Technology Habits of Over-55s: Inc Impact of COVID-19 - UK - November 2020

OVERVIEW
Key issues covered in this report
COVID-19: market context
Economic and other assumptions
Products covered in this Report
EXECUTIVE SUMMARY
Impact of COVID-19 on technology habits of the over-55s
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
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
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
Figure 4: Consumer behaviour under COVID-19, October 2020
Older generations’ use of wearables could provide longer-term growth opportunities for wider category
Figure 5: Personal ownership of technology products, June 2020
Emerging technologies show promising traction with older consumers
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
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
Figure 8: Over-55s’ attitudes to technology, August 2020
Over-55s make considered and thought-out decisions on technology purchases
Figure 9: Over-55s’ opinions on technology, August 2020
ISSUES AND INSIGHTS
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
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
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
Figure 10: Summary age breakdown of the UK population, mid-2019
Older generations are financially more resilient…
Figure 11: Consumers’ financial situation, September 2020
Figure 12: Consumer sentiment for the coming year, by demographics, September 2020
…but over-55s are more likely to be savers than spenders
Figure 13: What extra money is spent on, by age, September 2020
Outside of health concerns, tech can help combat loneliness 
Figure 14: Over-55s’ concerns relating to ageing, August 2020
COMPANIES AND BRANDS – KEY TAKEAWAYS
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
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
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
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
Older generations only marginally more concerned about COVID-19 than younger generations
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
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
Figure 18: Consumer behaviour under COVID-19, October 2020
TECHNOLOGY OWNERSHIP: OVER-55S VS OTHER AGE GROUPS
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
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
Figure 20: Personal ownership of technology products, June 2020
TECHNOLOGY BEHAVIOURS OF THE OVER-55S
Emerging technologies show promising traction with older consumers
The use of voice commands is likely to become more habitual for the over-55s
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
Figure 22: Technology behaviours of the over-55s, August 2020
DECISION-MAKING PROCESS FOR TECHNOLOGY PURCHASES
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
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
Figure 24: Repertoire of sources of information in the decision-making process for technology purchases, August 2020
OVER-55S’ ATTITUDES TO TECHNOLOGY 
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
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
Figure 26: Over-55s’ opinions on technology, August 2020
APPENDIX – DATA SOURCES, ABBREVIATIONS AND SUPPORTING INFORMATION
Abbreviations
Consumer research methodology