FACTS ABOUT THE 50-PLUS MARKET…ESSENTIAL INFORMATION FOR MARKETERS…
Thom Reece
Today”s 50-plus adults are more fit, better educated and financially secure than any previous generations of mature men and women. No savvy marketer can afford to ignore a market with these types of attributes…
FINANCE…
Today”s 50-plus adults account for:
More than $2 trillion in income
Over 50% of discretionary spending power – 2.5 times average per capita
80% of personal wealth in financial institutions
50% of all discretionary income – $13,286 per household
In addition, the 50-plus:
Own over 70% of the financial assets in America
Control nearly $9 trillion in net worth of U.S. households – 70% of the total
Represent 40 million credit card users, owning almost 50% of the credit cards in the U.S.
AUTOMOTIVE…
The 50-plus purchase 41% of all new cars, totaling more than $60 billion
50-plus adults purchase 48% of all luxury cars
FITNESS & EXERCISE…
16 million 50-plus adults exercise at least three times per week
Fitness activity participation is rising most rapidly among those over 45
From 1987 to 1995, the number of 55-plus health club members jumped 119%; the number of 65-plus members jumped 669%
HEALTH…
50-plus adults represent over $525 billion per year in direct healthcare spending today; this will grow to $1.1 trillion per year by 2007
The 50-plus consume 74% of all prescription drugs, a $100 billion market
The 55-plus spend $467 per capita on prescription drugs, more than double the average They account for 51% of all over-the-counter drug purchases
Even though today”s adults age 50-plus are more fit and active than any previous mature generation, there are 56 million men and women living with heart disease, 40 million with arthritis, 28 million with osteoporosis, and 14 million with diabetes. Healthcare spending for this population exceeds $525 billion a year, much of it related to chronic, rather than acute, conditions.
HOUSING…
Over 79% of all 50-plus own their own home – by far the highest rate of any age group
67% of these are mortgage-free
60% of 50-plus have remodeled their home
TRAVEL…
Today”s 50-plus adults represent 80% of all luxury travel
They spend 74% more on a typical vacation than 18-49 year olds
They account for 65% of all cruise trips
They average 4.8 nights per trip, compared to 3.9 nights for travelers overall
The 50-plus travel further distances than any other age group on an average trip
They spend 40% more time vacationing in their 50″s than they did in their 40″s
