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Older Americans Feel That Brands’ Product Innovation Ignores Them
Through a special arrangement, presented here for discussion is a recent article from MarketingCharts, which provides up-to-the-minute data and research to marketers.
Boomers control half of U.S. household wealth, and adults older than them control another eighth. But not only are older Americans being ignored in advertising, they’re also feeling left behind in product innovation, according to survey results from Ipsos.
Ipsos asked more than 1,000 U.S. adults the level to which they agreed or disagreed with the following statement: “Most new products are being created with my needs in mind.” Overall, more respondents agreed (31%) than disagreed (23%) with the statement, though a plurality (47%) neither agreed or disagreed.
There was a strong age skew to the results, though. Some 41% of 18- to 34-year-olds agreed that most new products are being created with their needs in mind, well above the overall average (31%). However, fewer than half as many (19%) respondents ages 55 and older felt the same way.
Not too surprisingly — and possibly as a result — Ipsos details an “enthusiasm gap” when it comes to brand innovation. Whereas about half of 18- to 34-year-olds (52%) and 35- to 54-year-olds (48%) agreed that “most new products excite me,” only about half as many (27%) respondents ages 55 and older concurred.
As Ipsos notes, this might be “isolating brands from a significant segment of buyers.” Indeed, about 100 million Americans were ages 55 and older in the U.S. last year, constituting 30% of the population.
Technology may be one area for senior innovation. Baby Boomers have become accustomed to smartphones and smart devices, but their needs change as they age. Ipsos wrote, “Brands that can create intuitive, user-friendly products and services for this demographic stand to gain a competitive advantage. For example, the rise of wearable health devices has enabled older adults to monitor their health in real-time, empowering them to take an active role in their well-being. Accessibility accommodations, from adjustable font sizes to more practical buttons, will be key to keeping the customer base satisfied.”
Packaging may also be an opportunity, as 48% of the respondents 55 and older agreed “most new products often have packaging that is difficult to open” versus 43% of 18- to 34-year-olds.
Discussion Questions
DISCUSSION QUESTIONS: Are brands shortchanging older Americans in their product innovation efforts, or should the focus be on younger generations? Are there any broader themes underscoring the innovation opportunities targeting aging Boomers and their seniors?
Poll
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Brands focus on their target demographics, and most of the new, innovative products are targeted at younger consumers. It’s not surprising that older consumers are feeling let out. But retailers and brands should think carefully about this massive, older group of consumers. The size and power of the Baby Boomer generation is still alive and well. And while Boomer spending habits are different, there’s still an important and large market to address.
Brands are ignoring this demographic at their own risk. It may not be cool to include older Americans, but not very smart or strategic.
I am an older consumer, aren’t I? I never think about things like “Why don’t they make things more relevant to me?” I do find myself asking “Why do these companies and our government keep telling me I’m old?” It’s demoralizing.
We have just spent 4 years being lectured about what happens to “the elderly.” Boomers are not a homogeneous group – and there are very few generic “Boomer specific” products we look for. In fact, the industry was sure that OTC hearing aids were just the ticket, and I just read they’re not doing all that well.
There are some subtle things that could be done to make the overall shopping experience better (product placement on shelves, etc.), but for most of us, truly these kinds of generalizations really rankle.
Many brands focus on younger cohorts yet Boomers are often mortgage-free, debt-fee and daycare-free. Boomers are a vivacious cohort with abundant disposable income. Why ignore them?
Boomer-centric innovations include alcohol-free drinks that don’t interact with medications, apparel that’s easy to button and voice tech for smart homes, including in-home healthcare.
The retail industry is missing an incredible opportunity by failing to include seniors in their focus. It’s easy to get caught up in the noise of viral social media posts from younger generations, but ignoring the people with the most money to spend is not smart business. Where a Gen Z may buy a facial cleanser, Seniors are more likely to buy the whole skincare system. So marketing complete solutions, giving more clarity around instruction, offering more human help in stores – these tactics will earn more revenue than a catchy social media marketing campaign.
To quote Willy Sutton (look him up) “Because that’s where the money is” Boomers aren’t paying off student loans, many are mortgage free, and disposable income is higher than at any other time in their lives. Boomers due to aging have certain needs for product designs. It’s not sexy, but that’s where the money is.
Ever seen images of an old person looking into a mirror or seeing their reflection in the window, where the reflection is a younger version of themselves? No one wants to think of themselves as old. And young people have a massive aversion to buying brands that they feel are for ‘old people’. So the messaging needs to be subtle.
Yes it’s an untapped demographic, but rather than focusing on features for ‘seniors’, what about positioning them as ‘personalized’ or ‘inclusive’ or just plain old ‘easier to use’ – and celebrating that different people want different things out of products?
Amen.
Though I suppose we should be happy with the Jitterbug phone
So many things came to mind when I read this article. Older Americans are categorized as 55+, and yet I read not too long ago that said we are staying healthier and living longer, so 55 is now considered middle age. Not that we’re going to live to 110 but that 55 is still a youthful age.
I am older and I agree with Paula, we are not a homogeneous group. The youngest Baby Boomers are not even in their 60s yet but from everything you read about Boomers we’re all ready for the home. I don’t look for Boomer specific products either, mainly because I am not in the market yet for the things we “old people” need that are advertised on television. And based on those ads alone, we are going to hell in a handbasket, as my mother would say.
I would love to see people who look like me used in ads. Mainstream cosmetics brands are all about 20- somethings. They might say what they sell is for older skin, but they still show someone who is around 30 in the ads. The companies who advertise on social media show women of all ages so that’s where I shop. I also know that I have aged out of certain stores but could those who serve the over 50 crowd find something we’d actually like to be seen in? I don’t buy clothing the way I used to, and trust me, I want to but what’s out there is abysmal.
There is a huge market out there of people brands may not consider sexy enough to want to market to, but we are the ones with the deep pockets. And we are tired of being told by brands and retailers that unless we’re in the market for hearing aids or motorized scooters we don’t matter.
Wish I’d read your comment before writing mine, Georganne! Could not be said better!
Thanks, Ian! As you can tell, this topic is one of my hot buttons.
Did you catch Maye Musk on the cover of the Sports Illustrated swimsuit issue?
Yes! She exemplifies ageless beauty.
I qualify as an “older American” and I don’t feel even slightly under emphasized by retail brands. Nature, and the markets, abhor a vacuum. Markets have a way of filling and addressing needs and opportunities. Is the innovation really not happening, or is it just not being written and talked about at the level of all things tech and digital and AI…???
Someone is just discovering this now? The Boomer market is twice the size of others, are savvy, vibrant, want to live life to the fullest and, as noted above, have a lot of money. As I understand it, only 10% of market spend is focused on this demographic. This is just plain dumb.
I’m working on reinventing senior living facilities which, generally, are not designed for seniors at all. Am also helping entrepreneurs and inventors over 60 bring their creations and dreams out of garages and basements into the light of day. NYT stated that “Seniors are the fastest growing group of entrepreneurs in the US.”
In all cases there is an absurd lack of insight into what works for seniors wellbeing, happiness and opportunity. The problem is those at the creative front lines tend to be GenX or Millennials. Inspite of their brilliance, at the most they merely guess at what works for seniors if they pay any attention at all. Time to wake up!!!
Ignore the Boomer generation at your peril. The adage of “going to where the money is at” is a strategy that retailers and brands should employ. Especially considering that the Boomer generation has the most discretionary income, in most cases, is mortgage free, and their children/grandchildren are relatively financially independent.
Customer segmentation and profiling are critical strategies for brands and retailers in the digital age. While GenZ, Millennials, and GenX may be target marketed in Instagram, TikTok, and other social channels, companies should not underestimate the importance of connecting with the Boomer generation.
There is a misconception that Boomers do not understand technology. While they may not have grown up with a smartphone or relentless digital connectivity, they are just as connected as any other generation.
Wow! Baby Boomers have finally gotten accustomed to smartphones and smart devices. Stop the presses!
This is clearly a case of, “Just because you can ask 1,000 people a question, doesn’t mean you should.” First of all, I’d love to drill in on the methodology and raw data before I comment.
Secondly, the question is too generic to be of much use to anyone. Big Pharma, medical supply companies, insurance companies, the travel and leisure industry, investment firms, etc., etc. are continuously bringing new products to markets that target older consumers.
True, other industries like fashion, sporting goods (outside of pickle ball of course,) automotive firms, and luxury goods brands tend to target younger shoppers, but this does not an overly broad generalization support.
So, again, unless you target specific brands and specific industries I wouldn’t leap to the conclusion that brands are underserving and/or ignoring the people who hold over half the money in this country.
Without exaggeration…my mailbox is filled daily with at least one of the following: -How to invest my money better, -Travel and cruises, -a vast number of organizations raising money for their target causes.
Research methodology questions aside, it has always seemed that many brands focus on younger demographics, at their own risk, given where the dollars sit. Focusing on creating intuitive, user-friendly technologies and accessible packaging, that align with the changing needs of the older demographic segments, could prove advantageous for brands seeking to engage a lucrative consumer base that currently feels underrepresented and underserved.
I think this is the real beauty of technology…you can create multiple ways for different shoppers to interact and meet them where they are. So it’s concerning to have a segment of the audience feel ignored, and an opportunity to listen and integrate feedback that might make the business that much better for everybody.
Corporate America pushes drugs that I can’t pronounce…so there’s that.
I’d say yes. Older actors are in ads based on stereotypes. We (yes, I’m older!) appear in denture adhesive product ads or reverse mortgages, but not in mainstream product ads even though we account for a lot of purchases and have more disposable income. Ironic that we are a victim of stereotyping in an era where movies and ads practically have quotas…but “senior citizens” isn’t one of them. Marketers’ obsession with traditional demographic targets is cutting off a lot of profit that could be generated by advertising if they target the Movable Middle (those with a 20-80% probability of choosing your brand), shown to be 2-23 TIMES more responsive to a brand’s advertising. Who cares how old they are?
When assessing the potential of consumer acceptance and enthusiasm for innovative products, marketers need to say to themselves, “Show me the money.”
Ask vague questions – or really questions about vaguely defined topics – and you’ll get enough disparity in the responses to create a “story”
I don’t agree with the premise,…at least with the conspiracy theory undertones it was given here. A lot of products are work-related, so naturally they favor the needs of people who are (still) working; let’s pull something out of the air – literally – Boeing ‘s ‘Dreamliner”(or nay new jet really): it was designed to meet the needs of working pilots, more than retired ones, and it was designed to meet the needs of people who travel, who in aggregate are likely to be younger. Should we expect something different?
The first thing that comes to mind after reading this article and the questions is that the retailer gets to choose who their customers are. If they cater to younger generations, it’s expected that Boomers and their seniors will feel left out. For example, Abercrombie & Fitch has its attention focused on the 18-25-year-old demographic. I don’t see many Boomers stopping by their stores. On the other hand, you can see retailers trying to appease all generations, such as Amazon, Target, etc. As I stated, the retailer chooses who they market to and how they do it. If they leave a demographic out, by accident or on purpose, they live with their decisions.
Recently innovation for consumers involves some type of digital knowledge & familiarity. The older you are the more difficult adapting to new digital products & programs becomes. It’s not just knowledge either. My father had a neurological disorder, he struggled mightily with all things digital that required hand dexterity.. However he wanted to order a lot of products, & would have ordered significantly more with the right innovation to let him shop & order without hand precision. Solving these type of problems with innovation is a big opportunity that should not be ignored, after all people are living longer.
As the article notes, Boomers still represent a large part of consumer spending. For retailers that serve customers across multiple generations, it’s important every demographic is considered and addressed in product innovation efforts. Overlooking one is an easy way to leave potential sales on the table and alienate customers.
The boomer generation represents a new aging experience, as they’re more fluent with and have more access to technology than previous generations did. With that in mind, they’re used to the near-instant gratification of shopping online today and have many of the same expectations as other consumers. This is a group that is less interested in products that involve a learning phase to use, putting more emphasis on good design and value. Long-term, this emphasis benefits customers from any age group.