A few years ago, BigCommerce and Frost Investment Advisors reported that 28% of seniors and 41% of baby boomers shop online. This, paired with the increased net income of people age 65 and over, make the older generation a very important sector of the e-commerce target audience.
Online Life
According to a recent survey by the Pew Research Center, older adults believe the internet is something positive and are trying to incorporate it more into their daily lives. In the same survey, it was found that 75% of seniors who use the internet said that they use it on a daily basis. Their internet activity is not limited to basic things like news and weather reports, elderly Americans are also very active on social networks, especially Facebook.
Financial
In 2018, Wayne Best, the Chief Economist and Senior Vice President of Visa, reported that baby boomers are still dominating when it comes to consumer spending. The spending of older adults reaches almost every market, from home goods to fast food. It was estimated that this group of U.S. citizens accounts for more than 50% of all spending.
It is no surprise that the elderly account for such a big part of this spending. As medicine improves, seniors stay healthier for longer and work for longer, which means their earning and spending also increases and is projected to keep on growing.
Health
This population segment dominates healthcare spending. The 50-plus group spends over $525 billion on healthcare, with that number expected to reach $1.1 trillion by the year 2007. They purchase 74% of all prescription drugs and 51% of all over-the-counter drug purchases representing a $100 billion market. Per capita spending is approximately $467, more than double the average.
Seniors are aging well, living longer and healthier lives than any generation before them. Sixteen million seniors exercise at least three times per week. From 1987 to 1995, the number of 55-plus health club members jumped 119%, and the number of 65-plus who joined health clubs rose a staggering 669%. Life expectancy has increased 30 years in the past century, extending the life of our members. We can expect similar results in the coming century. (American Academy of Anti-aging medicine, 2000)
Travel
Seniors represent 80% of all luxury travel purchased in the U.S., making up 65% of all cruise passengers and typically spending 74% more on vacations than the 18-49 years old population segment. In 2017, Visa reported that the older generations are some of the most avid travelers in the world. As previously mentioned, the elderly are increasing in numbers, which could mean a boost in the travel and tourism sector.
In the 2019 Boomer Travel Trends, the AARP said that boomers travel between 4 and 5 times a year and spend about $6,600 in total. Most travelling is done domestically, but there are many who do venture on international travels.
The Over 50 Age Group Is The Most Affluent Internet Consumer Market
Suddenly Senior presently receives 243,000 of these individual visitors each month. Just like any other network, we make a wide variety of seniors oriented information and programs available to our audience.
The population contains an ever-increasing proportion of older adults. Their social interests and lifestyles are ever-broadening. These seniors are pouring on-line to create one of the most important consumer groups yet seen in this supposedly youth-oriented medium.
According to a Greenfield Online consumer research study, an amazing 92 percent of wired seniors have window-shopped online and 78 percent have made a purchase. This is significantly higher than the online shopping and buying by the total Internet population, according to tracking studies by the Westport-based company that pioneered online marketing research.
Internet Users Over 50 Age Group Are The Most Likely To Buy Online
According to a Baruch College-Harris Poll commissioned by Business Week Magazine
The survey found that young people are more likely to use the Net for entertainment and socializing, while older folks spend most of their time on more serious matters. For example, 24% of 50-to-64-year-olds and 19% of those 65 and over say they use the Net often for investing purposes.
The over 50 age group represents 26% of the population, control nearly 75% of North America’s personal wealth, spend 28% of all discretionary income, nearly double that of households headed by those who are 34 years old or younger, and represents close to 50% of all consumer spending in North America.
The typical profile of the over 50 Internet user is a 57-year-old grandparent who owns a car, has a higher than average education, and has a yearly household income in excess of $60,000.
The fact that this age group purchases more than half of the luxury automobiles sold in North America indicates their immense buying power.
The over-50 age group holds 75% of ALL Personal Wealth
According to Media Metrix, seniors are the fastest-growing Internet demographic group. Seniors go online more frequently and stay on the Internet longer than those under 50, making them among the largest untapped audiences for online marketers. Compared to 18- to 24-year olds, seniors spend on average 6.3 more days per month on the Internet, stay logged on 235.7 minutes longer and view 178.7 more unique pages per month.
