Mary Furlong & Associates' Boomer/Senior Market Report
Exploring the 10 Trends Powering the Age Boom
November 2006 - Vol. 3, No. 7
Mary Furlong & Associates has launched new Public Relations services! Read more.
In This Issue:
Dear Friends and Colleagues,
November is such a short and swift month. Before you know it, Thanksgiving is here - my favorite holiday. The turning of the autumn leaves and the simple joy of a nice meal with those you love around the table is a great way to kick off the holiday season. It is also a time to reflect as we move into the holiday season. Think about the people and the gifts that matter most. Reach out and care for those friends and family who have lost a family member this year. Help them navigate through the transition. I remember a SeniorNet member once telling me that the year after she lost her husband, she needed to try a new tradition. So she baked gingerbread and invited all of her girlfriends over to play cards. The house smelled wonderful and the afternoon was fun.
We are deep in preparation of the planning of our What's Next Boomer Business Summit, set for March 5-6 in Chicago. We have an exciting lineup of speakers including Emilio Pardo, Chief Brand Officer of AARP Services, and Jack Barrette, who works on Lifestyle, Health and Medicine for Yahoo! The speaker/sponsor event will be at the restaurant across from the Chicago Water Tower. I'm sure it'll prove to be a special evening, especially with such great sponsors like MetLife and Posit Science. We also have a special rate for MFA newsletter subscribers. Let us know of your interest.
We are also able to offer discounts to the Consumer Directed Health Care Conference, December 11-13 at the Omni Shoreham Hotel in Washington, DC - a "business-to-business-to-consumer" conference on all things health. Let me know if you're interested. Anxious to hear the latest from Simmi Singh, head of strategy and development for Revolution Health Group, and participate in the conference's Venture Forum, where new companies aimed at healthcare can pitch the venture capital community. The Venture Forum is being planned by Brad Burkett of Navigant Capital Advisors. Brad is an expert in health and can provide a gateway of connections for entrepreneurial companies entering the healthcare marketplace.
One of the most interesting connections I made this month was with Barbara Bylenga, an expert in the Generation Y group, which spans the 9- to 27-year-olds. As The Sopranos recently said, "26 is the new 21." And for all of us with adult children, any insight into their values and ways of thinking are always useful. Barbara talked about how the boomers raised a generation of children where self concept was key and how "everyone got a ribbon." Now that the leading-edge Gen Y'ers are well immersed in the real world, they're experiencing "adult shock" as they realize that cell phone bills and car payments are monthly events. And that not everybody always gets a ribbon. Gen Y will eventually comprise 35% of the population.
Our Digital PR service continues to develop and grow. We are pleased to announce that Springboard Press is a new account (read about their new releases). We will be helping to promote two new books, Coming of Age...All Over Again: The Ultimate Midlife Handbook by Kate Klimo and Buffy Shutt and Rightsizing Your Life: Simplifying Your Surroundings While Keeping What Matters Most by Ciji Ware. Ciji wrote an article for our newsletter last month about rightsizing that you can read here.
It has been an exciting month for boomer market activities. We had an opportunity to attend the AARP Life@50+ conference in Anaheim, California, along with 25,000 other boomers and seniors. Every exhibitor knew the power of the market. Music was part of the mix - read Susan Walker's report on the event below. Jane Glenn Haas of WomanSage and 30 Orange County women leaders had dinner with the AARP team in California and CEO William Novelli. It was an evening that sparkled with ideas and conversation. The topics ranged from weight loss and fitness to economic security and entrepreneurship. I sat next to the COO of the Red Hat Society. You got the feeling that we were on the cusp of a revolution in thinking about aging. And you got the energy that these women leaders were ready to get involved and to make a difference. After the event, I read Bill Novelli's new book, 50+: Igniting a Revolution to Reinvent America. It's a great blueprint of the issues that are important today. He has the right perspective in triggering us to think in revolutionary ways, which is what it's going to take to make the needed changes to support the aging of the population.
Another exciting event was the 20th anniversary of SeniorNet. It was wonderful to see the many SeniorNet Learning Center leaders and to reconnect with the online leadership. SeniorNet won the Webby Award in 1999 for the best online community. Marcie Schwarz has been one of the amazing SeniorNet leaders who have fostered the community. Recent activities include book clubs and book drives to donate books to prisons. It was wonderful to see Beth Sanders of LifeBio, one of our Silicon Valley Business Plan finalists, take her software into the SeniorNet learning centers and expand the curriculum. As one of the volunteers shared, "We used computers in the workplace, so for those of us at 60, we need advanced applications." There is a giant opportunity for software developers to test their ideas with SeniorNet learning centers.
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| Kristin Fabos (SeniorNet executive director), Mary, and Lloyd Morrisett |
Lloyd Morrisett, co-founder of Sesame Street and first funder of SeniorNet (through the Markle Foundation), gave an inspirational talk and call to action for the next phase of SeniorNet. Among the next set of issues he engaged the audience about was identify theft. It would be great if SeniorNet members could help boomers and seniors at large understand better how to stay protected.
Quite inspiring was the growth of SeniorNet centers into Native American communities like the Blackfeet reservation in Browning, Montana. Take a look at these photos of SeniorNet bringing technology access. We are all grateful for IBM's support through the decades. They have provided financial support as well as leadership for the Board.
I must say that seeing some of the volunteers like Fran O, TedMed and Milt Koosman meant so much to me. Imagine volunteering for a decade or two. The reasons why volunteers choose SeniorNet hasn't changed: sharing skills, filling a void after the loss of a loved one, continuing to learn and make a difference. There is an authenticity and an integrity to SeniorNet that is integral to its success. I think it comes from the way in which every SeniorNet member contributes, and the leadership is done at the local level. It lived so true to its vision of "bringing wisdom to the information age" and reinstating the role of older adults as leaders. Well, we all just had fun.
So now I'm looking forward to Thanksgiving this week. It's a time to take in and notice the changes in the lives of our family members. Pay attention to those who are older in your world -- share with them the latest in technologies (like the new and revised Posit Science web site and tools for cognitive fitness). Inspire them to do fitness exercises (less than 25% of adults 65+ do strength training) and to stay engaged in their communities (Giving From Your Heart: A Guide to Volunteering, a book by Bob Rosenberg and Guy Lampard, offers tips on how to connect with the right volunteer opportunity). And take time to listen to their stories. What is most precious is the time we have to share.
After the holiday, I am traveling to Europe to the Silver Economy Conference in the Netherlands. Over 600 companies will be there looking at the boomer market in Europe. Am also able to visit Philips, the electronics giant based in the Netherlands, and see some of their latest innovations. It will be an exciting time.
Know that you are in my thoughts this season.
All the best,
Mary
P.S. Keep us in touch with your latest news about the market.
New Congress May Be Even More Senior Friendly
Reprinted with permission of the National Council on Aging
For the first time in over a decade, Congress soon will usher in a majority of Democrats, who may be open to increasing funding for community services.
After 12 years of Republican control of the House, and almost that length of Republican control in the Senate, the Democrats will have majorities in both chambers of the new Congress that convenes in January. The Democrats' margin will be razor-thin in the Senate (51-49), and somewhat less thin in the House. But thinness of majority does not prevent control, because whichever party has a majority elects the leadership, names the committee chairs, and sets the floor agenda.
Rep. Nancy Pelosi of California will be elected by the Democrats as the first female Speaker of the House when the 110th Congress convenes in January. On the Republican side, the current Speaker, Rep. Dennis Hastert of Illinois, will not seek election as the Minority Leader. It is unclear whether the Republicans' current Majority Leader, Rep. John Boehner of Ohio, will shift to Minority Leader. [On November 17, Boehner was voted House Minority Leader.]
Sen. Harry Reid of Nevada will become the Senate's Majority Leader, and Sen. Mitch McConnell of Kentucky will be its Minority Leader.
Some of the likely committee chairs in the new House are as follows:
- Appropriations - Rep. David Obey of Wisconsin. Subcommittee on Labor-HHS-Education - possibly Rep. Nita Lowey of New York or Rep. Rosa DeLauro of Connecticut.
- Energy and Commerce - Rep. John Dingell of Michigan. This committee handles Medicare and Medicaid legislation. Possible Health Subcommittee Chairs are Rep. Edolphus Towns of New York or Rep. Frank Pallone of New Jersey.
- Ways and Means - Rep. Charles Rangel of New York. This committee handles Social Security, Medicare and tax issues. Rep. Pete Stark of California will chair the Health Subcommittee.
- Education and the Workforce - Rep. George Miller of California (though he might chair another committee instead). This committee handles a variety of aging-related legislation.
Some of the likely Senate committee chairs are as follows:
- Appropriations - Sen. Robert Byrd of West Virginia. Subcommittee on Labor-HHS-Education - Sen. Tom Harkin of Iowa.
- Finance - Sen. Max Baucus of Montana. This committee handles Social Security, Medicare, Medicaid and tax issues.
- Health, Education, Labor and Pensions - Sen. Ted Kennedy of Massachusetts. This committee handles various aging-related legislation. The likely chair of the Subcommittee on Retirement Security and Aging will be Sen. Barbara Mikulski of Maryland.
- Special Committee on Aging - Sen. Herb Kohl of Wisconsin. This committee has no legislative authority, but is charged to study aging issues and report to the Senate.
One reality that the new Democratic majority will face is that they will need to forge bipartisan support in order to move legislation, particularly in the Senate where 60 votes are needed on many bills. They only have small majorities, and President Bush will be ready to veto anything that is overly partisan.
Predictions for the post-election ("lame-duck") session of the current Congress range widely, although many believe that they will do little and get out of town quickly. Most likely, a continuing resolution will be passed on appropriations bills that will continue current levels of funding until Congress returns in January.
AARP Life@50+ Convention
By Susan Ayers Walker
Elton John, Maya Angelou, a walk-through colon and a NASCAR driving simulator were among the exciting guests and activities at the 2006 AARP Life@50+ convention recently held at the Anaheim Convention Center. Former CBS anchor Dan Rather was the opening keynote, followed by some impressive speakers such as Raquel Welch, Bill Cosby, NFL veteran Terry Bradshaw, "Dilbert" cartoonist Scott Adams and filmmaker Ken Burns, to name just a few.
More than 25,000 people attended this three-day event. The show floor was a playground of 430 exhibits and product demonstrations, seminars, concerts, fitness workouts, movie screenings, computer classes and self-help lectures. The options were endless. The amount of swag you could collect at this event required a second suitcase to drag it all home.
AARP is aggressively changing its image and seriously courting the baby boomer market. They have retooled their magazine and Web site to cater to boomer sensibilities, with more changes to come in 2007. About half of the attendees at the event were younger than 60, falling on the low end of what AARP calls "50-plus."
In the huge exhibit halls you could poke at the Pillsbury Doughboy, go to the brain gym with Posit Science, play computer games with Nintendo, buy motorcycle insurance for your Harley, get a flu shot with Walgreen's, discuss space exploration with NASA, indulge in free cookies and cappuccinos laced with Benefiber, drink a beer with Anheuser-Busch or visit the Alcoholics Anonymous booth. Between seminars, you could play simulated golf, join the Peace Corps, see a live alligator or tour a motor home with a fireplace. The pace was dizzying. If the day did not tire you out completely, you could dance the night away with live bands at three venues, rock to Elton John or laugh with Bill Cosby or take a tour of Downtown Disney or Hollywood by night. There was "no rest for the wicked."
For technology, Microsoft was previewing the new Vista operating system and IE7. There was an Internet café hosted by Monster.com where you could send and receive email and surf the Web from the show floor. HP presented printers, computers and digital photography. In the computer classrooms you could learn how to edit photos and videos, create a website, avoid scams, and hone your search engine and online skills. GreatCall had a busy booth showing the Jitterbug phones with the big-button features that this audience has been asking for.
As the computer and technology writer for AARP.ORG, I was up on stage twice a day presenting interesting health, fitness and safety gadgets, with lots of "show and tell." My second talk was about social networking and Life Online. Many of the conventioneers I chatted with were a lucrative niche of people over 60 who are just starting to carry cell phones, learning to use computers, getting into music and videos, and wanting to be up with the latest trends in technology. A Pew report says that plus-70 is the fastest demographic embracing email and the Internet. My audience was no exception.
If you want to reach this market, this is a conference not to miss. Life@50+ was well marketed to the consumer, and exhibiting is extremely beneficial to anyone who is trying to penetrate the plus-50 market with services and/or products. The next AARP consumer convention will be in Boston in early September and the following year in Washington, DC.
Susan Ayers Walker is the founder of SmartSilvers Alliance, a company working towards leveraging technologies which foster active aging. She is also a freelance technology writer for AARP.ORG.
TV Land's New Generation Gap Study
A new study by TV Land and conducted by Age Wave reveals that boomers are anything but pleased with television's offerings. The majority of the more than 4,000 adults surveyed were "outright annoyed" that television programs and the accompanying advertising focus mostly on younger viewers.
"Due in part to the artificial construction of the ratings systems, and in part to myths built around the spending habits, brand loyalty, and attitudes of the boomers, advertisers and media are now missing out on an immense economic opportunity," Age Wave explains in a press release.
Key points of the study include:
- The Midlife Crisis is Over: Middlescence has Begun. Compared to younger adults, boomers are more likely to feel liberated, accomplished, successful, and to have achieved balance and stability.
- In Middlescence, Boomers are Clearly the New Power Demographic. In their peak earning years, boomers now have a total buying power representing $2.3 trillion in annual household expenditures, exceeding 18-to-39-year-old households by more than 50%.
- Generational Profiling - Prejudice Distorts Reality. Even though boomers have far more spending power, advertisers pay an average of 25 to 50% more to reach younger viewers.
- The TV Generation is Turned On, but is Increasingly Tuning Out. Only 3% of boomers say they are extremely satisfied with TV programming options available to them.
- If You Build It, They Will Come. Bridging the Generation Gap. Boomers are just as likely as young adults to be open to buying new products and services (71%/71%) and to be influenced by effective advertising (55%/55%).
Learn more about the study at Age Wave or read a TV Land press release.
Business Executives' Attitudes Toward the Aging Workforce: Aware But Not Prepared?
New research released last month by BusinessWeek Research Services for AARP revealed that many companies haven't prepared for the impending "brain drain" expected to occur as baby boomers retire.
- 79% agree that the knowledge and experience that older employees take with them when they retire or leave can hurt a business financially.
- 74% similarly agree that it has become more difficult to find and retain talented and qualified employees over the last five years.
- 16% report that their companies currently have any formal policies or programs to encourage employees who are approaching retirement to continue working.
- 59% believe their organizations need to be thinking now about how to retain workers approaching retirement.
Largest-Ever Study of Baby Boomers and Mature Consumers Finds 60 Percent Plan to Live in Current Home During the Next Five Years
A study of 30,000 boomers and seniors revealed that many plan to stay in their homes for at least five years. The research, conducted by Focalyst, a joint venture between AARP Services, Inc. and Kantar, found that many boomers and seniors are planning home improvements and remodels to accommodate new life events such as retirement or elderly parents.
Key home improvement findings for consumers 50 and older include the following:
- 60% expect to live in their current residence during the next five years.
- 65% plan to remodel or improve their homes.
- 42% of all home improvement projects will be done by outside contractors.
- 77% believe how their home looks is an important part of who they are.
- 73% say the kitchen is the most important room for them.
How to Win in the $2 Trillion-Per-Year Boomer Market:
Fourth Annual What's Next Boomer Business Summit
Sponsored by The American Society on Aging's Business Forum on Aging and Mary Furlong & Associates
Monday, March 5, 2007, 1:00 - 5:30 pm
Tuesday, March 6, 2007, 8:00 am - 6:00 pm
Hyatt Regency Chicago
- DISCOVER why Corporate America is moving fast into the boomer market.
- HEAR what the analysts know about financial services, lifestyles and consumer-driven healthcare.
- SEE how purpose-driven brands become category leaders.
- HEAR new research and case studies.
- LEARN the changing rules of marketing -- search, word of mouth, buzz, product placement.
- IDENTIFY the distribution partners that serve the 40+, 50+ and 60+ consumers.
- NETWORK with renowned authors, reporters, bloggers and analysts at the "On the Beat" Luncheon.
Register today for the Early Bird Rate!
Have You Heard of Word of Mouth?
If you haven't yet, you will. It's the new way to market, and more and more companies are getting on board every day. Just ask the Inc. 500 (82% of their CEOs use word of mouth) and their customers (two-thirds of consumer purchases are influenced by word of mouth).
Word of mouth is already happening to you. Do you know how to make it work for you? Learn at the Word of Mouth Marketing Association's Word of Mouth Marketing Summit, December 12-13 in Washington, DC. It's the only conference that will give you a hands-on, advanced understanding of how to build truly deep, two-way relationships with your customers.
The Summit features:
- lessons from 70+ experts
- big questions, important issues and straight answers
- practical "how-to" instructions
- everyone you need to know
Retire? 54 Million Boomers Say 'Not'
Simply Hired, the world's largest search engine for jobs, today announced the launch of a new search offering for job seekers aged 50 and above.
Age Appropriate
Hiring employees over age 50 is a smart move -- if you do it right.
Still Working and Loving It
BusinessWeek -- With retiring boomers expected to cause a shortage of skilled staff, employers are making it easier for them to stay.
Taking the Money
They were all on different career paths, but they had one thing in common. In midlife, well before they were ready to retire, they decided to take buyout packages.
For Baby Boomers, There's No Such Thing as a Free Gourmet Dinner
The baby boomer population is squarely in the sights of every financial purveyor, including banks, brokerage firms, insurance companies, mutual funds, trust companies -- everybody -- and everybody's sales representatives.
Many Baby Boomers to Live Modest Retirement: Study
Researchers at the University of Canberra have predicted women from the baby boomer generation will be forced to live a modest retirement because of inadequate superannuation levels.
Senior Citizens and Boomer Children Not Communicating on Critical Issues
A new survey joins others in the past that have highlighted a communications disconnect between senior citizens and their adult children - primarily baby boomers.
Put Away the Elastic Waists, Mom, and Get Boomer Chic
Fashionably speaking, Baby Boomers are exhausted.
What Do Women Want? Just Ask
More companies, in the United States and elsewhere, have realized that they overlook women at their own financial peril. The companies are realigning their marketing and design practices, learning to court an increasingly female-centric consumer base that boasts more financial muscle and purchasing independence than ever before.
Top Retirement Spots With Today's Retirees
For years, the search for a new home in retirement has been tied to weather and leisure. States like Arizona and Florida captured the lion's share of transplants. But today, while weather and leisure remain important, retirees are telling builders, developers and researchers that they are looking primarily for a community where they can make friends and connections quickly, whether it's a small town or a walkable neighborhood in a big city.
Read more articles here.
Boomer/Senior Market Report
Published by Mary Furlong & Associates 3527 Mt. Diablo Blvd. #128, Lafayette, CA 94549 Telephone: 925-283-7698 http://www.maryfurlong.com
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