Mass Affluent Baby Boomers Demographic Profile
Most baby boomers are white, married, with at least a bachelor's degree, and usually between 55 to 65 years old.
Overall Baby Boomer Demographics:
- Ethnicity: white — 72%, Hispanic — 11%, black — 11%, Asian — 5%, and other — 2%.
- Marital Status: married — 66%, divorced/separated — 18%, widowed — 7%, or never married 10%.
- Male Education: Have not completed 9th grade — 4%, HS incomplete 6%, HS diploma 31%, a college degree — 25%, and a university degree — 33%.
- Female Education: Have not completed 9th grade — 4%, HS incomplete 6%, HS diploma 30%, a college degree — 28%, and a university degree — 31%.
- Male Labor Force: civilian employed — 59%, armed forces — 2%, unemployed — 39%.
- Female Labor Force: civilian employed — 49%, armed forces — 2%, unemployed — 49%.
- Median Household Income: 70,680
- Boomers Income: Under $25,000 — 27%, $25 — 50,000 — 26%, $50,000 – 100,000 — 32%, $100,000 – 200,000 — 12%, over $200,000 — 3%.
- Baby Boomers who are between 55 and 65 account for nearly half of all baby boomers (37,818,000 born between 1956 and 1964 vs 38,002,000 born between 1946 and 1955).
- Baby Boomers represent 70% of the U.S. disposable income.
- The wealthiest Baby Boomer markets (by average investable assets) include Jackson WY — $1,5 million, Bridgeport/Stamford/Norwalk, CT — $1,4 million, San Jose/Sunnyvale/Santa Clara, CA — $1,1 million, Naples/Marco Island, FL — $1 million, San Francisco/Oakland/Fremont, CA — $900,000.
- Quality is important to the mass affluent Boomer, with nine out of 10 saying they are more likely to value quality over brand name.
- 73% of mass affluent boomers own a smartphone.
- Boomers at the higher income level prefer experiences over things, with 73% of them saying they prefer to spend money on experiences.
- Mass affluent baby boomer future spending: 40% — travel, 32% for house improvement, 22% for home furnishings.
- Leading-edge Boomers (born between 1946 and 1955) spend 40% more year over year. Trailing-edge Boomers (born between 1956 and 1964) spend 26% more year over year compared to other generations.
- A DMN3 study found that search engines are the most effective online channels for reaching Baby Boomers.
- Boomers between 55 and 65 are more like to work part-time in retirement compared to older Boomers.
- Boomers between 55 to 65 are less likely to be influenced by social media than older Boomers.
- The mean net worth for a Baby Boomer that is between 55 and 65 years old is $1,167,400. The median net worth is $187,300.
Baby Boomers and Banks
- 67% of mass affluent Boomers don’t trust mobile devices for making transactions.
- 84 % of mass affluent Boomers “value a knowledgeable financial broker or adviser who they trust” when making financial decisions.
- Boomers at the higher income level prefer experiences over material things, with 73% of them saying they prefer to spend money on experiences.
- According to Gallup, only one in three baby boomers are fully engaged with their primary bank, meaning surveyed customers reported feeling a strong connection to their bank and are true believers in the company, while two in 10 are actively disengaged, reporting a negative connection to the company. On the other hand, nearly half (46%) are indifferent, reporting feeling simply satisfied.
- More than 80% of mass affluent boomers and Millennials find a bank’s reputation very important, whether they are choosing a financial institution or are making product decisions.
- 39% of Boomers (out of the 41% of mass affluent) are in “Generation Digital” — consumers who are deeply digital, actively integrating online and social technologies into their lives.
- Nearly half of mass affluent baby boomers would favor a digital wallet over a traditional bank app.
- Mass affluent baby boomers want to be recognized in-branch and online as important customers.