The holidays are upon us and there is no better time of year for gathering with friends and family, attending parties, spreading goodwill, and of course, shopping. The stores are crowded, the digital shopping carts are full, and brands and retailers are lining up to position their latest goods for this holiday season.
All this giving comes with a price. And who is spending all the money? If you were a child in the 70s or 80s, born between 1965 and 1980, it’s likely your concept of gift-giving has changed quite dramatically over the years. In addition to all the changes Gen X has witnessed, this group is now in the power position when it comes to spending and brands are eager to target this group of power buyers as they sort through their lists this holiday season.
65% of Gen Xers are in the medium to high-income brackets and 72% are married. In 2021, this group spent the most of any generation at an average of $83,357. They focused their spending on categories including housing, entertainment, education, apparel and services, alcohol, and food.
While they may be in a position to spend more dollars, Gen X is generally more concerned about important factors that may affect their bank accounts. This “Sandwich Generation” is still caring for their children while also looking after their aging parents. These financial burdens are more likely to fall on this generation than any other. This translates to budget concerns and more cautious spending.
With all these responsibilities and retirement planning, Gen X is generally more worried about financial budget issues than any other generation. Their pessimism around the country’s economy has increased by 30%, while at the same time, their financial responsibility has increased by 37%. This poses a challenge for marketers trying to convince this key group of buyers to spend.
This group is also challenged with the most student loan debt of any generation with an average of $44,364 per person. With the resumption of some student loan payments in October, 11.3% of Gen X’s disposable income may be impacted this year by student loan payments.
Given all these challenges and 46% of Gen X describing themselves as price-conscious, marketers need to understand what messaging resonates with this group to unlock the power of their wallets and create loyalty within a conservative segment of our population.
It’s more important than ever to use an omnichannel approach, dissect your targeting methodologies with a fine-tooth comb, and work with a partner you can trust to navigate reaching this audience together.
Marketers have more options than ever before to target Gen X and Brkthru is here to help. Reach out today to start a conversation. We’re all ears. info@brkthru.com