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THEY’RE WEALTHY, WIRED AND RISING IN YOUR MARKETS NOW!! iMedia Agency Summit Phuket 5-7 October 2009 www.silvergroup.asia

Silver iMedia Phuket (Public Version)

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Presentation (abridged) delivered by Kim Walker, CEO SILVER Group to the 2nd Southeast Asian iMedia Agency Summit held in Phuket, Thailand on October 5~7, 2009. Features information about the ageing consumer and their online habits.

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Page 1: Silver iMedia Phuket (Public Version)

THEY’RE WEALTHY, WIRED AND RISING IN YOUR MARKETS NOW!!

iMedia Agency Summit Phuket 5-7 October 2009

www.silvergroup.asia

Page 2: Silver iMedia Phuket (Public Version)

SELL

more things to the same people?

or

the same things to more people?

Page 3: Silver iMedia Phuket (Public Version)

selling to older people

Page 4: Silver iMedia Phuket (Public Version)

Population ageing is unprecedented,

a process without parallel in the history of humanity…

“Population ageing isunprecedented,

a process withoutparallel in the history

of humanity…”United Nations, World Population Ageing Report, 2007

Page 5: Silver iMedia Phuket (Public Version)

50+ population share

36% 37%40%

46%41%

18% 18%

46%

37%

20%13%

21%

37% 37%

31%

39%35%

23%32%28%

36%39%

32%

15% 15%

43%

27%

15%11%

17%

27% 28%23%

35%31%

16%

AustraliaChina

FranceGermanyHong KongIndia

IndonesiaJapan

Korea

MalaysiaPakistanPhilippinesSingaporeTaiwanThailandUK USA

Vietnam

2008

2018

Data: Global Demographics

35%

Page 6: Silver iMedia Phuket (Public Version)

The only growing segment

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

0-14 15-34 35-49 50+

20082018

33.5%1.8%

0.9%-6.5%

* Aus, China, HK, India, Indon, Japan, Korea, Msia, Phils, Spore, Taiwan, Thai, Viet

Page 7: Silver iMedia Phuket (Public Version)

US$2tr spending power

$1,963.9

$1,021.2

2005 2015

Affluent AsiaEmerging AsiaTOTAL

Affluent Asia: Japan, Korea, Taiwan, Singapore, AustraliaEmerging Asia: China, India, Thailand, Malaysia, Philippines

MasterCard Asia/Pacific

Retired (65+)US$ billions

Page 8: Silver iMedia Phuket (Public Version)

SPENDING POWERCOMPETITION

POPU

LATI

ON

GR

OW

TH

15~34

50+

35~490~14

Marketing 101

Page 9: Silver iMedia Phuket (Public Version)

50+ share of spend

USA:

80% - luxury travel74% - prescription drugs51% - OTC drugs60% - healthcare spending41% - new cars25% - toys$7 billion online sales annually

EUROPE:

45% - new cars & 80% top range50% - face care/cosmetics55% - coffee50% - mineral waters50% - food oils (60% olive oils)40% - yogurts & dairy products35% - travel, 80% cruises

Page 10: Silver iMedia Phuket (Public Version)

older but not old

and

not all the same

Page 11: Silver iMedia Phuket (Public Version)

Who are they?

Page 12: Silver iMedia Phuket (Public Version)

not all the same

demographics

culture

gender

attitudes

Page 13: Silver iMedia Phuket (Public Version)

DenialHow do you think, feel and behave relative to your actual age?

0%

20%

40%

60%

80%

100%

Austra

lia

China

India

Japa

nSing

apore HK

Same or older5 years or more younger

SilverPoll™ Jan 2009

Page 14: Silver iMedia Phuket (Public Version)

Older but not the same

Keeping up with new

technologies is important

to me

New technology

has had very little effect on

my life

I just don’t understand computers and new

technology 25-49 53.4 8.0 3.9 Carefree Ambitious

Extroverts 50-65 47.7 6.3 17.1

25-49 66.1 61.8 65.1 Conspicuous Consumers 50-65 84.9 68.8 66.5

25-49 14.5 31.3 6.4 Contented Nationalists 50-65 18.3 17.6 10.4

25-49 18.9 24.5 18.0 Stressed Loners 50-65 38.3 17.3 29.6

25-49 37.0 26.9 19.8 Sensible Aspirers 50-65 31.6 34.4 35.8

25-49 5.8 31.9 9.3 Quietly Contented 50-65 9.2 31.5 24.9

Silver3D Aus 2008

Page 15: Silver iMedia Phuket (Public Version)

THE RISE OF THE SILVER SURFER

Page 16: Silver iMedia Phuket (Public Version)

Technology adoption19801980 19901990 20002000 20102010

TECHNOLOGY Personal Computer Internet Broadband Cloud

BOOMER AGE:GEN Y AGE:

16 ~ 340

26 ~ 440 ~ 7

36 ~ 543 ~ 17

46 ~ 6413 ~ 27

CULTURE PRODUCTIVITY CREATE FIND SHARE

WordPowerPoint

AdobeApple

Photoshop

GoogleiTuneseBay

FacebookMySpace

TwitterDe.lic.ious

FlickerWikipedia

Page 17: Silver iMedia Phuket (Public Version)

Who’s online in APAC?

Source: comScore Media Metrix, Aug 2009 Asia Pacific

18.5%

Page 18: Silver iMedia Phuket (Public Version)

Annual GrowthUnique Visitor Growth

millions Asia Pacific

25.7% 20.7%

24.2%

18.4%

Source: comScore Media Metrix, Jan 2009 and Aug 2009 Asia Pacific

Page 19: Silver iMedia Phuket (Public Version)

Growth in developed countriesPercent Internet Access Growth

Persons 55+ Year OldJan ‘09 vs. Aug ‘09

Asia Pacific

Source: comScore Media Metrix, Jan 2009 and Aug 2009 Asia Pacific

Regional Comp 7.3%

Page 20: Silver iMedia Phuket (Public Version)

Spending more time online

7%

Duration for 15-54 year oldsFlat to slight decline

Around1.5 hrs/day

Source: comScore Media Metrix, Jan 2009 Asia Pacific

Page 21: Silver iMedia Phuket (Public Version)

What are they looking at?1. Pharmacy2. Retail – Food3. Consumer goods4. Sports/Outdoor5. ISP6. Retail/Movies7. Incentives8. Fragrance/cosmetics9. Car rental10. Weather

Source: comScore Media Metrix, Aug 2009 Asia Pacific Roll-Up

Page 22: Silver iMedia Phuket (Public Version)

55+ Dominate Online GamingAverage Monthly Minutes Playing Online Gaming

55+ Year Old - Asia Pacific RegionAugust, 2009

Source: comScore Media Metrix, Aug 2009 Asia Pacific Roll-Up

Mon

thly

Min

utes

Page 23: Silver iMedia Phuket (Public Version)

Casual, Infectious Gaming

Unique Visitors (x000)

Top Online Games55+ Year Olds – Asia Pacific Region

August, 2009

Source: comScore Media Metrix, Aug 2009 Asia Pacific Roll-Up

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Web use

1. EDUCATION2. INCOME

3.AGE4. WEB ACTIVITY5. GEOGRAPHY

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they’re wealthythey’re wired

and they’re rising in your markets now!!

Page 27: Silver iMedia Phuket (Public Version)

is age important?

YES

NO

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Physiological ageing

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Web design

OLDER HANDS OLDER EYES OLDER MINDS

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• Baidu is China’s biggest search portal• 123Baidu launched in April 2009• Developed by 30 engineers over 6 moths• Based on frequently visited websites among older surfers

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Soc net

16.5 million adults aged 55+ use social networkingFastest growing user segment on FacebookMySpace usage surge among the 55+

6.9 million usersAv. 204 minutes a month

One year since AARP.org launched its social networking platform

350,000 users1,700 groups (gardening to social activism)

Heaviest users of Second Life45+ spend 70.17 hrs.p.m1.2 million residents past 60 days

Page 34: Silver iMedia Phuket (Public Version)

http://silvergroup.asia/blog

Asian Seniors Logging OnUsing Twitter to capture the "Memories" of One Million People

Older Users Drive Twitter's SuccessHong Kong to launch portal for seniors

Boomer Business Fails On a Fundamental14% of online gamers are 50-plus

Online Commerce Growth Fuelled By 65+10 reasons why the internet is great for older people

India's seniors get bloggingChina's Biadu Makes Search Easier for Seniors

Page 35: Silver iMedia Phuket (Public Version)

PHYSICAL

SENSORY

COGNITIVE

PRODUCT

RETAIL

ONLINE

COMMUNICATIONS

SALES SUPPORT

CONSUMER EXPERIENCE EFFECTS OF AGEING

AUDITTM

BUSINESS STRATEGY

Methodical assessment of age-readiness

Page 36: Silver iMedia Phuket (Public Version)

Explore / Research Deciding / Shopping

Preparing for consumption

Consuming

Post‐ Consumption

Need trigger

Product usability

Mapping the Experience

Online usabilityCall centre

Retail experience

Flavour, texture

Cognitive dissonance AUDITTM

Page 37: Silver iMedia Phuket (Public Version)

SilverAudit

Sophisticated, web based toolCan measure over 150 touch-points against 16 effects of ageing (up to 2,400 data points)Provides comments and photo reference where possibleOverall score by ‘Consumer Experience’ by ‘Ageing Effects’and ‘Overall’ determines age readinessPractical recommendations to improve score in future

Page 38: Silver iMedia Phuket (Public Version)

how older people use websites is age related

what they use the web for might be age-related

importance of the web as a channel is not age-related

Page 39: Silver iMedia Phuket (Public Version)

huge, untapped opportunityolder but not the same

they’re wealthy, wired and rising in your markets now!!

Page 40: Silver iMedia Phuket (Public Version)

http://www.silvergroup.asiahttp://www.silvergroup.asia/blog

Connecting you to the 50+ market