Email Marketing to the Millenials

Understanding generational differences and what it means to marketers is a topic that continues to fascinate me.

See this article from B2B Magazine, called Marketing to Millenials. It's a concise read on how the Millenials (sometimes called Generation Y--people born before 1982) perceive email marketing, and includes tips on what works with this group. Perhaps more importantly, it provides insight into what doesn't resonate with Millenials.

The two tips that I found most interesting:

1. Create “automated relevance.” Behavioral marketing works, but when you’re marketing to Millennials, you’ve got to be faster and more precise, Wilson said. “Millennials are almost wired to block out advertising and marketing. They are capable of finding what they want when they want it, so you have to be fast and give them something relevant as soon as you see a specific ‘hand-raising’ activity,” he said.

2. Get personal about the right things. There are differences in what you’ll need to know to market to Gen X, for example, and Gen Y. For one thing, Gen Y is less likely to answer personal questions about what they buy and why, Wilson said. “I’m amazed at how often marketers ask people about the wrong things,” he said. “If you can ask questions in a genuine way, you’ll get answers, though.”

Instead of asking how Gen Y thinks about and uses your products and services, Wilson said, ask about what’s important to them instead. “Instead of asking which products are important, ask what’s important to them in the buying cycle. Is it having a personal reference? Ask how often they purchase rather than what they are purchasing.”

Good stuff!

If you'd like an overview of the five living generations, it's your lucky day :)

RRW has put together a White Paper that provides traits and differences between generations, called Generations Overview (catchy name, eh?). We'd be happy to share.

Case Study: Obama and Generational Marketing

You may have noticed that each Monday I publish a direct marketing case study. Many times I find these client success stories on corporate websites. Sometimes, like today, they come from today's news.

I was very interested in reading how Obama is using an understanding of the Millenial generation to capture their loyalty and (presumably) their votes. I've pulled out pieces of the article, below, but for more complete information, I urge you to read the full "Ad Age" article: What Obama Can Teach You About Millenial Marketing.

Overview:
Mr. Obama's brand management, unprecedented in presidential politics, shows pitch-perfect understanding of the keys to appealing to the youngest voters.

Why is it working?
So what's the appeal to the under-30 set? True, the youth vote traditionally skews Democratic, but the difference this year is that Mr. Obama has actually motivated turnout. His success, it seems, is a result of both product and the branding behind it. The qualities he projects -- a cool, smooth aura, the communal values of hope and unity, his teeming crowds and his campaign's seamless graphics -- are the essence of appealing to millennials.

"Millennials want someone smart, funny and with a slight edge," observes Allison Mooney, who tracks youth trends for Fleishman-Hillard's Next Great Thing. Mr. Obama's occasional prickly moments, as when he dismissed Mr. McCain's recent ad comparing him to Paris Hilton -- "Is this the best you can do?" -- shows them he gets it. "Obama's kind of mellow. He doesn't have polarizing views."

He's got branding down, too.
Wrote Newsweek's Andrew Romano, "Obama is the first presidential candidate to be marketed like a high-end consumer brand." His rising-sun logo echoes the one-world iconography of Pepsi, AT&T and Apple.

Design guru Michael Bierut told Romano that the stand-alone logo, consistent use of the Gotham typeface ("very American ... conversational and pleasant") and his online look and feel make Mr. Obama the first candidate with a "coherent, top-to-bottom, 360-degree system at work. ... There's an absolute level of control that I have trouble achieving with my corporate clients."

Generational Marketing Basics
Mass brand experiences, from the iPod to Harry Potter, appeal strongly to millennials, who have been shown to be a more communal, pro-social generation than their predecessors.

While critics see Mr. Obama's penchant for mass gatherings as arrogant, Mr. Howe finds it perfect for millennials: "They're more civically connected, and they find strength in numbers."

According to Fleishman-Hillard's Ms. Mooney, the Obama campaign's mastery of cutting-edge social media, through the my.barackobama.com site (known internally as "MYBO"), is optimized for millennial appeal. For this generation, "the new pronoun is me, my. Using my-dot brings it to a personal level."

The MYBO site shows that Mr. Obama's campaign has made the leap from CRM (customer relationship management) to CMR (customer-managed relationship) better than many commercial marketers, according to Ms. Mooney. "Young people want to be in control of their relationship with a brand. They want to customize and personalize," as they can on iTunes, Mobile Me and YouLocate. The campaign's site allows this with its use of tagging, discussion boards, photo uploads and other interactive elements.


Lesson learned from this case study--if your target market is people 26 and younger (Millenials were born in 1982 and beyond), you should take a close look at how Obama is reaching and connecting to this group.

RRW has put together an overview of the five living generations. It provides key motivators and descriptions of each group. We'd be happy to share it with you. Request it here: Generations Overview.

Two Thoughts on Generational Marketing

It's so very important (and quite interesting, too) to understand how generational attributes need to be considered when marketers are developing campaigns. If your goal is to make sure that your message resonates with your target audience (and let's face it, that's a key goal for any direct marketing program), then you absolutely cannot ignore generational attributes.

I thought I would share two perspectives on two different generations.

The first article is from Precision Marketing: Marketing messages ‘irrelevant’ for over 50s. It discusses how so many marketers are missing the boat when it comes to targeting the mature market.

"The mature market is being neglected and misrepresented by marketers, with over 60 per cent of the over 50s believing that advertising aimed at them presents them as infirm or immobile."

Contrary to many common beliefs, the research also showed that online shopping is the preferred channel for Seniors.

So, if your market is an older one, you absolutely cannot ignore interactive and social marketing. You also need to remember that this group considers themselves vital and full of life--not infirm. I guess 50s are the new 30s!

And, then from the opposite side of the scale, this Q&A from USA Today provides some insight on how to market to Gen X and Gen Y'ers (more commonly known as Millenials). The title says it all: Avoid hard sell when marketing to younger generations.

If your market includes people born between 1965 and 1994 (14 to 43-year-olds), you need to understand that this is a cynical group that needs to be educated (they love blogs). You need to prove that you understand what you're doing and be authentic when you do it. Nothing can smell like hype or 'sales'.

"The essential thing then to understand about selling to the new generation of younger adults is that they are Web-savvy, blog-friendly, and, not only do they see through the spin, it turns them off. Your pitch to them has to take all into account."

Hopefully this insight into two huge generational groups will provide some insight as you develop offers, creative and messages.

Mobile Marketing: How Will it Grow?

Over the past five years or so, there's been more and more discussion about integrating mobile marketing into the direct marketing mix. You can find almost equal opinions on either side of the equation. Some feel that marketing to wireless phones won't work because the content isn't quite there yet, and consumers will feel that it is too much of a hassle to integrate mobile into their lives. Others feel that, as marketers, you're definitely missing the boat if you aren't actively engaged in strategically placing mobile marketing as an integral channel in your multi-channel marketing plan.

DM News just posted an article with two very different viewpoints on this subject. Entitled "Should Cell Ads Cost more than Web Ads," they pit Roger Woods, SVP and GM of the Americas at Amobee Media Systems against Robert Arena, VP and Interactive Director at Carton Donofrio Partners. Both gentlemen bring up some very interesting points in this very topical debate.

Woods argument is that "when visual real estate is severely limited and highly desired, demand for it among media buyers is naturally very high. It's why mobile ad inventory will com­mand a premium price." Woods also believes that wireless carriers will maintain a significant advantage for at least the short-term due to the fact that they are the ones that have virtually unlimited access to all of those wireless screens. Finally, he reminds us that "the fundamental elements of reach, precision and supply are aligned for the wireless carrier to charge a premium price in any scenario" -- no matter how mobile marketing continues to evolve.

On the other side of the equation, Arena argues that mobile marketing is far from commanding the premium pricing of traditional display advertising. He compares lower mobile advertising revenues (at $871 million) to higher internet advertising revenues (at $24 billion), even though more people have access to mobile phones than they do a computer and the internet. According to Arena, this is due to the fact that "metered pricing, slow networks and a frustrating user experience have dissuaded consumers from integrating mobile into their daily lives." In Arena's opinion, while a viable channel to keep our eyes on, mobile marketing still has a long way to go before it is adopted as a widely-used direct marketing channel.

So, here are two very different opinions on a direct marketing channel that we've been talking about for some time -- and is continuing to gain in importance. I'm thinking that mobile marketing will, in fact, command a premium price as the technology becomes more "consumer- friendly." There are many new, forward-thinking firms out there who are creating the technology to enable interactive media campaigns via the wireless instrument (take a look at CommerceTel's website). So, the technology is here . . . therefore, consumer-friendly is not that far off.

Consider the fact that the largest Generation alive today -- the Millenial Generation (those 8-22 year olds) absolutely depends upon their wireless phone, and you can start to believe that mobile marketing will continue to grow in importance as a marketing channel. This Generation embraces the wireless phone so much so that it has become almost an appendage to their bodies -- they literally depend on their phones to keep them connected. Millenials are now entering the workforce and will bring their ideas/needs to those companies that they work for. They may become (or perhaps have become) the springboard that will launch mobile marketing into the same stratosphere as internet advertising as they demand to have content delivered to them on their all-time favorite electronic device.

We'd love to hear your opinions as this debate rages on!

Direct Marketing Message

It is very interesting to see how our world is changing in terms of what resonates with the consumers or businesses that receive our marketing messages. In fact, there is a growing school of thought that believes that you can't push out DM messaging very effectively at all anymore. Nope, it's all about customers getting involved with the conversation about your product and providing their feedback to other "would-be" customers. The world of Social Marketing is proving this to be true.

So, are our traditional direct marketing efforts a waste of time? Happily for us, the answer is no. However, there are definitely some important factors to consider when creating your message. One author, Clayton Makepeace, thinks that one of the main reasons why this shift is occurring is that the Gen-X generation is one of the largest purchasing audiences today. Gen-Xers are between the ages of 26 and 46 years-old and are, as a group, highly skeptical and cynical. Hence, they are going to be highly skeptical of anything that "smells" salesy. Makepeace recommends taking a look at your messaging -- as well as the marketing strategy around that message. Here are three areas that he thinks this inherent skepticism has on our DM efforts today:

1. One-shot customer-acquisition promotions are going the way of the dinosaurs.

Today, it’s all about the relationship between your company and your customer… and building credibility and friendship over time. While marketers who deliver value, invite involvement, and create a sense of community among prospective customers before expecting a sale are growing by leaps and bounds, those who cling to the old models are losing ground.

2. Bombastic "big promise" headlines are not working as well.

Today’s prospects are more likely to ignore sales communications that look and sound like sales communications. Instead, topical, newsy, and intrigue leads that key on something they are already thinking about often work best.

3. High-octane sales copy is losing its power.

Today, lower-key, value-added advertising copy (advertorials) that reward prospects for reading by delivering valuable, helpful, actionable information is leaving the language of the high-energy carnival barker in the dust.

Very interesting -- Makepeace makes some great points. Old-school DM just isn't cutting it anymore. And, as the economy decides what sort of state it is currently in (recession, slow-down, etc.), this becomes even more important. We've got to create campaigns that best resonate with our audiences. And, we simply have to embrace those channels that our customer segments are insisting that we utilize in order for them to buy from us. By understanding customer preferences, you'll stay ahead of the game. And, now, more than ever before, customers are willing to share with us exactly what they are looking for and how to improve on what you do. It's empowering and scary at the same time. I guess the net-net of this is that you have to be willing to truly listen to customer desires and then react to their feedback to keep them coming back for more!

Boomers Alert: We are Technology-Savvy!

There is a new study out about the Baby Boomer Generation (one that's near and dear to me for obvious reasons), and it reports that direct marketers better not try to reach us using our parents' technology. HA! I feel like such a rebel! Apparently, we Boomers are branching out and adopting newer technology to do all kinds of things -- including shopping, researching products and services, and receiving advertising messages.

In a recent article from BizReport, author Kristina Knight reports that "Baby Boomers said they are spending less time each week reading books and newspapers than they were six months ago. At the same time, the group says they are spending more time on their computers and using their cell phones. Listening to music, watching television and using the Internet have remained at a steady consumption rate." This is important to us because the Baby Boomers are still the largest generation alive today -- and the age range is wide enough to impact lots of different purchasing decisions (generational experts put Boomers at between approximately 43 - 61 years of age).

As Knight reports, although these results aren't earth-shattering, they do point to the fact that marketers should include this group in their online advertising efforts for sure. And, mobile marketers should also take note of this trend -- there are lots of Boomers who actually use their wireless phones for more than staying in touch with the kids and grandkids. This is certainly a departure from the thinking that it's only the skate-boarding, extreme sports kids who use their mobile devices for downloading videos and music. Boomers are using these devices for email, news and driving directions.

As we've posted about before, it is really important to keep all of the six generations alive today in mind when creating your marketing strategy. And, as this study points out, we need to also keep a finger on the pulse of generational evolution and how each generation prefers to be communicated with over time. In fact, if you haven't read our Impact of Generational Attributes on Marketing white-paper already, you may want to take a look at it now.

Meanwhile, I'm going to go do some online shopping, and then text my buddy and see what she's up to. : )

Direct Marketing To Baby Boomers

It's amazing to think about the fact that Baby Boomers (me being among them) make up 25% of the US population, hold 70% of US assets, and collectively, spend over $2 trillion a year in products and services. Wow!

Savvy direct marketers are learning how to more effectively communicate with this large group of consumers so they can cash in with them -- and get some of that $2 trillion applied to their bottom line. In fact, a new book has been released to help direct marketers and advertisers do just that. Advertising to the Baby Boomers by Chuck Nyren, a veteran creative strategist, explains how to approach this important demographic. This second edition update is divided into three sections. The first part helps us understand Boomers' self-image and desires; the second suggests marketing strategies; and the third offers a listing of some practical resources. This book is a great resource for all of us in understanding the uniqueness of this large group of potential and/or current customers.

In case you aren't aware, there are an unprecedented five generations alive today that we must take into consideration as we plan direct marketing and advertising efforts. And, as you can imagine, each generation has very different needs and desires in terms of how they want to be communicated with, marketed to, etc. The Baby Boomers represent the largest generation alive today and (as Nyren points out) it is imperative to effectively communicate with them, while not alienating them in the process.

If you are interested in learning more about the five generations and how to better market to them, we have created a white paper on this very topic. It's interesting to see the differences between the generations -- and there are many. Although for most of us, these differences become very apparent at any family gathering! Or is that just Cousin Harold's personality that's shining through??? : )