How to Get Baby Boomers to Buy Now
March 29, 2009 by Jean Murray
Filed under Business
In tough times, people pull back. They pull in their spending and they think carefully before buying anything. Baby Boomers have been particularly hard hit by the collapse of the stock market and layoffs. If your small business sells to Baby Boomers, you might be wondering if there is any hope. Well, as a Boomer, I can give you some insight into why Baby Boomers are not buying and how to get them to buy now rather than later.
Baby Boomers are on a “recession diet” (coined by Miranda Marquit of Yielding Wealth) and they are spending less. Boomers are starting to retire and their incomes have been cut significantly. This “diet” they are on includes very little discretionary spending. Even younger Boomers are on a diet, concerned that they will run out of money.
Boomers are waiting to see what will happen next before they spend money. They are holding on, hoping the market will increase. If they don’t have to buy that appliance or Hi Def TV, they won’t. If they don’t have to take that vacation, they won’t.
Some Baby Boomers are borrowing for living expenses (10% at one count), so they don’t have money for much of anything.
But, having said that, there are some ways to get Baby Boomers to buy now:
Lower your prices. I know this is difficult but it worked for the cruise lines. Carnival Cruise Lines had its best month ever in February by lowering prices. Go as low as you can to get the business.
Outsmart the competition. I talked with a Bed and Breakfast owner who said, “Room nights are a perishable commodity. Once they are gone, you can’t get them back. And you have to be competitive with your prices to get people to come to you. B&B’s used to say, “We’re not competing with hotels.” Now they are and they have to figure out ways to give potential customers something that the competition doesn’t have.
Concentrate on value. Think about benefits, not features. Features are gadgets, things you think are cool about your products or services. But benefits are what make people buy. If you can find a way to get people to see the value in what you are selling, they will buy.
