AMA presentation 9 27

Marketing to The New 50+ Population:It’s Not Your Parents’ 50+ Population: 

Marketing to The New 50+ Population: It’s Not Your Parents’ 50+ Population American Marketing Association Marketing Research Conference September 27, 2005

Does this look familiar to you?: 

Does this look familiar to you? Which group includes your age? 18-24 25-34 35-49 50+ What’s wrong with this picture?

The 50+ market is NOT monolithic: 

The 50+ market is NOT monolithic As complex and diverse as younger groups Includes three distinct generations! GI Generation (Before 1925) Silent Generation (1925-1945) Leading Edge Baby Boomers (1946-1955)

A word about demographics: 

A word about demographics 82 million are 50 or older -- 28% of the population By 2020, 116 million will be 50 or older -- 36% of the population When the Boomers begin turning 65 between 2010 and 2020 the 65+ population will grow 35%, while the under-65 population will increase just 4%

Beyond Demographics: 

Beyond Demographics It’s even more important to understand where they are “coming from” Cohort groups are most influenced by events in their formative years -- from 8 -18 Core values are established The pull of the cohort group is redefining age 50 just isn’t what it used to be

GI Generation: 

GI Generation Born into a world without television Grew up during the Depression, fought in WW II and were defined by both Created the world we live in today -- consumerism, suburbia, discount shopping, fast food, highways Believed in “the future” and the American Dream, fueled by the GI bill First generation to live long enough to enjoy life after work

The Silent Generation: 

The Silent Generation Came of age during the Cold War, years of conformity Women were encouraged to marry, discouraged from having careers Defined more by what they weren’t than what they were--neither war veterans nor boomers—like the proverbial middle child When the turmoil of the 60s caught up with them, there was a huge backlash Levittown, NY 1948

The Boomers: 

The Boomers Leading Edge Boomers (born ‘46-‘55) are all over 50 Came of age during the first child-centric era, the first mass consumers The 1950s was a time of unprecedented growth and prosperity The Woodstock generation, the protest generation Formative years were the turbulent 60s Cold War, assassinations, Vietnam Civil Rights movement, Women’s movement, student protests

The Boomers : 

The Boomers Have always embraced the new and unknown, maybe because they felt so safe and secure Their numbers alone would be enough to change the world of aging, but it is their expectation that business and industry should meet their needs that is redefining everything “age rebelliously” “60 is the new 30” “the new middle age”

GI Generation - 10 million, 80 and older: 

GI Generation - 10 million, 80 and older Optimistic Patriotic, sense of history Entrepreneurial Can-do spirit Outer-directed Traditional values, family oriented First “senior citizens”

Silent Generation - 42 million, 60-79: 

Silent Generation - 42 million, 60-79 More cautious Little sense of their place in history Corporate rather than entrepreneurial Outer-directed, mediators Highest rate of divorce Never felt “young” till they were middle aged First beneficiaries of the Women’s and Civil Rights Movements

Leading Edge Boomers – 40 million, 50-59 : 

Leading Edge Boomers – 40 million, 50-59 Rebellious and self-confident Connected to the times in which they grew up Best educated, professionals Made up their own rules Inner directed, individualistic Redefined gender roles and relationships Married later or not at all Re-inventing aging and “retirement”

Communications Implications: 

Communications Implications GI Generation Watch more television Patriotic, traditional values Respond to messages showing them as independent Silent Generation Still read newspapers regularly Value opinions of experts Respond to images of extended families, groups of friends Baby Boomers Use the Internet for information and shopping Anti-authority, less likely to respond to testimonials Respond to nostalgic settings, especially from the sixties

Learning more about the 50+ Market : 

Learning more about the 50+ Market Opinion 50+ Omnibus study from TMR, Inc. among a projectable sample of 500 people per month, or 6,000 per year Quick, cost-effective way to size a market, identify behaviors, test purchase intent, or learn about attitudes Studying retirement and home furnishings this month

Redefining Retirement—Age: 

Redefining Retirement—Age More than 1 in 5 Boomers expect to retire after the age of 65 Source: Opinion 50+, July 2005 Base=113

Redefining Retirement—Work : 

Redefining Retirement—Work Source: Opinion 50+, July 2005 Base=501

Affluence Over 50: 

Affluence Over 50 Source: Opinion 50+, July/August 2005 Base=1002

Home Furnishings: 

Home Furnishings Source: Opinion 50+, July 2005 Base=501

Healthy Self-Image: 

Healthy Self-Image Source: Opinion 50+, July/August 2005 Base=1002

Healthcare treatments: 

Healthcare treatments

Presence of Children Under 18: 

Presence of Children Under 18 Source: Opinion 50+, July/August 2005 Base=724

Internet Usage: 

Internet Usage Source: Opinion 50+, July/August 2005 Base=1002

Internet Activities: 

Internet Activities Source: Opinion 50+, July 2005 Base=635

Learning more about the 50+ Market : 

Learning more about the 50+ Market Traditional research Surveys—phone, central location, online Focus groups Seminars and workshops Product-specific, category-specific New product development, positioning, communications

Main Take-Aways: 

Main Take-Aways Three segments in the 50+ population GI Generation (80+) Silent Generation (60-79) Baby Boomers (50-59) They are not as different from younger generations as you might think Internet usage Presence of children Affluent, and will spend on themselves Communications strategies and executions should be tailored to the segments’ “personalities.”