The online economy has discovered a valuable demographic: old folks. This
group has more disposable income than any other, and data suggests the
individuals comprising it are becoming much more comfortable with the Internet.
The Nielsen/NetRatings consultancy reported 7.4 million people age 55 or older
made a purchase online in the last six months, up from roughly 26 million a year
ago. And as that market grows, another may be shrinking: the number of adults
who made purchases dropped from 112 million to 107.4 million.
Howard Byck, vice president of business development for AARP Services, also had
some impressive figures. He reported that 40 percent of the U.S. population is
50 or older, but that this group holds 75 percent of the country’s financial
assets. "In many ways marketers have taken the 50-plus market for granted," Byck
said. "The reality is that you can’t do that anymore."
The AARP is expanding its online presence, and is helping members do the same.
Travelocity executive Philip Charles-Pierre said his company’s effort to reach
out to the AARP was "extraordinarily successful." After creating a site called
the AARP Passport, sales rose 300 percent from the same period a year ago.
Some sites have discovered that an older demographic requests more customer
service. But most feel the benefits outweigh the drawbacks. "Once they get
beyond the technological barrier and get into the groove, they tend to be some
of our most passionate members," said David A. Joseph, vice president of
corporate communications and strategy for Audible.
One other concern is that marketing attempts not make seniors feel old. The AARP
Passport program found success by portraying people "who are above 50, 70, 80
doing things they may not have had the chance, or the money, to do when they
were younger," said Charles-Pierre.
Baby boomers and seniors are proving to be a valuable and largely untapped
market for online sales. Companies would do well to draw attract their business.
SOURCE:
http://www.webpronews.com
