What generation do you belong to? And, how does that impact the way you receive marketing and respond with a purchase? Listen in as Two Gals and Some Data discuss their own marketing experiences and perspectives across multiple generations.
(Podcast Transcript)
Lori Paikin: Hi everyone, and welcome to the long overdue follow up to NaviStone's, "Two Guys and Some Data" podcast. In our last podcast, we announced that one of our guys, Allen Abbott was retiring. Our other guy, CEO, Larry Kavanagh, just couldn't move forward without him. So, let me introduce you, our loyal listeners, to the new, and dare I say improved, "Two Gals and Some Data" podcast.
Lori Paikin: For this, our inaugural podcast, we have the added benefit of speaking to several gals. Our topic today is: Marketing for the Ages. An in depth conversation about how to market across generations. And as you've come to expect, on this show we don't just talk about data, we talk about how you can use data to help you make more money.
J Bentz: I'm J. Bentz
Courtney Schack: I'm Courtney Schack.
Lisa Slader: I'm Lisa Slader.
Angie Arnspiger: And I'm Angie Arnspiger
Lori Paikin: Our topic for today is: Marketing for the Ages. I'm talking with some gals who span multiple generations: Millennials, Xennials, and Gen Xers; to learn about how advertisers are effectively using generational data to market to them. Thanks for joining us today.
Lori Paikin: So, Courtney, I have to start with you. I have never heard of the Xennial generation. I did a little research and I learned that this generation is defined by having had an analog childhood and a digital adulthood. Could you say that you've seen marketers engage with you, with that information in mind?
Courtney Schack: I think to some extent, yes. When I was thinking about myself from a generational perspective, I didn't really feel that I resonated with Generation X or Millennials. I'm really kind of a mix of the two. I'm cautiously optimistic. I think of how I internalize advertising a little bit differently. I really like to have a piece of paper in my hand, versus just having digital marketing, but I like that, too.
Courtney Schack: So, really, where I think advertisers do best in working with me is having a mix of both. I want direct mail. I want something that I can hold tangibly, but I want E-mails. I want digital display, because I'm looking for an answer right away.
Lori Paikin: So if marketers were ever going to use a multi-channel strategy across channel marketing, it is with your generation?
Courtney Schack: One hundred percent.
Lori Paikin: J, you are our resident millennial. So I am curious about your experience with marketers. We hear a lot about the impact that social media has upon your path to purchase. Can you just share a little bit about how marketers are using social media to help drive your transactions.
J Bentz: Yeah, social media is a big one. I think just especially with the millennials, myself included. We're always looking at Instagram. We are always looking at Facebook and when we're looking at something, we're researching it; we're really trying to identify, 'Is this what we want to purchase.' Then we see things when we're scrolling through your news feeds, 'There it is, what I was looking at.' Here and there, the offers get better. Maybe they change, but it's right there. It's in front of you and you think, after many times of repetition and seeing it, 'Yeah, I think I'll pull the trigger.'
Lori Paikin: Can you talk about a recent purchase that you've made and some of the ways that you were marketed to to help drive that purchase?
J Bentz: I can. So one of the most recent purchases I made was for one of those standing desks. It all started with, ultimately, I have a bad back. So, what is going to help my back? Being sedentary, because we work in front of our computers all the time. I didn't move around a whole lot. It all started with that bad back and then we looked at launching some programs for a standing desk client. We ultimately were taking the digital aspect of it and then providing a direct mail piece to it. It really helped to bring it full circle. You've got the digital side and then the direct mail side. After the direct mail piece, but also discussing with some personal trainers, I was like, 'Yeah this is what I need to do.'
Lori Paikin: So you would say that the direct mail piece had an influence on you making this purchase?
J Bentz: More so than social media, yeah.
Lori Paikin: So that's so interesting, because I don't think marketers typically think about direct mail impacting a millennial's purchase behavior. Really interesting to hear that.
J Bentz: Yeah, I think it's a lost art. You like to touch it, feel it, look at it, and then move forward.
Lori Paikin: So, I have a few trivia questions for you J. You don't have to answer them now. You think about them, and then I'm going to come back to you. I want you to think about what percentage of millennials say they ignore digital retargeting? What percentage of millennials said that they've made a purchase due to direct mail? Alright, you will think about those?
J Bentz: I'll think about them.
Lori Paikin: Alright, sounds good.
Lori Paikin: So Lisa, you are our generation X. I am, too. So I'm really curious about how you answer this question. Just to see if you and I, both in the same generation, kind of think about our path to purchase similarly. Again, I had done some research and through MediaPost, I had learned that E-mail is the gen Xers preferred channel of marketing. For me, E-mail is probably the hardest channel to reach me through. So, I'm just kind of curious about your path to purchase and how marketing impacts you.
Lisa Slader: So, for me, I'm more about getting the best product for the best deal. So, i do a lot of research first. Typically, Google is my friend. First I'll look at the best item and then where can I get it for the best price. That's usually my path to purchase.
Lori Paikin: Can you share a story about a recent purchase and the way marketers spoke to you and what drove you to make that purchase?
Lisa Slader: Sure. Well, as exciting as us gen Xers are, I was in the market for a new vacuum cleaner. So, I googled, 'best canister vacuum cleaner for hardwood floors.' I got this list and it turned out that the Miele was the best. So then, of course, I look, 'best price on Miele.' It took me to Bed Bath & Beyond. Typically, what I do is if I can get better price on anywhere else than Amazon, I will do that. But if not, I will always go with Amazon.
Lisa Slader: So, I went and I attempted to purchase. I put the thing in and I said, "Oh, let me Google." I went to Coupon Cabin, 'coupons on Miele vacuum.' Of course, none came up. So then I googled, 'coupons for Bed Bath & Beyond.' I get this site and it tells me, 'click here, put your text in, and we'll text you a notification.' So I go through all of that. I get the code. I go back to the website only to find, you cannot use this coupon online. So I say, 'okay.' I'm just going to remember I had a postcard from Bed Bath & Beyond, my 20%. I have a stack of about 100 of them. I said, "I'm just going to go to the store and buy it then."
Lisa Slader: So, when my husband came home from work, we went to the store. I was still not allowed to use the coupon, because it's a brand that's excluded, but I did make the purchase there. This was three days before Mother's Day. Come to find on Mother's Day, my husband felt that was an appropriate gift to give to me. I'm sure that's not an appropriate gift for anyone, not just the gen Xer.
Lori Paikin: It's not for me. So it's funny, as I was listening to you share that. I didn't hear anything about E-mail.
Lisa Slader: Yeah no, I didn't get any E-mails. I actually went back and looked for my Bed Bath & Beyond E-mails, because I know I do get them, but there was nothing regarding what I was searching for and there weren't any coupons
Lori Paikin: Okay, well I'm going to switch back to J real quickly and see if we can get an answer to those trivia questions before, Lisa, I hit you up with a couple questions, as well.
Lisa Slader: Okay.
Lori Paikin: So J, what do you think, what percentage of millennials say they ignore digital retargeting?
J Bentz: My initial thought was 80%.
Lori Paikin: As a millennial, that's crazy to hear. The actual answer is 50%, which is still really high. 50% of millennials say they ignore digital retargeting. How many of them do you think say they have made a purchase due to direct mail?
J Bentz: Initially thought 40%.
Lori Paikin: 75%. So, just so interesting, you hear about some of the stereotypes associated with different generations and just talking with you, just hearing how you think digital would impact the millennials or direct mail and just to learn what those numbers are.
Lori Paikin: So Lisa, for you, trivia questions. What percentage of gen Xers bring the mail in every day? What percentage of gen Xers use promotional offers that they get in the mail? I'll come back to you on that, as well.
Lisa Slader: Okay.
Lori Paikin: One thing that I think is so interesting about this, my mother is 80 years old and she is online. She is on her Facebook page every day. She orders everything online. My son is 24 and he is checking the mail every day. I just find it so fascinating how you hear things about social media influencing millennials or E-mail influencing gen Xers, but we really hear in practice that it's very different and it's multiple channels across the generations.
Lori Paikin: Angie, you and I were at a conference last week.
Lori Paikin: We were actually fortunate to hear a couple of speakers speak on generational marketing. So, I'm just kind of curious what some of your take always from those sessions were?
Angie Arnspiger: The biggest take away was the focus on marketing to millennials. That's the biggest group. That's what all the marketers, this was a room full of CMO's, that's where their plans were. How do you focus, how do you get the millennials to spend? What was interesting is that the speaker of that session said,
Angie Arnspiger: "They're not the ones with the money. Those with the money are the gen Xers. That's where you should be spending your marketing dollars."
Angie Arnspiger: So, they're the ones that have the free money that they're able to spend outside, you know; the clothing, housing, food aspect. They're spending on other things, so I thought that was a very big take away for me.
Lori Paikin: Alright, back to you Lisa. What percentage of gen Xers bring the mail in every day?
Lisa Slader: 75.
Lori Paikin: 86%. What percent of gen Xers use promotional offers they get in the mail?
Lisa Slader: 80%.
Lori Paikin: 68%. So, just super interesting to hear how you guys think about the generations in comparison to what the actual numbers are showing. Just a couple of other really staggering quotes to share with you guys. The average consumer sees 4,000 ads per day. The average marketer uses 13 different channels to reach their audience. The average consumer will have 4.3 devices by 2020. What this suggests to me, and really nicely summarizes the things that you've all said here, that marketing is happening across all channels regardless of what generation you're in.
Lori Paikin: Just in thinking about marketing and the future, I don't think that thinking about generations as a segment to market to is going to be enough. I really think you have to understand the individual path to purchase for each consumer, each customer that you're working with. If it is a combination of social, and E-mail, and direct mail, and display; you've got to figure out what that right path is and talk to them in that way.
Lori Paikin: With that, I guess I would just wrap up by saying path to purchase is complex and spans multiple channels. We need to look for attributes that cut across those generations. We need to be using data, research, interviews to construct those realistic generational personas. This will give marketers that advantage that they're really looking for.
Lori Paikin: So, that will do it for this episode of 'Two Gals and Some Data.' Thanks to our panel and thank you for joining today. If you want to read more from us, check out navistone.com, our blog. If you enjoyed today's show, head over to iTunes and leave us a 5 star review. Thanks for listening.