AGEING CONSUMERS


Wealth with Wisdom report


A Deloitte study on the 50-plus market


D


eloitte’s 2008 report Wealth with Wisdom: Serving the Needs of Aging Consumers, presents a framework for thinking about the changes


confronting consumers over the age of 50. It highlights issues which businesses need to understand in their product and service design and delivery. Below is an outline of points that might be of interest to spas.


Biological changes As consumers age, biological changes occur in their mobility, fl exibility, strength, vision and hearing. They won’t be as stable when they walk or as fl exible in the shower, two points spas should be mindful of, along with thinking about whether products/amenities are easy to grip or open. Clear font size and colour on signs, menus and marketing col- lateral, as well as strategically placed lighting, could help with vision challenges such as long-sightedness, colour detection and delays in eyesight adapting to the dark. Overall the senses are reduced, so how will this impact on the way older adults experience spas? Deloitte suggests managers “walk a mile in


the customer’s shoes”. Take a group of guests aged 50-plus through a spa and ask what’s going through their minds. Better still, experi- ence it fi rst-hand by wearing the Third Age Suit which simulates the physical limitations of older adults. The suit, designed by researchers at Loughborough University, UK, is already used by fi rms such as Ford and Boeing. The report states: “Unless managers immerse themselves in the world of ageing consumers, observing and conversing with them, they are unlikely to understand the customers and recognise their true needs. The same is true of employees and customer service representatives.”


72 spabusiness.com issue 1 2015 ©CYBERTREK 2015


Psychological changes Deloitte identifi es memory and information processing as two of the main cognitive functions that deteriorate with age. Mood, emotion and attitude formation also change. In terms of information


processing, older adults aren’t as able to block out noise or irrelevant stimuli – whether aural, visual, tactile or language-related. While they still have the ability to learn new information, they process details more slowly. Spas wanting to attract this market should eliminate distract- ing stimuli and make messages clear and easy to remember, says Deloitte. Convoluted treatment descriptions and packages could put this market off , as could the way spas orientate customers – sometimes bombarding them with instructions in a rushed manner. It also suggests that businesses sensitise and train staff to the needs of older adults.


Economic changes “The accumulated wealth of the age 50-plus consumers in the United States gives them more spending power than any other age group”, says the Deloitte report. And numbers are expected to grow exponentially.


The report suggests managers “walk a mile in the customer’s shoes” by wearing an age simulation suit


Social changes The Deloitte report indicates that as people mature, their networks – familial, professional and social – become increasingly complex. It suggests that businesses “provide opportunities for individuals to connect with their family and friends in multiple contexts,” and highlights Disney as a best practice example. It underlines the importance of personal


relevance. People aged 50-plus are often bun- dled together in one group even though their socioeconomic status, cultural and religious outlooks and where they live all impact on how they pick services and products to meet their many diff ering needs. “Infl uencing these consumers with the right message depends on ‘speaking their language’ to communicate in a personally relevant way,” says the report. This is perhaps the biggest challenge spas will face given the many variables. Deloitte advises companies to tap into


active or older adult social networks to uncover consumption patterns. Ask ‘what experiences and cultural icons do these customers value, and how will these shape their preferences?’ Observe and interview prospective and current customers in that age bracket to better understand their needs and wants. ●


PHOTO: ©LOUGHBOROUGH UNIVERSITY, UK


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