Boston area consumers spent more than $100.9 billion with retailers last year. The National Retail Federation forecasts 4.1% more will be spent this year.
Who are the shoppers that will be spending all this money?
According to Nielsen, 51.7% of retail dollars are spent by Boston area consumers over the age of 50. This may surprise many small business owners because older consumers comprise only 41% of the area's adult population.
These older consumers account for the majority of spending in almost every retail category. This includes furniture, cars, pet supplies, fast food, and electronics.
To earn a share of these massive dollars spent by these older consumers requires Boston small business owners to advertise.
“Think you have a great product?” asks the U.S. Small Business Administration. “Unfortunately, no one’s going to know about it unless you advertise.”
The SBA goes on to say, “Advertising, if done correctly, can do wonders for your product sales, and you know what that means: more revenue and more success for your business."
"The good news is that consumers over the age 50 are not the needle in the haystack, they are the haystack; a large and obvious group of consumers with well-established media habits," says a study by Nielsen.
No other medium reaches as many older consumers in New England than advertising on local radio
Every week, according to Nielsen, 88% of adults over the age of 50 tuned-in to a Boston radio station. This is significantly more than watched local TV, read a newspaper, used social media, or streamed audio from Pandora and Spotify.
Some Boston small business owners may be hesitant to invest in advertising targeted to older consumers. There are several myths that exist about the buying habits of this generation. Most of these preconceptions are wrong.
For instance, despite contrary stereotypes, Nielsen research reveals that among older consumers:
- Their brand loyalty levels are the same as other age groups.
- They are no more likely to compare prices or use coupons than other consumers
Nielsen goes on to say that older consumers "are simply too valuable to ignore. There is much to be gained by prioritizing them, and much to be lost by passing them up."
More Advice For Boston Small Business Owners
- Retail Boom: How Your Boston Small Business Can Benefit
- Advertising On Boston Television vs. Local Radio
- Advertise In Boston: Reaching Millennial Parents
- Why Used Car Dealers In Boston Should Advertise Now
- Boston Small Business Owners Ask: How Do Consumers Spend Their Money?
- Advertising In Boston: Reach Mother's Day Shoppers
- Smart Speakers: What Boston Consumers Are Listening To