Study shows targeting 18-34 year olds can pay off

In a surprising turn, a new study indicates that there are more young adults (under 35) with six-figure incomes than there are older adults (over 54) with six-figure incomes. The younger demographic is also spending more money, meaning that marketers targeting older groups could be missing the revenue boat.

by Kristina Knight

The Media Audit surveyed 23 million adults in 87 metropolitan markets and found that 6.2 million adults (26%) between 18 and 34 are making $100,000 or more. The over-54 age group accounts for only about 19% of six-figure households. Roughly 60% of the young-with-money group are men and about 40% are women; women are also better educated.

Bob Jordan, president of International Demographics for TMA said, "Fifty-six percent of 18-34 year old women earning $100,000 or more have one or more degrees. Just 46 percent of men in the category have one or more college degrees."

Still, men are reaching the $100,000 income mark quicker than women. Women, however, seem to be making more large purchases, like homes, than men.

Of racial groups, 58% in the $100,000 income range are Caucasian, 15% are Hispanic, 12% are Asian and 9% are African-American.

What all of this indicates is that profiling and targeting the younger demographics for both large and small purchases could be in marketers' best interests. With more expendable cash for homes, vacation properties, expensive cars and other accessories the younger demographic could hold the future for many online marketers.