Insights into the behavior of senior consumers in China
Editor’s note: Maxwell Wang is founder of qualitative marketing research firm RESEARCHISM, China.
While ample research has been conducted on young consumers, the same focus doesn’t seem to apply to discerning senior consumers. Indeed, it often seems we lack both patience and authentic curiosity when it comes to understanding this demographic segment. Rarely are senior individuals presented or discussed from a perspective of true empathy.
So, what’s the prevailing perception of seniors? Are they only seen as a dull demographic – despite their significant purchasing power?
Our research centered around this group of senior consumers in China revealed some intriguing insights. In this article, I will explore their struggles and behaviors, and in doing so expose their often misunderstood mind-sets and uncharted business opportunities.
Seniors in China value relationships with vendors
Key research finding: For seniors, emotional benefits stem not only from the product but also largely from the interpersonal interactions accompanying their purchase.
During our research, we observed that it’s a common belief that seniors prefer traditional shopping over online alternatives. This, however, isn’t because they lack the capability for online shopping. On the contrary, many seniors have e-commerce apps on their phones and are adept at placing orders. Nevertheless, they do lean more toward brick-and-mortar shopping experiences.
The general reasoning implies that seniors value tangible experiences and are uncomfortable with virtual shopping. This is a valid interpretation, but only scratches the surface.
Unlike younger digital natives, seniors weren’t born into the internet era. They’ve spent decades in an acquaintance society where interactions with neighbors and friends outweigh distant relationships. This leads them to value relationships with vendors as opposed to simply the products they sell.
How can brands connect with senior consumers?
While younger generations might chase efficiency and appreciate attaining emotional benefits directly from products, seniors value emotional connections provided by more intangible services – a warm greeting or friendly conversation can go a long way. Brands should focus on the entire purchase journey rather than just selling products. Seniors’ emotional needs often manifest before and after the transaction phase.
Brands can help foster confidence, empower senior consumers
Key research finding: Seniors often crave validation and recognition for their purchase decisions.
During home visits, we observed that some seniors were apprehensive about showing their purchases to their children. For example, some older people hide their supplements in closets.
Seniors may have fears of being chastised by their children for purchasing low-value goods. They worry that their wisdom and experiences stand to be invalidated if their children perceive their purchases as worthless. This could imply a difficult acceptance of old age, and a perceived inability to gain their children’s recognition, further enhancing a self-image of being outdated.
How can brands boost senior consumer confidence?
Children’s approval can significantly enhance senior consumers’ shopping confidence and propensity to repurchase. Brands should focus on winning not only the hearts of seniors but also those of their children and peers. Brands should empower senior shoppers, fostering their confidence and reflecting their wisdom and astuteness in decision-making.
Senior consumers thrive in strong social networks
Key research finding: Seniors are proactive in sharing their experiences post-purchase due to their altruistic nature.
Despite living through periods of material scarcity, our observations revealed that seniors are warm hearted and actively participate in community affairs.
A clear distinction must be made between the “strong” and “weak” social networks of seniors. Their strong relationships are built on an extensively shared life history. Unlike younger people who form weak connections based on shared interests, seniors thrive on deeply immersive experiences, where they share all of life’s facets within a close-knit group.
How can brands engage with senior social networks?
Seniors in strong networks are keen to share good, valuable products within the circle. For example, seniors in China are likely to share health care knowledge and tips with their family. This sharing mechanism can effectively reduce the cost of acquiring new customers for brands.
Marketing researchers should continue studying senior consumers
Senior consumers, like any consumer segments, have passion points and pain points that are rarely studied and understood in depth.
Brands targeting seniors should focus on providing a complete emotional experience spanning the entire purchasing journey. They should involve family and friends during product development and create a conducive environment for word-of-mouth promotion among senior consumers. This holistic approach will resonate with senior consumers and could unlock massive market potential.