Catering to the senior market: Not all that complicated

By Kathy-Ann Fletcher

Recent communications in the media showed me that several financial companies have developed products for the fifty-plus market. I find this quite interesting, as in the past in seemed that most companies, including said financial firms, have shied away from this market for one reason or another.

What’s stopping us from pursuing this group?

We are hesitant to approach the so-called senior market because we may not understand the dynamics of the market. We are somewhat unsure of how commercially viable this market is and therefore resist it to pursue “surer” markets.

However, considering that many of this age group have paid of their mortgages and car loans and may not have the awesome overheads that some younger persons carry, this target has on average more dispensable income than previously thought.

We are also guilty of being unable to communicate with them. We figure that they may not be where our current trend of new media communication takes our promotion efforts via the internet. This is in itself not true. However, I would suggest that the same way you research the lifestyles of other targets and communicate based on the where they gain their information, follow this method with this segment.

Why pursue this market?

This commercially viable target has needs and wants just the same as any other segment of the market and it is up to the enterprising business person to create the means of fulfilling these demands.

I observe that there are potentially strong relationships to be built with this valuable segment of the market as well. Their expectations are higher from the products and services they use; however, if you can meet or exceed these you can generate a more loyal customer than a younger one who may prove to be fickle.

How-to pursue this market?

I would advise against lumping all seniors into one segment and treating them as a homogeneous group.

They are individuals and despite the being in the same age-bracket, have different needs, lifestyles and financial and societal positions.

Therefore, I believe the best way to pursue this potentially lucrative market is to put out of your head whatever you previously thought and approach them with the same methodology as you would another market. That is, you provide a product/service that meets their external and internal needs, e.g. Financial independence and housing; and communicate with them where they are whether it is through their organisations, TV, radio and yes the Internet.

I hope that we see that this is segment has great potential just as any other in our market and are enterprising enough to resist the urge of ageism and stereotyping to provide relevant and useful products and services to this valuable segment of our market.