{"id":281,"date":"2021-02-11T08:30:25","date_gmt":"2021-02-11T13:30:25","guid":{"rendered":"https:\/\/advertisingweek.com\/aw360\/2021\/02\/11\/ageism-in-media-buying-the-4-trillion-missed-opportunity\/"},"modified":"2021-02-11T08:30:25","modified_gmt":"2021-02-11T13:30:25","slug":"ageism-in-media-buying-the-4-trillion-missed-opportunity","status":"publish","type":"post","link":"https:\/\/advertisingweek.com\/aw360\/news\/ageism-in-media-buying-the-4-trillion-missed-opportunity\/281\/","title":{"rendered":"Ageism in Media Buying: The $4 Trillion Missed Opportunity"},"content":{"rendered":"<!-- shortcode [asyncjs] -->\n        <script type=\"text\/javascript\">if (!window.AdButler) {\n                (function () {\n                    var s = document.createElement(\"script\");\n                    s.async = true;\n                    s.type = \"text\/javascript\";\n                    s.src = 'https:\/\/servedbyadbutler.com\/app.js';\n                    var n = document.getElementsByTagName(\"script\")[0];\n                    n.parentNode.insertBefore(s, n);\n                }());\n            }<\/script>\n        <script type=\"text\/javascript\">\n            var AdButler = AdButler || {};\n            AdButler.ads = AdButler.ads || [];\n            var abkw = window.abkw || '';\n            var plc376260 = window.plc376260 || 0;\n            document.write('<' + 'div id=\"placement_376260_' + plc376260+ '\"><\/' + 'div>');\n            AdButler.ads.push({\n                handler: function (opt) {\n                    AdButler.register(167788,376260, [300,250], 'placement_376260_' + opt.place, opt);\n                },\n                opt: {\n                    place: plc376260++,\n                    keywords: abkw ,\n                    domain: 'servedbyadbutler.com'\n                }\n            });\n        <\/script>\n        \n\n<p class=\"wp-block-paragraph\"><em><strong>By Danielle DeLauro, Executive Vice President at <\/strong><a href=\"https:\/\/thevab.com\"><strong>VAB<\/strong><\/a><\/em><\/p>\n\n\n\n\n\n<p class=\"wp-block-paragraph\">In today\u2019s media landscape, a massive disconnect exists between the shifting U.S. population and many brands\u2019 targeting priorities. The problem stems from the fundamentally ageist mindset that has dominated the marketing industry for decades now, and every year, it continues to cost brands more in missed opportunities.<\/p>\n\n\n\n\n\n<p class=\"wp-block-paragraph\">Within the advertising world, there is an inherent stigma associated with targeting older consumers. Too often marketers believe their next job lies in reaching young, hip consumers rather than focusing on the customers that are going to translate to the most sales today. At the same time, the power and relevance of these older, often-ignored audiences are growing every single day, even as it relates to emerging product categories and direct-to-consumer business models.<\/p>\n\n\n\n\n\n<p class=\"wp-block-paragraph\">Let\u2019s take a look at what the data tells us about the reality of today\u2019s consumer spending and how advertisers can unlock <a href=\"https:\/\/thevab.com\/insight\/audience-migration-context\">an additional $4 <em>trillion <\/em>in buying power<\/a> by focusing instead on the buying power of audiences.<\/p>\n\n\n\n\n<!-- shortcode [asyncjs] -->\n        <script type=\"text\/javascript\">if (!window.AdButler) {\n                (function () {\n                    var s = document.createElement(\"script\");\n                    s.async = true;\n                    s.type = \"text\/javascript\";\n                    s.src = 'https:\/\/servedbyadbutler.com\/app.js';\n                    var n = document.getElementsByTagName(\"script\")[0];\n                    n.parentNode.insertBefore(s, n);\n                }());\n            }<\/script>\n        <script type=\"text\/javascript\">\n            var AdButler = AdButler || {};\n            AdButler.ads = AdButler.ads || [];\n            var abkw = window.abkw || '';\n            var plc428354 = window.plc428354 || 0;\n            document.write('<' + 'div id=\"placement_428354_' + plc428354+ '\"><\/' + 'div>');\n            AdButler.ads.push({\n                handler: function (opt) {\n                    AdButler.register(167788,428354, [300,250], 'placement_428354_' + opt.place, opt);\n                },\n                opt: {\n                    place: plc428354++,\n                    keywords: abkw ,\n                    domain: 'servedbyadbutler.com'\n                }\n            });\n        <\/script>\n        \n\n<h3 class=\"wp-block-heading\"><strong>Outside the 25-54 Bubble <\/strong><\/h3>\n<p class=\"wp-block-paragraph\">While many brands continue to fixate on younger demographics, they\u2019re almost entirely ignoring the fast-growing 50+ segment. Within their media plans, advertisers are particularly obsessed with the 25-54 demo. However, if brands open their buys to all adults, they can immediately unlock access to nearly $4 trillion in annual buying power\u2014about 45 percent of total U.S. spending. Most of that power sits with the 55+ crowd, which alone translates to $3.4 trillion in yearly spending.<\/p>\n\n\n\n\n\n<p class=\"wp-block-paragraph\">What\u2019s particularly interesting about the buying power of the 55+ crowd is not just its sheer size but how fast it\u2019s grown\u2014and is continuing to do so. Since 1999, 55+ consumers\u2019 share of annual expenditures has grown 46 percent, translating to a $2 trillion increase in annual spending. That\u2019s just in the <em>past two decades<\/em>. Indeed, this isn\u2019t a demographic of waning importance; it\u2019s an under-tapped and fast-growing consumer powerhouse across all product sectors.<\/p>\n\n\n\n\n\n<p class=\"wp-block-paragraph\">Today\u2019s 55+ crowd is working later into life than ever. These aren\u2019t \u201cretirees\u201d with limited spending power. They\u2019re active buyers whose household incomes have outpaced the national average increase for the past 20 years. With more time and disposable income on their hands than other age groups, they collectively spend more on consumer goods and services than any other demographic segment.<\/p>\n\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Younger, Data-Savvy Brands Embrace Older Consumers<\/strong><\/h3>\n<p class=\"wp-block-paragraph\">So how can advertisers adapt their media strategies to keep pace and unlock new sales? Leading brands in the direct-to-consumer space offer some insights in this arena, having embraced media strategies that prioritize sales and conversions over basic age and demographic targeting. Consider taking the following pages from their playbooks.<\/p>\n\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Lean into TV<\/strong><\/h3>\n<p class=\"wp-block-paragraph\">Today\u2019s DTC brands have been leaning heavily into TV advertising in recent years, and they haven\u2019t let traditional-age demos guide their marketing in this channel. That\u2019s proven to be a huge win for them. In the pandemic alone, DTC brands have seen adults over 50 flocking to their platforms, with the greatest gains achieved by those brands with strong TV presences. These include Carvana, which saw an 89 percent increase in monthly digital platform visits by 50+ consumers between April and September 2020, compared to the year-ago period. Similar increases were seen by TV-focused DTC brands like Blue Apron (+35 percent), DoorDash (+30 percent), Warby Parker (+35 percent), Wayfair (+30 percent) and others.<\/p>\n\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Think Multiculturally About Older Audiences<\/strong><\/h3>\n<p class=\"wp-block-paragraph\">In pivoting to address the growth of older audiences, media strategies must also recognize that these audiences are also increasingly multicultural. Over the next decade, multicultural audience segments will account for 78 percent of the total 50+ population growth. By 2030, 10 million more multicultural people will have aged into the adult 50+ population, and future growth will be driven primarily by these segments. As a result, successful campaigns will reflect more diversity and inclusivity.<\/p>\n\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Focus on Audiences, Not Demographics<\/strong><\/h3>\n<p class=\"wp-block-paragraph\">Audience-based buying is now a reality in media. Even in so-called \u201ctraditional\u201d channels like TV, marketers can now buy based on consumer buying habits or viewing behavior (programs, genres watched), which is a more accurate surrogate for target customers than a prescribed age bucket. By focusing media buys\u2014particularly multiscreen TV buys\u2014on audience vs. age demos, brands unlock access to $4 trillion in purchasing power outside of traditional buying demos like adults 25-54. This audience-driven strategy has powered impressive growth for savvy DTC brands that, thanks to sophisticated consumer profiles and first-party data, recognize that age isn\u2019t what defines their customers.<\/p>\n\n\n\n\n\n<p class=\"wp-block-paragraph\">Don\u2019t let it define yours either.<\/p>\n\n\n\n\n<!-- shortcode [asyncjs] -->\n        <script type=\"text\/javascript\">if (!window.AdButler) {\n                (function () {\n                    var s = document.createElement(\"script\");\n                    s.async = true;\n                    s.type = \"text\/javascript\";\n                    s.src = 'https:\/\/servedbyadbutler.com\/app.js';\n                    var n = document.getElementsByTagName(\"script\")[0];\n                    n.parentNode.insertBefore(s, n);\n                }());\n            }<\/script>\n        <script type=\"text\/javascript\">\n            var AdButler = AdButler || {};\n            AdButler.ads = AdButler.ads || [];\n            var abkw = window.abkw || '';\n            var plc376261 = window.plc376261 || 0;\n            document.write('<' + 'div id=\"placement_376261_' + plc376261+ '\"><\/' + 'div>');\n            AdButler.ads.push({\n                handler: function (opt) {\n                    AdButler.register(167788,376261, [300,250], 'placement_376261_' + opt.place, opt);\n                },\n                opt: {\n                    place: plc376261++,\n                    keywords: abkw ,\n                    domain: 'servedbyadbutler.com'\n                }\n            });\n        <\/script>\n        \n","protected":false},"excerpt":{"rendered":"<p>Within the advertising world, there is an inherent stigma associated with targeting older consumers. Too often marketers believe their next job lies in reaching young, hip consumers rather than focusing on the customers that are going to translate to the most sales today.<\/p>\n","protected":false},"author":7,"featured_media":282,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","editor_notices":[],"footnotes":""},"categories":[1],"tags":[4],"topics":[2],"class_list":["post-281","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-culture","topics-editorial"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.0 (Yoast SEO v28.0) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Ageism in Media Buying: The $4 Trillion Missed Opportunity | AW360<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/advertisingweek.com\/aw360\/news\/ageism-in-media-buying-the-4-trillion-missed-opportunity\/281\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Ageism in Media Buying: The $4 Trillion Missed Opportunity\" \/>\n<meta property=\"og:description\" content=\"Within the advertising world, there is an inherent stigma associated with targeting older consumers. 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