Advertisement

Population Research and Policy Review

, Volume 29, Issue 1, pp 33–46 | Cite as

Targeting Spatial Clusters of Elderly Consumers in the U.S.A

  • Peter A. Morrison
  • Thomas M. Bryan
Article

Abstract

For business demographers, a noteworthy aspect of national population aging is the course of its onset at local scales, such as neighborhoods and individual city blocks. Across the U. S., particular neighborhoods are evolving through aging in place into de facto retirement communities, populated by elderly residents who continue to live independently. An increasingly common manifestation of this development is the so-called naturally occurring retirement community (NORC)—a neighborhood where adults have stayed on and grown old while younger people have drifted away. NORCs materialize gradually over time where initial cohorts settle in close proximity and age in place, while subsequent younger cohorts move away. These settings offer novel opportunities for prolonging independent living in old age. They constitute distinctive readymade consumer markets as well, especially for businesses that rely on word of mouth. We present a general approach to spotting NORCs. We then consider such enclaves as potential target markets, both for community planners aiming to centralize service delivery to the elderly and for businesses offering types of services that can be bundled profitably for these residential concentrations of elderly.

Keywords

Aging in place Retirement community Elderly monitoring NORC 

References

  1. Aaron, H. J., & Harris, B. H. (2004). Our uncertain demographic future. In H. J. Aaron & W. B. Schwartz (Eds.), Coping with Methuselah: The impact of molecular biology on medicine and society (pp. 66–93). Washington, DC: Brookings Institution Press.Google Scholar
  2. Auerbach, A. J., & Lee, R. D. (2001). Demographic change and fiscal policy. Cambridge: Cambridge University Press.CrossRefGoogle Scholar
  3. Bryan, T. M. (2004). Small-area market potential of hospitals. Paper presented at the 2004 meetings of the Population Association of America, Boston.Google Scholar
  4. Feuer, A. (2002, August 5). Haven for workers in Bronx evolves for their retirement. The New York Times, p. 1.Google Scholar
  5. GE Healthcare (2008). QuietCare product profile. Accessed at www.gehealthcare.com/usen/telehealth/quietcare/proactive_eldercare_technology.html. Accessed 27 May 2009.
  6. Healthcare Cost and Utilization Project (2008). NIS database documentation. Agency for Healthcare Research and Quality. Accessed at www.hcup-us.ahrq.gov/db/nation/nis/nisdbdocumentation.jsp. Accessed 27 May 2009.
  7. Kumar, V., Andrew Petersen, J., & Leone, R. P. (2007). How valuable is word of mouth? Harvard Business Review, October, 139–146.Google Scholar
  8. Lee, R., & Haaga, J. (2002). Government spending in an older America. Washington, DC: Population Reference Bureau.Google Scholar
  9. Morrison, P. A. (1992). Isaging in placea blueprint for the future? RAND P-7794. Santa Monica, CA: RAND Corporation.Google Scholar
  10. Morrison, P. A. (2003). A demographic overview of metropolitan Pittsburgh. RAND IP-256. Santa Monica, CA: RAND Corporation.Google Scholar
  11. Reichheld, F. F. (2003). The one number you need to grow. Harvard Business Review, December, 46–54.Google Scholar
  12. U. S. Census Bureau (2000). Census 2000, summary files, SF1 and SF3. Accessed at www.census.gov. Accessed 27 May 2009.

Copyright information

© Springer Science+Business Media B.V. 2009

Authors and Affiliations

  1. 1.RANDNantucketUSA
  2. 2.Bryan GeodemographicsRichmondUSA

Personalised recommendations