With the global population of 'senior'
consumers set to grow by almost 150 million in the next two years, there are
massive opportunities for the food industry to target the older consumer.
In 1950, there
were 205 million persons aged 60 or over in the world. By 2012, the number of older persons had
increased to almost 810 million. It is projected to more than double by 2050,
reaching 2 billion.
According to a
recent report published by the United Nations Population Fund (UNFPA) and
HelpAge International, the aging of the world population is progressive and
rapid. It is an unprecedented phenomenon that is affecting nearly all countries
of the world. As long as fertility continues to fall or remains low and old age
mortality keeps on declining, the proportion of older people will continue to
increase.
“The numbers are
staggering. In the past ten years alone, the number of people aged 60 or over
has risen by 178 million – equivalent to nearly the entire population of Pakistan,
the sixth most populous country in the world. And in China alone, the estimated
number of older people in 2012 is 180 million,” the report notes.
The number of
people who turn 60 each year worldwide is nearly 58 million, equivalent to
almost two persons every second. In 2012, people aged 60 or over represent
almost 11.5 per cent of our total global population of 7 billion. By 2050, the
proportion is projected to nearly double to 22 per cent. By 2050, for the first
time there will be more older people than children under 15, the report titled
‘Aging in the Twenty-First Century: A Celebration and A Challenge’ states.
What is aging?
When talking
about aging, it is essential to distinguish between population or demographic aging as “the process whereby older individuals become a proportionately
larger share of the total population” growing older. This individual process of aging is multidimensional and involves physical, psychological and social
changes.
The United
Nations uses 60 years to refer to older people. This line, which divides
younger and older cohorts of a population, is also used by demographers.
However, in many developed countries, the age of 65 is used as a reference
point for older persons as this is often the age at which persons become
eligible for old-age social security benefits. So, there is no exact definition
of “old” as this concept has different meanings in different societies.
Defining “old”
is further challenged by the changing average lifespan of human beings. Around
1900, average life expectancy was between 45 and 50 years in the developed
countries of that time. Now, life expectancy in developed countries reaches 80
years.
There are other
definitions of “old” that go beyond chronological age. Old age as a social
construct is often associated with a change of social roles and activities, for
example, becoming a grandparent or a pensioner.
Older persons
often define old age as a stage at which functional, mental and physical
capacity is declining and people are more prone to disease or disabilities.
As the report
notes, population aging is occurring because of declining fertility rates,
lower infant mortality and increasing survival at older ages. Total fertility
dropped by half from five children per woman in 1950-1955 to 2.5 children in
2010-2015, and it is expected to continue to decline.
Life expectancy
at birth has risen substantially across the world; it is not just a developed
world phenomenon. In 2010-2015, life expectancy is 78 years in developed countries
and 68 years in developing regions. By 2045-2050, newborns can expect to live
to 83 years in developed regions and 74 years in developing regions. While
overall the world is aging, there are differences in the speed of population aging. It is happening fastest in the developing world.
The report
points out that today, almost two in three people aged 60 or over live in
developing countries, and by 2050, nearly four in five will live in the developing
world.
Challenges of population aging
Population aging has significant social and economic implications at the individual,
family, and societal levels. It also has important consequences and opportunities
for a country’s development. Although the percentage of older persons is
currently much higher in developed countries, the pace of population aging is
much more rapid in developing countries and their transition from a young to an
old age structure will occur over a shorter period. Not only do developing countries
have less time to adjust to a growing population
of older persons, they are at much lower levels of economic development and
will experience greater challenges in meeting the needs of the increasing
numbers of older people.
Financial
security is one of the major concerns as people age. It is an issue for both
older persons and a growing challenge for families and societies. Population aging is raising concerns about the ability of countries to provide adequate
social protection and social security for the growing numbers of older persons.
In many countries, the expectation is that the family will take care of its economically
dependent older members. While some families support their older relatives,
others are not in a financial position to do so in a way that does not affect their
own economic situation. Older persons who do not have family to support them
are especially vulnerable.
Informal support
systems for older persons are increasingly coming under stress, as a
consequence, among others, of lower fertility, out-migration of the young, and
women working outside the home. There is an increasing consensus that countries
must develop social protection systems that cover at least the basic needs of
all older persons. Ensuring a secure income in old age is seen as a major
challenge for governments facing fiscal problems and competing priorities.
Health is
another major concern for older persons. The demographic transition to an aging population, accompanied by an epidemiological transition from the
predominance of infectious diseases to non-communicable diseases, is associated
with an increasing demand for health care and long-term care. Their management has
become an increasing concern for both developing and developed countries.
Maintaining good
health and access to health care is a core concern of older people everywhere.
In many developed countries quality of care and rising healthcare costs are
major issues related to population aging.
As is evident,
population aging will present both challenges and opportunities.
An aging world
population has placed increased demands on food and beverage manufacturers to
take a closer look at their nutritional needs to help seniors manage chronic
conditions affiliated with aging, such as heart disease, diabetes and
cardiovascular disease.
As the average
age of the global population rises, companies are looking for ways to more
accurately satisfy the specific needs and wants of ‘older consumers’. One of
the key opportunity areas is to develop products that help to ameliorate
escalating health concerns. But health
is not the only focus, so too is packaging adaptation and segmented
communications that appeal but don’t patronize.
There will be
more focus on health -- stirring manufacturers to pare down fat and sodium
levels even more. Smaller package sizes (or portion sizes within larger
packages) will also be in more demand, as appetites get smaller and there are
fewer mouths to feed in the house. Finally, individual, single-serve meals
(with their accompanying more reasonable portion size) that are convenient and
appear healthful will be more in demand among older consumers. Remember also
that with smaller appetites the aging consumer will need to pack the same
amount of nutrients into a small portion size so the need for nutrient dense
food will play a role in product choice.
Another thing to
note about an aging population is a decrease in taste buds. At age thirty you
have 245 taste buds and by age eighty you have only 64 taste buds. Foods that
will appeal to this age group will need to be flavor enhanced. The use of more
exotic spices or the addition of herbs may enhance flavor without adding high
fat or sodium levels.
Even with
healthy eating habits, physical activity and other healthy ways of living there
are some things that are just factors that come with an aging population.
Increases in the incidences of arthritis, high blood pressure, high cholesterol
levels and other medical conditions rise as you age. Since there is a movement
towards being more responsible personally for health there will be increased
interest in functional foods or herbal remedies that will address these
problems.
Another factor
to take into consideration is the increasing attention given to the number of
the population that is considered obese. This may lead to further requirements
by Health Canada or the Food and Drug Administration for nutritional
information such as the need to label trans fatty acids in food that will be
coming into effect in the United States.
Opportunities
The size of the
senior market presents many opportunities for the agri-food sector in the
development of food products with health benefits. To better understand and
prioritize these opportunities, additional market intelligence is needed on the
attitudes and consumption patterns, shopping habits, and needs for products and
services for the various segments of the senior population. Industry could look
to senior's organizations as partners and sources of information.
For seniors with
medical conditions and decreased mobility, specialized foods are required at
the retail level as well as for institutions or agencies. Reduced appetites, a
reduction in taste and smell acuity and problems with chewing and swallowing
would indicate a need for appetizing products that appeal to the eye and have
good mouth feel. Opportunities exist for innovation to enhance flavor, taste
and texture to improve sensory properties of food along with the nutritional
profile. These enhancements can be accomplished through new technologies, new
processing methods, food additives and novel ingredients.
Few food
products have been specifically marketed to seniors. While industry has been
addressing the nutritional needs of seniors through a variety of means that
increase access to healthy food choices, there is a significant opportunity to
expand on strategies such as altering nutrient levels in pre-packaged foods,
developing nutrient-dense foods and ready-made meals, and applying innovative
ingredients and technologies to enhance product format and packaging. Some
opportunities are explored below.
Sodium
Reduction
Reducing the
sodium content of food is an important way that industry can help seniors
address high blood pressure (a major risk factor for stroke, heart disease and
kidney disease).
Trans Fat
Reduction
Reformulating products
and using new fat sources and ingredients that contain little or no trans fat
is helping industry to successfully lower the trans fat content of the diet. Continuing
these changes will meet the needs of the senior population who are managing, or
are interested in preventing, cardiovascular disease.
Dietary Fiber
Increasing the fiber
content of foods can help seniors improve their overall dietary fiber intake to
manage blood cholesterol levels and laxation. In addition, fiber can be used to
modify product texture to assist with swallowing. The industry can increase the
fiber content of many categories of foods by using recognized sources of fiber
and new novel fibers.
Nutrient-Dense
Foods
Foods that
provide higher levels of protein, vitamins, mineral nutrients and sometimes
calories in smaller volumes can help seniors meet increased nutrient
requirements. The challenge for industry is to develop appetizing,
nutrient-dense foods through value-added ingredients, novel ingredients, new
technologies, reformulation, fortification and supplementation to meet the
unique needs of the various segments of the senior population.
Ready-Made
Meals
Most seniors
live independently, and in general prefer homemade meals. For older consumers,
ready meals are more likely to be perceived as lacking and a compromise in
comparison with more traditional meal preparation. However, pre-packaged meals
and meal services represent conveniences that could help many meet their
nutritional needs.
Pre-packaged
meals provide convenience by offering a complete meal that requires easy
one-step cooking in the oven or microwave. The food industry may be able to
expand this market to help meet seniors' nutritional needs through development
of products that appeal in quality, taste and freshness and that meet specific
nutritional requirements.
Meal services
represent another convenience that could be important to seniors. To reach a
broad customer base, marketing would need to counter the perception that this
type of service is for the "old and sick". Ingredients that are
fresh, portion controlled and partially prepared represent an opportunity that
may appeal to the healthy, active senior.
The opportunity
also exists to market meal replacements and foods with modified textures not
only to institutions but also for distribution at retail and home delivery
markets. These types of products can be promoted to professional and family
caregivers.
Food
Packaging and Labeling
Developing
appropriate product format and packaging addresses the special needs of the
mature consumer by making food accessible and therefore potentially improving
seniors' nutrient intake and ultimately their health status.
Industry can
expand current efforts in adapting product packaging to accommodate reduced
strength and dexterity. Some trends in packaging that may appeal to the senior
population include easy open and reclose, single and double portions, microwave
reheating including steam-assisted, stand-up flexible pouches and cook-in
barrier bags, flip-top caps in which the product and cap stay together (as
opposed to twist tops), and square packages (instead of round) that do not
roll.
Use of increased
font size and colors with good contrast are especially important for label
information. Including instructions on how to open packaging, adjusting package
size to contents and including a toll-free number for consumer information are
some of the many ways for industry to continue improving upon food and beverage
packaging.
Communicating
the Health Benefits of Foods
Marketing the
health benefits of foods to seniors in clear and meaningful ways will improve
consumer knowledge and acceptance of new foods with health benefits. Product
labels are the most used source of nutrition information but are in the middle
in terms of credibility. Communicating health benefits that are based on
scientific substantiation is vital to increasing consumers' trust in the
credibility of health claims, thus widening the market to those who have not
previously considered purchasing foods for added health benefits. As an
additional consideration, simple messages may be better for seniors with
declining eyesight.
Nutrient content
claims and quantitative declaration of bioactive substances can be used to
highlight specific product features. Factual statements identifying the
quantity of nutrient in a product are straightforward to use as long as
conditions for their use are met.
Nutrient
function claims can also be used to highlight product features sought by
seniors. CFIA maintains a list of accepted claims that describe the
well-established roles of energy or known nutrients that are essential for the
maintenance of good health or for normal growth and development.
Manufacturers
can make use of health claims approved by regulators for use on food labels of
products that meet the conditions of use.
Conclusion
The aging population has been identified as one of the most important challenges facing
the world as the twenty-first century progresses. This carries numerous
implications for the global food industry, as this increasingly affluent
demographic group is more inclined to seek out products that promote health and
longevity, and/or address emerging health concerns.
These trends
carry numerous implications for the global food industry as this increasingly
affluent demographic group becomes more inclined to seek out products that
promote health and longevity, as well as helping them to maintain a healthy and
active lifestyle past middle age. This trend has already been observed in
sectors such as milk, yoghurt drinks, bottled water and ready meals, and seems
set to shape other activities to an ever-increasing extent over the coming
years.