Video: What Are Cohorts in Marketing?

What Are Cohorts in Marketing?

Cohorts play a very important role in the world of marketing. Learn about what cohorts are in relation to marketing with help from an employee recruiter and trainer in this free video clip.

Video Transcript

Hi, I'm Alexis Guerreros. I'm a business consultant. Today, I'm going to talk to you a little bit about cohorts as far as marketing is concerned. Now a cohort is people that are defined because they're within the same age group. Now I'm sure you've heard the term demographic before. Now demographic could mean anything. It could be split in any way. A cohort is something that's a little bit more defined by what shapes those folks within that group of ages. So one way to consider it or probably the easiest way to understand it is I'm sure many of us have heard the term baby boomer which is anyone that was born between 1946 and 1964. Now while that's one demographic or one generation, what you will find is there were actually a baby boomer 1 and a baby boomer 2 and those are cohorts. And what the difference is is these are the folks that were born within the first phase of the baby boomer generation and these are the folks that were born within the second phase. Now, while each of them share a lot of same characteristics, if you're marketing to them the difference is or one way to understand the difference is the folks that were born within the first phase of the baby boomer experience had the general feeling that life was going to continue to progress and get better so there was a general understanding or there was a general feeling certainly the way in that they live their lives and that they were marketed to is that everything was going continue to get rosy and so much better and you know economic expansion. So they were able to save and purchase because they felt, I'm sorry they weren't able to save, they were actually able to purchase and spend more than they were saving because they felt, "don't worry, as time progresses I'm going to get more and more money." The cohort of the second baby boomer group acted a little differently, although they had the same end result which was buy now, spend now, save later. The reason for that is because they came out of Watergate and Vietnam and those experiences let them know that, "hey, things are getting worse, so you might as well spend, spend now while you can because if anything changes I could always get a different credit card or different loan; buy now while you have the opportunity because anything can happen." So just a little bit different switch in mentality, really still the same result but if you're marketing to those folks you're probably going to want to culture your message to the folks that you're trying to, or the cohort that you're trying to market to. So that's an easy way to understand it that although within the baby boomer demographic, there's a couple different phases through it and those phases are the folks that were born within the same period of time or share that age and that's called a cohort. So good luck with your marketing efforts.

What Are Cohorts in Marketing?

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