Your members span from the very young to the financially educated. By changing your marketing message and strategy for different stages of your member’s financial life, your message can reach the right audience successfully.
Life Stage Characteristics and Strategies
Pre-Adult: This group is just starting a financial-based lifestyle, does not have many bills, may not be working, and has limited funds. At this stage, members are looking for knowledge, guidance, and trust.
At this age, parents normally play the role of employer, teacher and financial advisor. By helping parents teach their children about saving and money growth, you can help instill smart money management skills.
Make sure you take the time to meet Pre-Adult members personally and create an environment where they can learn more and ask questions. They will be more willing to take advantage of advanced technology, like games or apps, once a trusting relationship has been built.
Early Adult: This group has a job and is starting to live alone. They do not have much budgeting experience, but they are starting to build credit and plan their future. They may be looking for financing for a car or school loan and need information on how these products work. If they have not previously banked with you, they like a personal connection to build trust.
Fifty-one percent of U.S. adults bank online and thirty-two percent bank using their mobile phones. Adults between the ages of 18-34 years old are driving the growth in both online and mobile banking, according to the ABA.1
Early Adults are very tech-savvy and will have more online/mobile needs than other groups once they build a relationship with you. They prefer easy ways to connect and learn information. Emails, apps and online tools work very well to engage this group. Tutorials about lending, budgeting, saving, banking and protection products are also beneficial.
Middle Adult: This group is starting a family and has many needs; cars, savings, home, etc. They are trying to build a future and they are realizing new expenses. This group is limited on time and relies on online support. They have knowledge about savings, budgeting and loans; however, they are looking for ways to support and protect their family.
Large purchases can carry a big risk for your consumers. Insurance and protection products, such as GAP and Home Assurance, can help alleviate some of that risk.
Middle Adults are experiencing high expenses and low savings and want to protect their family. This group may be interested in refinancing previous debts or loan combinations. Since this group does not have much time, you need to reach them in a way that is easy and fast, including emails, direct mail and statement stuffers. The information needs to be succinct and direct.
Late Adult: This group has an established family and is moving towards becoming empty nesters. They are more financially secure; and although they are not as tech-savvy as some of their younger counterparts, they are not adverse to technology. They are interested in preparing for retirement, finding good investments, and making that final push for a financially sound retirement.
“According to IBM’s 2012 Digital Consumer report of 3,800 adult consumers, 65% of early adopters of new technologies were adults ages 55-64.”2
Late Adults have savings and investments that they are transitioning to lower risk funds. They are getting their finances in order, lowering expenses and planning for retirement. Late Adults would enjoy planning for retirement classes, learning about different insurance products, joining a money management group and sitting down with an investment specialist.
Retirees: This group is the most risk-adverse and has the most money available in liquid investments. They have a strong financial knowledge and have been planning for a long time. Their biggest non-liquid asset is usually their home. They may be coming to grips with their own mortality and want to put together a plan to protect their family.
“Since only 56% of U.S. adults age 65 and older have access to the internet, the percentage of that age group who bank online is just 26%.”1
Retirees prefer face-to-face interaction and have the most trust in your business. They are trying to keep long-term expenses to a minimum. Retirees may be concerned about estate planning, have future health concerns, and want better conservative investment advice. Your most influential contact with them is in the branch or with financial statements.
Whatever generation you are marketing to, Transamerica Financial Services Group can help you craft loan protection product solutions that will meet your members’ needs. The combination of flexibility and thorough training helps provide you with a competitive advantage while helping to improve your profitability.
Learn more about the Transamerica Financial Solutions Group and the products and programs available to help expand your business and improve member services.