Customer Satisfaction: A Guide to Generational & Intergenerational Marketing

Customer expectations are growing, with an increasing demand for personalized experiences and financial solutions tailored to their unique needs. To succeed in this competitive environment, Financial Institutions need to embrace a customer-centric approach.

So, how is possible to achieve this customer focus? Two key marketing approaches offer valuable insights: generational marketing and intergenerational marketing.

Generational Marketing

*The term "generation" has two meanings. Traditionally, it refers to family relationships. However, it can also be used to refer to social generations: groups born around the same time who share similar cultural experiences due to historical events.

Generational marketing focuses on tailoring messages and channels to resonate with specific age groups, recognizing the shared values, preferences, and financial goals shaped by their unique experiences. This approach can be effective in reaching targeted audiences and building brand loyalty among specific demographics.

Generational marketing offers valuable insights into the characteristics and financial needs of different age groups:

Baby Boomers (born 1946-1964): This generation values brand loyalty and trust, often relying on traditional financial institutions and advisors. They appreciate clear communication and prioritize security in their financial products. Savings accounts, Certificates of Deposit (CDs) in the U.S or Guaranteed Income Bonds (GIBs) in the UK, retirement planning products, and long-term care insurance are common choices. Marketing efforts for Boomers should leverage traditional media alongside social media platforms like Facebook.

Gen X (born 1965-1976): This generation appreciates a blend of traditional and digital experiences and prioritizes family time. They are skeptical of marketing, they value straightforward and honest communication from brands, reflecting their pragmatic approach and preference for transparency. Individual Retirement Arrangements IRAs for U.S citizens or Personal Pensions for people for British (PPs), 401(k)s (tool for saving for retirement in the US), investment accounts, and budgeting tools are popular financial products. An omnichannel marketing approach that combines traditional media with online tools like email and social media can resonate with Gen X. Building trust through data and customer reviews is key.

Millennials (born 1977-1995): While tech-savvy, this generation came of age before smartphones and constant internet access, they prioritize experiences and value social responsibility. They are brand-conscious and seek authenticity in their financial partners. Mobile banking apps, robo-advisors, student loan refinancing, and socially responsible investment options are of particular interest to Millennials. Social media marketing, user-generated content, and a mobile-first approach are crucial for reaching this generation. Emphasizing social good and brand values is effective.

Gen Z (born 1995-2010): A digitally native generation, social media and mobile technology are perceived as “necessary” in their daily lives. This generation is highly skeptical of advertising and values individuality and social causes. They expect seamless online experiences and are highly conscious of visual content. Peer-to-peer payment apps, budgeting tools with gamification elements, and early investing options are of interest to this generation. Short-form video content, interactive experiences like AR/VR, and user-generated content campaigns can be effective marketing strategies. Transparency, authenticity, and social justice advocacy resonate with Gen Z.

While generational marketing focuses on the unique needs of different age groups, it’s essential to consider how these groups interact and influence each other. This is where intergenerational marketing comes into play, providing a more holistic approach.

To summarize

Intergenerational marketing

Also known as multigenerational marketing, goes beyond targeting specific age groups.

It recommends that brands consider all aspects of the data to create omnichannel programs that bring greater levels of personalization and engagement. It emphasizes creating a narrative that reflects how generations influence each other's preferences and purchases through their interactions.

This approach encourages seamless experiences across all channels, from mobile apps to online banking platforms to in-person consultations.

At Orka we believe that a successful customer-centric strategy extends beyond just marketing tactics. We embrace technological innovation and digital marketing as a whole, this way we can acquire new customers and cultivate long-term relationships, ensuring sustainable growth.

Orka’s recommendation: Customer-centric marketing with a Multi-Generational Focus

While both generational and intergenerational marketing offer valuable insights, the most effective strategy for Financial Institutions is in a combined approach that includes the strengths of each.

The best recommendation is to utilize data analytics to craft targeted social media campaigns for each generation of users, and develop seamless experiences across all channels, ensuring every customer interaction is both consistent and personalized. Embrace technological innovation and holistic digital marketing strategies to acquire new customers and foster enduring relationships.

A customer-centric approach that prioritizes customer satisfaction and loyalty is the foundation of success in the digital age. By focusing on customer needs and providing exceptional service, Financial Institutions can cultivate a loyal base that drives long-term profitability. Satisfied customers are more likely to return for future transactions, recommend the financial products to others, and generate positive word-of-mouth, all of which contribute to sustained growth.

Financial Institutions can utilize generational marketing to create targeted campaigns within their broader intergenerational framework. This ensures that they effectively address the needs of diverse customer segments while also fostering a sense of community and shared financial goals.