Demographics shifts in US
I recently came across an article on the demographic shifts in the US market where
1.The multigenerational household is gaining prominence - affecting major purchases, like automobiles, homes and college tuition. With a record 70 million grandparents in America in 2010, these grandparents will be deeply involved with their grandchildren - with decisions often being made by two generations of people - the parents and the grandparents.
2.No household type will neatly describe even one-third of households. The iconic American family (married couple with children) will account for a mere 22% of households. The most prevalent type of U.S. household will be married couple with no kids, followed closely by single-person households
3.Diversity will vary greatly by age - the younger population substantially more diverse than the old . By 2015, 80% of people age 65-plus will be white non-Hispanics and just 54% of children under age 18 will be white non-Hispanics. White non-Hispanics will account for fewer than half of births by 2015
Other than the shifts, the next generation of consumers will be heavily influenced a fragmented media I believe, with these changes in demographics, the “Always On Society” (the next generation of consumers) will demand and leverage “Always On Business Models” dramatically increasing the number of touchpoints between a consumer and an Insurance carrier. I believe that the key imperatives for carriers in dealing with the next-generation of policy owners are going to be
1.Know Your Customer : Analytics program to drive a better understanding the next generation of policy owners and their needs / buying patterns
2.Target your customer : Interactive & Social Marketing
3.Multi-channel Distribution : A distribution model that provides multiple access points while maintaining a consistent user experience
4.Ubiquitous Service Model : An always on service model
What’s your take?