What: Boomers are the wealthiest customer generation for now, and should be the focus of all retailers.

Why it is important: This is exactly what was discussed at the last IADS CEO meeting.

The article discusses how Baby Boomers continue to significantly influence consumer spending, despite earlier beliefs that their impact might wane. While Millennials and Gen Z face financial constraints like student loans and lower-paying jobs, Baby Boomers remain a powerful consumer force. Historically known for their high spending habits, Boomers have shifted from their youthful idealistic values to a more consumption-driven lifestyle, often living on credit and home equity loans.

Despite the financial crisis of 2009 and the disappearance of rich pensions, the value of Boomers' homes generally increased, and they still possess significant wealth, partly due to expected inheritance. Businesses are advised to target this demographic, as Boomers account for a major portion of U.S. consumption today, in contrast to younger generations who are cutting back due to financial pressures.

The article notes that while many Boomers are affluent, enjoying comfortable retirements and home values, there's also a significant portion who are not as financially secure, relying on Social Security and small pensions. However, the spending power of the wealthier Boomers is still substantial, impacting sectors like travel, home improvement, healthcare, and entertainment.

In contrast, industries like fashion and children's products might not see as much spending from Boomers, though they often spend on their grandchildren. The eventual passing of wealth from Boomers to younger generations is acknowledged, but there's a hint of uncertainty about how much will be left, considering Boomers' ongoing spending habits.

The Boomers are not done booming