Mobile marketers and advertisers shouldn't dismiss the purchasing power of adult
and baby boomers.
and baby boomers.
The idea that new technologies are adopted by teenagers quicker and easier than by adults is common wisdom but perhaps it should be reassessed. It is a fact that teenagers are more frequent users of cell phone and text messaging. A report presented in September by Amanda Lenhart, Senior Research Specialist from the Pew Research Center shows that teenagers are more prone to use mobile devices. The ratio of teenagers sending and receiving text messages compared to adults is five to one: 15% of teenagers between 12 and 17 text more than 200 messages a day, while only 3% of adults between 25 to 29 send as many.
Nonetheless, adults are rapidly increasing their utilization of cell phones for various and often different purposes than teenagers. Adults are more likely to use the phone to make plans on the fly, check on their children and to coordinate physical meetings. Lenhart also mentions that 82% of American adults own a cell phone, either a Blackberry, an iPhone or another type of smartphone, and they use it more and more for mobile commerce. Statistics also show that almost half of smarthphone owners have shopped for at least one item using their handset devices. The Mobile Marketing Association and its official research partner, Luth Research released on May 2010 the U.S.Mobile Consumer Briefing on adults mobile marketing behaviors and opinions. This survey states that approximately one in five U.S. adults have used their cell phone for mobile commerce and 17% utilize mobile banking with a projection of an increase to 22% in 2011. 
Naor Chazan, marketing director for the Americas of Lightspeed Research states: “With the increase in smartphone adoption, the increase in ecommerce applications and the increase in mobile-friendly ecommerce Web sites, it is only a matter of time before we see more people becoming aware of mobile commerce and buying on their phone."
The idea that adults are more conventional and slower to adopt new technologies is simplistic and not true. In an article named "Why Marketers Can't afford to ignore Baby Boomers" published by Nielsen Wire in July 2010,it is mentioned that Boomers are considered a group who enthusiasticaly adopt new technologies such as e commerce and social networks. Nielsen further mentions more and more adults of 55 and older are adopting Facebook and similar social websites. The number of mature people maintaining an active profile in Facebook has been increased considerably year after year from 2007 to 2009 and senior social media users have mentioned Facebook as their new hobby.
To summarize: Advertisers and apps developers should not dismiss the increasing number of adults using new technologies and mobile commerce, and should not just focus on the youth market.
References:
Cell phones and American adults. They make just as many calls, but text less often than teens
Amanda Lenhart, Senior Research Specialist 9/2/2010
http://pewinternet.org/Reports/2010/Cell-Phones-and-American-Adults.aspx
PR News wire One in Five U.S. Adult Consumers Now Using Mobile Commerce
http://www.prnewswire.com/news-releases/one-in-five-us-adult-consumers-now-using-mobile-commerce-94244549.html
Boomers and Social Media. emarketer digital intelligence
References:
Cell phones and American adults. They make just as many calls, but text less often than teens
Amanda Lenhart, Senior Research Specialist 9/2/2010
http://pewinternet.org/Reports/2010/Cell-Phones-and-American-Adults.aspx
PR News wire One in Five U.S. Adult Consumers Now Using Mobile Commerce
http://www.prnewswire.com/news-releases/one-in-five-us-adult-consumers-now-using-mobile-commerce-94244549.html
Boomers and Social Media. emarketer digital intelligence
Nielsen Wire
Why Marketers Can’t Afford to Ignore Baby Boomers
July 19, 2010
http://blog.nielsen.com/nielsenwire/consumer/why-marketers-can%E2%80%99t-afford-to-ignore-baby-boomers/
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ReplyDeleteVery valuable information. It is assumed that Baby Boomers do not utilize technology as much as teenagers, however, I have personally witnessed this demographic use their cell phone to find concert and theatre tickets, get directions and purchase small ticket items such as books all while riding public transportation.
ReplyDeleteMarketers should not be ignoring this demographic as they are the decisions makers with the spending power.
Teenagers on the other hand, text their friends and forward silly jokes...they aren't necessarily conducting research or comparing prices on their cell phones.
Informative article. Baby Boomers are important not only because of its size, but also because it represents the wealthiest generation in the U.S.
ReplyDeleteThis is true. I have found that adults are adapting more and more to today's technological advances that facilitate many areas of their lives. Marketing strategies tend to ignore this cohort as they assume that all their money goes to the children. But that is incorrect, today's job market forces adults to learn the technologies that are available. I for one, have learned to use these technologies for work, family, & recreation purposes. while I may not be in the first group to use the technology..I eventually learn about it all of which leads to a set loyalism to that product. as for the baby boomer generation, they too are choosing to use text messaging, social medias on computers, as they learn that these technologies can positively impact their life.
ReplyDeleteAll in all, marketing corporations are very bias to the younger generations that "create" a fad. However, they should go back and re-think the way in which they perceive how the economy is sustained. young people do create fads, but it is the pocket books of their parent' & grandparents that pay for it all; and more often then not, they too become the consumer.
Marketers are ignoring a large population that is increasing their knowledge of the WWW. My experience has shown that those Baby Boomers hesitant to purchase a personal computer and internet have approached the WWW through the mobile technology on their smartphones. They are more likely to make larger purchases and I do agree that I am more comfortable paying a vendor directly instead of incurring phone charges. Baby Boomers are more accepting of marketing oportunities via a mobile device. Most smartphones are user friendly, sometimes, PC's are not, boomers are more likely to search and compare on the go, put it this way, at the moment they think of searching for something they can do it right there and then. Where as remembering to look it up on a PC somewhere, you've lost that customer.
ReplyDeleteOh another item to add is the Mapping (GPS) ability on a smart phone, having an all-inclusive device is very very handy and does not require additional products (expensive GPS) to be purchased and mobile companies are rethingking additional accesories such as making your mobile device attach to your windshield for GPS navigation.
My experience has shown me that today's youth is only concerned on recent events in their homes, communities, schools or even (gossip). Their parents have the purchasing power, the youth (those under 18) don't.
This was a great article, very informative and I would recommend marketers to re-think their surveys to include detailed reasons for WWW searches and actions.
Muy buen artículo que muestra que las nuevas generaciones estan y seguiran haciendo uso de la tecnología en todos los ámbitos.
ReplyDeleteI completely agree with Naor Chazan that it is only a matter of time. As mobile e-commerce app improve in usability, busy adults will flock to them. Mobile technology enables one to fill previously idle moments (on the bus, on the subway, in a taxi, waiting at the doctor's office) with items from our longer and longer to-do-lists.
ReplyDeleteI agree, I think that is logical because teenagers were born inside new age of technology where all devices are easy to them, on the other hand, adults were born in a diferent age and gradually they have adopted this technology.
ReplyDeleteThe challenge to marketers is how make easy and attractive the use of smart phones, blogs, and Internet for several purposes to adults.