older generation preferred shopping in-stores, and 67% of them reported they would prefer to purchase at their local retailer, even if the product was available online. However, studies also show that on the occasion Boomers did shop online, they tended to shop big. Their average spend for an online order comes out to $203, surpassing the Millennial’s average spend of $173.
With all this spending power, but their usual shopping methods unavailable and even dangerous for them, Boomers have begun embracing online shopping in unprecedented ways. How long will this shopping style last and will it change the way they purchase products even beyond lockdown orders and COVID-19?
Baby Boomer Shopping Habits And How They Have Changed
It’s no surprise that with the increase in coronavirus cases, in-person grocery shopping was no longer a viable option during the lockdown. By the end of March 2020, 37% of survey respondents were purchasing groceries for online delivery or click-and-collect. But the online shopping didn’t stop at the necessities.
Online shopping also increased across the board for home projects, hobbies, and more. For the younger generation, this is not a new phenomenon; but 57% of Baby Boomer survey respondents foresee themselves purchasing more goods online in the future. The trend seems to have seeped into their daily lives as a matter of convenience and accessibility.
Pick Up in Store has also become a popular method of online shopping. Buyers can shop online, then pick up their items in-store. During the pandemic, the most common methods of Buy Online, Pick Up In Store (BOPIS) used by Baby Boomers were picking up at a store’s register (58%) and curbside pickup (30%). Regardless of their preferred method, an overwhelming majority of respondents (80%) have found their experience to be convenient. The convenience of these online methods quickly became the key factor to their adoption of the services.
Additionally, when Baby Boomers shop for goods online and have a positive experience, they tend to continue to shop online thereafter. Over one-quarter of Boomer respondents have used a delivery service like Shipt or Amazon Prime at least once within the past three months. Two out of ten have even done so multiple times! They are becoming more comfortable with the process of online shopping, and trusting that they will be able to receive the same amount of customer care as they would in-store. One-quarter of respondents who are hesitant in using a delivery service are interested in trying it out, but have yet to do so.
All in all, while many Boomers were corralled by COVID-19 into trying online shopping, it seems that their efforts put into learning this new process has left a positive impact. Baby Boomers now have an increased willingness to continue online shopping. But why is that important to know?
Baby Boomers and Their Relationships with Online Services
Although it may not seem obvious – overlooked even – Baby Boomers are actually a growing demographic on social media. 82.3% of Boomers belong to at least one social media platform, with YouTube and Facebook at the forefront. Additionally, 84% of Boomers that responded to a Forbes survey stated that they feel like social media is likely to improve their lives. More and more of the older generation are finding value in using social media platforms for entertainment, human connection, and shopping. This trend continues to grow as socialization increasingly migrates to digital spaces.
During the pandemic, Baby Boomers are a part of the group that are the most likely to experience serious symptoms and side effects from COVID. This led them to rely on online shopping for their necessities at home. Soon, they began to see the convenience and accessibility of remote services. 71% of Baby Boomers surveyed by First Insight, Inc., a software company providing data analytics solutions, stated that COVID-19 impacted how and where they now shop. To protect themselves from a major health-risk, Boomers quickly adopted online services as their main form of shopping.
Companies are now realizing the increase in Boomer users, and have begun to cater to those who aren’t as tech-savvy as the younger generations. Ordering processes have become more simplified, with detailed steps clearly explaining how-to order an item before committing to a purchase. Companies have found success making each step easy to understand, while maintaining customer transparency along the way.
Businesses that can guide the user throughout the buying process without overwhelming them will find a sweet spot that will be well received by Baby Boomer customers. By keeping the buyer journey as stress-free as possible, you’ll not only gain more business overall, but you’ll also see an increase in purchases from older generations.
As such, Baby Boomers should be given more credit for their online usage and tech capabilities. There are some technologies that they have adopted more than any other generation, like voice assistance and technology. Voice technology is undoubtedly on the rise across all generations, but companies are noticing that it is increasing particularly amongst older generations. The convenience of voice technology means that Boomers are not fidgeting around on their phones trying to type out a message. Rather it’s the closest action to a normal phone call, meaning it has built in ease-of-use with older generations. With the various technological adaptations that Baby Boomers are now implementing, social media is starting to be seen as a great place to connect with Boomers – companies just need to make sure messages are specifically tailored to them.
Don’t Underestimate the Power of the Baby Boomers!
Overall, the Baby Boomer generation has shown their might and shouldn’t be a forgotten customer demographic. Their generation still has quite a bit of purchasing power and disposable income at their fingertips. Now, they no longer feel limited to shopping around in-person; they’re also beginning to migrate online to buy groceries, home necessities, hobby items, and beyond.
The key to tapping into this spike in potential customers is to make sure to meet them where they are and communicate in a way that addresses their specific needs. Marketing messages need to be targeted and tailored to their preferences and delivered to them in a way they would understand. Boomer behavior in response to online ads versus offline ads may look different, so messaging will need to be adjusted.
Now that Baby Boomers realize how simple it is to shop online, this will unquestionably become an ongoing habit in the future. Whether it’s due to a pandemic, a flu season, or plain convenience, this is a new online community with strong purchasing power waiting to be tapped into.