89 Percent of Boomers Advise Their Friends on Purchasing Decisions
NEW YORK, March 19 /PRNewswire/ -- Global public relations firm Weber
Shandwick released a new study today revealing that companies can gain a
significant competitive advantage by creating marketing programs that
target baby boomers' expansive relationship networks. The survey, conducted
with KRC Research, found that Boomer-to-Friend (B2F) communications are
untapped in their potential to influence purchasing decisions for products
and services.
Please reference the link below for key charts:
(Photo: http://www.newscom.com/cgi-bin/prnh/20070319/CLM007)
According to the study of 502 U.S. boomers, titled "B2F Connections,"
boomers serve as important information sources for fellow boomers when
making purchasing decisions. Nearly six out of 10 boomers (57 percent) are
asked for their recommendations on products and services almost twice a
week (or 90 times per year). Of those boomers who were asked to make a
recommendation in the past year, the large majority (89 percent) advised
their friends, or fellow boomers. The study also revealed that B2F
communications are circular, with nearly all boomers (93 percent)
identifying their friends, who are also boomers, as trusted sources of
information.
"When it comes to word-of-mouth recommendations, boomers have both
unrivaled influence and rich networks of peer advisors. Our new study found
that companies can forge new relationships with prospective customers by
capitalizing on the power of B2F communications," said Weber Shandwick's
Chief Reputation Strategist Dr. Leslie Gaines-Ross. "Companies can discover
new avenues for reaching boomers by approaching boomers' networks of mutual
advisors and creating marketing, advertising and other communications that
portray boomers in realistic social settings to which they can relate."
Some of the research findings that can help companies market more
effectively to boomers include:
-- Boomer communications are personal in nature. Eighty-four percent of
boomer recommendations are made face-to-face and 82 percent by phone,
as opposed to 45 percent that are made online. With boomer
recommendations so rich with personal opinions, companies can reap the
full benefits of positive buzz by ensuring that their customers are
completely informed of all key features, capabilities and benefits of
the company's products and services.
-- Boomers are eco-conscious. A sizable 42 percent of boomers' purchasing
decisions are influenced by a company's social or environmental
policies. Interestingly, boomers' attention to social responsibility
as a key factor in purchase decision-making is similar to that of Gen
Xers (46 percent). Companies that engage in socially responsible
activities should include this message in their communications with
current and prospective customers to ensure their good deeds are heard.
-- Despite their extensive dialogue on other topics, boomers follow a
"code of silence" when it comes to financial services. Only five
percent of boomers who made a recommendation in the past year had been
asked about financial services such as insurance, banking, investments
and retirement. Boomers' financial strength, independence and ongoing
employment uniquely position them as highly coveted financial
institution customers in need of creative marketing strategies that
ignite positive interest, word-of-mouth and viral campaigns across B2F
networks.
"Clearly, financial services are not top-of-mind conversation topics
for boomers when trading advice among friends, family and co-workers," said
Weber Shandwick's Barb Iverson, president, North American Financial
Services. "It appears that boomers are spending their time discussing
aspects of their lives other than financial matters. The study points to an
important conversational gap that companies need to narrow if they want to
reach this powerful segment with financial information that will help them
over the long-term."
Weber Shandwick's "B2F Connections" study also provides further insight
into boomers' use of technology, media preferences, sense of social
responsibility and growth opportunities that are made possible by B2F
relationships. For more information about the survey, please contact Dr.
Leslie Gaines-Ross (212-445-8302) or Elizabeth Rizzo (212-445-8425) at
Weber Shandwick.
About the Survey
The telephone survey fielded by KRC Research was conducted from
November to December 2006. The survey included responses from 502 boomers
in the United States. Boomers are defined as people born between 1946 and
1964 (ages 42-60 at the time of interviewing). The survey has a margin of
error of plus or minus 4.4 percentage points at the 95 percent confidence
level. In addition, a general population survey was conducted to compare
boomers with other age segments such as Gen Xers, Gen Yers and seniors.
About Weber Shandwick
Weber Shandwick is one of the world's leading global public relations
firms with offices in major media, business and government capitals around
the world. The firm specializes in strategic marketing communications,
media relations, public affairs, reputation and issues management, and
offers corporate communications counseling services. Weber Shandwick also
provides specialized integrated services including Web relations, advocacy
advertising, market research and visual communications. In 2006, Weber
Shandwick was named Large PR Firm of the Year (PR News U.S.), European
Consultancy of the Year (The Holmes Report) and Network of the Year (Asia
Pacific PR Awards). The firm also won the United Nations Grand Award for
outstanding achievement in public relations. To learn more, please visit
http://www.webershandwick.com. Weber Shandwick is a unit of The Interpublic Group
(NYSE: IPG), which is one of the world's leading organizations of
advertising agencies and marketing services companies.
About KRC Research
KRC Research is a full service market and attitudinal research firm.
Research partner to Weber Shandwick and other Interpublic Group agencies,
KRC specializes in strategic communications research, including research to
support product communications, corporate communications, public affairs,
and social marketing. KRC provides a full range of primary research
services, including surveys, focus groups, and executive interviewing. Find
out more at http://www.krcresearch.com.
Contact:
Laura Bachrach
212-445-8467
lbachrach@webershandwick.com
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