senioreconomy

Understanding the Senior Economy: 

Understanding the Senior Economy

Senior Resource Alliance of Cape Cod and the Islands 508-778-5761 www.sracci.com: 

Senior Resource Alliance of Cape Cod and the Islands 508-778-5761 www.sracci.com

Importance of Understanding Senior Needs: 

Importance of Understanding Senior Needs As important as understanding the senior economy for your business It is equally important to understand the individual needs and wants of the seniors you deal with

An Aging America: 

An Aging America In 1900, 1 in 25 Americans was a senior 2005, 1 in 8 2020, 1 in 6 2030, 1 in 5 and will remain there through 2050. The Oldest Old (85+) The fastest growing segment of the American senior population Today: 4.2 million 85+ By 2050: 19.3 million 85+ Result : Need for healthcare and related services is exploding

Why are we here today? : 

Why are we here today? Do you know who the fastest growing demographic is? Who spends the most money on luxury travel and new cars? Who accounts for more than 70% of all pharmaceutical sales and 25% of all toy sales?

If you can …: 

If you can … Address the expectations of seniors Satisfy the needs of seniors, and Meet their expectations Then your business will grow and prosper

What’s in this workshop for you?: 

What’s in this workshop for you? If we’re successful today, then you should be able to: Describe/explain at least 3 significant factors about seniors that affect your businesses Explain how you can refocus your businesses to meet the needs of seniors Explain how & whom to contact in the SRA Use and apply the materials in your business

Key Demographic Trends: 

Key Demographic Trends Improve your planning with analysis of key consumer economics and demographic trends affecting consumer activity. Consumer activity is the key driver of your business and understanding the changing trends that are affecting consumer behavior is critical to your success. Understanding consumer activity means better planning, with fewer surprises, and increased top-line growth.

Some surprising trends : 

Some surprising trends 70% 60% 74% 41% 24% 80% 42% 26% Of all money market accounts and certificates of deposit Of all health care spending Of all prescription drug purchases Of all new car purchases Of all toy purchases Of all luxury travel-top leisure activity for men & women Of all museum visitors are 55 or older Higher per capita income than national average

Trends in Aging: Summary: 

Trends in Aging: Summary Knowing the key trends that will shape the next decades is a first step to helping your clients create optimal futures. As a navigational consultant, you can provide tools: Facts Resource Experience Tools that help your clients and their loved ones chart paths in life. How we work with one another and how we can work with you .

How to Sell & Connect with Seniors: 

How to Sell & Connect with Seniors Every 7 seconds, someone turns 50 years old With 76 million U.S. baby boomers making buying decisions now the potential & growth from this group is enormous. “Simply based on population growth trends if product is marketed to 50+ audience & maintains market share,sales should increase by 35% to 50% in next 20 years. Conversely, a brand targeted at zero to 50 age group will be flat sales.” Rick Adler, Founder of The Senior Network

Boomer factoids you need to know: 

Boomer factoids you need to know They view themselves as younger than they really are (by 20 years) They live active lifestyles and travel is high among their favorites They love discounts and aren’t afraid to ask for them They grew up with TV and a very knowledgeable about advertising They are connected and comfortable with technology They are healthier, more active and expected to live longer than their parents Researchers asked boomers what they like to be called. There was NO CONSENSUS. Terms such as “active adults”, “mature,” “older adult,” “ 50 plus,” and even “middle-aged” and “baby boomer” were deemed inappropriate.

Things to remember about doing business with seniors: 

Things to remember about doing business with seniors Don’t view them as an aggregate cluster Don’t assume they are brand loyal Give them the facts on how your product or service makes their lives better Never hype or overly exaggerate claims Use images they relate to – they tend to be nostalgic, evoke positive memories, while connecting to current lifestyles

More things to remember about doing business with seniors: 

More things to remember about doing business with seniors Watch how you refer to them – they don’t like being called “old” – in any form Sell experience and benefits that come with your product or service Reach out to them in places where there is a high level of comfort Use language they can connect with They don’t relate well to scare tactics Stress the values that they relate to

Remember when connecting with seniors: 

Remember when connecting with seniors It is important to visualize them as vital & active people. Eliminate old stereotypes of age Use images of people who show best years of lives ahead of them. JoAnn Hines, May 24, 2005

What are boomers saying about turning 60?: 

What are boomers saying about turning 60? Personal goals for the next 10 years? 10% mentioned spending more time with loved ones 87% taking better care of my physical health 72% wanted to spend more time on interests & hobbies 71% doing the things I have always wanted to do If someone gave them the perfect gift for their 60th birthday, what would it be? 23% could be called lifestyle gifts (first) 19% involved family ties and relationships (second) 10% spending time with their spouses, children & grandchildren 16% personal well-being. (third) 60 –year-olds were most likely to wish for better health or to be able-bodied (11)%

Before we proceed, think about your service or product : 

Before we proceed, think about your service or product Make “Action Notes” What you know about your target market then consider how to adjust your marketing to -meet the preferences & attitudes of this powerful demographic.

Overall significance of the study:: 

Overall significance of the study: Boomers turning 60 in 2006 remain substantially satisfied with their lives Nearly all have some substantial life change they want: -87% take better care of their physical health -72% spend time with hobbies & interests -47% do more volunteering Work will continue to play a major role in their lives: -54% of 60 year olds (compared to all boomers) plan to go back to work in the next few years. Over half of those working now (54%) plan to quit working ASAP. -37% plan to work “until I drop.”

60 year-olds asked about changes in next few years: 

60 year-olds asked about changes in next few years 57% do more traveling 45% save more aggressively for retirement 47% do more volunteer work 30% planned to move 18% planned to move to a smaller home

After considering the findings of the AARP Study released in June 2006 : 

After considering the findings of the AARP Study released in June 2006 What can you do to step up your marketing? “These studies are valuable to every business owner who wishes to capture the boomer consumer, because understanding the attitude & preferences of this target market demographic enables you to structure your marketing , advertising & promotions to speak to the beliefs and desires that will attract boomers to your business.” Jennifer Kalita, “Why Consumers Turning 60 Matter to Your Business: What Recent Research Suggests”, 2006

Boomers want… : 

Boomers want… Action – packed retirement Some want to continue to work Boomers want -more activity -more amenities -more friends “This generation wants to continue to rock and roll, not sit in rocking chairs.” Dave Schreiner,VP Pulte Homes “55-75 year-olds estimated to reach 80 million-plus by 2020, the active adult market represents one of fastest-growing segments in the housing industry.” Dell Webb Baby Boomer Survey,2005

A viable strategy for seniors: 

A viable strategy for seniors Home design trend benefits seniors Accessibility is the key Aging in place is the goal Concept: universal design is the path to achieving the goal. Universal design: involves creating products, environments & communications that all people can use, not just those with current disabilities.

Practical application-universal design: 

Practical application-universal design Industry professionals recommend minimum standards to improve access, prevent falls and increase comfort of your home Non-slip surfaces on entryways, stairs, kitchen & bathtubs Handrails at all steps Grab bars in showers & beside toilets Benches or built-in seats in showers; stools in kitchens Open floor plan, especially kitchen & dining area, 36 inch –wide doors Single-level main floor that includes master bedroom & bath Eliminating, or limited use of, steps to enter the home Bright, efficient lighting in all areas Lever-style door handles

Active Forever: 

Active Forever Today’s mature consumer is more empowered than ever before to research and demand the products they need to maintain an active, independent lifestyle, despite any health challenge. “ The products and approach serve an existing, untapped need.” Illness is no longer a roadblock to independent, active living; it’s simply a challenge that can be overcome by empowered individuals who have the information and products they need.

How to communicate with seniors with print materials: 

How to communicate with seniors with print materials Every business needs printed materials that sell your product or service, and sell it well. Key work is See - By 2010, 20 million baby boomers will face age-related vision loss and functional vision problems. Make it easy to read: font size, clear, crisp & concise Type –size must be larger than normal. Use 12 pt type and larger Use an appropriate type-face such as Times New Roman. Never use only upper case letters. Make generous use of bullets or numbered lists Include images of single women since many of your audience will be widowed or divorced women. Choose colors carefully-use dark type on a light background. This provides contrast that older eyes need in order to see well.

Electronic Marketing: 

Electronic Marketing If you want to reach affluent, well-educated seniors, add online and email marketing. The percentage of seniors who go online has jumped by 47 percent between 2000 and 2004, making them the fastest growing demographic group on the WEB. (the Pew Internet & American Life Project, 2004) Demographics of Internet Users –Who Goes Online? Age 50-64 58% 65+ 23% Household income $50,000-$75,000 86% $More than $75,000 89% Source: Fox, 2004. N=2204. Margin of error is +/- 3%, at 95 % confidence level.

Senior-Friendly Web Sites : 

Senior-Friendly Web Sites Some Web designers emphasize good looks rather effective functionality for a variety of users. People with physical, visual, hearing, or cognitive and neurological disabilities may encounter accessibility problems of Web sites. Basic tips to make your site senior-friendly: High contrast Minimal graphics Captions on tables Large text Easy and consistent navigation Use search-engine-friendly text

Why are Senior website visitors special?: 

Why are Senior website visitors special? Once a person enters the “retiree” demographic, he/she will be a member for life (rather than teens moving to 20s to 30s, etc. ) There are currently more than 76 million seniors and over the next 20 years More than 70 million baby boomers will join the “senior” rank. This represents unlimited opportunity to expand your company’s brand. This consumer group has the most disposable income with the greatest buying power; interested in new services to enhance their lifestyle and is currently the largest consumer in more product categories than any other market group.

Web sites targeting boomers : 

Web sites targeting boomers 10,000 people turn 50 every day Boomers: 1 of 3 of 195.3 million US users online “despite the fact that they spend more online than the average web customer, there have not been very many web sites targeting boomers directly, until recently”. BusinessWeekOnline, September 25, 2006

Boomer Websites : 

Boomer Websites AARP will be adding an online social networking component in 1st quarter 2007 EONS site dedicated to those living life after 50. “EONS.com is “a celebration of turning 50 and moving forward living to be 100” . Jeff Taylor founder Monster.com who launched EONS.com. SecondPrime.com launching in 2007 is a resource for tapping the potential of the years after age 50 BabyBoomerTrips.com launched to provide travel deals for 78 million traveling baby boomers.

Boomer websites summary : 

Boomer websites summary “Building a 50+ friendly web site does not mean that you have to alienate a younger audience. When implemented correctly, you have it both ways.” David Weigelt “Boomers are to date under-represented on the web, despite the fact that there are more of them online and they also happen to spend the most.” There is a white paper that explains how to structure your web site to win with boomers. BusinessWeekOnline 9/25/06

Fast Fact-Adults 50 and older Switching from Traditional Media to Internet : 

Fast Fact-Adults 50 and older Switching from Traditional Media to Internet 67.5% say online information is more accurate 60.7% use internet more than a year ago 34.5% go to more websites 35% seek out travel information 33% education 32% online purchases 22% personal finance & entertaining 77% search for healthcare information Less time: reading magazines 36.6% listening to radio 44% watching TV 43.6% Survey by Burst Media MarketingVOX, Jan. 2006

Fast Facts, Boomers, Internet, Eldercare.: 

Fast Facts, Boomers, Internet, Eldercare. Who is the nation’s leading provider of internet referrals to eldercare providers? Eldercarelink Eldercarelink says almost one million people who visited their site last year found them through which search engine? Google & Yahoo.

Trends from ElderCarelink’s data:: 

Trends from ElderCarelink’s data: “Baby boomers who are faced with important decisions regarding their parent’s care are more comfortable using the internet to research and explore their options”. Robert Brooks, ElderCarelink’s CEO Majority of assisted living service requests are by women for their mother & father. Increasing demand for in-home care providers -seniors often want to stay in their own homes as long as they can.

Towns with oldest residents in MA: 

Towns with oldest residents in MA Source: 2000 US Census According to 2000 census data, nearly 35% of the Cape year round population is 55 or older, compared with 22% statewide.

Eleven of Cape Cod’s 15 towns are among the state’s top 20 communities when it comes to the age of their residents.: 

Eleven of Cape Cod’s 15 towns are among the state’s top 20 communities when it comes to the age of their residents. This statistic underscores the need for Cape Cod businesses to hire 55-plus employees not only to meet labor needs, but to serve an older and wealthier customer base. Even more striking than the age of Cape Cod’s population is how fast this trend has developed. In 1990 Falmouth had the 48th oldest population; by 2000 it had the 20th oldest. Brewster had the 32nd oldest in 1990 and the 14th oldest 10 years later. Demographics anticipate that the population will be older still when the 2010 Census is completed.

Ten Tips to a Senior-friendly Office: 

Ten Tips to a Senior-friendly Office 1. Control office noise. 2. Comfortable seating is critical 3. Have adequate lighting. 4. Control the room temperature. 5. Deal with privacy concerns. 6. Time for a break. 7. Control the use of time when possible. 8. Use senior-friendly office decorations. 9. Provide clear directions to your office. 10. Beware of potential causes of accidents.

Ethics in doing business with seniors: 

Ethics in doing business with seniors Ethical concerns in serving the senior market Seniors are the most frequent targets of financial abuse. Benefits of ethical behavior when dealing with seniors “80% of people say they decide to buy a firm’s goods or services partly on their perception of its ethics.”2003 Survey, Withlin Worldwide. What can do you? Build a strong, solid business on the foundation of your ethical, responsible, caring professional Focus on making ethical decisions in your business You will build a reputation as the kind of person seniors want to do business with.

How to become a resource to seniors?: 

How to become a resource to seniors? Get information on senior issues. You are successful if you can find solutions Work with complementary professionals who have expertise working with seniors.

Working with Complementary Professionals: 

Working with Complementary Professionals

Conclusions:: 

Conclusions: Seniors represent a large and growing segment of anyone’s market. Knowing how to do business with seniors will differentiate you from the competition. The most important tool in your marketing and sales arsenal is you reputation as an honest, ethical and helpful professional. Knowing how to serve seniors will grow your business.

So…Why are we here today? : 

So…Why are we here today? SRA is not here to tell you how to sell your product or service. We are here to assist you with information - to better Understand the SENIOR ECONOMY & be a resource to Seniors so you can make better business decisions. The end result- your business will grow and prosper.

Celebration of turning 50: 

Celebration of turning 50 Instead of saying “senior”… let’s begin now by saying “50+” …by celebrating turning 50 and celebrating the second 50 years

Longevity –It’s a celebration of life: 

Longevity –It’s a celebration of life “This is the first time in human history that the prospect of living a long, healthy, and productive life has become a reality for the majority of people in most parts of the world. What was once a special advantage of the few has become the destiny of many. And it is likely that this increase in longevity will continue. As important as is liberation by health, as powerful as is liberation by law, older people must be liberated, too, from stereotypes that limit their horizons. We are in the midst of the wonderful world of longevity. It is in our power to make it a celebration.” Robert Butler, 2001

Senior Resource Alliance of Cape Cod and the Islands: 

Senior Resource Alliance of Cape Cod and the Islands It’s all about: Finding Answers Creating Solutions Thank you for joining us today

Keith McManus, Esq.McManus, Norton & MacNamee, PC: 

Keith McManus, Esq. McManus, Norton & MacNamee, PC INTRODUCTION OF SRA MEMBERS And QUESTIONS & ANSWERS

Senior Resource Alliance of Cape Cod and the Islands508-778-5761  www.sracci.comContact us if you need helpFinding Answers…..Creating Solutions: 

Senior Resource Alliance of Cape Cod and the Islands 508-778-5761 www.sracci.com Contact us if you need help Finding Answers…..Creating Solutions

Understanding the Senior Economy: 

Understanding the Senior Economy Presentation prepared by Kathey Hickey Fulham, CPA, MST Certified Public Accountant Master of Science in Taxation Certified Public Accounting practice in the village of Osterville 7 Parker Road Osterville, MA 02655 508-420-3456 www.KatheyFulhamCPA.com