The sandwich generation & new segmentation in a down economy
11/07/09 01:38 PM Filed in: Segmentation
Make no mistake about it, consumers are angry and they are getting angrier. According to news reports they are working more hours, more stressed out over their jobs and when they get home there maybe a letter from CitiBank informing them that the interest rate on their credit card is now 29.9%.
Wait a second, I thought Obama was going to bring change to America? While change is best as evolutionary than revolutionary voters are saying "instant gratification takes too long".
In order to gain some control over their lives consumers are spending less and saving more. This is bad news for marketers because 70% of our economy is driven by consumer spending. Consumers are not only getting angry at politicians they are also taking out their frustration on brands that don't listen to them and talk about their needs and wants. Way too many brands are continuing to "push" information to consumers who are sick and tired of listening.
A report this week detailed a new consumer segment called the "sandwich generation". These are people who are sandwiched between taking care of their children as well as their aging parents. According to the report;
The sandwich is a situation, not a generation. Caregivers can be in their 20’s or in their 60’s, and the challenges they face span incomes and geographies.
The sandwich is not a sandwich. The “squeeze” is not exerted or experienced equally. People are not stressed because they’re caring for kids and parents, it’s because they’re caring for parents and in-laws, period.
The “burden” carries intrinsic rewards. Despite the stresses, caring for elderly relatives has many intrinsic rewards—moral clarity, a sense of purpose, teaching opportunities, moments of surprising joy, and a deep appreciation from those receiving the care.
There is a huge unmet need for products and services that help care for aging parents now and in the future. While there are myriad offerings to help consumers plan for their own retirement and the care and education of their children, there are relatively few resources to prepare for the inevitable responsibility of caring for the aging population. Brands—even those not associated with serving the aged—can do much, much more to capitalize on the support and comfort they already provide, and to provide it in new ways.
To resonate, messaging must balance reassurance with realism, and empower both the caregiver and recipient, not frighten or patronize them. Consumers are turned off by idealized images of the perfect multi-generational family, but equally resent fear-mongering tactics that prey on their insecurities. Instead, they need reassurance, support, and guidance in navigating the uncharted and turbulent waters of aging and caring for the sick and elderly.
The aging population and those who care for them will continue to grow at a rapid pace. Young adults are already thinking about the future, when it will be their turn to support today’s caregivers.
Bottom line, in addition to the new thinking, is that marketers need to think of new segments that are defined on beliefs, attitudes and situations rather than demographics. It means that marketers are going to have to reach each segment with personally relevant messages that solve their problems and give them some sense of security and accomplishment. It also means that you had better have a brand that executes very very well on all consumer touchpoints because you only have one chance to make a great first impression.
While consumers are angry and unforgiving there
are opportunities for marketers who can tap into
consumer sentiment and leverage it for the brand.
Now is not the time to cut marketing; rather,
it's the time for marketing to
evolve.
