Data & Research June 15, 2007
Affluent Boomers Comfortable Making Own Financial Decisions
Only one-third of affluent Baby Boomers rely on outside advice when making financial decisions.
Reported by Rebecca Moore
According to a research study from Focalyst, these wealthiest Boomers – a group Focalyst calls Boomer Elites – feel they are on top of their finances and they have prepared well for retirement. Ninety-five percent (95%) have some sort of savings or investments compared to 75% of the total Boomer population.
“Retirement planning is big business for financial services companies but not all Boomers are looking for the same thing,’ said Heather Stern, Director of Marketing at Focalyst, in a news release about the study. “When it comes to the Elites who are less likely to rely on a financial planner, the complexity of retirement planning isn’t as daunting as it is for others. What they value most is no-frills information from a trusted institution that can help guide – not determine – their decisions. Boomer Elites pride themselves on having control over their finances so appealing to their need for information but ultimately helping them feel in charge of their financial destiny is key.”
While they characterize themselves as savers rather than spenders, Boomer Elites have plans to invest in big ticket items such as technology products, furniture, and appliances at a rate of almost twice the spending of the average Boomer, the survey found. Results also indicated Boomer Elites are avid consumers of media, more so than Boomers in general, which indicates they can be reached via media advertising.
On a daily basis, 91% of respondents said they watch TV; 87% read a newspaper or magazine; 76% listen to the radio; and 75% use the Internet. Four-in-10 respondents said they read the ads in the magazines they subscribe to.
More about Focalyst, a market research and consulting firm focused exclusively on Baby Boomers (those born between 1946 and 1964) and older consumers, can be found at www.focalyst.com.