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Why Travel Companies Should Be Marketing to Xennials.

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  • Aug 19, 2020
  • @xennialtraveler
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Do you know why travel companies should be marketing to xennials? There happen to be many reasons that travel companies should be marketing to xennials.

The first reason being that xennials are a little known, largely untapped niche target audience. 

The xennial generation is a microgeneration, composed of people born from 1977-1985. Xennials identify with qualities of both the millennial generation and also with gen x. What does this mean for the travel industry? That xennial travelers are the best mix of both generations and therefore make an ideal target customer. 

Many gen x’ers are of the mindset that they must save now for the future. While this is partially true, it is not true that you need to wait until later in life to enjoy it. Many xennials, just like millennials have realized this. Xennials have learned to be responsible with money but also to enjoy it while they are young enough to.

So many people are itching to get out and travel again. 2021 gives an opportunity for a new strategy and focus on new markets in the travel and tourism industries.

Another reason to market to xennials? Xennials have more money than their millennial counterparts . They are also more travel forward than their gen X counterparts

Do Xennials Have More Disposable Income than Millennials?

The answer is YES. For starters, they are older, they have had more time to work and invest and just overall make more money. A xennial in her late 30’s for instance, likely has a solid start on retirement. She also may have a savings account with at least  4 figures . She also has a regular stream of income, whether from self employment or traditional W-2 roles.

On top of that, xennials tend to be more responsible with money overall than true millennial’s.They get that from the gen x’er in them and from life experience. Xennials are better at saving money. They are motivated by goals such as travel, to spend their money on.

Xennials are Willing to Spend More Money on Comfort than Millennials.

Xennials have more money and therefore are willing to spend more money than younger millennials. This statement is especially true when it comes to comfort.

It isn’t that we just want to spend money and can be easily convinced. But rather, that we know what we want and aren’t afraid to pay for it. 

 When you have a choice to stay at a hostel where you have a bunk in a common room with 20 other people and a shared bathroom for $20 per night OR you can stay at a mid-tier boutique hotel with comfy beds, free wi-fi and private luxurious bathrooms for $120….where will you stay?

Most of us who identify as xennials can safely say option number 2.

While hostels aren’t really marketing themselves to xennials, some hotels are wasting money on marketing to millennials and gen x separately. What they should be concentrated on is the xennial microgeneration in order to grow revenues.

With the Rise of Travel Influencers, Millennials Have Become the Focus for Many Travel and Tourism Marketers. 

With so many influencers being millennials themselves, they have helped to drive the focus away from other groups to the millennial generation.  Xennials  love to travel too, just like traditional millennials, yet many travel operators are not targeting them.  If you do some searching, you will actually find a fair number of xennial influencers that can better relate to this target audience.

Most marketers haven’t yet realized that the real success is in targeting micro groups such as xennial’s.   With millennial’s being the focus of so many campaigns, they are already getting information overload. By shifting your focus slightly right now, you will be ahead of the curve.

According to a 2020 study by Condor Ferries, Millennial’s spent $200 billion on travel in 2018. 33% also plan a spending budget of $5000+ on their vacations.

With stats like these it is no wonder that tourism marketers hone in on millenials. At this point in time, there is little research available on xennials as a target audience. It is important though to keep in mind that the oldest millennials are part of the xennial microgeneration. Which means, a percentage of that impressive number above is directly attributed to travelers born between 1977 and 1985.  

Xennials love to travel just as much as millenials. They also have more money as an older generation. Why wouldn’t travel companies be laser focused on this age group? They bring the best of both worlds when it comes to the travel and tourism industries.  

Xennial Target Customers.

Xennials are the only group who truly understands the technology revolution. They understand where we came from vs. where we are today. 

 Sometimes referred to as the Oregon Trail generation, xennials remember the old DOS based Apple computers of the 80’s.

They saw the transition from the cassette tape to the CD. From the CD to digital MP3, then MP4 and also online streaming.

Xennials remember the birth of the internet. They were the first generation to adopt modern day cell phones. They know and appreciate all of the other technologies that gen z and millenials take for granted.

Because they remember the good old days before technology, xennials can still appreciate being unplugged. But, because they grew up during the rise of tech, they also appreciate modern technology in ways that most gen x’ers can’t.  

They may actually be the easiest age group to target. Because they are the best of both worlds, they actually respond well to almost all marketing sources including print, television, social media, paid ads, etc.

If you know your target customer, using just about any medium will achieve your goals of reaching your xennial target market.  

Should You Target Xennials in Your Marketing Campaigns?

I am not suggesting that you stop marketing to millennials or gen x’ers.

What I am suggesting is that if it fits your  business model, to start doing a deep dive into the statistics of your own customers and digital (website, social, etc.) visitors. This will help to determine if the xennial target market is something that makes sense for you. 

According to Solo Traveler World, a xennial traveler (currently 35-43 years old) currently falls right between millenial and gen x travelers. The one area where xennial travelers seem to focus their attention is in the food and beverage arena. 

As a marketer,this would be an area to explore further when developing your campaign around xennials.  

Where Travelers Spend Their Money, Courtesy of Solo Traveler World

Obviously since it is a subset of both larger generations, you are likely spending money on targeting the xennial group already. However, getting more niche specific may give rise to new customers, guests, clients, etc. that otherwise may not have seen you.

By narrowing your market, you may  find that you see an increase in traffic and shortly after, an increase  in revenue.

Xennials as a group have been gaining more visibility the last few years and are slowly becoming the focus of marketers.  

Click here for more information or to  learn more about why travel companies should be marketing to xennials and why you should follow suit.