They’re not part of the 99% or the 1% or the 47%. They’re not part of the East Coast Elite or the Bible Belt or the Sun Belt or the Rust Belt. They’re nurses, office administrators, housekeepers, entrepreneurs, waitresses and stay-at-home moms. They’re told they’re part of the middle class, but they sure don’t feel like they are. They’re part of a growing class of people in this country making between $30K and $50K a year, aren’t eligible for government assistance (and wouldn’t take it even if they were), are married with kids, and are working their butts off to make things work any way they can.
According to new research released today by Cramer-Krasselt (disclaimer: I work there), more than 75% of lower-middle income moms are more likely to identify themselves as part of a new group called the “Hard-Working-Class. These are people, specifically working moms, who don’t identify with the any of existing consumer segments. They’re technically middle-class, but middle-class doesn’t reflect their reality.
“I’m technically middle class, but I don’t feel that way. If you’re middle class, you should be able to have a home, be able to save for college. I’m barely able to make ends meet. Every day is just a struggle.”
The study found that these moms are re-defining themselves into a new social class and social mindset. For marketers, these moms don’t represent just a new, sizable consumer segment, they wield a lot of influence within their families and with their friends. And while they are price sensitive, they also have many smart strategies for making ends meet.
- They use coupons…a lot
- They like/follow/subscribe to brands in social media…if there’s a deal involved
- They get together with friends…to share and trade clothes, food, and coupons
- They use coupons to save money…but also to get that feeling of “getting a deal”
- They buy generic brands…but will spend more for “tried-and-true” brand names
Marketers have to not only better understand this new segment of consumer, they have to find out how to help them. It’s not just about getting these “masters of making it work” to buy your products, it’s about identifying ways to help them out. They’re looking for brands to do more than just offer them a deal or a coupon. They’re looking for acknowledgement, recognition, and most importantly, support.
For members of this hard-working class, they use online communities, forums, Facebook, and Pinterest to create these communities and support systems and conduct the research that allows them to make their dollar work as hard as possible for them. For brands, social media allows them to connect with these moms…if they can stop the hard sell and be helpful and supportive.
- Go where they are. Hard-working class moms realize they can’t do it all by themselves. That’s why they’re constantly scouring message boards, forums, and other social media for tips, tricks, and deals. Rather than creating your own branded online communities, consider first actively participating in existing unbranded communities by answering questions, solving problems, and offering discounts to those who need it. Why do you think Best Buy employees frequent online electronics forums or car brands actively participate on top auto blogs? Not to drive customers to a branded site, but to solve problems and answer questions where they already are.
- Instead of begging for likes, ask for feedback. Stop using social media to grovel for likes and instead use it to ask what your brand can do to help these moms. Is it making smaller, less expensive SKUs? Is it offering payment plans? These moms have been misunderstood by brands for years. Use your social media channels to ask them for their thoughts and really understand their situation. The trick then, of course, is that you have to actually do something with this feedback once you get it.
- Help her use what she already has. Take a page from Patagonia, who explicitly told their customers that they didn’t have to buy a new jacket just because it was the holiday season. They realized that by helping their customers understand how to do more with what they had, they actually increased loyalty and sales.
- Demonstrate the versatility of your products. Campbell’s has realized these moms are always thinking of ways to stretch their budget so they are helping customers understand new ways to use their products. Their Chunky Dinner Creator allows moms to stretch that one can of soup into a whole dinner for her family. Brands should use social media to demonstrate unique uses of their products and encourage their customers to share their discoveries too.
- Evolve the coupon. Brands have used coupons to instill customer loyalty by offering a discount. But these women aren’t looking for handouts – they’re looking for hand-ups. They’re looking for more value, not just lower prices. What if brands flipped the coupon and instead of lowering prices, they offered more value at the same price? What if brands took all that big data everyone’s talking about to identify and reward their loyal customers with insider access, limited edition products, or sneak peeks into new plans?
- Show how your products work in conjunction with others. Are you a fashion brand? Use Pinterest to show these moms how your shirts, pants, or accessories can be matched up with other clothing items they may already own. A food brand? Help them craft entire meals for their family. A car brand? Instead of talking about horsepower and torque, show how your cars can fit a soccer team’s equipment in the trunk or how kids can stow their toys in the backseat.
What do you think? Has the term “middle-class” become an anachronism? Is it too broad to actually mean anything to anyone? Do you know anyone who identifies more with the hard-working class? Do you?