Age Tech: Big Profits in the Longevity Economy

Plus: Why content marketing wins in the longevity economy, how to defeat ageism, and the high cost of ignoring older consumers (and why that's an opportunity for you).

The big promise of the longevity economy is not just an increasing number of new products aimed at people over the age of 50. It’s about more purchasing of just about everything by older adults once the longevity economy flywheel starts spinning at an accelerated pace.

There are, however, some purchases that are specific to older people that we know of today, including:

• Insurance and financial services

• Healthy aging tech, equipment, and guidance

• Accessibility and independence products

• Online skill training and re-training

• Estate planning services

One area we’ll be exploring in detail is the online education market for “long life” learning, because it’s going to be massive. But for today, let’s take a look at the intersection of technology and an increasingly older population, or “age tech” as it’s commonly called.

A lot of the current efforts in age tech are aimed at late stage elder care, where aging is still viewed as nothing more than a series of problems to be solved. But there are also interesting opportunities for products aimed at the 50-75 market that focus on increasing healthspan and enhancing functionality and quality of life.

Nutrition, exercise, and sleep are vital for all age groups, but they’re especially essential once people pass 50. In this case, health conscious Baby Boomers have paved the way, which is why it’s common to hear “70 is the new 50” nowadays. 

The Rise of Data-Driven Health 

We now have mainstream technology that provides more and more information about our personal health. For example, a future version of the Apple Watch will be able to monitor blood sugar, alcohol levels, and blood pressure.

Where it’s going from there is straight out of science fiction. Researchers at Columbia University have developed a sensor so small it can be injected into the human body. This dust-mite-sized chip can monitor internal body temperature, glucose levels, respiratory function, with more to come.

It’s a lot easier to sell the next-gen Apple Watch than to convince older people to be implanted with a chip. But remember, things change with new technology in ways that make the one-time outliers the new mainstream.

Back in the early 2010s, the quantified self was nerdspeak for electronically monitoring specific vitals. It started with products like Fitbit and Runkeeper, and then the Apple Watch beginning in 2015. 

These wearables, and the data they track, are now firmly mainstream. And plenty of “nerdy” types made a bundle blogging about these gadgets (powered by affiliate marketing for revenue). All they did was get started when they were more fringe until the days of widespread adoption.

It’s really just the beginning, though. Next-generation sensors will intersect with biotechnology and artificial intelligence. This not only allows for living your best life as an older person, but also helps people avoid preventable health hazards with early detection.

An Ounce of Technological Prevention is Worth ... 

Wearable technology adoption is beginning to catch on among older people and has accelerated (like a lot of things) due to the COVID-19 pandemic. According to The Future of Wearables and Older Adults report (PDF), the use of data for preventive medicine is the true catalyst for the over 65 set:

Because individuals want to participate in their own health, they not only want to track, but also to share data with their doctor to help with a more accurate diagnosis. The Consumer Technology Association has been surveying consumers, noting that even in February of 2019, 58% of consumers were willing to share health data with their doctor to gain a more accurate diagnosis and effective treatment. But wearable innovations are appearing daily – and can still outpace the ability of physicians to keep up.

Older adults mainly want to monitor blood pressure, heart health, blood sugar levels, and stress. Pair that with other benefits such as fall detection for frail seniors and the awful “I’ve fallen, and I can’t get up” medical alarm is now a stylish and multipurpose accessory:    

The smartwatch was legitimized as an alternative to the Personal Emergency Response Service (PERS) pendant on the day that Apple announced fall detection in 2018. And in fact, Apple dominates the smartwatch category, though Samsung and Fitbit are competitive and being recommended for seniors. And AARP’s newest technology adoption report notes that 20% of the 70+ age range own a wearable. Also notable, considering that most wearables are still paired with them, smartphone ownership has risen most sharply among the 70+, with 77% of survey responders indicating they own one.

For older adults, it all comes down to awareness and education about new developments in wearable technology. This changes so rapidly that they (and their physicians) can’t keep up. That’s an opportunity for you.

Become the Trusted Advisor

I anticipate that those currently at midlife will further lead the charge with new diet, exercise, and lifestyle norms. The average Apple Watch user is currently 41, and the device will operate as “gateway tech” to more advanced forms of wearable technology for older folks. This will help precipitate a tighter integration between personal health and wellness technology. 

But older consumers also need to be introduced to the benefits of next-generation wearables from a trusted source like you. This is just one of the opportunities where content, audience, and the longevity economy will intersect for digital entrepreneurs who are paying attention.

While the tech will be new and cutting edge, adoption will be driven by basic human motivations: self-improvement, status, security, and more. Your job is to humanize the technology while preaching empowerment, not fear-based “I’ve fallen, and I can’t get up” nonsense.

The field of age tech is much more expansive than wearables, so we’re just scratching the surface. We’ll explore more in future issues of Longevity Gains.

Now, let’s take a look at what’s happening with the longevity economy in the news:

Content Marketing Wins in the Longevity Economy

Interesting thoughts from global consulting firm BCG in this piece. Their findings generally validate many of the foundational truths that make the longevity economy such an overwhelming opportunity:

Global research conducted by BCG’s Center for Customer Insight … reveals that the return on investment (ROI) for marketing to mature consumers is far better than often assumed. Mature consumers have immense buying power, spend more than members of other age groups do on individual purchases, exhibit strong brand loyalty, are resilient through economic ups and downs, and wield surprising influence over younger consumers.

After decades of neglect by brands, older people can no longer be ignored as a powerful consumer group. Added to this massive adjustment will be the fact that marketing to older consumers requires a different approach:

Mature consumers represent a massive opportunity that brands should no longer ignore. And as societies age, the demographic will continue to grow in size and importance for decades. Yet our research also found that these consumers are difficult to reach and persuade through conventional marketing techniques.

We’ve already touched on some of the challenges that traditional brand advertising faces when communicating with older consumers, such as the counterintuitive effects of subjective age. And while I’m an obvious advocate for content marketing, it seems that content-driven empowerment marketing is becoming the consensus key to success:

In particular, they should design dedicated omnichannel customer journeys, communicate directly and personally, and focus on persuasion based on honesty and transparency. Brands should also rethink how they measure ROI, in order to gauge the full long-term value of mature consumers more accurately.

That’s good news for content marketers and digital entrepreneurs who take an audience-first approach. As we move forward with Longevity Gains, this is exactly the strategic approach we’ll be exploring.

Don’t Overlook Your Mature Consumers

Changing Ageist Perceptions

The more carefully you pay attention to how people talk and think about older people, the more you notice how rampant ageism is (even among older people themselves). I’ll be the first to admit I was caught up in the negative cultural perceptions of “old” people before I started Further. But since Longevity Gains debuted, my awareness has escalated to the point that I sometimes find myself getting angry about it.

The good news is that in most cases ageism isn’t malicious, it’s more along the lines of a host of casual misconceptions. And that means education can be highly effective in changing perceptions across the board, especially when it comes to convincing older people to have more positive perceptions of themselves and the aging process.

At this point, one of the most important groups to educate is employers. As we’ve discussed, there’s a mutually-beneficial need for businesses and older people to come together to get the longevity economy flywheel spinning.

Recent research shows promise:

The study found that 90% of participants reported rethinking the way they communicate with older adults. Another 87% had discussed ageism with others, 86% actively considered actions they could initiate to address ageist attitudes in their workplace and 82% reconsidered their attitudes towards aging.

“These findings suggest that while ageism may be the most normalized and socially accepted form of prejudice, it is also malleable and amenable to change,” the study said.

This is encouraging, especially since labor shortages are likely here to stay and older people want and need to work later into life:

Forward thinking businesses are already on this. Given our current talent shortages across the country—which because of demographics will only continue—it behooves all businesses to invest in professional development around this,” [anti-ageism activist Janine] Vanderburg said.

Ageism may be the last socially accepted form of prejudice, but it may be easier to correct than other forms of discrimination. That’s because unless unlucky, everyone gets older.

‘Ageism may be the most normalized and socially accepted form of prejudice,’ but there is hope

The Cost and the Opportunity

Consumers can be vindictive when they feel slighted by brands. This is particularly true of older people, who have in fact been slighted for decades. It’s clear what so many companies are missing out on by ignoring the vast demographic shift that’s under way:

Not only are Americans over 55 more likely to feel misrepresented in advertising, but they’re also more likely to turn their backs on a product or service whose advertising neglects or portrays them in an objectionable way. Adults 55 and older are four percentage points more likely than the Gen Pop (50% compared to 46%) to report being ‘very likely’ to decide against purchasing a product under these conditions and narrowly over-index for being at least ‘somewhat likely’ to do so.

But their loss is our opportunity. I don’t know if there’s ever been a larger market that’s this wide open in history, but we know this one is huge and expanding. It’s time to go to work.

The Consequences of Advertising That Misrepresents or Ignores Older Americans

That’s it for this week. Next time we’ll begin to dive deeper into a modified version of psychographic targeting that strongly connects with older consumers.

Keep going-

Brian