Understanding the Echo Boomers;
Who They Are and How You Can Reach This Young, Affluent Market Segment

Who are echo boomers? They are children between the ages of 2 and 19 born to America's largest and wealthiest market segment, baby boomers. The echo generation is expected to create new surges of change in markets, attitudes and society over most of the twenty-first century. America is just now experiencing the first ripple of this huge wave.

Echo boomers make up 27.5 percent of the US population. They, and their annual $100 billion purchasing power, can not be ignored.

Marketing to echo boomers is not as simple as appealing to their parents. First, these children have their own money to spend. Second, since their experiences and attitudes are considerably different, the same messages will not capture them.

The key word that best describes echo boomers is diversity. In comparison, baby boomers are relatively uniform in race, living arrangements and socio-economic classes.

Echo boomers are the first generation to seriously question all traditional racial categories. There is more interaction among races at school and socially. The minority teen culture shows incredible influence on white teens' choices in music, fashion, and language. Two-thirds of this generation are white; one out of 35 are from mixed-race backgrounds.

One-parent homes are more common today. A significant number of echo boomers (27 percent) have only one parent as compared to 12 percent of children in 1975. A 1993 study shows that 31 percent of one-parent families have never married.

Other serious issues the echo boomer faces are AIDS, crime and violence.

In a reversal of roles, echo boomer males are likely to color their hair and wear jewelry. Females will try their hand at hardware as they carry out their own odd jobs around their home or apartment.

Unlike prior generations, female children are now urged to have careers and become self-reliant. The notion that marriage is the ultimate goal for a girl has faded away.

As in prior generations, females are slaves to fashion. This also applies to boys, but to a lesser extent. Both genders feel pressure to dress a certain way for acceptance within their peer groups. The short-lived fashion fads constantly challenge these children and their parents' pocketbooks.

Race and gender appear to be less of a divisive factor than technology. One-half of echo boomers with college-educated parents have a personal computer. Kids in families where the parent's education level is lower have a reduced chance (17 percent) of owning this educational tool.

Teens (ages 12 - 19) in this market segment have surprisingly high purchasing power. These children not only have their own money to spend, they also influence purchases made by their parents.

A report by Teenage Research Unlimited shows that boys spend $44 of their own money per week; girls spend $34 per week. This totals about $63 billion per year. In one-parent families or families where both parents work, the teens are responsible for much of the family shopping ($36 billion per year).

Teens are a powerful marketplace force. Younger children look up to these trendsetters for fashion, and adults watch them to determine what's "in."

The population of teens is now rising steadily after 16 years of decline. In 1992 there were 29 million 12 - 19 year olds; in 2010, there will be 35 million.

Teens are very knowledgeable about topics such as music, entertainment, fashion and personal care products. Therefore, parents will seek their teens' counsel before making a purchase in one of these categories.

Teens are not shy about stating what they want as gifts. Parents know if they don't buy the right brand, the item will probably be swept under the bed or remain in the closet. This understanding encourages parents to be brand-specific.

Baby boomers who were part of the anti-establishment movement are surprised to find that their children listen to them and consider them cool. These youngsters also enjoy the music that was popular when their parents were growing up.

Advertisers must be careful to sell to the self-perception of echo boomers. This means that advertisers must resist being hampered by their own views formed while growing up during previous generations. It may feel natural to think, "when I was 14, I wanted...." However, effective campaigns must appeal to echo boomers' specific attitudes and preferences.

Marketers must understand that echo boomers are made up of subgroups with varied tastes. A campaign can be designed with this in mind. For example, when shooting a commercial, advertisers will want to produce similar versions using different music such as rap, country-western and alternative rock.

Previous advertising campaigns show that using celebrities to sell a brand is only marginally effective with this generation.

Echo boomers may reject advertisements that sell a product or service to a specific gender.

Campaigns should be designed with the knowledge that teens spend money to have fun. Shopping is an experience, not an errand. It is an event, not a chore. These teens understand and value quality; they see quality as cool and vice versa.

Some forward thinking companies actively market adult brands to teens. Both Discover Card and Coca-Cola have aggressive marketing programs on college campuses across the country. These and other businesses such as automobile manufacturers and newspapers expect a significant pay-off when these echo boomers enter adulthood.

Print and broadcast advertising are currently the best way to reach this market. However, as more homes and schools hook up to the Internet, businesses should periodically review online opportunities for reaching this young technology-savvy generation.

Echo boomers are an attractive market segment. Businesses eager to grab a piece of this market must recognize and act on the knowledge that echo boomers' attitudes and preferences are vastly different from previous generations. They must also be ready to customize marketing efforts to match the assorted tastes found within this growing, affluent segment.
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© Saurage Research 1999