Selling to the Ultimate Power Consumer

Written by Perrie Croshaw

What's the next big thing for salespeople? Learning how to crack the ultimate power consumer market - the baby boomer women. According to the Splash Marketing Group's Amanda Stevens, the over 50 female market will increase by about 76 per cent and the under 50 female market will decrease by 1 per cent between 1992 and 2020.

In the United States, it is estimated that the 40 plus woman will control two thirds of the consumer wealth as upwards of $10 trillion changes ahead. Stevens says that in Australia, with women continuing to outlive men, they will control the wealth of two generations, as an estimated $600 billion is handed down to them from their 'silent generation' parents over the next 20 years.

The hottest book in sales and marketing circles has just been released by McGraw Hill Australia under its Amacom imprint. Mary Brown and Carol Osbourne, the authors of BOOM: Marketing to the Ultimate Power Consumer - the Baby Boomer Woman, say that "In 2006, boomer women not only have their own money - they have a lot of money."

Commenting on the book, Paco Underhill, founder of research consultants Envirosell, adds: "Not only have the women of the Baby Boomer generation established themselves as the primary purchasing agents for their families, but these women are the first generation who have been given permission to spend money on themselves." says Paco Underhill, founder of research consultants Envirosell.

Women have less fear of spending than men. But while they are courageous in their ability to spend freely, they are also typically do more research than men. Salespeople need to be aware that the way a Boomer woman buys is with more thought and "cycling back through the process" than a man who adopts a linear approach, then makes a decision more rapidly.

According to the book BOOM, "The male tends to move through tasks methodically, satisfied with finding a good solution. She, on the other hand, incorporates new information all along the way, re-visits her decisions, and cycles back around again in search of not just a good solution but the ultimate solution."

In many sectors there is a fear that explicitly targeting women will come across as patronising. But Bernie Connolly, wealth management director at UBS in Sydney, says this need not be the case.

"In our approach, the individual is at the centre of the relationship. It happens that this resonates well with women. Women want involvement and empowerment in the process of investing their money. We see this process of investing their money.

Women want involvement and empowerment in the process of investing their money. We see this through the huge demand for knowledge about investments. But women also value a consultative approach, so the relationship with their advisor who is part of 'the team' is very important."

A recent Brand management report, The Invisible Sex 2006, showed that women are consistently ignored or condescended to by many financial planners, are given less time in interviews (despite some having considered able amounts to invest), receive fewer follow up calls and feel the process is more like sales than service.

When women focused on price, the male advisor focused on promises. One woman said: "I kept saying how much is this? Where can I see the fee? He kept talking about reporting. I just stopped and waited for him to finish. He never noticed that I had disengaged from the process."

Intergenerational wealth transfer is a major aspect of the new Boomer woman's riches. Divorce is another. In Australia, more than 63 per cent of divorce is instigated by the female - and they are the nation's biggest spenders.

Social trend-spotter and demographic expert Bernard Salt says the power of the 40-plus woman is often ignored in a rush to market to younger people- the Generation X & Y syndrome. "Advertising and Marketing companies still think youth has all the money, when in fact most of the real dollars are being spent by people 40 plus and, more specifically by women in this age group," he says.

"Perhaps it's because ads are placed by Gen Y's, who can not see the real world. Also, young dollars are sexy whereas older dollars are more perfunctory on their destination!" Women are spending big on:

. Weekends away and overseas travel

. 1,001 things to do before you die

. Eating to cooking

. Keeping fit and looking good

. Cosmetic dentistry and surgery

. Self-help and self improvement

. Spirituality

Boomer women are now at the peak of their earning potential. They determine the allocation of household spending and since the early 1970's have also had access to professional private income. What they say determines much of today's consumer culture and preferences.

Women make up just over half the world's population. Social researcher and founder of Brand Chemistry Sam Dewhurst acknowledges them as "Earth's largest economy." Booms are the largest economy." Boomers are the largest single age demographic so far and Boomer women, now straddling 45 and 60 are a group to be reckoned with.

Born over 15 years between 1946 and 1961, this 'flower power' generation has always set the consumer agenda as social and sexual mores changed to accommodate their lifestyle demands. As adolescents in the 1960's they got the pill, started civil right and women's movements.

During the 1970's they were educated at university for free, became yuppies and DINK's (dual income, no kids) and during the 1980's Decade of Greed, grew their wealth through a couple of Australian property market booms.

So how to take your message to this powerhouse consumer and make that sale?

According to BOOM, there are five main phrases:

. Need/ problem recognition She is "problem recognition command central", the primary purchasing officer and caretaker of everyone (son, husband, mother in law) and everything (acne cream and hair loss formula).

. Search for information In the decision-making process, men are hunters and women gathers. She starts gathering information for her personal network, the customer rep, brochure, website, looking for not just the solution, but the ultimate solution. Men just want a solution so they can cross it off their 'to do' lists.

. Evaluation of alternatives Should vales benefit over features. It should solve multiple problems, be simple, superior, aesthetically pleasing and reflect her self image. She brings all her senses to the purchase - sound, smell, lighting, textures and colours. If the sales tag has tiny writing or the techno-beat is loud, it will drive her away.

. Choice / purchase decision Just because she didn't purchase today, don't write her off. She may be circling, searching for the key detail to tip the scale so she has the ultimate solution, not just an adequate solution. She's savvy to the ways of marketers and will make the company work for the sale.

. Post purchase evaluation After the purchase she is still looking confirmation that she made the best choice. She wants to know your company appreciates and values the relationship she has begun or chosen to continue.

. Learn the "no-no's" There are some things never to do when seeling to Baby Boomer women

Amanda Stevens: The Boomer segment is characterised by its youthful, confident attitude and busy social life.

This is where most salespeople get it wrong - they pigeonhole this segment based on 'old lady' stereotypes. Remember that for many of these women, their mindset is focused on life just beginning not starting to end.

So the language and visuals should be quite youthful and aspirational. This market is also one that appreciates humour, particularly as marketers tend to steer clear of it and opt for a safe communications strategy with a serious tone."

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