The Booming Voice From Boomers:

"Hey, we're over here!"

Here’s a message that marketers aren’t accustomed to hearing: “Please advertise to us.”

But that’s exactly the message delivered by a campaign recently kicked off by AARP, intended to goad advertisers into embracing the over age 50 demographic.

“I may be gray but my money is as green as it gets,” reads one of AARP’s broadsides. “I may be creased but my money is crisp,” says another. These are not-so-subtle reminders that although Madison Avenue loves to cater to 20-somethings, those millennial youngsters aren’t exactly rife with purchasing power these days.

The AARP crowd, by contrast, is doing OK. The average annual income for baby boomers as a group now tops $70,000. Those over age 65 are among the few that saw a net increase (from $29,400 to $29,775) in the challenging years between 2008 and 2011. And Americans over the age of 50 account for more than 60% of new car sales in this country.

Older adults tend to dine out more often, take longer and more luxurious vacations, and spend as much — if not more — on consumer goods as any other group. Yet marketing in these areas tend to focus on the younger set. This perplexing misfire might be explained by an out-of-date tradition — MadAve started targeting baby boomers when they were age 18-34, and never readjusted as that generation grew older. Or maybe it’s because MadAve itself is young: 40% of the advertising workforce is under 35. 

Either way, AARP makes clear that the advertising industry spins its wheels selling to a generation that’s all but broke, while effectively ignoring one with pretty deep pockets. That’s self-defeatism at its worst, which is something marketing should never be accused of.

We’ll speak for ourselves, and hopefully for our most ambitious clients: AARP, you don’t have to tell us twice.

The C4:

1. AARP — formerly known as the American Association of Retired Persons — is now titled solely by that four-letter acronym and represents any Americans over the age of 50, retired or not.
2. AARP has kicked off a campaign to remind advertisers of the purchasing power of its members.
3. Americans of AARP age buy more than 60% of new cars. They’re among the few groups that saw little or no income decrease during the Great Recession. They dine out more, travel more, and spend generously on consumer goods.
4. These statistics haven’t exactly been kept secret, yet somehow we advertisers still treat millennials (age 18–34) like they, not the boomers, are the golden geese. It’s a shame that AARP had to remind us how to do our jobs, but now that they’ve done so we’re happy to assure them: we’re on it.

Is Healthcare At The Crossroads?

Emerging decisions will impact you and everyone you know.

Whether you call it Obamacare or the Affordable Health Care for America Act; whether you’re a supporter or a detractor; and whether you’re an employer, an employee or even unemployed, the healthcare reform law is bound to have significant impact on your life.

Its second anniversary was Friday, March 23. And on Monday, March 26, the U.S. Supreme Court began deliberating its fate. The most contentious provision — the individual mandate that would force all Americans to buy insurance or pay a penalty — will be the Constitutional lynchpin that the high court, in all likelihood, will vote up or down.

The arguments are clearly drawn, which is surprising for such a complex law — most of which hasn’t even gone into effect yet. Does the Commerce Clause (Article 1, Section 8, Clause 3 of the U.S. Constitution) empower the federal government to require citizens to purchase specific goods or services — in this case, health insurance?

If the Court says no, it might choose to sever the individual mandate, leaving the rest of the law intact. The danger there is self-evident: the uninsured will have no incentive to purchase health insurance until they actually need it. The law’s system of affordable health-insurance exchanges, in that scenario, becomes unsustainable.

But healthcare prior to the law’s passage was likewise unsustainable, with 20% of our population without health insurance coverage of any kind. Annually, the uninsured consume more than $100 billion in healthcare services, with more than $60 billion of those costs going unpaid.

Healthcare and politics have become inextricably linked. It’s already a hot-button issue for the next election, and will only become more fraught after the Supremes hand down their decision.

So it’s all too easy to forget what’s at stake: our economy, and maybe our future viability as a society. If Obamacare isn’t the answer, then what is?

We need to know. Share your thoughts below.

The C4:

1. The Affordable Health Care for America Act was signed into law by President Obama on March 23, 2010. To date it has outlawed exclusion by insurers for pre-existing conditions and has allowed children to stay on their parents’ policies up to age 26. Its most contentious requirement, the individual mandate, is not scheduled to go into effect until 2014.
2. The Supreme Court will hear six hours of arguments on the law, which began on March 26.
3. Opponents maintain that the government has no power to force private citizens to purchase health insurance. The administration argues that since we’re all consumers of healthcare services, the Commerce Clause grants precisely that power.
4. In either case, the costs of providing healthcare to all Americans are unsustainable.

Never Send A Hamster To Do A Gecko's Job

Insider lingo is off-putting to everyone who isn't inside.

Healthcare, life insurance and reverse mortgages: if you’re over 65, it seems like advertisers think these are the only classes of purchases in which you’re interested.

Generational Marketing is a grand idea. But too many marketers and brand managers seem uninterested in all but a few of those younger generations. They’re seeking brand sustainability, early wrought loyalty and some of the purchasing power of the 20-somethings’ new money.

Understandable goals, all around.

But do they forget the established tendency toward loyalty — and the rock-solid purchasing power — of the generations they habitually ignore?

Gaps in communication only compound the gen-gap. Trying too hard to emulate the lingo of the youngest, they send incomprehensible lingo right over the heads of elders. That’s not just ignoring part of your audience — that's flirting with their annoyance.

Two possible solutions: Spend big like Geico does, on parallel marketing platforms aimed toward every possible age of buyer. Or spend cheap by sticking to the basics, by talking about value and benefits in plain English.

Yes, you should know your audience, and talk right to them. If your only possible buyers are too young to remember the sounds of dial-up, then by all means dazzle them with your hippity-blingy hamsters.

But stop and consider the couple billion older consumers to whom you’re not selling. Ask yourself if your hamsters aren’t gnawing into your bottom line. Ask yourself if you can afford to ignore any generation.

The C4:

1. Generational Marketing means fine-tuning your message for the benefit of your buying demographic. It doesn’t mean ignoring or annoying potential buyers.
2. Hip lingo and youthful swagger are cute. “Cute” is complementary for only so many brands.
3. Every age of consumer is interested in value, in features and in benefits. Talk about those and you’re talking to everyone.
4. Don’t send a hamster to do a caveman’s job.