Mary Furlong & Associates' Boomer/Senior Market Report
Exploring the 10 Trends Powering the Age Boom
February 2008 - Vol. 5, No. 1
In This Issue:
What an exciting start to the new year. We are busy preparing for the upcoming What's Next 2008 Conference in Washington, D.C. With the changes in the economy, we felt it was crucial to get one of the best thought leaders to explain what is happening with interest rates, the housing market and the globalization of our economy. We chose Vincent R. Reinhart of the American Enterprise Institute in D.C. Up until four months ago, Vince was at the Federal Reserve where he was very involved in the day-to-day operations and monetary policy. For so many boomers, understanding the value of their 401k, saving and investment accounts and the value of their homes is crucial to planning for their future.
We also are blown away by the growth in the use of mobile devices by the boomer market. According to the Mobile Marketing Association, November 2007, 252 million Americans own a mobile phone and they are placing or receiving 12 calls per day. We are pleased to be featuring Jeff Hasen of HipCricket. He will be sharing statistics that demonstrate how text messaging is the fastest-growing communication channel in history. He will showcase how boomers are using this technology. We are also delighted to have one of my favorite people, Walt Mossberg, as another keynote. Walt is the personal technology columnist for the Wall Street Journal. Walt's word is so trusted in the technology industry. He has followed the growth and use of technology for older adults and pays particular attention to ease of use.
Another trend we are tracking is the changes in the way boomers are putting health and wellness at the top of their list. Steve French of the Natural Marketing Institute is going to present his latest trend data. Dr. Brent Ridge of Martha Stewart Living Omnimedia will be sharing the latest vision for the health and wellness from MSL. And Sheryl Biesman, Manager of Internet Marketing for Pharmavite, will share some of the leading work with digital campaigns to target the boomer consumer using online media.
Social networking is another theme of this event. We are pleased that two founders of BlogHer, Elisa Camahort Page, COO, and Lisa Stone, CEO, will be attending. BlogHer is one of the fastest growing blog sites on the web. It showcases the talents of thousands of women bloggers. We will learn what is in their hearts and on their minds and also why blogging is so popular among the boomer age cohort.
We are also lining up bloggers, analysts, portal partners such as Microsoft and Yahoo! (more news at 11 on this one), and writers such as Gail Sheehy of Passages fame, Myrna Blyth, founding editor of MORE, Jan Yanehiro, broadcast journalist and author of This is not the Life I Ordered, Paul Kleyman of Aging Today and Scott Parkin, communications director of NCOA.
We will share more news from AARP and AARP Services Inc. in our next issue.
P. S. If you haven't already booked room accommodations for the conference you can do so here and receive the special room rate for attendees (mention the NCOA conference to get the rate). Remember, if you need accommodations, you need to sign up for them in addition to signing up for the conference. See you there!
On a personal note, the puppy Annie has made it through a rainy January. We have mastered "crate training" and are now on our way to regular puppy training. I had heard about how empty-nester boomers fall in love with new pets. I have to admit that they win your heart over. Actually, she is Daniel's dog -- but the new apartment doesn't take pets. So,here I am with Annie. She and I are trying "heart healthy walks twice a day." For this reason alone, I recommend a new pet. And -- frankly -- I forgot how much fun a puppy is. You should know that she won the affection of us all and there are probably more photos of her on the digital camera than anyone else. (another trend I am sure). When I learn how to move from Sprint to ATT and connect the new iPhone -- I'll be glad to show you one when I see you.
As to my mom, she is up and walking. She has successfully found a new community in her assisted living villa. For those of you navigating eldercare -- here is my theory. It takes about 6-9 months to navigate through the transition. In doing this you will end up making more decisions than when you have a child. Those decisions have an impact on all sectors of the economy:real estate, financial services, health care, transportation. Eldercare will be one of the biggest business opportunities of the 21st Century. There are 44 million caregivers today but this number will double. Many are focusing on care -- start-ups like Caring. com and CareSquare. com. Few understand the total number of industries that will be effected by the changes in a global aging population. Many of these issues are explored at the What's Next Conference and also at the NCOA-ASA Aging in America Conference that follows.
Hope that your February will be a good one. My father always remembered all of us on Valentine's Day. Now I try to do that with all of the little ones in my world. It just feels great to send and receive them. So -- to you -- I am sending a heartfelt thanks for your work in this field.
All best,
Mary
(with puppy Annie - sleeping nearby)
Cayce Roy, former Amazon. com executive, talks about his latest venture, BigScreenLive a new software product that will enable seniors to get more out of computers and the Internet by making them easier and more fun to use:
Describe BigScreenLive. What do you see as its primary function?
Bigscreenlive is a new software product, available at BigScreenLive. com and on Amazon. com, that makes computers and the Internet easier and more fun to use. The content (News/Information/Games) and user experience is specially designed for senior adults and their families. With a membership to BigScreenLive, seniors can strengthen connections with family and friends through a shared account, enabling direct photo sharing, and collaborative features like games and calendars. Within days, BigScreenLive members are empowered to develop new skills, access information, and make connections through the BigScreenLive software, improving the quality of life for themselves and their families.
Specifically BigScreenLive's "software as a service" is designed so our members and their families can easily:
- Enjoy a complete and intuitive user experience, regardless of computing proficiency.
- Directly connect with each other online through integrated accounts.
- E-mail friends and family -- secure and spam free.
- Exchange, edit, and print digital photos.
- View photos via an entertaining, large "slide show" format.
- Read news and "up-to-the-date" content of special interest to seniors.
- Explore interesting topics, expand their knowledge, play games, or develop new hobbies in a secure hassle-free online environment.
- Shop, browse, and purchase goods and services online by connecting to the eCommerce world.
- Access calendars, schedules, and information available from family or community groups.
- Enjoy the power of standard computing applications such as word processing, spreadsheets, chat, and video conferencing.
How did you get the idea to start BigScreenLive?
The founders had consulting experience in developing user interfaces for non-technical users in industry and the military. They realized the limitations that many computing systems have when interacting with non-technical individuals and certain age demographics. Their personal lives were also filled with examples of family members whose life would be improved with computers/Internet.
I came across BigScreenLive as an investor and then became CEO. Given my experience at Amazon. com and my personal experience of wanting to connect my children more closely to my parents and grandparents, I recognized the value of simplicity in consumer experience and the real social need that the solution was attempting to address. As with nearly everyone who gets involved with BigScreenLive, my wife and I were motivated by the opportunity to support a business that could enrich and in some cases transform the lives of the customers and their families.
How does it work?
Part of the beauty of the product is we provide a few different yet simple ways to make the experience work for our members. The system needs access to a broadband Internet connection, a windows XP or higher PC (we will enable MAC and our own hardware solutions in the coming weeks), and a monitor that supports 1280 by 800 or higher resolution (most laptops or 17 inch/larger monitors). The most typical ways to connect will be:
1) Using an existing, used, or new low-cost PC (the software requires limited storage) to download the software onto the computer via a broadband Internet connection or via the USB memory drive (sent as part of the initial membership). Once downloaded, BigScreenLive becomes your primary if not sole interface or home page. A login, password, and email address is provided as part of the registration process.
2) Using the USB memory drive to power the experience on a public or private computer that allows access to the USB port and has a broadband Internet connection. The software is designed to run off the USB drive keeping your personal data safe and not needing to store the information on the hard drive. This should enable the members to use the software on public (community centers or libraries) or private PCs (friends, family, or hotel computers while traveling). A login and password is required to securely access your account and data.
3) We will also establish relationships with communities who will have the software loaded on specifically designed hardware or their own existing computers. This will enable their members/customers access to the BigScreenLive software using an individual login and password established as part of a BigScreenLive membership.
What does BigScreenLive offer that is unique?
The software has been designed specifically for our customers by our customers in conjunction with experts who have created world class computing solutions. BigScreenLive empowers individuals who are not satisfied with or have not been able to make computers and the Internet a fun and valuable part of their lives. As their families continue to become more technically dependent, BigScreenLive immediately closes the gap for the member by empowering them and directly connecting their systems to their family. It is a powerful combination of truly intuitive design and an intelligent timely use of technology that creates a uniquely successful experience for our members and their families.
When does it launch?
We are currently available at BigScreenLive. com and Amazon. com. We are also speaking with retailers in the US, Canada, and UK about offering the product along with other marketing partnerships over the coming weeks/months.
Who do you see as your most likely customers?
We have three general groups of likely customers, each with distinct priorities and needs.
1) Adults over 60 who are online but not able to leverage all the potential or are frustrated by numerous bugs, pop-ads, security worries, spam, overly complex or very different software packages, and the numerous other nuisances that exist with existing solutions.
2) Adults over 60 who are not actively using computers and the Internet to regularly communicate with their kids/grandkids, receive and easily store digital photos, share or find new information, and have fun with games, hobbies, and shopping possibilities. They are aware of the benefits but also heard of or experienced problems with computers. They are looking for a safe and easy way to connect with their family and improve their own lives. They realize a need or are considering how to start (restart) to use computers in order to really improve their daily connection to their family.
3) Families (more specifically mothers aged 35 to 55) who want the ability to easily share photos, communicate more often and more efficiently, provide painless support to questions, and easily begin to engage their entire family in the collaborative potential of computers/Internet.
What attracted you to the senior age cohort?
It is an under-served growing demographic that has the time and need to be empowered to achieve the potential benefits of computers and the Internet. As families become more dependent on the Internet, the individuals who are not “truly online” will become more isolated. There is significant evidence that seniors with strong social connections live better and longer. In addition to a business with the potential for significant returns and growth, BigScreenLive has compelling social value -- improving the lives and social networks of older adults and their families.
What do you see as the future for the service, especially its communities function? Will it be a form of networking for seniors? What do you see it developing into?
The same benefits that a family or member will receive by having more direct online connections and collaboration can be translated to organizations or communities who support the 55+ demographic. Enabling a community or social organization the ability to have a daily and direct dialogue with their customers/members is a valuable tool. Residential communities, national organizations, local religious or cultural groups, orsmall charity/local groups all are looking for the ability to distribute online events, calendars, newsletter, surveys, photos, provide recommended links/information, create online chat and discussion boards all within the framework of a tool that is offering the broader capabilities of the software we feel is a compelling proposition. There is also an interesting opportunity for other retailers/service providers to create a powerful home page for this demographic and their families. As with any new solution, understanding the potential or value is initially captured by more visionary organizations or leaders. One of our goals is to find these individuals or organizations, so we can partner in a relationship that can quickly expand and capture the potential that exists.
Boomers Preparing to Sell Businesses
Call it the wave of the future -- if you’re a baby boomer business owner. During the next 10 to 15 years, millions of business folks now age 45 to 60 will be transferring ownership or selling their privately owned companies in preparation for their retirement. The National Association of Certified Valuation Analysts (NACVA), a group for professionals who appraise businesses, estimates the total tab during that time will be $10 trillion.
More here
Boomers Planning to Get 'Old' at 78
Baby boomers, who once advised each other not to trust anyone over 30, say on average, they will get "old" at age 78, a U.S. survey found. The MetLife Mature Market Institute survey polled boomers born in 1946.
More here.
Mature Reading
More books address themes of aging as authors and their audiences grow older
With the oldest of the 78 million U.S. baby boomers entering their 60s, dozens of novels with late-life themes and graying protagonists have reached bookstores -- adding a few new wrinkles to the face of contemporary fiction and underscoring a sobering fact about American readers: The most avid have passed age 50.
So, increasingly, have the characters they meet -- and the novelists, too, said Jane Friedman, president and chief executive officer of HarperCollins Worldwide.
"It's really the graying of America. ... This is not a trend. I think it's the zeitgeist."
Novels will need to have characters that the aging population recognizes, she said, and "You're going to start seeing all of those books in larger print."
Full story here.
Revival of the Ranch
Architectural snoots have long derided the lowly, ubiquitous ranch house. The rambling, unpretentious structures, originally popular in California, spread across the American landscape in the 1950s and '60s and became a symbol of suburban sprawl.
But such homes were functional and well-suited to American families. The best of them had open floor plans that encouraged socializing, kitchens that opened onto dining and living areas, attached garages and sturdy slab foundations.
And even some snobs are beginning to see their worthiness again. Investors are snapping them up, adding modern amenities and adapting them to today's families.
The big appeal? Unlike older homes, they have adequate closet space. And unlike newer suburban homes, they typically have one story or at least a master bedroom on the ground floor. No stairs to climb, no gables or vaulted entryways, just a simple floor plan that's perfect for aging baby boomers.
More here.
'Natural' Burials on the Rise
PORTLAND, ORE. — Cynthia Beal wants to be an Oregon cherry tree after she dies. She has everything to make it happena body, a burial site and a biodegradable coffin.
"It is composting at its best," said Beal, owner of The Natural Burial Company, which will sell a variety of eco-friendly burial products when it opens in January, including the Ecopod, a kayak-shaped coffin made out of recycled newspapers.
Biodegradable coffins are part of a larger trend toward "natural" burials that advocates say are less damaging to the environment.
The market is potentially huge. U.S. funeral homes generate an estimated $11 billion in revenue annually, and that figure is sure to grow as baby boomers age.
More details.
Save the Date!
Dr. Furlong will deliver the keynote address at the Iowa Silver Economy Leadership Summit to be held March 11 in Des Moines. Scheduled topics for the summit include how can Iowa become a "silver economy zone," leveraging the state's boomer workforce to stimulate business creation and entrepreneurialism, the business policies and practices needed to attract and retain and aging workforce and assessing possible regulatory changes. The half-day event will be held at the Des Moines Marriott Downtown and Gov. Chet Culver has been invited. Find out more about the event and register online here.
Save the Date!
Forum One's Online Community Business Forum, set for April 14-15 in Santa Fe, N. M., is an invitation-based event bringing together business leaders who drive active online communities. Topics will include advertising models; subscriber models; ROI frameworks; new revenue models; and other topics of interest to the online community executive. More information here.
Clearing the fog from pension plans
Employees curious about the financial health of their pension plans have long found it difficult to get enough information, but a new tool can help. David J. Tananbaum, an actuary and the founder of AtPrime Media, has gathered the data companies are required to file with the IRS and presented it in a database known as the Pension Inspector that shows up to four years of financial history.
Transplant surgery becoming more common for those over 65
Transplant surgeons are increasingly pushing age limits and putting organs into older and older bodies as the baby boomers seek, and demand, cutting-edge care.
Supplement boosts aging brain power naturally
Improving and maintaining brain health – from playing computer games to taking supplements – is the latest "hot" health topic for aging boomers. Now comes Harvard University with a study saying there is a natural way to energize your brain, sharpen decision-making skills and feel more alert.
Single boomers like freedom but worry about retirement, survey says
Single Canadian boomers treasure the personal freedom of the single life, but also plan to work longer and have concerns about who will care for them in their elder years, new research from Investors Group reveals. Investors Group research found personal freedom was a key value for single boomers, with 89% placing high value on being free to “do whatever they want”.
U.S. Ruling Backs Benefit Cut at 65 in Retirement Plans
The policy, set forth in a new regulation, allows employers to establish two classes of retirees, with more comprehensive benefits for those under 65 and more limited benefits — or none at all — for those older.
Baby Boomers Migrate to Rocky Mountain West
Forget the warmth of Florida and Arizona. Baby boomers, in particular, are gravitating toward the peaks and sagebrush basins of Wyoming and Montana, promising to turn these states from relatively young into two of the nation's oldest.
Read more articles here.
Boomer/Senior Market Report
Published by Mary Furlong & Associates3527 Mt. Diablo Blvd.
#128, Lafayette, CA 94549Telephone: 925-283-7698
http://www. maryfurlong. com