Traditionally, marketers have targeted affluent consumers because they
control so much of the spending power. Not surprisingly, you will find
them online. They spend an average of 20 percent more time online
weekly, compared to the general population. They watch about half as
much television and listen to the radio less than half as much as well.
A new study, recently released by the Interactive Advertising Bureau,
reveals these higher-income folks embrace digital media -- and the
advertising you will find there. The study, called “Affluent Consumers
in a Digital World,” details the usage and attitudes of these wealthy
consumers, those who live in homes and have at least $100,000 in
household income. They constitute 21 percent of United States households
and represent 70 percent of consumer wealth.
Virtually all affluent consumers are online. Many own tablets and
e-readers. In fact, the numbers of owners have increased by 50 percent
just over the past six months, and we expect continued growth. Still
more good news for advertisers: more affluents view and recall seeing
digital ads than their less-wealthy counterparts. They enjoy the
benefits of digital media -- though they continue to struggle with
work-life issues.
The most fascinating aspect of this study was the assessment of
attitudes. Almost 80 percent of these wealthy consumers say their
lives have become “intertwined with technology” over the past 10 years.
However, they are also more likely to say that their lives have become
“more complicated” (59 percent) and “more stressful” (58 percent), as
opposed to “more fun” (47 percent) or “easier” (33 percent).
The results of this study represent a new paradigm for brands, products
and services that look for deeper relationships with affluent consumers.
Because affluent consumers’ spending power far exceeds that of most
Americans, this paradigm shift (thank you, Joel Barker) has implications
beyond the luxury and/or upscale markets.
This group, which used to be the toughest to reach, may now be targeted
online. The majority report ownership of a number of other digital
devices. Look for more smart phone and Internet advertising to target
these folks who look to digital media for information and reviews of new
products. Mobile advertising will continue to grow exponentially.
About the Author
Herman Trend Alert
Herman Trend Alerts are written by Joyce Gioia, a strategic business futurist, Certified Management Consultant, author, and professional speaker. Archived editions are posted at http://www.hermangroup.com/archive.html