Responding to ‘Silver’ Shoppers

New report shows how convenience stores can benefit from senior consumers.

August 31, 2016

HONG KONG – Convenience stores have the most to gain from a greying population, according to a new study from Fung Global Retail & Technology, Chain Store Age reports. The report studied the impact of the exploding 65 and older demographic on worldwide retail, economies and industries.

The Silvers Series IV: Retail Reconfiguration for Seniors” found that seniors tend to shop more often and have smaller basket sizes because of smaller appetites and household size, which favors the convenience retailer. The study forecasted more neighborhood stores in smaller formats that accommodate this aging population.

“The era of the silver generation has arrived,” said Deborah Weinswig, managing director of Fung Global Retail & Technology.

Retailers have already begun adapting to meet the needs of this demographic. For example, Lawson convenience stores in Japan have made stores in areas dense with seniors more accessible by widening aisles, reducing shelf height and stocking products that older consumers want. Japan’s 7-Eleven chain now delivers meals to seniors.

In the United States, households consisting of those between the ages of 65 and 74 will direct a substantially greater share of their total spending to retail categories than the average household does. Surveys show that many senior shoppers want minor adaptations to stores:

  • Easier to navigate
  • Simplicity in packaging and labels
  • Product quality
  • Greater choice in categories such as apparel

Because many seniors also like to shop in smaller stores close to home, the report predicted the growth of the silvers segment to boost demand for proximity shopping convenience in the grocery sector and in nonfood categories such as health and beauty.

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