Table of Contents
Executive Summary
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- Impact of COVID-19 on technology habits of the over-55s
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- Figure 1: Short-, medium- and long-term impact of COVID-19 on technology habits of the over-55s, November 2020
- The market
- Three in 10 of the population is over 55
- Older generations are financially more resilient
- Over-55s are more likely to be savers than spenders
- Companies and brands
- Samsung targets older generations with health tech
- Wearables focus on blood oxygen monitoring
- Ease of use for new range of tablets hint at more inclusive tech for older generations
- Online grocery shopping soars during lockdown as retailers eye long-term digital transformation
- The consumer
- Older generations only marginally more concerned about COVID-19 than younger generations
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- Figure 2: Consumer concern about the impact of coronavirus, 2-11 November
- Older generations are more likely to spend nothing on technology purchases in the next three months
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- Figure 3: Consumer spending intention – technology category, October 2020
- Over four in 10 over-65s say they are shopping online more as a result of the pandemic
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- Figure 4: Consumer behaviour under COVID-19, October 2020
- Older generations’ use of wearables could provide longer-term growth opportunities for wider category
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- Figure 5: Personal ownership of technology products, June 2020
- Emerging technologies show promising traction with older consumers
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- Figure 6: Emerging technology activities of the over-55s, August 2020
- Over three quarters of over-55s have ordered from an online retailer in the last three months
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- Figure 7: Technology behaviours of the over-55s, August 2020
- Nearly six in 10 read online reviews as part of the decision-making process for technology purchases
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- Figure 8: Over-55s’ attitudes to technology, August 2020
- Over-55s make considered and thought-out decisions on technology purchases
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- Figure 9: Over-55s’ opinions on technology, August 2020
Issues and Insights
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- COVID-19 can be a platform for long-term engagement for over-55s and tech
- Better representation of over-55s in advertising can help brands unlock value from this segment
The Market – Key Takeaways
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- Ageing population creates opportunities for tech
- Intergenerational living may see households becoming more tech savvy
- Older generations are financially more resilient and confident
- Over-55s are more likely to be savers than spenders
- Outside of health concerns, tech can help combat loneliness among individuals
Market Drivers
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- Three in 10 of the population is over 55
- The years of healthy life expectancy have stalled since 2011
- Boomerang trend of young adults living in the family home set to continue
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- Figure 10: Summary age breakdown of the UK population, mid-2019
- Older generations are financially more resilient…
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- Figure 11: Consumers’ financial situation, September 2020
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- Figure 12: Consumer sentiment for the coming year, by demographics, September 2020
- …but over-55s are more likely to be savers than spenders
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- Figure 13: What extra money is spent on, by age, September 2020
- Outside of health concerns, tech can help combat loneliness
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- Figure 14: Over-55s’ concerns relating to ageing, August 2020
Companies and Brands – Key Takeaways
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- Samsung targets older generations with health management products and apps
- New wearables deliver on key health indicators
- New range of tablets hint at more inclusive tech for older generations
- Banks offer digital services launch aimed to help over-55s manage finances
- Online grocery shopping soars during lockdown as retailers eye long-term digital transformation
- Dixons Carphone partners with Age UK as its headline charity partner
Launch Activity and Innovation
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- Samsung targets older generations with health management products and apps
- Apple and Fitbit focus on blood oxygen monitoring in wearables
- Ease of use for new range of tablets hint at more inclusive tech for older generations
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- Figure 15: GrandPad tablet, 2020
- Fintech and digital services launch aimed to help over-55s manage finances
- Banks offer tools and support to help over-55s with online and mobile banking but take-up still slow
- Online grocery shopping soars during lockdown as retailers eye long-term digital transformation
- Dixons Carphone partners with Age UK as its headline charity partner
- Digital champions and local groups help to bridge technological gaps during COVID-19
The Consumer – Key Takeaways
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- Latent worries about COVID-19’s impact can be an inhibitor for tech purchases
- Consumer technology ownership among over-55s is not far behind the average
- Older generations’ use of wearables could provide longer-term growth opportunities for wider category
- Emerging technologies show promise with older consumers
- More than three quarters of over-55s have ordered from an online retailer in the last three months
- Nearly six in 10 read online reviews as part of the decision-making process of technology purchases
- Technology can help play an important role in over-55s’ sense of wellbeing
- Over-55s make considered and thought-out decisions on technology purchases
- Reflecting over-55s in advertising can help create connections that technology is for all
Impact of COVID-19 on Consumer Behaviour
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- Older generations only marginally more concerned about COVID-19 than younger generations
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- Figure 16: Consumer concern about the impact of coronavirus, 2-11 November
- Older generations are more likely to spend nothing on technology purchases in the next three months
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- Figure 17: Consumer spending intention – technology category, October 2020
- Over four in 10 over-65s say they are shopping online more as a result of the pandemic
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- Figure 18: Consumer behaviour under COVID-19, October 2020
Technology Ownership: Over-55s vs Other Age Groups
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- Consumer technology ownership among over-55s is not far behind the average
- The over-75s can be drawn in by the usability of tablets
- For more engaged over-55s, hybrid laptops can offer the best of both worlds
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- Figure 19: Personal ownership of selected technology products, June 2020
- Older generations’ use of wearables could provide longer-term growth opportunities for wider category
- Smartwatches can help abate health concerns of the over-55s…
- …with a broader focus to be placed on early detection
- COVID-19 accelerates health concerns, providing more opportunities for tech
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- Figure 20: Personal ownership of technology products, June 2020
Technology Behaviours of the Over-55s
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- Emerging technologies show promising traction with older consumers
- The use of voice commands is likely to become more habitual for the over-55s
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- Figure 21: Emerging technology activities of the over-55s, August 2020
- More than three quarters of over-55s have ordered from an online retailer in the last three months
- Presenting technology as an ‘enabler’ can help drive longer-term adoption
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- Figure 22: Technology behaviours of the over-55s, August 2020
Decision-making Process for Technology Purchases
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- Nearly six in 10 read online reviews as part of the decision-making process for technology purchases
- Trusted brands can foster long-term relationships with over-55s
- Old fashioned word of mouth can be a valuable driver in the tech decision-making process
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- Figure 23: Sources of information in the decision-making process for technology purchases, August 2020
- Over-55s look to multiple sources to educate themselves about tech purchases
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- Figure 24: Repertoire of sources of information in the decision-making process for technology purchases, August 2020
Over-55s’ Attitudes to Technology
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- Technology can help play an important role in over-55s’ sense of wellbeing
- Digital drop-ins can help consumers keep pace with tech advancements
- Overcoming the fear factor can unleash technologies’ potential with older age groups
- A step-by-step approach can break down barriers
- Health issues are top concerns for the over-55 generation
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- Figure 25: Over-55s’ attitudes to technology, August 2020
- Over-55s make considered and thought-out decisions on technology purchases
- Focus on privacy can resonate with this generation and drive interaction
- Reflecting over-55s more in advertising can help create connections that technology is for all
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- Figure 26: Over-55s’ opinions on technology, August 2020
Appendix – Data Sources, Abbreviations and Supporting Information
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- Abbreviations
- Consumer research methodology
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