MARKETING
How Each Generation Shops in 2022 [New Data from Our State of Consumer Trends Report]
With new marketing channels and trends constantly popping up, it can be difficult to know where your target audience actually is.
Not only do you need to know where they spend their time, but also how they like to shop –- and that largely depends on their age group.
To help you determine where to meet audiences where they are, we surveyed thousands of US consumers of all generations across to learn about their shopping habits, media consumption, and the latest trends they’re following.
While you’ll find even more data in our State of Consumer Trends Report, we wanted to give our readers a deep dive into each generations and the unique themes that make them different.
So let’s take a look at where and how each generation likes to shop — and what really impacts their purchasing decisions.
We’ll get started with a quick breakdown of the shopping habits of each generation and call out the biggest differences and similarities between them, then dive deeper into each age group.
For those in a rush, we’ve put a quick generation-by-generation overview below with links to the deep dive of each age group. To jump to a broader side-by-side look at how all generations handle each stage of product discovery and purchases differently. click here to jump to our comparison section.
Shopping Habits Overview
Gen Z Overview (ages 18-24)
- Social media, YouTube ads, and internet search are the top ways Gen Z discover new products
- Instagram, YouTube, and TikTok are the top social media apps among Gen Z
- 33% of Gen Z have bought a product based on an influencer’s recommendation in the past three months, and 28% have bought through an in-app shop
- 1 in 2 Gen Zers want companies to take a stance on social issues, specifically racial justice, LGBTQ+ rights, gender inequality, and climate change. When companies advocate for these issues, it has a strong impact on Gen Z purchase decisions
- Ads on streaming services beat cable TV for reaching Gen Z. Retail discovery is still relevant, but less frequent than digital channels
Jump to our Gen Z deep dive >>
Millennials Overview (ages 25-35)
- Social media, internet search, and YouTube ads are also the top ways Millennials discover new products
- Facebook, YouTube, and Instagram are the top social media apps among Millennials
- 28% of Millennials have bought a product through an in-app shop in the past three months and 26% have bought based on an influencer’s recommendation
- 41% of Millennials want companies to take a stance on social issues, specifically racial justice, income inequality, climate change, affordable healthcare, and LGBTQ+ rights. When companies advocate for these issues, it has a strong impact on Millennial purchase decisions
- Ads on cable TV beat streaming services for reaching Millennials by a small margin. Retail discovery is still relevant but less frequent than digital channels
Jump to our Millennial deep dive >>
Gen X Overview (ages 35-54)
- Gen X prefers to discover new products through search, television ads, and in retail stores
- Gen X discovers new products on social media more frequently than any other channel, even though it isn’t preferred
- 90% of Gen X use social media – Facebook, YouTube, and Instagram are their favorite apps
- 18% of Gen X have bought a product through an in-app shop in the past three months. The same number bought based on an influencer’s recommendation in that period
- 35% of Gen Xers say companies should take a stance on social issues, specifically climate change, affordable healthcare, racial justice, and income inequality. 38% say companies shouldn’t engage with social issues, and 26% aren’t sure
Jump to our Gen X deep dive >>
Boomer Overview (ages 55+)
- TV ads, internet search, and retail stores are the top ways Boomers discover new products
- Social media falls flat for boomers – just 17% have discovered a product on it in the past three months, and only 4% have purchased a product on a social app in that time
- About half of boomers say companies should not take a stance on social issues. When it comes to influencing their purchase decisions, social issues simply have no impact on a majority of Boomers.
Jump to our Baby Boomer deep dive >>
A Generational Comparison of Today’s Shopping Trends [Side-by-Side Data]
Where Do Consumers Discover Products?
Social media, internet search, and Youtube ads are key for reaching Gen Z and Millennials, while TV, search, and retail are favored by Gen X and Boomers.
As far as social media, Boomers, Millennials, and Gen X all use Facebook more than any other app.
Meanwhile, Gen Z is all about YouTube, Instagram, and TikTok. Not only is Gen Z communicating with friends and being entertained, but they’re also discovering (and buying) products on social more than any other generation.
What Drives Consumers to Buy Products?
When it comes to making purchase decisions, all generations are highly influenced by price, quality, and product reviews. Gen Z, Millennials, and Gen X also value brands that have active communities around them and a social media presence. Additionally, whether a percentage of the proceeds from their purchase will be donated to charity is highly important to Gen Z.
Where Do Consumers Like to Buy Products?
All generations favor buying products in-person at a store over any other channel, but this preference decreases significantly with age. Buying through online retailers like Amazon and directly from a company’s website is also popular. Gen Z, Millennials, and Gen X are most interested in buying through social media and from a company’s mobile app.
If you’re ready for more of the insights you need to reach your target audience, let’s take a deep dive into the shopping habits of today’s consumers, as well as how each generation compares, based on data from our 2022 Consumer Trends Survey of over 1,000 consumers in the U.S.
Shopping Trends by Generation (A Detailed, Data-Driven Breakdown)
Gen Z Shopping Habits 2022 (ages 18-24)
So where is Gen Z discovering new products? Let’s start with the digital elephant in the room – social media.
Social Media Drives Gen Z Product Discovery
57% of Gen Z has discovered new products on social media in the past three months, and 71% of them say it’s where they discover products most often.
Social media is also the #1 way Gen Z prefers to discover new products, according to 38% of those age 18-24.
All of this really isn’t surprising considering 93% of Gen Z use social media, for an average of 4 hours and 20 minutes per day.
You may also be wondering which platforms they’re using, so let’s take a glance:
YouTube, Instagram, and TikTok are the top three platforms by usage in the past three months. Over half of Gen Z have used Snapchat and Facebook in the past three months, and 48% have used Twitter.
When it comes to the social media apps Gen Z uses most, TikTok, IG, and YouTube come out on top again, but in a different order.
TikTok is used most, likely due to its focus on short-form videos and powerful algorithm, making it hard to put down.
But TikTok and Instagram are only the most used social media apps among Gen Z women, while men spend much more time on YouTube.
Lastly, we asked Gen Z which social media app is their favorite.
While TikTok is used most, Instagram is the favorite social media app among Gen Z as a whole.
But there are so many ways to interact with Gen Z on social media that it’s more important than ever to use a format that captures their attention and makes your brand stand out.
We asked how Gen Z social media users prefer to discover new products, and here’s what we found:
Our research from earlier this year shows that short-form video and influencer marketing are the top marketing trends of 2022, so the fact that Gen Z is fully embracing these channels to discover products isn’t surprising.
41% of Gen Z say they prefer to discover new products on social media through short-form videos, and 1 in 4 prefer to find out about products from influencers.
On top of that, 33% of Gen Z have made a purchase based on an influencer’s recommendation in the past three months, the highest of any age group.
The signs to invest in these channels couldn’t be clearer. Did I mention that they also have the highest ROI of any marketing trend? Another powerful trend we identified in our Social Media Trends 2022 research is selling directly on social media.
Considering 28% of Gen Z has bought a product on social media directly on the app in the past three months and 29% prefer to discover new products through social media shops, there’s never been a better time to get started.
Our recent Instagram Marketing Report explains why the app presents such an incredible opportunity for social selling, and we even published a data-backed guide on the top tools and strategies for selling on Instagram.
YouTube Ads Trump Social Media For Reaching Gen Z Men
46% of Gen Z has found new products through YouTube Ads in the past three months, and 56% say it’s where they discover products most often.
On top of that, 34% of Gen Zers say YouTube ads are their preferred way to discover new products.
Overall, YouTube Ads follow social media as the 2nd best way to reach Gen Z. If you can’t leverage both, here’s an insight to help you decide which to use:
Gen Z women prefer to discover new products on social media, while discovering products through YouTube Ads is strongly preferred by young men.
SEO Still Matters For Gen Z
42% of Gen Z has found new products by searching the web in the past few months, and 50% say it’s where they find products most often.
26% of Gen Z say searching the internet is their preferred way of discovering new products, but how exactly is Gen Z searching online? A whopping 74% of Gen Z use their mobile phones most often when shopping online, while just 15% use a computer.
Additionally, 72% of Gen Z use their phones most often when looking up a question on a search engine.
This means you should be optimizing your website to be mobile-first to offer the best experience to your users. To learn more about the top SEO strategies, check out our Web Traffic & Analytics Report.
Retail Discovery is Less Frequent, But Still Relevant For Gen Z
While 36% of Gen Z has discovered new products in retail stores in the past three months, when we asked where they discover new products most often, it came in at #8.
So Gen Z is still visiting retail stores, but they’re discovering products through online sources much more often.
Does that mean hope is lost for retail? Not quite. 19% of Gen Z still say it’s their preferred way to discover new products, behind social media, YouTube ads, and searching the web.
Ads on Streaming Services Beat Cable TV for Gen Z
23% of Gen Z has discovered new products on film/TV show streaming services in the past three months, and 33% of them say they discover new products through streaming most often.
19% of Gen Z have also discovered new products on music streaming services like Spotify, with 55% of them saying that music streaming is where they discover new products most often.
Does that mean cable TV ads are lost on Gen Z? Considering less than 1 in 5 have discovered a new product through their television in the past three months, it isn’t the best channel to reach those age 18-24 (though still very relevant for older age groups).
1 in 2 Gen Zers Say Companies Should Take a Stance On Social Issues
Gen Z is known to be vocal about the causes they believe in, but does that tenacity for the environment and social justice translate to their purchase decisions? Let’s take a look.
We asked whether companies should take a stance on social issues, and 50% of Gen Z say they should, the highest of any generation.
We then asked those who want companies to take a stance on social issues which issues are most important to them. Racial justice was by far the top issue for Gen Z (69%), followed by LGBTQ+ rights (50%), gender inequality (46%), and climate change (42%).
The burning question is whether these sentiments translate to purchase decisions, and we found that they have a significant influence on Gen Z, dwindling slowly with each generation.
- 60% of Gen Z have chosen a product based on it being owned by a small business in the past three months
- 50% of Gen Z have chosen a product based on the brand’s commitment to diversity/inclusion in the past three months
- 49% of Gen Z have chosen a product based on the brand being owned by a person of color in the past three months.
- 43% of Gen Z have chosen a product based on the brand being woman-owned in the past three months.
- 30% of Gen Z have chosen a product based on the brand being owned by a member of the LGBTQ community in the past three months.
Not only that, but brands taking a stance on these issues also makes a significant portion of Gen Zs more likely to purchase. We asked all the Gen Zs in our survey how the following attributes impact their purchase decisions, if at all, using a 5-point scale from much less likely to much more likely. Here’s what they said:
Below are just a few of the factors that impact Gen Z purchase decisions, aside from the product itself:
- Corporate Trust: 84% of Gen Z say they’re more likely to buy from a company that treats its employees well, while 83% say they’re more likely to buy from a company that they can trust with their data
- Economic and/or Environmental Impact: 60% of Gen Z say they’re more likely to buy from a brand actively trying to reduce its environmental impact, while 46% are more likely to purchase products from small businesses.
- High DI&B Standards: 53% of Gen Z say they’re more likely to purchase based on a brand’s commitment to diversity/inclusion, while 51% say a brand advocating for racial justice makes them more likely to become a customer. Additionally, 39% of Gen Z say they’re more likely to buy products from brands owned by a person of color.
- Gender and LGBTQ+ Advocacy: 42% of Gen Z say brands that advocate for gender equality are more likely to get their purchases, while 37% of Gen Z are more likely to buy from brands that advocate for LGTBTQ+ rights.
While Gen Z is strongly influenced by Environmental, Social, and Governance (or ESG) initiatives, there are other factors in their purchase decisions that are even more important – let’s take a look.
What Drives Gen Z Purchase Decisions?
The top factors in Gen Z’s purchase decisions are unsurprising, with price, quality, and look/feel taking the lead.
But when we ask Gen Z to choose the three most important factors in their purchase decision, we find some interesting insights. Take a look at the top 8 most important factors when Gen Z is forced to choose just three of those they consider:
While price and quality still lead, we see that donations to charity, an active community, recommendations from influencers, and how brands treat their employees rise to the top.
Granted, these are nowhere near the top factors in this group’s purchase decisions, but for those who consider them, they are critical.
One other thing to note is that recommendations from influencers drive Gen Z purchase decisions even more than recommendations from their friends and family (55% vs. 24%, respectively) – yet another reason to leverage influencer marketing.
How Does Gen Z Prefer to Purchase Products?
When it comes to making purchases, 55% of Gen Zers still prefer to buy things in-store (the lowest of any generation), but online channels are close behind.
One in two Gen Zers prefer to make purchases through online retailers like Amazon, while 37% like to go directly to a company’s website.
23% of Gen Z prefers to buy through social media apps, while 22% favor going through a company’s mobile app.
How Does Gen Z Like To Pay?
47% of Gen Z has purchased a subscription for a physical product in the past three months, the highest of any generation.
But when we asked which payment model they prefer, Gen Z still largely favors buying a product for full price as needed.
And that wraps it up for Gen Z! Now we can talk about their slightly older, yet noticeably different counterparts, Millennials.
Millennial Shopping Habits 2022 (ages 25-34)
Social Media Drives Millennial Product Discovery
50% of Millennials have discovered new products on social media in the past three months, and 59% of them say it’s where they discover new products most often.
Social media is also the primary way Millennials prefer to discover new products, according to 33% of those 25-34.
Similar to Gen Z, 90% of Millennials use social media, for an average of 4 hours per day, slightly lower than that of Gen Z.
As far as the platforms they use, Facebook, YouTube, and Instagram are the top platforms by usage in the past three months. Over half of Millennials have used TikTok in the past three months, and 44% have used Snapchat.
When it comes to the social media apps Millennials use most, Facebook, YouTube, and Instagram lead the way.
But just like with Gen Z, the app used most differs sharply by gender. Millennial women use Facebook the most, followed by Instagram, YouTube, and TikTok. Meanwhile, Millennial men use YouTube the most, followed by Facebook, Instagram, and TikTok fourth.
We also asked Millennials which social media platform is their favorite.
When it comes to Millennials’ favorite social media app, Facebook stays at #1, but Instagram pulls ahead of YouTube.
Now that you know which platforms Millennials prefer to find new products on, here are the formats they want to see on social media, among those who use it.
Millennials favor feed posts, ads, and social media marketplaces when looking to discover new products.
They also turn to influencers and social media shops to discover and buy things:
Since Millennials tend to favor Facebook and Instagram, building a presence on these platforms is key. Setting up an online shop on both platforms and leveraging influencer marketing are among the highest ROI strategies you can use to get your products seen and bought.
Millennials Discover Products Through Search Slightly Less Than On Social
Discovering new products through searching the internet comes second to finding them on social media, but just by a hair.
For starters, search and social are tied at 50% for the top channel Millennials have discovered new products on in the past three months. And 58% of Millennials say they discover new products most often by searching the internet, just 1% behind social media.
When we asked what Millennials’ preferred channel for discovering new products is, 32% said searching the internet, also lagging behind social media by 1%.
So search is a leading channel for product discovery for Millennials, but how are they searching? 74% use their mobile phones most often, compared to just 16% who use a computer, highlighting the importance of optimizing your site to be mobile-first.
When it comes to online shopping, 68% of Millennials use their phones most often, while 22% use a computer.
YouTube Ads Is the Third-Best Way To Reach Millennials, Especially Men
44% of Millennials have found new products on YouTube in the past three months and 54% say they discover new products on YouTube the most.
On top of that, 23% of Millennials say YouTube is their preferred channel for discovering new products.
Overall, YouTube ads are the #3 best way to reach Millennials, but just like for Gen Z, when it comes to targeting Millennial men, YouTube rises to the top.
Retail Discovery is Less Frequent, But Still Relevant For Millennials
While 43% of Millennials have discovered new products in retail stores in the past three months, when we asked where they discover new products most often, retail comes in at number six.
Like Gen Z, Millennials are still going to retail stores, but they’re finding products online more often. 22% of them say they prefer finding new products in retail stores, behind social media, searching the internet, YouTube Ads, and word of mouth.
Cable TV is Slightly Better for Reaching Millennials than Streaming Services
36% of Millennials have discovered new products through TV/film streaming services in the past three months, and 34% of them say that’s where they discover new products most often. Additionally, 13% of Millennials say video streaming is how they prefer to discover new products.
When it comes to cable TV, 34% of millennials have discovered new products through their television in the past three months, and 47% of them say that’s where they discover new products most often, comfortably ahead of streaming services. Additionally, 18% of Millennials say cable TV is where they prefer to discover new products, beating video streaming services by 5%.
Advertising on music streaming services is also a great way to reach Millennials – 21% of them have discovered new products through music streaming services in the past three months. Of that group, 29% say that’s where they discover new products most often. Overall, 11% of Millennials say music streaming is how they prefer to discover new products.
ESG Matters To Millennials
41% of Millennials say companies should take a stance on social issues, down from 50% for Gen Z.
We also asked Millennials who want to see companies engaging in advocacy which social issues they want to see companies that a stance on most.
Among Millennials who want companies to advocate for social issues, 60% want to see brands take a stance on racial justice, followed by income inequality (52%), climate change (39%), affordable healthcare (37%), and LGBTQ+ rights (36%).
While racial justice is top of mind for both Gen Z and Millennials, Millennials put less of a priority on other identity-based issues like gender and sexual orientation. Instead, they prefer to see companies tackle issues like income inequality, climate change, and affordable healthcare.
This might be because Millennials are older and more likely to be part of the workforce than Gen Z, making them more conscious of wealth inequality and the cost of healthcare.
While a sizable group of Millennials wants to see companies taking a stand, do these sentiments actually affect their purchase decisions? Just like with Gen Z, the answer is yes.
- 59% of Millennials have chosen a product based on it being made by a small business in the past three months
- 49% of Millennials have chosen a product based on the brand’s commitment to diversity/inclusion in the past three months
- 47% of Millennials have chosen a product based on the brand being woman-owned in the past three months
- 42% of Millennials have chosen a product based on the brand being owned by a person of color in the past three months
- 27% of Millennials have chosen a product based on it being owned by a member of the LGBTQ+ community in the past three months
On a 5-point scale from much less likely to much more likely, we asked all Millennials in our survey how the following attributes impact their purchase decisions, if at all. Here’s what we found:
- Corporate Trust: 82% of Millennials are more likely to buy from a company that treats its employees well, and the same amount are more likely to buy from a company that they can trust with their data.
- Economic and/or Environmental Impact: 51% of Millennials are more likely to buy a product made by a small business, while 48% are more likely to buy from a company that actively tries to reduce its environmental impact
- High DI&B Standards: 47% of Millennials are more likely to purchase from a brand committed to diversity/inclusion, while 43% say a brand advocating for racial justice makes them more likely to become a customer. Additionally, 42% of Millennials say they’re more likely to buy products from brands owned by a person of color.
- Gender and LGBTQ+ Advocacy: 46% of Millennials say brands that advocate for gender equality are more likely to get their purchases, while 36% of Millennials are more likely to buy from brands that advocate for LGTBTQ+ rights.
While ESG strongly matters to Millennials, let’s see how these issues stack up against other factors in their purchase decisions.
What Drives Millennial Purchase Decisions?
Just as they do for all generations, price and quality are the top factors when it comes to Millennial purchase decisions.
Now let’s see which of these are most important to Millennials by forcing them to choose just three of the factors they consider.
Unsurprisingly, price, quality, reviews, and features remain in the lead. But a brand’s social media presence, whether a brand has an active community around it, whether the brand donates to charity, and recommendations from influencers rise.
While these aren’t even in the top 8 factors in Millennials’ purchase decisions, among those who consider them, they are highly important.
How Do Millennials Prefer to Purchase Products?
65% of Millennials prefer to buy products in-store, while 55% favor going through online retailers like Amazon. About 1 in 3 like to purchase directly from a company’s website.
When it comes to mobile apps, 21% of Millennials prefer purchasing through social media, and 1 in 5 like to go through a company’s mobile app.
How Do Millennials Like To Pay?
44% of Millennials have purchased a subscription for a physical product in the past three months, slightly below Gen Z, but comfortably higher than Gen X and far ahead of Boomers.
But when it comes to the payment model they prefer, 51% of Millennials say they favor buying products at full price when they need them.
On the other hand, Millennials are the most likely of any generation to prefer purchasing a product in payment installments (28%) and on a subscription basis (21%).
Now that we’ve covered Millennial purchase habits, let’s take a look at how Gen X likes to shop, which differs significantly from what we’ve seen so far from the younger age groups.
Gen X Shopping Habits 2022 (ages 35-54)
Gen X Prefers to Discover Products Through Online Search, With Other Channels Close Behind
One in three Gen X’s say they prefer to discover new products by searching the internet, and 58% say that search is how they discover new products most often – tying with social media as the channel they discover new products on most frequently.
Additionally, 40% of Gen X have discovered new products through online search in the past three months, placing it among the top discovery channels.
So we know Gen X is all about searching online, but which devices are they using most when shopping on the web?
Two thirds of Gen Xers say they use their mobile phones most for online shopping, while 21% are on a computer and 9% use a table most frequently. This is similar to what we saw with Gen Z and Millennials.
But unlike those younger age groups, where social media is the clear favorite channel for product discovery, Gen X likes to find items through a much wider range of channels, so let’s take a look at the others that have a meaningful impact on those age 35-54.
Television Ads Are Highly Relevant For Gen X
41% of Gen X have discovered new products through TV ads in the past three months, and 55% of them say that TV ads are where they discover products most often, slightly behind social media and searching the web.
Additionally, 30% of Gen X say they prefer to discover new products through TV ads, tying with retail stores for the second most popular channel.
Retail Has the Widest Reach For Gen X, But Digital Channels Are Seen Much More Frequently
Retail is the top channel Gen X has discovered new products in the past three months. But while 43% of Gen X found a new product in a brick and mortar store in that period, when it comes to the channels Gen X discovers new products on most often, retail is behind digital mediums like social media, internet search, TV ads, YouTube ads, and streaming ads.
Does that mean that retail is being forgotten by Gen X? Not exactly, because 30% of Gen X still prefer to discover new products in retail stores, tied at #2 with TV ads.
But it does signal that Gen X is shopping online more often than they visit retail stores, even if they prefer the latter. While this could be about convenience, a symptom of the pandemic, or a reflection of our increasingly digital world, it is important to reach Gen X virtually while keeping in mind their affinity for a real-life shopping experience.
Gen X Discovers Products On Social Most Often, Though It Isn’t Preferred
While Gen Z and Millennials discover products most often on social – and prefer it that way – Gen X is a bit more conflicted.
Social media is the number one channel Gen X discovers new products on the most, according to 58% of those 35-54. But at the same time, just 1 in 4 Gen Xers say they prefer to discover new products on social media, coming in at #5 on the list of their favored channels.
This can be explained by the fact that 90% of Gen X use social media. While 14% spend under an hour on it every day, the rest average 3 hours and 25 minutes of daily use. So Gen X is using a lot of social media and seeing ads on it more than anywhere else, but it isn’t the way they prefer to discover products.
Regardless, 42% of Gen X have discovered a product on social media in the past three months. On top of that, 18% of Gen X have bought a product directly in a social media app in that same period. So let’s take a look at which social media apps Gen X is using.
So Gen X is definitely on Facebook and YouTube, while a little over half are on Instagram, and 38% visited TikTok and Twitter in the past three months. Now let’s take a look at which social media platforms Gen X uses most:
Facebook and YouTube stay in the lead, a trend that continues when we look at Gen X’s favorite social media apps.
Now that we know which platforms are most popular among Gen X, here’s a look at how the age group prefers do discover new products on social media, among those who use it.
While the current trend for advertising to Gen Z and Millennials is “make content, not ads,” Gen X isn’t bothered by being advertised to more directly, preferring to see ads on social media. But since the trend is to make ads as enjoyable and un-intrusive as possible, you should still try to make your Gen X ad campaigns feel authentic, fun, and relatable, making for a better experience regardless of generation.
Coming in second, 39% of Gen X also favor discovering new products through social media marketplaces where purchases happen outside of the app. This reinforces the previous insight we uncovered about Gen X preferring real-life shopping experiences, even if they’re discovering products on social media.
Still, 35% of Gen X prefer to discover new products through in-app shops, the highest of any generation, but keep in mind this is only among social media users.
In the past three months, 18% of Gen X social media users have bought a product directly on a social media app, and the same amount made a purchase based on an influencer’s recommendation.
The impact of influencers is another major point of difference between Gen X and younger generations – just 14% of Gen X prefer discovering new products through influencers, compared to 25% and 28% for Gen Z and Millennials, respectively. But all three of these generations still look to influencers more than Boomers.
1 in 3 Gen Xers Say Companies Should Take a Stance On Social Issues
35% of those in Gen X say companies should take a stance on social issues, while 38% say they shouldn’t, and 26% aren’t sure.
We also asked those who want to see companies take a stance which social issues are most important for businesses to champion, here’s what they said:
Unlike Gen Z and Millennials, for whom racial justice topped the list by a large margin, Gen X is spread more evenly among their top issues. While Gen X wants to see companies take a stance on climate change more than any other issue, affordable healthcare, racial justice, and income inequality are all equally important to them.
Now let’s take a look at whether these ideals actually impact Gen X’s purchase decisions. Among all Gen Xers in our survey:
- 42% of Gen X have chosen a product based on it being made by a small business in the past three months
- 36% of Gen X have chosen a product based on it the brand’s commitment to diversity/inclusion in the past three months
- 28% of Gen X have chosen a product based on the brand being woman-owned in the past three months
- 28% of Gen X have chosen a product based on the brand being owned by a person of color in the past three months
- 21% of Gen X have chosen a product based on the brand being owned by a member of the LGBTQ+ community in the past three months
While these numbers are lower than what we’re seeing with Gen Z and Millennials, social factors are present factors in Gen X’s purchase decisions. We also asked all Gen Xers in our survey how the following attributes impact their purchase decisions if at all, using a 5-point scale from much less likely to much more likely.
- Corporate Trust: 82% of Gen X are more likely to buy from a company that they can trust with their data, while 81% are more likely to purchase from brands that treat their employees well.
- Economic and/or Environmental Impact: 43% of Gen X are more likely to buy a product made by a small business, and the same amount are more likely to buy from a business that actively tries to reduce its environmental impact
- Moderate DI&B Standards: 36% of Gen X are more likely to purchase from a brand committed to diversity/inclusion, and 36% say a brand advocating for racial justice makes them more likely to become a customer. Additionally, 32% of Gen X say they’re more likely to buy products from brands owned by a person of color.
- Gender and LGBTQ+ Advocacy: 36% of Gen X say brands that advocate for gender equality are more likely to get their purchases, while 31% of them are more likely to buy from brands that advocate for LGTBTQ+ rights.
We know that social issues are part of Gen X’s purchase decisions, but which other factors do they consider, and which are most important? Let’s take a look.
What Drives Gen X’s Purchase Decisions?
Unsurprisingly, price and quality are the top factors when it comes to Gen X purchase decisions.
But let’s take a look at which factors Gen X find most important when forced to choose just three of those they consider in their purchase decisions.
Whether a brand has an active community around it, a brand’s commitment to diversity and inclusion, and whether a brand donates a portion of its profits to charity all rise to the top. While these are nowhere near the top factors in Gen X’s purchase decisions, for those who consider them, they are highly important.
How Does Gen X Prefer to Purchase Products?
73% of Gen Xers prefer to purchase products in-store. 53% favor online retailers like Amazon, while about 1 in 4 like to go directly through a company’s website, and just 13% prefer to purchase products through social media apps.
How Does Gen X Like to Pay?
63% of Gen Xers prefer to purchase a product for full price as needed, while 27% favor payment installments, and just 10% like to use a subscription plan.
But at the same time, 37% of Gen X has purchased a subscription plan for a physical product in the past three months.
Now that you know all about Gen X purchase habits in 2022, let’s end with a deep dive into the shopping habits of Baby Boomers.
Baby Boomer Shopping Habits in 2022 (ages 55+)
Cable TV Drives Boomer Product Discovery
Boomers’ shopping habits stand out the most of any generation. While Gen X shares some similarities with Gen Z and Millennials in terms of frequently shopping on social media, Boomers are discovering products in their own way – through cable TV ads.
Over half of Boomers have discovered new products through television advertisements in the past three months, and 62% of them say their TV set is where they discover products most often. On top of that, 45% of Boomers say they prefer to discover new products through TV, the highest of any channel and far above any other generation.
Leveraging Online Search Is Second-Best For Reaching Boomers
Boomers fall back in line with younger generations when it comes to searching the internet, with 45% of them having discovered a new product through online search in the past three months.
59% of those who discover new products through online search say it’s the channel they find things on most often, coming in 2nd after TV ads. It is also the 2nd most preferred channel for product discovery among Boomers, with 40% of them saying they like to find items through online search more than anywhere else.
So which devices are Boomers using most often when shopping online?
Unlike all other generations, over half of Boomers use their computers most often for online shopping, while 1 in 4 use their phones more frequently.
Boomers Prefer Retail Shopping More Than Any Other Generation
44% of Boomers have discovered new products in retail stores in the past three months, and 38% of them say that’s where they find new items most often. Additionally, 37% of Boomers prefer discovering new products in online stores over any other channel.
Social Media Falls Flat For Boomer Product Discovery
When we ask Boomers about their preferred way to discover new products, just 10% say through social media, and it ranks behind all the channels we just mentioned, as well as word of mouth and direct mail (snail mail).
On top of that, just 17% of Boomers have discovered a product on social media in the past three months, and only 4% have purchased a product on a social app.
Regardless, two in three Boomers use social media. While about a third of them spend less than an hour on social media a day, the other 65% are spending over an hour on it daily.
But which apps are they using?
91% of Boomers who use social media are on Facebook, higher than any other generation. Over half use YouTube, and about one quarter are on Instagram, Pinterest, and Twitter. 63% of Boomers who use Facebook also say it’s the app they use the most, with YouTube coming in second at 21%.
We see the same picture when looking at the social media apps Boomers consider their favorite, with 58% of them choosing Facebook, followed by YouTube at 20%.
So you know where to find Boomers on social media, but what kind of content do they want to see when discovering new products?
Similar to Gen X, Boomers are perfectly content with being advertised to more directly, though the current trend of “making content, not ads” popular with Gen Z and Millennials is sure to improve their experience.
Boomers also favor buying through social media marketplaces where purchases happen outside of the app, showcasing their preference for real-life shopping experiences.
Unsurprisingly, Boomers are the least interested of any generation in discovering new products through in-app shops or through influencers, with 13% saying they prefer to find products this way
Almost Half of Boomers Say Companies Shouldn’t Take a Stance on Social Issues
Boomers are often considered the polar opposite of Gen Z, and in the case of whether companies should take a stance on social issues, the two groups are completely at odds. While 1 in 2 Gen Zers think companies should engage in advocacy, about half of Boomers say they shouldn’t.
Still, one in four Boomers want to see companies taking a stance on social issues, so let’s take a look at which ones they want to see businesses speak on the most.
The social issues Boomers want to see companies advocating for most are climate change, affordable healthcare, racial justice, and income inequality. This is right in line with the issues we saw were important to Gen X, though climate change is significantly more important to Boomers than any other generation.
Keep in mind the above is only among Boomers who want to see companies take a stance on social issues, which is just 25% of them. For the rest, social issues are either irrelevant or simply aren’t something they want to hear about when interacting with brands.
- 20% of Boomers have chosen a product based on it being made by a small business in the past three months
- 10% of Boomers have chosen a product based on the brand’s commitment to diversity/inclusion in the past three months
- 6% of Boomers have chosen a product based on the brand being woman-owned in the past three months
- 5% of Boomers have chosen a product based on the brand being owned by a person of color in the past three months
- 5% of Boomers have chosen a product based on the brand being owned by a member of the LGBTQ+ community in the past three months
While one in five Boomers have chosen a product based on the brand being a small business in the past three months, identity-based issues are clearly not resonating with Boomers.
But is that due to Boomers being averse to companies taking a stance on social issues, or is it because they simply don’t consider them in their purchase decisions?
To find out, we asked all Boomers in our survey how the following attributes impact their purchase decisions, if at all, using a 5-point scale from much less likely to much more likely.
When looking at issues related to identity, from the middle to the right side of the graph above, Boomers are overwhelmingly likely to say they have no impact on their purchase decision. A small percentage of Boomers say they are more likely to purchase when it comes to identity-related issues, while an even smaller group say they’re less likely to buy.
So it’s much less about whether they’re for or against a certain social cause – these issues are simply just not part of their purchase decisions, with a few exceptions.
It turns out Boomers are overwhelmingly more likely to buy from companies they trust with their data and those that treat their employees well. Boomers are also more likely to buy from companies that donate a portion of their profits, try to reduce their environmental impact, and are small businesses, though many also say these actions have no impact on their purchase decisions.
Since Boomers generally aren’t impacted by ESG initiatives, let’s dive into the factors they do consider in their purchase decisions and find out which are most important.
What Drives Boomers’ Purchase Decisions?
Price and quality are the most considered factors in Boomers’ purchase decisions, far above any other generation.
But which are the most important? Let’s take a look at what Boomers prioritize when forced to choose just three of the factors they consider when making purchases:
Here we see a similar picture as before, with the addition of the way a brand treats its employees and whether a product is a necessity or a luxury. While the latter is part of 29% of Boomers’ purchase decisions, just 6% of them take how a brand treats its employees into consideration, though it is highly important for those who do.
How Do Boomers Prefer to Purchase Products?
81% of boomers prefer to purchase products in-store. 53% favor online retailers like Amazon, and another 36% like to shop directly from a company’s website. Boomers also prefer using a company’s mobile app over ordering by phone or through social media.
How Do Boomers Like to Pay?
Boomers overwhelmingly prefer buying products at full price whenever they need them, according to 86% of those over age 55. 10% of Boomers prefer paying in installments, and just 4% favor a subscription model.
Still, 13% of Boomers have purchased a subscription plan for a physical product in the past three months:
Meeting Your Targets Where They Are
Now you have all the data you need to find and engage your target audience!
While this guide has what you need to know right now, consumer shopping habits change rapidly – that’s why we’ll be running this same survey every few months and reporting back on any trends you need to be aware of.
For an overall look at how general audiences are shopping, you can also check out this post on overall shopping trends from the same survey we note above.
And for even more data on the key consumer trends that could impact your marketing strategy in the next six months, check out our upcoming State of Consumer Trends Report and downloadable PDF.
In the meantime, check out our most recent research report below.
MARKETING
How to Use AI For a More Effective Social Media Strategy, According to Ross Simmonds
Welcome to Creator Columns, where we bring expert HubSpot Creator voices to the Blogs that inspire and help you grow better.
It’s the age of AI, and our job as marketers is to keep up.
My team at Foundation Marketing recently conducted an AI Marketing study surveying hundreds of marketers, and more than 84% of all leaders, managers, SEO experts, and specialists confirmed that they used AI in the workplace.
If you can overlook the fear-inducing headlines, this technology is making social media marketers more efficient and effective than ever. Translation: AI is good news for social media marketers.
In fact, I predict that the marketers not using AI in their workplace will be using it before the end of this year, and that number will move closer and closer to 100%.
Social media and AI are two of the most revolutionizing technologies of the last few decades. Social media has changed the way we live, and AI is changing the way we work.
So, I’m going to condense and share the data, research, tools, and strategies that the Foundation Marketing Team and I have been working on over the last year to help you better wield the collective power of AI and social media.
Let’s jump into it.
What’s the role of AI in social marketing strategy?
In a recent episode of my podcast, Create Like The Greats, we dove into some fascinating findings about the impact of AI on marketers and social media professionals. Take a listen here:
Let’s dive a bit deeper into the benefits of this technology:
Benefits of AI in Social Media Strategy
AI is to social media what a conductor is to an orchestra — it brings everything together with precision and purpose. The applications of AI in a social media strategy are vast, but the virtuosos are few who can wield its potential to its fullest.
AI to Conduct Customer Research
Imagine you’re a modern-day Indiana Jones, not dodging boulders or battling snakes, but rather navigating the vast, wild terrain of consumer preferences, trends, and feedback.
This is where AI thrives.
Using social media data, from posts on X to comments and shares, AI can take this information and turn it into insights surrounding your business and industry. Let’s say for example you’re a business that has 2,000 customer reviews on Google, Yelp, or a software review site like Capterra.
Leveraging AI you can now have all 2,000 of these customer reviews analyzed and summarized into an insightful report in a matter of minutes. You simply need to download all of them into a doc and then upload them to your favorite Generative Pre-trained Transformer (GPT) to get the insights and data you need.
But that’s not all.
You can become a Prompt Engineer and write ChatGPT asking it to help you better understand your audience. For example, if you’re trying to come up with a persona for people who enjoy marathons but also love kombucha you could write a prompt like this to ChatGPT:
The response that ChatGPT provided back is quite good:
Below this it went even deeper by including a lot of valuable customer research data:
- Demographics
- Psychographics
- Consumer behaviors
- Needs and preferences
And best of all…
It also included marketing recommendations.
The power of AI is unbelievable.
Social Media Content Using AI
AI’s helping hand can be unburdening for the creative spirit.
Instead of marketers having to come up with new copy every single month for posts, AI Social Caption generators are making it easier than ever to craft catchy status updates in the matter of seconds.
Tools like HubSpot make it as easy as clicking a button and telling the AI tool what you’re looking to create a post about:
The best part of these AI tools is that they’re not limited to one channel.
Your AI social media content assistant can help you with LinkedIn content, X content, Facebook content, and even the captions that support your post on Instagram.
It can also help you navigate hashtags:
With AI social media tools that generate content ideas or even write posts, it’s not about robots replacing humans. It’s about making sure that the human creators on your team are focused on what really matters — adding that irreplaceable human touch.
Enhanced Personalization
You know that feeling when a brand gets you, like, really gets you?
AI makes that possible through targeted content that’s tailored with a level of personalization you’d think was fortune-telling if the data didn’t paint a starker, more rational picture.
What do I mean?
Brands can engage more quickly with AI than ever before. In the early 2000s, a lot of brands spent millions of dollars to create social media listening rooms where they would hire social media managers to find and engage with any conversation happening online.
Thanks to AI, brands now have the ability to do this at scale with much fewer people all while still delivering quality engagement with the recipient.
Analytics and Insights
Tapping into AI to dissect the data gives you a CSI-like precision to figure out what works, what doesn’t, and what makes your audience tick. It’s the difference between guessing and knowing.
The best part about AI is that it can give you almost any expert at your fingertips.
If you run a report surrounding the results of your social media content strategy directly from a site like LinkedIn, AI can review the top posts you’ve shared and give you clear feedback on what type of content is performing, why you should create more of it, and what days of the week your content is performing best.
This type of insight that would typically take hours to understand.
Now …
Thanks to the power of AI you can upload a spreadsheet filled with rows and columns of data just to be met with a handful of valuable insights a few minutes later.
Improved Customer Service
Want 24/7 support for your customers?
It’s now possible without human touch.
Chatbots powered by AI are taking the lead on direct messaging experiences for brands on Facebook and other Meta properties to offer round-the-clock assistance.
The fact that AI can be trained on past customer queries and data to inform future queries and problems is a powerful development for social media managers.
Advertising on Social Media with AI
The majority of ad networks have used some variation of AI to manage their bidding system for years. Now, thanks to AI and its ability to be incorporated in more tools, brands are now able to use AI to create better and more interesting ad campaigns than ever before.
Brands can use AI to create images using tools like Midjourney and DALL-E in seconds.
Brands can use AI to create better copy for their social media ads.
Brands can use AI tools to support their bidding strategies.
The power of AI and social media is continuing to evolve daily and it’s not exclusively found in the organic side of the coin. Paid media on social media is being shaken up due to AI just the same.
How to Implement AI into Your Social Media Strategy
Ready to hit “Go” on your AI-powered social media revolution?
Don’t just start the engine and hope for the best. Remember the importance of building a strategy first. In this video, you can learn some of the most important factors ranging from (but not limited to) SMART goals and leveraging influencers in your day-to-day work:
The following seven steps are crucial to building a social media strategy:
- Identify Your AI and Social Media Goals
- Validate Your AI-Related Assumptions
- Conduct Persona and Audience Research
- Select the Right Social Channels
- Identify Key Metrics and KPIs
- Choose the Right AI Tools
- Evaluate and Refine Your Social Media and AI Strategy
Keep reading, roll up your sleeves, and follow this roadmap:
1. Identify Your AI and Social Media Goals
If you’re just dipping your toes into the AI sea, start by defining clear objectives.
Is it to boost engagement? Streamline your content creation? Or simply understand your audience better? It’s important that you spend time understanding what you want to achieve.
For example, say you’re a content marketing agency like Foundation and you’re trying to increase your presence on LinkedIn. The specificity of this goal will help you understand the initiatives you want to achieve and determine which AI tools could help you make that happen.
Are there AI tools that will help you create content more efficiently? Are there AI tools that will help you optimize LinkedIn Ads? Are there AI tools that can help with content repurposing? All of these things are possible and having a goal clearly identified will help maximize the impact. Learn more in this Foundation Marketing piece on incorporating AI into your content workflow.
Once you have identified your goals, it’s time to get your team on board and assess what tools are available in the market.
Recommended Resources:
2. Validate Your AI-Related Assumptions
Assumptions are dangerous — especially when it comes to implementing new tech.
Don’t assume AI is going to fix all your problems.
Instead, start with small experiments and track their progress carefully.
3. Conduct Persona and Audience Research
Social media isn’t something that you can just jump into.
You need to understand your audience and ideal customers. AI can help with this, but you’ll need to be familiar with best practices. If you need a primer, this will help:
Once you understand the basics, consider ways in which AI can augment your approach.
4. Select the Right Social Channels
Not every social media channel is the same.
It’s important that you understand what channel is right for you and embrace it.
The way you use AI for X is going to be different from the way you use AI for LinkedIn. On X, you might use AI to help you develop a long-form thread that is filled with facts and figures. On LinkedIn however, you might use AI to repurpose a blog post and turn it into a carousel PDF. The content that works on X and that AI can facilitate creating is different from the content that you can create and use on LinkedIn.
The audiences are different.
The content formats are different.
So operate and create a plan accordingly.
Recommended Tools and Resources:
5. Identify Key Metrics and KPIs
What metrics are you trying to influence the most?
Spend time understanding the social media metrics that matter to your business and make sure that they’re prioritized as you think about the ways in which you use AI.
These are a few that matter most:
- Reach: Post reach signifies the count of unique users who viewed your post. How much of your content truly makes its way to users’ feeds?
- Clicks: This refers to the number of clicks on your content or account. Monitoring clicks per campaign is crucial for grasping what sparks curiosity or motivates people to make a purchase.
- Engagement: The total social interactions divided by the number of impressions. This metric reveals how effectively your audience perceives you and their readiness to engage.
Of course, it’s going to depend greatly on your business.
But with this information, you can ensure that your AI social media strategy is rooted in goals.
6. Choose the Right AI Tools
The AI landscape is filled with trash and treasure.
Pick AI tools that are most likely to align with your needs and your level of tech-savviness.
For example, if you’re a blogger creating content about pizza recipes, you can use HubSpot’s AI social caption generator to write the message on your behalf:
The benefit of an AI tool like HubSpot and the caption generator is that what at one point took 30-40 minutes to come up with — you can now have it at your fingertips in seconds. The HubSpot AI caption generator is trained on tons of data around social media content and makes it easy for you to get inspiration or final drafts on what can be used to create great content.
Consider your budget, the learning curve, and what kind of support the tool offers.
7. Evaluate and Refine Your Social Media and AI Strategy
AI isn’t a magic wand; it’s a set of complex tools and technology.
You need to be willing to pivot as things come to fruition.
If you notice that a certain activity is falling flat, consider how AI can support that process.
Did you notice that your engagement isn’t where you want it to be? Consider using an AI tool to assist with crafting more engaging social media posts.
Make AI Work for You — Now and in the Future
AI has the power to revolutionize your social media strategy in ways you may have never thought possible. With its ability to conduct customer research, create personalized content, and so much more, thinking about the future of social media is fascinating.
We’re going through one of the most interesting times in history.
Stay equipped to ride the way of AI and ensure that you’re embracing the best practices outlined in this piece to get the most out of the technology.
MARKETING
Advertising in local markets: A playbook for success
Many brands, such as those in the home services industry or a local grocery chain, market to specific locations, cities or regions. There are also national brands that want to expand in specific local markets.
Regardless of the company or purpose, advertising on a local scale has different tactics than on a national scale. Brands need to connect their messaging directly with the specific communities they serve and media to their target demo. Here’s a playbook to help your company succeed when marketing on a local scale.
1. Understand local vs. national campaigns
Local advertising differs from national campaigns in several ways:
- Audience specificity: By zooming in on precise geographic areas, brands can tailor messaging to align with local communities’ customs, preferences and nuances. This precision targeting ensures that your message resonates with the right target audience.
- Budget friendliness: Local advertising is often more accessible for small businesses. Local campaign costs are lower, enabling brands to invest strategically within targeted locales. This budget-friendly nature does not diminish the need for strategic planning; instead, it emphasizes allocating resources wisely to maximize returns. As a result, testing budgets can be allocated across multiple markets to maximize learnings for further market expansion.
- Channel selection: Selecting the correct channels is vital for effective local advertising. Local newspapers, radio stations, digital platforms and community events each offer advantages. The key lies in understanding where your target audience spends time and focusing efforts to ensure optimal engagement.
- Flexibility and agility: Local campaigns can be adjusted more swiftly in response to market feedback or changes, allowing brands to stay relevant and responsive.
Maintaining brand consistency across local touchpoints reinforces brand identity and builds a strong, recognizable brand across markets.
2. Leverage customized audience segmentation
Customized audience segmentation is the process of dividing a market into distinct groups based on specific demographic criteria. This marketing segmentation supports the development of targeted messaging and media plans for local markets.
For example, a coffee chain might cater to two distinct segments: young professionals and retirees. After identifying these segments, the chain can craft messages, offers and media strategies relating to each group’s preferences and lifestyle.
To reach young professionals in downtown areas, the chain might focus on convenience, quality coffee and a vibrant atmosphere that is conducive to work and socializing. Targeted advertising on Facebook, Instagram or Connected TV, along with digital signage near office complexes, could capture the attention of this demographic, emphasizing quick service and premium blends.
Conversely, for retirees in residential areas, the chain could highlight a cozy ambiance, friendly service and promotions such as senior discounts. Advertisements in local print publications, community newsletters, radio stations and events like senior coffee mornings would foster a sense of community and belonging.
Dig deeper: Niche advertising: 7 actionable tactics for targeted marketing
3. Adapt to local market dynamics
Various factors influence local market dynamics. Brands that navigate changes effectively maintain a strong audience connection and stay ahead in the market. Here’s how consumer sentiment and behavior may evolve within a local market and the corresponding adjustments brands can make.
- Cultural shifts, such as changes in demographics or societal norms, can alter consumer preferences within a local community. For example, a neighborhood experiencing gentrification may see demand rise for specific products or services.
- Respond by updating your messaging to reflect the evolving cultural landscape, ensuring it resonates with the new demographic profile.
- Economic conditions are crucial. For example, during downturns, consumers often prioritize value and practicality.
- Highlight affordable options or emphasize the practical benefits of your offerings to ensure messaging aligns with consumers’ financial priorities. The impact is unique to each market and the marketing message must also be dynamic.
- Seasonal trends impact consumer behavior.
- Align your promotions and creative content with changing seasons or local events to make your offerings timely and relevant.
- New competitors. The competitive landscape demands vigilance because new entrants or innovative competitor campaigns can shift consumer preferences.
- Differentiate by focusing on your unique selling propositions, such as quality, customer service or community involvement, to retain consumer interest and loyalty.
4. Apply data and predictive analytics
Data and predictive analytics are indispensable tools for successfully reaching local target markets. These technologies provide consumer behavior insights, enabling you to anticipate market trends and adjust strategies proactively.
- Price optimization: By analyzing consumer demand, competitor pricing and market conditions, data analytics enables you to set prices that attract customers while ensuring profitability.
- Competitor analysis: Through analysis, brands can understand their positioning within the local market landscape and identify opportunities and threats. Predictive analytics offer foresight into competitors’ potential moves, allowing you to strategize effectively to maintain a competitive edge.
- Consumer behavior: Forecasting consumer behavior allows your brand to tailor offerings and marketing messages to meet evolving consumer needs and enhance engagement.
- Marketing effectiveness: Analytics track the success of advertising campaigns, providing insights into which strategies drive conversions and sales. This feedback loop enables continuous optimization of marketing efforts for maximum impact.
- Inventory management: In supply chain management, data analytics predict demand fluctuations, ensuring inventory levels align with market needs. This efficiency prevents stockouts or excess inventory, optimizing operational costs and meeting consumer expectations.
Dig deeper: Why you should add predictive modeling to your marketing mix
5. Counter external market influences
Consider a clothing retailer preparing for a spring collection launch. By analyzing historical weather data and using predictive analytics, the brand forecasts an unseasonably cool start to spring. Anticipating this, the retailer adjusts its campaign to highlight transitional pieces suitable for cooler weather, ensuring relevance despite an unexpected chill.
Simultaneously, predictive models signal an upcoming spike in local media advertising rates due to increased market demand. Retailers respond by reallocating a portion of advertising budgets to digital channels, which offer more flexibility and lower costs than traditional media. This shift enables brands to maintain visibility and engagement without exceeding budget, mitigating the impact of external forces on advertising.
6. Build consumer confidence with messaging
Localized messaging and tailored customer service enhance consumer confidence by demonstrating your brand’s understanding of the community. For instance, a grocery store that curates cooking classes featuring local cuisine or sponsors community events shows commitment to local culture and consumer interests.
Similarly, a bookstore highlighting local authors or topics relevant to the community resonates with local customers. Additionally, providing service that addresses local needs — such as bilingual service and local event support — reinforces the brand’s values and response to the community.
Through these localized approaches, brands can build trust and loyalty, bridging the gap between corporate presence and local relevance.
7. Dominate with local advertising
To dominate local markets, brands must:
- Harness hyper-targeted segmentation and geo-targeted advertising to reach and engage precise audiences.
- Create localized content that reflects community values, engage in community events, optimize campaigns for mobile and track results.
- Fine-tune strategies, outperform competitors and foster lasting relationships with customers.
These strategies will enable your message to resonate with local consumers, differentiate you in competitive markets and ensure you become a major player in your specific area.
Dig deeper: The 5 critical elements for local marketing success
Opinions expressed in this article are those of the guest author and not necessarily MarTech. Staff authors are listed here.
MARKETING
Battling for Attention in the 2024 Election Year Media Frenzy
As we march closer to the 2024 U.S. presidential election, CMOs and marketing leaders need to prepare for a significant shift in the digital advertising landscape. Election years have always posed unique challenges for advertisers, but the growing dominance of digital media has made the impact more profound than ever before.
In this article, we’ll explore the key factors that will shape the advertising environment in the coming months and provide actionable insights to help you navigate these turbulent waters.
The Digital Battleground
The rise of cord-cutting and the shift towards digital media consumption have fundamentally altered the advertising landscape in recent years. As traditional TV viewership declines, political campaigns have had to adapt their strategies to reach voters where they are spending their time: on digital platforms.
According to a recent report by eMarketer, the number of cord-cutters in the U.S. is expected to reach 65.1 million by the end of 2023, representing a 6.9% increase from 2022. This trend is projected to continue, with the number of cord-cutters reaching 72.2 million by 2025.
Moreover, a survey conducted by Pew Research Center in 2023 found that 62% of U.S. adults do not have a cable or satellite TV subscription, up from 61% in 2022 and 50% in 2019. This data further underscores the accelerating shift away from traditional TV and towards streaming and digital media platforms.
As these trends continue, political advertisers will have no choice but to follow their audiences to digital channels. In the 2022 midterm elections, digital ad spending by political campaigns reached $1.2 billion, a 50% increase from the 2018 midterms. With the 2024 presidential election on the horizon, this figure is expected to grow exponentially, as campaigns compete for the attention of an increasingly digital-first electorate.
For brands and advertisers, this means that the competition for digital ad space will be fiercer than ever before. As political ad spending continues to migrate to platforms like Meta, YouTube, and connected TV, the cost of advertising will likely surge, making it more challenging for non-political advertisers to reach their target audiences.
To navigate this complex and constantly evolving landscape, CMOs and their teams will need to be proactive, data-driven, and willing to experiment with new strategies and channels. By staying ahead of the curve and adapting to the changing media consumption habits of their audiences, brands can position themselves for success in the face of the electoral advertising onslaught.
Rising Costs and Limited Inventory
As political advertisers flood the digital market, the cost of advertising is expected to skyrocket. CPMs (cost per thousand impressions) will likely experience a steady climb throughout the year, with significant spikes anticipated in May, as college students come home from school and become more engaged in political conversations, and around major campaign events like presidential debates.
For media buyers and their teams, this means that the tried-and-true strategies of years past may no longer be sufficient. Brands will need to be nimble, adaptable, and willing to explore new tactics to stay ahead of the game.
Black Friday and Cyber Monday: A Perfect Storm
The challenges of election year advertising will be particularly acute during the critical holiday shopping season. Black Friday and Cyber Monday, which have historically been goldmines for advertisers, will be more expensive and competitive than ever in 2024, as they coincide with the final weeks of the presidential campaign.
To avoid being drowned out by the political noise, brands will need to start planning their holiday campaigns earlier than usual. Building up audiences and crafting compelling creative assets well in advance will be essential to success, as will a willingness to explore alternative channels and tactics. Relying on cold audiences come Q4 will lead to exceptionally high costs that may be detrimental to many businesses.
Navigating the Chaos
While the challenges of election year advertising can seem daunting, there are steps that media buyers and their teams can take to mitigate the impact and even thrive in this environment. Here are a few key strategies to keep in mind:
Start early and plan for contingencies: Begin planning your Q3 and Q4 campaigns as early as possible, with a focus on building up your target audiences and developing a robust library of creative assets.
Be sure to build in contingency budgets to account for potential cost increases, and be prepared to pivot your strategy as the landscape evolves.
Embrace alternative channels: Consider diversifying your media mix to include channels that may be less impacted by political ad spending, such as influencer marketing, podcast advertising, or sponsored content. Investing in owned media channels, like email marketing and mobile apps, can also provide a direct line to your customers without the need to compete for ad space.
Owned channels will be more important than ever. Use cheaper months leading up to the election to build your email lists and existing customer base so that your BF/CM can leverage your owned channels and warm audiences.
Craft compelling, shareable content: In a crowded and noisy advertising environment, creating content that resonates with your target audience will be more important than ever. Focus on developing authentic, engaging content that aligns with your brand values and speaks directly to your customers’ needs and desires.
By tapping into the power of emotional triggers and social proof, you can create content that not only cuts through the clutter but also inspires organic sharing and amplification.
Reflections
The 2024 election year will undoubtedly bring new challenges and complexities to the world of digital advertising. But by staying informed, adaptable, and strategic in your approach, you can navigate this landscape successfully and even find new opportunities for growth and engagement.
As a media buyer or agnecy, your role in steering your brand through these uncharted waters will be critical. By starting your planning early, embracing alternative channels and tactics, and focusing on creating authentic, resonant content, you can not only survive but thrive in the face of election year disruptions.
So while the road ahead may be uncertain, one thing is clear: the brands that approach this challenge with creativity, agility, and a steadfast commitment to their customers will be the ones that emerge stronger on the other side.
-
PPC4 days ago
19 Best SEO Tools in 2024 (For Every Use Case)
-
PPC7 days ago
4 New Google Ads Performance Max Updates: What You Need to Know
-
SEARCHENGINES6 days ago
Daily Search Forum Recap: April 16, 2024
-
SEO6 days ago
Google Clarifies Vacation Rental Structured Data
-
MARKETING6 days ago
Will Google Buy HubSpot? | Content Marketing Institute
-
PPC7 days ago
Share Of Voice: Why Is It Important?
-
MARKETING5 days ago
Streamlining Processes for Increased Efficiency and Results
-
PPC7 days ago
How to Collect & Use Customer Data the Right (& Ethical) Way
You must be logged in to post a comment Login