Transcript The Challenge: To Create More Value in All Negotiations

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this presentation [and ensure
that it is not a mess], you need
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NOTE:
“Showcard Gothic,”
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and “Verdana”
Tom Peters’
EXCELLENCE.
Opportunity.
Boomers.
Geezers.
Numbers. Many. Many.
Many. Many. Many.
Money. All.
Time. Lots.
Energy. High.
Domination.
Next 25 years.
Unprecedented.
North America.
Western Europe.
Japan.
[Women. Especially.]
05.02.08
Average # of cars purchased per
household, “lifetime”:
13
Average # of cars bought per household
after the “head of household” reaches
age 50:
7
Source: Marti Barletta, PrimeTime Women
!!!!!!!!!!!!!!!!!
“People turning 50
more
than half of
today have
their adult life
ahead of them.”
—Bill Novelli,
50+: Igniting a Revolution to Reinvent America
A powerful
Assertion!!!
20
$14,000,000,000,000$25,000,000,000,000
NOTE: In the next 20 years
between 14 and 25 trillion
dollars of wealth will be passed
on to the current generation—a
number never matched
in history.
2000-2010 Stats
18-44: -1%
55+: +21%
(55-64:
+47%)
NOTE: U.S. demographics for
the first decade of the 21st
century.
We are the Aussies & Kiwis & Americans & Canadians. We are the
Western Europeans & Japanese. We are the fastest growing, the
biggest, the wealthiest, the boldest, the most (yes) ambitious,
the most experimental & exploratory, the most different, the
most indulgent, the most difficult & demanding, the most service
& experience obsessed, the most vigorous, (the least vigorous,)
the
most profoundly
important commercial
market in the history of
the world —
next twenty-five
years.
the most health conscious, the most female,
and we will be the Center of your
universe for the
We have arrived!
We are the Aussies & Kiwis & Americans & Canadians. We are the Western Europeans
& Japanese. We are the fastest growing, the biggest, the wealthiest, the
boldest, the most (yes) ambitious, the most experimental & exploratory, the
most different, the most indulgent, the most difficult & demanding, the most
service & experience obsessed, the most vigorous, (the least vigorous,) the most
health conscious, the most female, the most profoundly important commercial
market in the history of the world —and we will be the Center of your universe
We
have
arrived!
for the next twenty-five years.
Median Household Net Worth
<35: $7K
35-44: $44K
45-54: $83K
55-64: $112K
65-69: $114K
70-74: $120K
>74: $100K
Source: U.S. Census
BoomerBucks!
Boomer turns 50: every 7 seconds. 2009: majority of
U.S. households headed by someone over 50. 20062016: U.S. population up 22.9 million; 22.1 million in
over-50 group. 2006: 1 in 5 adults is F, over 50.
Women between 50-70 who are single: 35%. Age
45-54: highest average income, $59, 021 (national
average is $42,209). FASTEST GROWING INCOME
CATEGORY: WOMEN, 55-64 (4X men in same
category). Women, age 60-64: 50% still in
workforce. Highest net worth: families, 55-64
($182,000). People over 50: 70% to 79% of all
financial assets; 80% of all savings accounts; 62% of
all large Wall Street asset accounts; 66% of $$
invested in the stock market. Age 50+: 29% of
population, 40% of total consumer spending, 50% of
discretionary spending. Next 2 decades: BOOMERS
WILL INHERIT $14 TRILLION-$25 TRILLION (“largest
intergenerational transfer of wealth in history”).
—Marti Barletta, PrimeTime Women
55-64 vs 25-34
E.g.: New cars & trucks: 20% more
spending. Meals at full-service restaurants:
+29%. Airfare: +38%. Sports equipment:
+58%. Motorized recreational vehicles:
+103%. Wine: 113%. Maintenance, repairs
and home insurance: +127%. Vacation
homes: +258%. Housekeeping & yard
services: +250% to +500%.
Source: Marti Barletta, PrimeTime Women
50+
$7T wealth (70%)/ $2T annual income
50% all discretionary spending
79% own homes
40M credit card users
41% new cars/48% luxury cars
$610B healthcare spending/
74% prescription drugs
5% of advertising targets
Ken Dychtwald, Age Power: How the 21st
Century Will Be Ruled by the New Old
44-65:
“New
Customer
Majority” *
*45% larger than 18-43; 60% larger by 2010
Source: Ageless Marketing, David Wolfe & Robert Snyder
“The New Customer
Majority is the only adult
market with realistic
prospects for significant
sales growth in dozens of
product lines for
thousands of companies.”
—David Wolfe & Robert Snyder, Ageless Marketing
“Marketers attempts at reaching those
over 50 have been miserably
No market’s
motivations and needs
are so poorly
understood.” Peter Francese, founding
unsuccessful.
—
publisher, American Demographics
“I just turned 50. People ask,
‘What do you want for your
birthday?’ I don’t want more
stuff. I want experiences.
I travel. I explore. I eat.
I read.” —Janet Prince (from “Meaningful
Pursuits,” Newsweek, 0806.07 Prince just
returned from 6 days volunteering in Ecuador)
“Fifty-four years of age has been
the highest cutoff point for any
marketing initiative I’ve ever been
involved in. Which is pretty weird
when you consider age 50 is right
about when people who have
worked all their lives start to have
some money to spend.” —Marti Barletta,
PrimeTime Women
“One particularly puzzling category of youth-obsession is
the highly coveted target of men 18-34, and it’s always
referred to as ‘highly coveted category.’ Marketers have
been distracted by men age 18-34 because they are getting
harder to reach. So what? Who wants to reach them? Beyond
fast food and beer, they don’t buy much of anything. …
The theory is that if you ‘get them while they’re young,
What
nonsense!”
they’re yours for life.’
—Marti Barletta, PrimeTime Women
“The mature
market cannot be
dismissed as
entrenched in its
brand loyalties.”
—Carol Morgan & Doran Levy, Marketing to the Mindset
of Boomers and Their Elders
“Advertisers pay more to reach the kid
because they think that once someone hits
middle age he’s too set in his ways to be
susceptible to advertising. … In fact,
this notion of impressionable kids
and hidebound geezers is little
more than a fairy tale, a Madison
Avenue gloss on Hollywood’s cult
of youth.”—James Surowiecki (The New Yorker)
“Baby-boomer
Women: The
Sweetest of
Sweet Spots for
Marketers”
—David Wolfe and Robert
Snyder, Ageless Marketing
“Tap into a midlife
woman’s renewed
sense of self, and your
cash registers are
likely to start ringing”
—Headline, Fast Company
“For today’s
emancipated, educated,
high-expectation
women, the mid-forties
to mid-fifties is the Age
of Mastery.”
More
—Gail Sheehy (in
)
“WOMAN of the Year: She’s
the most powerful
consumer in America. And
as she starts to turn sixty
this month, the affluent baby
boomer is doing what she’s
always done—redefining
herself.”
—Joan Hamilton, Town & Country, JAN06
Boomers’-Geezers’-Women’s Trifecta+
*Buy/all
*Wealth/all
*time left/ lots
*Eclipse of males/retire-die
No: “Target
Marketing”
Yes :
“Target
Innovation” & “Target
Delivery Systems”
NOTE: This entire discussion, to
repeat myself, is not about
“marketing ploys,” but about
wholesale strategic change.
“‘Age Power’ will
st
rule the 21 century,
and we are woefully
unprepared.”
Ken Dychtwald, Age Power: How the 21st
Century Will Be Ruled by the New Old