28 Nov 2019
Aging consumers in APAC try authentic and heritage brands, says GlobalData
Strong economic growth in emerging markets in Asia-Pacific (APAC) has empowered older consumers to spend more on new experiences. As a result, brands are targeting aging consumers with new flavors, ingredients, formulations and formats as they are curious to try authentic and heritage products, says GlobalData, a leading data and analytics company.
GlobalData’s Consumer 2018 Q3 Survey reveals that 60% of aging APAC consumers seek new experiences while 40% of them look for new products. This further demonstrates preferences of older consumers for not only to seek exciting experiences but also product familiarity over something completely new.
Shagun Sachdeva, Consumer Insights Analyst at GlobalData, says: “In APAC, older consumers are more tech-savvy than their Western counterparts due to extensive smartphone usage and frequent usage of mobile payments. Subsequently, they are adopting habits from younger generations such as using technology more regularly and preferring better quality and natural ingredients.”
As a result, brands are developing functional products that are segmented towards older consumers and aim to specifically address their concerns about aging. Adultification in categories like personal care and alcoholic beverages may prove particularly popular with consumers resonating with heritage brands, authenticity and high quality ingredients.
Future opportunities to align with the trend of aging population include connoisseurship and next generation wearables. With smart products becoming universal, technology is increasingly incorporated into the daily lives of older consumers. One such major example is wearable fitness technology firm Fitbit providing health-related suggestions to the aging consumers.
Sachdeva concludes: “In APAC, aging populations are in the growth stage of lifecycle. As a result, fast-moving consumer goods brands are looking for new ways to stimulate demand and encourage product trials. Food, alcoholic and non-alcoholic drinks, and personal care are the various sectors that are growing and appealing to the older consumers.”