Population development in the Czech Republic will soon include a significantly large group of people born in the 1970s, the so-called Husak's children, who will gradually reach senior age. This phenomenon will have a major impact not only on government policies, but also on culture, entertainment, media and, above all, on business. As a consumer group, they create a specific demand that offers considerable growth potential. Although many marketers anticipate this coming wave of seniors, understanding the changing and diverse needs of this population is still a challenge.
In the European context, the Czech Republic is one of the countries with a lower proportion of seniors over 65 in the population. According to Eurostat, seniors make up just under one fifth of the population in the EU, while in the Czech Republic the proportion is one percentage point lower. However, this situation will soon change. The rate of growth of the proportion of seniors in the Czech Republic exceeds the EU average by about one percentage point. Italy is the European country with the highest proportion of the population over 65.
For the record, in the US, people over 50 account for 35% of the population, or 117 million people. In addition, Americans over 55 own approximately 70% of the wealth of the entire US. The situation in the Czech Republic is similar - the numerous and wealthy generations of Husak's children are just a little younger.
The average life expectancy of Czech men is about 76 years, but they usually lose their health around 61, which means that they live about 15 years of their lives with various health problems. Women live longer, on average 82 years, but lose their health at 62. Although they have a longer life expectancy, healthy life expectancy is comparable to men.
The elderly cannot be lumped together
Seniors have certain common product requirements. However, it must be borne in mind that the group of seniors is diverse and even today it is no longer profitable to see them as a homogeneous group. They themselves usually do not want to see themselves as part of a separate group of seniors. In particular, recent retirees have difficulty perceiving themselves as seniors and only begin to accept this image later.
This is also reflected in marketing and advertising for seniors: in advertising they do not want to be portrayed as an isolated group, but rather in the company of younger family members. Therefore, visual communication often focuses on a target group ten to fifteen years younger. Marketing to the elderly should emphasise values such as health, contentment and family rather than the product itself.
Physiological ageing should be taken into account not only in communication but also in the development of marketing strategies. This includes the use of larger fonts, contrasting colours, correct product placement and avoiding overuse of Anglicisms. Technology and innovation can be a concern for some seniors and this should be taken into account.
"The 'new' seniors are no longer worth ignoring
As the proportion of seniors in the population grows, their differentiation will become clearer. Logically, the first defining characteristic that influences lifestyle is age. Physiological ageing means a reduction in body functions and often a loss of self-sufficiency, which increases the consumption of products and services to compensate for these losses.
However, it is not just age, but also other segmentation criteria that are often overlooked today. With the growing proportion of seniors in the population, marketers need to realize that the opportunities to effectively target seniors as consumers are and will be significant.
The new senior as a consumer is breaking down old stereotypes. Until recently, seniors were believed to be thrifty, choosing cheaper goods and not preferring novelty. However, this view is simplistic. Some seniors continue to work, are wealthy or are part of a well-off family. Research shows that this demographic is not brand loyal, but switches brands even at an older age.
Gender is also a segmentation criterion for seniors, as there are more women in this group. Women tend to be more active and embedded in both family and non-family social relationships. The role of grandmothers is changing significantly, which has marketing potential.
Demographic trends suggest that psychographic change is also a key segmentation criterion for the elderly. Today's sixty-somethings behave like consumers did two to three decades ago at age 45. Marketing teams will need to better understand what older people find valuable and overcome stereotypes.
Husak's children own the bulk of the country's wealth
Today, it is clear that seniors can be a lucrative and demanding customer group, not only for mainstream products but also for specific ones. Companies are increasingly targeting the more affluent seniors, who make up a significant share of a company's wealth.
For example, seniors make up a significant proportion of travel agency customers. While seniors over 65 make up 18% of the Czech travelling public, their importance in the spa industry is even greater. Many companies specifically target this clientele, although this may not be obvious from their marketing communications.
The ageing population is already a reality and the specific demand of this group offers significant growth potential. Ads should authentically portray older people and engage the creative teams that represent them. Media models will need to adapt and reflect the new reality of ageing more closely. Companies need to understand how to communicate with the "new" seniors to succeed in a changing society.
Source: mediaguru.cz
