The Critical Success Factors to Send an Appropriate Marketing Message - Term Paper Example

Abstract This proposed research study involves targeting the over-50 consumer group, specifically to highlight lifestyles, attitudes, and product-related opinions of this growing market. The 50+ consumer is often under-represented in contemporary marketing efforts, causing this demographic group to experience frustration regarding how they are perceived by marketers in relation to age and product-related expectations. Further, the over-50 consumer group is constantly growing as the projected lifespan of individuals is projected to steadily increase, making them a very viable market opportunity for today's companies searching for new target audiences. This research intends to uncover the critical success factors to send an appropriate marketing message to this highly influential consumer group. Section 1: Introduction to Research Topic Consumers over the age of 50 comprise a significant portion of today's total national consumer count, between approximately 12.2 and 18.2 percent of the population in the United Kingdom and the United States (Henslin, 2003). These percentages are projected to grow dramatically as more consumers approach the age of 50, and while older consumers are experiencing longer lifespan estimates. Research indicates that most older consumers in Westernised cultures maintain substantial difficulty in applying the label of "old" to themselves, suggesting that today's marketing tactics should be not be focused around terms such as senior citizen, golden years, sunset years, or even the word aged (Norton, 2007). In fact, a sizeable boom in the over-50 groups' consumption of anti-aging products and products designed to preserve health and youth is on a steady rise (Tenser, 2006). What this suggests is that today's 50+ consumer remains less focused around aging issues, but believes in a "new old" philosophy, highlighting a less stereotypical attitude toward growing old. Despite these changing attitudes, Crawford (2006) offers that today's over-50 group is "mad as hell" because they are not being represented (or represented appropriately) by today's marketers. Of further importance, today's over-50 consumer is recognised as a group with minimal brand loyalty and does not often reflect commitment to any single brand (50+ Power, 2004). If the over-50 consumer group displays no brand loyalty, the process of creating a customised marketing message for this market segment can be a difficult task when attempting to use advertising activities to gain long-term loyalty to a particular product. Adding further detriment to creating a sound marketing strategy for the over-50 group is the recognition that many marketers are biased toward the aged, thus they create stereotypical messages focusing around the term senior citizen (Van Riper, 2006). It is crucial, therefore, to perform marketing research to uncover today's 50+ consumer attitudes regarding their roles in society, as well as measuring lifestyle and behaviour characteristics, in order to effectively market to this growing demographic group. Since today's aging consumer believes they are grossly under-represented in product advertising, there is likely a better strategy to create customised messages which will be widely received by this potential market. Section 2: Research Aim and Objectives This proposed research project aims to uncover contemporary, over-50 consumer attitudes regarding products, consumption, lifestyle, and psychological beliefs regarding aging. Essentially, determining what the critical success factors might be for modern marketers to adequately gather the attention and long-term loyalty of the over-50 market is the basis of this proposed study. The study consists of three key objectives: Uncover the 50+ consumers' view of aging in contemporary society. Determine the over-50s market viewpoints regarding lifestyle and product preferences – How do they feel they are represented by advertising efforts? Create a best practise template for today's marketers to utilise in creating customised marketing messages for this growing consumer group Section 3: Background to Research Area The over-50 consumer group, often referred to in Westernised cultures as the baby boomer generation, is a growing market opportunity for contemporary businesses. Research indicates that spending levels by the over-50 consumer group currently makes up approximately 35 percent of total consumption in the United Kingdom, representing the only consumer sector currently experiencing sustained growth (Gordon-Saker, 2003). It is also suggested that the 50+ consumer market maintains control over a larger portion of the nation's wealth, enjoys more free-time to purchase products, and is a 'sophisticated, quality-conscious' market (Crawford, 2006). What all of this suggests is that the over-50 consumer group can be regarded as a highly influential market group with not only the ability to spend, but the desire to consume products that fit their complex needs. The baby boomer generation, primarily categorised as those individuals born after 1946, make up the majority of total consumers within highly industrialised nations, such as the United Kingdom and the United States. By 2010, the life expectancy for men is estimated to be 75 years, with women living slightly longer, to 81.4 years of age (Henslin, 2003). With the over-50 consumer group projected to live substantially longer lifespans, the market opportunities abound for contemporary companies searching for viable target markets. Norton (2007) offers that the 50+ group will be in direct control of approximately 80 percent of all private investments by the year 2030, which adds further emphasis to the vitality and viability for today's marketers to target this growing consumer group through effective marketing messages. It is suggested that only five percent of all worldwide advertising and promotional budgets are allocated toward the 50+ consumer market, while an overwhelming 80 percent of budget allowances are aimed toward the younger consumer (18-34), which is referred to as a shrinking market (Van Riper). The aim for most marketers targeting the 18-34 consumer group is to build a lifelong loyalty to their brands, however the contemporary trend for these consumers is to leave a brand if a perceived better value presents itself elsewhere (Van Riper). With this in mind, and with the realisation that 50+ consumers are a rapidly growing market, it is quite surprising that such a low priority is placed on the older consumer. Even more interesting to the proposed research is the concept of the "silver surfer", representing the over-50 consumer groups' growing utilisation of the Internet as a tool for consumption. Nearly 60 percent of this group are recognised as online shoppers (Brand Strategy, 2006), representing approximately £900 million per year in online purchasing (Marketing Week, 2006). Despite this fact, according to Andruss (2005), today's marketers are still not utilising the Internet as a viable medium to elicit marketing messages to this influential consumer group. Pak & Kambil (2006) offer that a set of social, economic, biological and psychological changes in the 50+ market directly affects the consumption behaviour of this group. Though a small portion of today's companies are factoring in these new over-50 attitudes, they are often not recognised as being the dominant market force that they really are (Pak & Kambil). This represents a sizeable oversight for companies wishing to maximise profitability through product sales. Section 4: Research Methods In order to satisfy the objectives of this study, extensive research is required. The first stage of research involves a comprehensive examination of secondary literature to uncover the theoretical consumer behaviour characteristics of the over-50 market, while also emphasising case studies of organisations which have moulded a new, modern strategy to reach older consumers. Gathering additional information regarding the demographic characteristics of 50+ consumers whilst uncovering various psychological aspects of over-50 lifestyles and beliefs will further add substance to the review of secondary resource materials. Psychological texts, journals and reliable web-based resources will fulfil this aspect of the research project. Most important to the study is the creation of a primary research study, targeted at the over-50 consumer. A series of interviews and consumer surveys will be constructed for this purpose. The primary study will take both a quantitative research approach as well as qualitative, in order to maximise the research results. Henslin (2003) offers that quantitative research methods consists of research where precise measurements are called for, generally involving statistical or numerical analysis. Henslin further proposes qualitative research methods as research emphasising observation, interpretation, and descriptions of individual behaviours, often involving subjective analyses. Having illustrated the qualitative and quantitative approaches, both research methods are involved in the administration of the interview and survey instruments. This researcher will create a variety of unstructured interviews, utilising open-ended questions, which will be targeted at a generic sample of approximately 10-12 over-50 consumers. Each interview will be constructed based on the results of the secondary review of literature, and designed so as to support or refute the theoretical evidence gathered through secondary research. Constructing the interview instruments with open-ended questions will offer the sample an opportunity to freely comment on their opinions of today's marketing and current products. The interviews will be conducted, as deemed appropriate, at local retirement communities, nursing homes, or any other facility where over-50 consumers can be targeted in large numbers and where approval to conduct the research can be granted by appropriate authorities. The consumer survey will also be constructed to satisfy the research objectives. A random sample of 100-150 over-50 consumers will be targeted, with the survey asking questions relevant to the concepts discussed in the review of secondary literature. This survey will be conducted in a public venue, so as to gather the opinions of a much wider demographic group (income level, social status, careers, etc.). All of the data gathered from the survey will be plotted and analysed using an informal statistical analysis approach (quantitative) to determine whether correlations or trends exist which point toward a widely-held belief about aging, consumption, and advertising. This will be accomplished through basic software and spreadsheet packages such as Microsoft Office and point-plotting graphical analyses. To avoid corruption of the research data, and to ensure data results reliability, no additional fieldworkers will be required to carry out the primary study or will be involved in the data analysis portion. The validity of the research data (i.e. survey, questionnaire) will depend upon the credibility of the theoretical literature used to construct the instruments, therefore all secondary materials utilised in the study will come from reputable individuals in the field of marketing or those with ample experience in psychology, product advertising, and the aging consumer. Section 5: Ethical Considerations There are minimal ethical aspects requiring consideration in this research study. A consent form will be constructed which will indicate that all consumer responses will be held strictly anonymous and utilised only for academic research purposes. It will be clearly illustrated in the formalised consent form that no monetary reward will be administered as compensation for participation. One ethical consideration involves bias and stereotyping issues regarding the aged, especially in light of new UK legislation forbidding discrimination against the older worker. All of the research instruments will be carefully constructed to avoid negative opinions from the sample populations and to satisfy ethical obligations regarding the proper utilisation of terms related to aging citizens. The guidelines for ethical research activities will be explored prior to the administration of the primary study. Section 6: Research Timeline Review of Secondary Literature: Six to Eight Weeks Research Instrument Construction: One to Two Weeks Primary Study Administration: Four to Six Weeks Data Analyses: Three to Four Weeks Presenting Study Results: Four to Six Weeks This research project requires a total of approximately 22 weeks of both secondary and primary research, as well as allowing ample time to construct the actual dissertation. This researcher has allowed +/- 2 weeks for any complications or setbacks incurred during the administration of the consumer interviews and surveys. References Andruss, Paula. (2005). 'The Golden Age'. Marketing News. 39(6), 21. Brand Strategy. (2006). 'Silver Surfers: Golden Opportunities for Brands'. London, p.44. Crawford, Matt. (2006). 'Over 50s Marketing: To Turn the New Grey into Gold'. http://www.iqpc.co.uk/binary-data/IQPC_CONFEVENT/pdf_file/10643.pdf. 50+ Power. (2004). 'Marketing to the $28 Trillion Baby Boomer'. http://216.109.125.130/search/cache?p=%22advertising%22+%22over+50%22+ demographics%3A.uk&ei=UTF-8&fr=yfp-t501&x=wrt&u=www.iqpc.co.uk/binary-data/IQPC_CONFEVENT/pdf_file/5234.pdf&w=advertising+%22over+50%22+demographics+.uk&d=BqoM3xIeOgO5&icp=1&.intl=us Gordon-Saker, John. (2003). 'Ageing Demographics'. Fiftyon.co.uk. http://www.fiftyon.co.uk/Newsletters/25thApril2003.asp Henslin, James M. (2003). Sociology: A Down to Earth Approach. 6th ed. A & B Publishing: 137,144. Marketing Week. (2006). 'Interactive: Targeting the silver surfers' pot of gold'. London, p.34. Norton, Leslie P. (2007). 'The Last Laugh'. Barron's. New York, NY. 87(9), 28-29. Pak, C. & Kambil, A. (2006). 'Over 50 and ready to shop: serving the aging consumer'. The Journal of Business Strategy. 27(6), 18. Tenser, James. (2006). 'New Old Won't Go Quietly'. Advertising Age. 77(1), 20-21. Van Riper, Tom. (2006). 'Sell Old!' Forbes.com. http://www.forbes.com/2006/03/03/marketing-seniors-retirement-cx_tvr_0303bookreview.html Read More