The Silver Market Phenomenon. Business Opportunities in an Era of Demographic Change

The current shift in demographics – aging and shrinking populations – in many countries around the world presents a major challenge to companies and societies alike. One particularly essential implication is the emergence and constant growth of the so-called “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 book offers a thorough and up-to-date analysis of the challenges and opportunities in leveraging innovation, technology, product development and marketing for elder consumers and employees. Key lessons are drawn from the Japanese lead market as well as other select countries.

Contents

• Looking at the Bright Side of Things …………………………. v
• From the World Demographic Association …………………….. vii
• Preface and Introduction ………………………………….. xi

Part I The Demographic Shift: Challenges, Chances, Perspectives

1. Demographic Change and Economic Growth ……………….. 3
   T.Fent,B.Mahlberg,andA.Prskawetz
2. Talking Politics: Demographic Variables and Policy Measures in Japan …………………………………………… 17
   G.Vogt
3. The Silver Markets in Japan Through Regulatory Reform ……… 31
   N.Yashiro
4. Matching Demand and Supply: Future Technologies forActiveAgeing in Europe …………………………….. 41
   N.Malanowski
5. How Baby-Boomers in the United States Anticipate Their Aging Future: Implications for the Silver Market …………….. 55
   M.SilversteinandA.Abramson
6. Japan’s Demographic Changes: Social Implications, and Business Opportunities …………………………….. 71
   C.Usui

Part II Innovation, Design and Product Development for the Silver Market

7. Disabled Persons as Lead Users for Silver Market Customers …… 85
   P.Helminen
8. Integration of the Elderly in the Design Process ……………… 103
   K.Schmidt-RuhlandandM.Knigge
9. Universal Design – Innovations for All Ages ………………… 125
   O.GassmannandG.Reepmeyer
10. Transgenerational Design: A Heart Transplant for Housing …….. 141
    J.J.Pirkl
11. Service Innovation: Towards Designing
12. Business Models for Aging Societies …………………… 157
    P.Reinmoeller

Part III Marketing for the Silver Market

12. Current Strategies in the Retail Industry for Best-Agers ……….. 173
    G.ArnoldandS.Krancioch
13. Silver Pricing: Satisfying Needs is Not Enough ………………. 185
    S.Lippert
14. Macro-Structural Bases of Consumption in an Aging Low
    Birth-Rate Society ……………………………………. 201
    T.YamashitaandT.Nakamura

15. Changing Consumer Values and Behavior in Japan:
    Adaptation of Keio Department Store Shinjuku ……………… 225
    N.Enomoto

16. Grey Power: Older Workers as Older Customers …………….. 243
    S.Tempest,C.Barnatt,andC.Coupland
17. Older Consumers’ Customer Service Preferences…………….. 257
    S.Pettigrew
18. Silver Advertising: Elderly People in Japanese TV Ads ………… 269
    M.Prieler
19. Advertising Agencies: The Most Calcified Part of the Process …… 279
    C.Nyren
20. The Importance of Web 2.0 to the 50-Plus ………………….. 293
    D.Stroud
    

The Business of Aging: Ten Successful Strategies for a Diverse
Market ……………………………………………. 309
H.Murata
21. The Discovery and Development of the Silver Market in Germany ………………………………………… 325
    P.Enste,G.Naegele,andV.Leve
22. India: Emerging Opportunities in a Market in Transition ………. 341
    S.P.Antony,P.C.Purwar,N.Kinra,andJ.Moorthy
23. Silver Markets and Business Customers: Opportunities for Industrial Markets? ……………………………….. 353
    P.Mertens,S.Russell,andI.Steinke
24. Business Chances in Personal Transportation: Traffic Safety for Older Adults …………………………………….. 371
    K.Mitobe
25. In-Vehicle Telematic Systems and the Older Driver …………… 381
    J.Meyer
26. Taking Advantage of Adversarial Demographic Changes to Innovate Your Own Business ………………………….. 391
    E.Osono
27. The Golden Opportunity of Silver Marketing: The Case of Housing and Financial Services ……………………….. 415
    K.A.Grossberg
28. Medical System Reforms and Medical Information Systems in Japan …………………………………………… 427
    N.Kishida
29. The End of Mass Media: Aging and the US Newspaper Industry …………………………………………… 443
    M.Miller
30. Material Innovation in the Japanese Silver Market …………… 453
    J.Tomita
31. Potholes in the Road to Efficient Gerontechnology Use in Elderly Care Work …………………………………. 469
    H.Melkas
32. Senior Educational Programs for Compensating Future Student Decline in German Universities ……………………. 481
    D.Schwarz,J.Lentzy,andC.Hipp

• Lessons Learned and the Challenges and Opportunities Ahead ……… 495
  C.HerstattandF.Kohlbacher
• Afterword……………………………………………… 499
  H.Tschirky

Advance Praise for The Silver Market Phenomenon

• The Silver Market Phenomenon literally encapsulates the wisdom of the ages about the aged. What
  sets this book apart is the breadth of its geographic scope, informing readers of age-related trends
  around the globe from the perspective of world-class thinkers. From social theory to empirical
  evidence to practical applications, the Silver Market Phenomenon mines the collective wisdom of
  practitioners and academicians who bring rich and varied perspectives on the fallout from aging to the
  written page. If you’re looking for the survey course on mature consumers, this is it!
  
  Laurel Kennedy, Founder, Age Lessons, LLC, Founding Member and President, International
  Mature Marketing Network, USA


• 
  People live longer and stay active. But what is marketing doing about it? Not enough, it seems.
  Therefore The Silver Market Phenomenon is timely and right on target. It is no coincidence that it
  emanates from Japan, a country that treats senior citizens with respect. But the scope of the book is
  global with authors from both the Eastern and Western hemispheres. My advice: Consult this seminal
  book at your next marketing strategy session!
  
  Dr. Evert Gummesson, Professor of Marketing and Management, Stockholm University School of
  Business, Sweden


• This book is unique in terms of its positive and constructive attitude towards the ageing phenomena. It
  focuses on business opportunities of the demographic change by covering a broad spectrum of
  emerging areas. This breadth is one of the strengths of this book, as it is the first comprehensive and
  international publication on the business opportunities of demographic change. It skillfully articulates
  the unique aspects of the silver market and offers valuable insight and advice to academic scholars and
  practitioners alike.
  
  Dr. Fumio Kodama, Director and Professor, Research Center for Management of Technology,
  Graduate School of Engineering Management, Shibaura Institute of Technology, Japan


• This is a unique book that covers a wide spectrum of topics and contains a wealth of information on
  the mature market in different parts of the globe. The book is a “must read” for those interested in the
  mature market and wish to understand their older customers.
  
  Dr. George P. Moschis, Professor of Marketing, Alfred Bernhardt Research Professor, and
  Director of the Center for Mature Consumer Studies, Georgia State University, USA


• The silver economy offers enormous potential for our society, economically, on the labour market and
  as an enrichment and improvement in the lives of the elderly. Germany will be the first major
  European economy to bear the brunt of demographic change. In order to maximise in order to
  maximise the potential of the silver economy for consumers and suppliers, The Federal Ministry for
  Family Affairs, Senior Citizens, Women and Youth, together with The Federal Ministry for
  Economics and Technology have started an initiative called “Age as an Economic Factor”.
  
  Dr. Ursula von der Leyen, German Minister for Family Affairs, Senior Citizens, Women and Youth


• Demographics drives markets. The book fills a noticeable gap in the field of innovation, namely the
  dealing with opportunities created by the changing demographics of today’s world. Featuring first-rate
  chapter authors, this book provides a valuable contribution to the marketer and product-developer
  interested in conceiving, developing and launching tomorrow’s new products.
  
  Dr. Robert G. Cooper, Professor, McMaster University and President of the Product Development
  Institute, Canada