Cohort Effect

The cohort effect is the tendency of members of generation to be influenced and bound together by significant events in their formative years. The effect of video games caused a cohort group in those raised in the age of video games. The generation gravitates to activities that provide constant entertainment and immediate gratification. The significance of the cohort effect for marketers lies in the understanding the general characteristics of the Video Game Generation as it responds to its life defining events.

Special events are a natural cohort, and marketing teams are quick to seize upon them for promotional gain. For example, people attending a concert of some note will often feel as though they were present for something that was meaningful in their lives. This cohort creates an opportunity to promote and sell items that commemorate the event and focus on the concert as a defining moment.

Shared experiences can account for valuable marketing cohorts that bank on the consumer's desire to remain a part of the past. Marketing professionals may use such an experience as a cohort to identify segments of the population who may be more receptive to financial products like bank accounts, gold shares or life insurance.

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