The Silver Market Phenomenon: Business Opportunities and Responsibilities in an Era of Demographic Change

One essential business implication of demographic change is the emergence and constant growth of the so-called “graying market” or “silver market”, the market segment more or less broadly defined as those people aged 55 and older. Increasing in number and share of the total population while at the same time being relatively well-off, this market segment can be seen as very attractive and promising, although still very underdeveloped in terms of product and service offerings. This is both true for the B2C as well as the B2B sector as the workforce of organizations is also aging.

Japan is both the most severely affected country by the demographic shift and the most advanced in terms of product development and innovation with very affluent, free-spending but also demanding customers. Japanese companies were among the first to react to the challenge of the demographic change and are constantly coming up with product as well as service innovations. Nevertheless, they have but touched the tip of the iceberg of the huge potential of this market. This research project aims at analyzing the challenges and opportunities in leveraging innovation and product development for elder consumers and employees and in developing marketing strategies and business models for the silver market.

This project is conducted in joint collaboration with the Institute for Technology and Innovation Management, Hamburg University of Technology, Prof. Dr. Cornelius Herstatt.
http://www.tu-harburg.de/tim/en