Selling to Baby Boomers: Debunking the Myths
Baby Boomers, the phenomenally large group of men and women born between the years of 1946 and 1964, represent over 26 percent of the population, according to a recent study by the Mature Market Institute of MetLife.
And, while many markets have spent years trying to appeal to younger generations, more and more industries are taking notice of the 78 million Baby Boomers who are shaping many areas of the marketplace.
To help you make the most out of this lucrative demographic, we at InsureMe are debunking the myths of selling to Baby Boomers and compiling some best practices for incorporating this market into your insurance sales goals.
Understanding the Bottom Line
According to the MetLife study, Baby Boomers have an estimated spending power of $1 trillion, attesting to their strong presence in the marketplace. And, with more and more Baby Boomers approaching retirement, many insurance professionals are finding it a necessity to switch gears and target older adults rather than or in addition to young adults.
How do Baby Boomers affect your bottom line?
In addition to providing financial support to living parents and adult children, many Baby Boomers are looking for ways to manage and save their money. Nearing retirement, many older adults also look into second homes, boats and extra vehicles.
Translation: Baby Boomers need help managing the multiple demands on their money, and as an insurance professional, you have the potential to do exactly that—helping Boomers save on home and auto insurance, allocating resources for retirement, life insurance and long-term care and providing them with appropriate health coverage for the future.
Selling to Baby Boomers: Finding What Works
While some marketing professionals may have you believing something to the contrary, the majority of men and women who make up the Baby Boomer generation don't operate under the mindset of their "frivolous" youth. Instead, this generation tends to gravitate toward continuing education and integrating new lessons into their current lifestyle.
Not sure how to incorporate this into insurance sales? You can play to this generational market by doing some of the following:
Ditch the lectures. Instead, present the facts using relevant examples.
Get out of the box. A recent article by CBS Market Watch regarding how adults learn, emphasizes the importance of presenting ideas and authentic life situations, rather than a linear, step-by-step presentation. Seminars and interactive educational groups have also proved beneficial for targeting Baby Boomers.
Use "role models", not "experts". Unlike the World War II generation, many Baby Boomers were raised in anti-authoritarian times. You may wish to omit the "experts agree" bit from your pitch and replace it with a significant life-related example.
Get rid of the one-size fits all mentality. Tailor your sales presentation into a format which fits the prospect's perspectives and preferences.
Don't go overboard with emotion. You may have read studies suggesting that the best way to sell a Baby Boomer is to tug on his or her emotional heart strings.
The truth is, aging adults would rather be treated with dignity and respect—and to be informed of the issues facing their generation.
When it comes to selling Baby Boomers, it's important to get beyond the selling, which is really one of the main tenants of general insurance sales. Making a human connection and establishing trust with your Baby Boomer prospect is one of the best ways to lay the groundwork for a successful business relationship that lasts for years to come.
This information was provided by InsureMe, the leader in online insurance leads for the insurance industry. Since 1993, InsureMe has helped thousands of insurance agents succeed in the insurance business by providing top quality leads that are both detailed and affordable. For more information on InsureMe leads, please visit our agent Web site at agent.insureme.com.
