Over 65s retail spend set to soar
- Published: 21 November 2007 11:50
- Last Updated: 22 November 2007 12:42
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Retailers need to shift their traditional focus to be more inclusive of older shoppers, according to a Verdict Consulting report.
Verdict's research showed that consumers aged between 65 and 74 will increase their retail expenditure by 76.6% over the next 10 years, making the group the fastest growing age segment. The over 75s will also increase their spending significantly by 44.3%, the third highest age-range increase.
Verdict said there were two main factors influencing the dramatic growth pattern; the ageing population of the UK means that the number of 65- to 74-year-olds in the population will grow by 28% over the next 10 years and the over 75s will grow by 19%.
The increase in spending is also down to changing attitudes, with older consumers having an increasingly younger mind et.
Spending per head is set to increase by £2,461 for those over 65, far greater than the £1,211 average per head spend.
Traditionally younger consumers drive retail growth, but now it seems that the over 45s will also have a more significant impact in shaping future retail activity.
Verdict warns that retailers which are used to focusing marketing and products on the young may be caught off-guard by the shift in spending. The consultancy also said that retailers should be aware that older shoppers can be more demanding and discerning.
