The number of people aged 60 will increase by 56 per cent globally, from 900 million in 2015 to more than 1.4 billion, by 2030, according to GlobalData, which says FMCG brands will have to adapt to cater for this age group.
In its latest report, TrendSights Analysis: Aging Populations, GlobalData, says FMCG brands will need to address the specific health concerns of older consumers while building consumer trust, all without making these consumers feel bad about their age.
GlobalData Innovation Insights Director Tom Vierhile says older people tend to be less experimental and more loyal, so brands with a reputation for quality stand to gain from this demographic shift.
“Regardless of market position, all brands need to reassess how well they know older consumers and how prepared they are to cater to them with appealing new product propositions,” he said.
He adds that with high levels of disposable income, this demographic will have a clear impact on FMCG brands, especially for companies in personal care, health, food, and non-alcoholic and alcoholic drinks.
The report also confirms that older consumers tend to seek products offering health and wellness benefits, citing trends indicating that 59 per cent would “trust a product containing natural ingredients”, 36 per cent would buy “established brands” and 30 per cent would choose products offering “healthier, good-for-you ingredients”.
Mr Vierhile says the view that older consumers spend their time quietly sitting around is a misconception, with the report indicating that 58 per cent of consumers aged over 65 exercise at least once a week, presenting an opportunity for sports-clothing and nutritional/supplement brands.
“FMCG brands can employ a number of strategies to cater to older consumers,” he said. “This age group tends to seek products that are trustworthy, reliable and risk-free. Along those lines, FMCG brands can simplify products by cutting ingredient lists, reducing the use of chemicals and boosting the use of natural ingredients in both food and non-food products.”