Why IFAs, Hotels & Car Dealers Should Market To Affluent Over 50s
Are the affluent over 50s important to your business when targeting new prospects?
See how the reasons for IFAs, Hotels and Car Dealers resonate for your business.
INDEPENDENT FINANCIAL ADVISER (IFA)
You are an Independent Financial Adviser.
You provide advice and expertise to help affluent individuals make decisions with often complex financial affairs across pensions, investments, mortgages, tax planning and protection.
Your customers tend to be older and have accumulated assets. You have noted that they will accept advice from authoritative people. They are conditioned and accustomed to accept authority. You have learnt over the years that patience, an absence of brevity (as the affluent over 50s have a good attention span), respectfulness of them and the things they hold dear, a touch of “good guilt” where they return favours, based on information first marketing including free financial advice seminars, in the form of multiple referrals.
The affluent over 50s tend to be the IFA’s most valuable customers, from the perspective of current and future sales revenue.
UPMARKET LUXURY HOTELS
You are an upmarket luxury hotel.
You have profiled your customer database and found that your best customers are age 50 and above. They come back to the hotel regularly. They are less price sensitive. They may not actually live in the most valuable of properties, as many will be empty nesters, who have chosen to move to a smaller property.
Yet their desire to actively experience the excitements and luxuries of an elegant hotel are not downgraded.Boomers they may be, but they see old age kicking in at 80, and most have at least a 15-year gap between their chronological age and the age they identify with. Many will ‘act’ younger than their years in your hotel.The affluent are conscientious in their spending.
Hotels are in pole position to capitalise on a major driver of affluent over 50 happiness.
By delivering memorable experiences and significance to their lives. The quality and décor of the room is a hygiene factor, it is the absence of stress (a literal sales killer for the over 50s), attention to detail, surprising and extra-mile customer service and the accompanying experiences such as spa and wellness treatments offered by the hotel.
Hotels understand the over 50s affluent have a higher level of expectation, and will arrive a much more informed customer, from the extensive points of comparison available to them. The personalised welcome, customer service imbued with passion, intuition and respect will repay the effort, as the over 50s affluent make excellent referrers and frequent return guests.
You are an upmarket car dealership.
The dealership knows that more than 50% of its customers are affluent and over 50. The overwhelming number are homeowners. The majority live in mid-range homes.
The car dealership has good reason for attracting people to events. Such as clearance events, where old stock is moved on at more favourable prices. The dealerships almost understandably measure the number of attendees, rather than what would be far smarter, which is the number of sales. Often car dealers attract people who mirror their customer database, as opposed to people who actually buy at the events they put on.The affluent over 50s are heavily represented in the category, buy at a clearance event.
The face to face experience of dealing with a respectful, informed, experienced executive is more likely to be appreciated by the over 50s. They better appreciate expertise, quality, good service and good results. Not surprisingly, by focusing on this demographic, the upmarket car dealership can sell more cars. And get more referrals on the back of those sales.
Here are 5 tips for IFAs, Hotels and Car Dealerships to attract their best customers
Commit to attracting the affluent over 50s (strategy)
#1 Follow the money.
Make the decision to attract the affluent over 50s customer. The over 50s account for 70% of wealth, covering financial, pension, property and disposable income. So if you are targeting the under 50s, you are playing for a minority of spend capability.
#2 Understand their influences.
Bear in mind, that the over 50s will be planning to cover off the commitments of their offspring, such as paying down student debt, getting onto the property ladder and making investments into assets that can be passed on without the crippling effect of tax. The decisions of this group of people, how they save, invest and spend their money makes a huge difference to the economy and it ought to for your business too.
Take action (tactics)
#3 Profile your best performing customers.
Take a good look at those who are frequent customers and buy on key occasions. You will not be surprised to see the affluent over 50s represent a major opportunity for you. Talk to Finely Fettled to get a free customer profile.
#4 Connect to them where they actually hang out.
There are two media which stand out from others when you wish to attract an over 50s affluent audience. The print media and direct mail. Newspapers and subscriber-to magazines rank highest in trust with the over 50s, with online media and email the lowest. There are social media opportunities, but DO NOT kid yourself. The majority of the affluent over 50s prefer contact via direct mail initially. It is possible to connect to more of the people you want in this way.
I am contacted regularly by companies who wish to telephone or email the affluent over 50s. Privacy and Electronic Communications responsibilities on data has massively limited the availability of such data. Media should be bought on the basis of return on investment, not cost alone.
Despite large numbers of over 50s regularly taking newspapers, with at least one national quality with an average subscriber age in the 70s, the importance of direct communication to complement print media is essential.
#5 Give first offline.
Affluent over 50s are typically well-read and informed. Information gathering is part of the DNA. To attract them, you must have properly designed and written information that speaks to their specific needs, wants and contentment.Bear in mind that they do not all ‘live online’. They actually welcome physical mail.
Why do so many successful information marketers turn to offline media to make their business models optimal? Even Google uses direct mail to promote Adwords.Information-first is the mantra here. Sending a DVD, an audio CD, a buying guide, or a book will set you apart from the flood of offers pouring into unread inboxes.Direct mail is an ideal medium to attract over 50s affluent people, especially when you target by information first.
If you would like to arrange a free 30-minute consultation with Graham Arrowsmith, founder of the affluent over 50s marketing agency, please visit Work With Me.