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Generational Differences Among the Users of Services

Author(s): Iliyan Boychev
Subject(s): Economy, Business Economy / Management, Marketing / Advertising, Socio-Economic Research
Published by: Университет за национално и световно стопанство (УНСС)
Keywords: sales; generations; values; users; services
Summary/Abstract: In an attempt to understand people, their behavior, beliefs, values, and views, in the early 1990s, Americans Neil Howe and William Strauss first presented the theory of generations and the differences between them. They formulated the thesis that historical events and subsequent changes influence and shape certain generational characteristics. Each generation represents a kind of era that lasts about 20 – 30 years, but given the fact that each subsequent era is more dynamic than the previous one, the time frames of the periods are shortened, and the differences and changes are becoming more tangible and intense. Although this theory has its critics, today it is widely used in business as a tool for categorizing types of users. Based on the different generational characteristics, companies develop their strategies and plan their approaches related to achieving commercial results and realizing the set goals. Different generations – Baby Boomers, X, Y (Millennials), Z and Alpha – demonstrate clear differentiation in terms of preferences, attitudes and expectations towards the services they use. These differences are determined by socio-economic conditions, technological advances and cultural context, characterizing the time period of personal growth and maturation of each generation. Understanding generational differences is an important condition for adapting a business to the services market in relation to the implementation of more effective marketing, higher quality and long-term sales, higher customer satisfaction and more accurate targeting of services.

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