This report deals with the analysis of the Best Ager market for the tourism industry. It first presents the several segmentation methods in the theoretical part and defines the term Best Ager. Then proposals for segmenting the Best Ager market are given. The best methods are developed by the two agencies Grey and TNS Emnid. They use methods which combine lifestyle variables with demographic variables which is most suitable for segmenting the Best Ager market. A tour operator can either stick to these proposals or segment the market with primary research data on itself if it has the necessary financial resources to do so.
After the proposals for segmenting the Best Ager market, the travel market is analysed .First the general trends are mentioned and then the trends for the Best Agers are analysed to investigate if the Best Ager market has a potential for the tourism industry in the future.
Additionally the demographic development in Germany and the financial situation of the Best Agers is analysed to display if the market will grow in the future and if the Best Agers have the income and assets to afford traveling in the future.
The Best Ager market will increase in the future due to decreasing birth rates and longer life expectancies. The financial situation at the moment is quite promising because the pensions are still high and the inherited money is likely to increase in the future due to savings of the past generations.
The Best Agers today like to travel and an increase in traveling, especially in trips abroad, city trips, air travels and packaged holidays is expected in the future. The travel propensity for the over 60 year’s olds lies at about 68%.
The preferred holiday forms of the Best Agers are cruises and study trips. The most popular holiday destination is Spain and it is likely to increase in the future. Many Best Agers also like to stay longer in the warmer regions especially in the winter months.
This has already been recognized by the tour operators but still can be improved and the offers can be more extended.
Best Agers in comparison to other target groups have a high focus on quality and price/quality ratios have to be therefore of an accepted standard. Best Agers like good food and also try the specialties of the different countries or regions, the hotels have to recognize this important fact. [...]
Table of Contents
1. Introduction
2. Problem definition
3. Definition of Best Agers
4. Segmentation of Best Agers
4.1 Theoretical background for market segmentation
4.11 Geographic segmentation
4.12 Demographic segmentation
4.13 Psychographic segmentation
4.14 Behavioural segmentation
4.2 Proposals for segmenting the Best Ager market
4.3 Conclusion
5. Analysis of the Best Ager market
5.1 Demographic development
5.2 Financial situation of the Best Agers
6. Free-time activities of the Best Agers
6.1 Health and sports
6.2 Travelling
6.21 Frequency of travelling
6.22 Kind of travelling
6.23 Means of travel
6.24 Types of accommodation
6.26 Motives of the Best Agers for travelling
6.27 Internet use
7. Conclusion
Research Objectives and Topics
The primary objective of this report is to analyze the "Best Ager" market segment within the German tourism industry to determine if it represents an attractive potential for future growth. The work addresses the research question of how this group can be effectively defined and segmented, taking into account their changing lifestyle behaviors, financial assets, and consumption patterns.
- Market segmentation strategies for the Best Ager target group
- Demographic trends and financial outlook for seniors in Germany
- Traveling behavior, motives, and holiday preferences of the 50+ generation
- The role of the Internet in the travel planning and booking process
- Strategic recommendations for tour operators targeting the Best Ager market
Excerpt from the Book
4.2 Proposals for segmenting the Best Ager market
The Best Ager market is as heterogenic as the whole market. As a result of the different experiences in life and the different biological ageing processes of each individual, the inconsistent development of mental attitudes, wishes and needs are the consequence. Therefore a classification of this target group is very difficult. Correspondingly the literature proposes many alternatives to segment this market. They mainly combine demographic and psychographic variables.
There are two solutions for segmenting this market from the market research agencies Grey and TNS Emnid which are quite suitable for the segmentation of the Best Ager market.
Grey uses a multifactor analysis with the variables: Chronological age (real age), Biological age (look age), Cognitive age (interest age), Psychological age (feel age), Social age (do age).
Summary of Chapters
1. Introduction: Presents the motivation behind the study and outlines the shifting societal perception of the older generation, emphasizing their potential for the economy and tourism sector.
2. Problem definition: Discusses the saturation of existing markets and introduces the demographic aging process in Germany as an opportunity for the tourism industry.
3. Definition of Best Agers: Explores various literature-based terms for the 50+ age group and justifies the use of the term "Best Ager" to avoid negative connotations associated with "seniors."
4. Segmentation of Best Agers: Reviews theoretical segmentation methods and presents specific models, such as those by Grey and TNS Emnid, to categorize the target group based on lifestyle and values.
5. Analysis of the Best Ager market: Examines demographic development and financial factors, confirming that this segment possesses significant purchasing power.
6. Free-time activities of the Best Agers: Analyzes the traveling behavior, including holiday forms, destinations, and the increasing reliance on the internet, showing a distinct preference for quality and specialized travel.
7. Conclusion: Summarizes the findings and provides actionable recommendations for the tourism industry to better target the Best Ager segment.
Keywords
Best Ager, Tourism Industry, Market Segmentation, Demographic Development, Travel Behavior, Consumer Wealth, Psychographic Segmentation, Holiday Motives, Internet Usage, Seniors, Travel Trends, Tourism Marketing, German Market, Lifestyle, Consumption
Frequently Asked Questions
What is the primary focus of this report?
The report analyzes the "Best Ager" market in Germany to determine its attractiveness and potential for the tourism industry.
What are the central thematic areas covered?
The key themes include market segmentation methods, the demographic shift in Germany, the financial status of older adults, and their specific travel preferences.
What is the core research question?
The main question is whether today's and future Best Ager generations in Germany represent an attractive potential for the tourism industry and how this market can be effectively segmented.
Which scientific methodology was used?
The research relies on existing literature in marketing and tourism, studies from research agencies like Grey and TNS Emnid, and statistical data from national agencies such as the Federal Statistical Office of Germany.
What does the main part of the report cover?
The main part covers the classification and segmentation of the Best Ager group, an analysis of their financial situation, and an in-depth look at their free-time and traveling habits.
Which keywords define this work?
Key terms include Best Ager, Tourism Industry, Market Segmentation, Demographic Development, and Travel Behavior.
How does the author define a "Best Ager"?
The author uses "Best Ager" to refer to people over 50, distancing the group from the negative stereotypes and declining consumption patterns often associated with the term "seniors."
Why are Spain and cruises important for this demographic?
Spain remains a top destination due to its climate and service offerings, while cruises and study trips align with the Best Agers' desire to train their brains and stay active.
What role does the Internet play for this group?
The Internet is increasingly used for searching for travel information and booking, a trend expected to grow as younger, tech-savvy generations enter the "Best Ager" age bracket.
- Quote paper
- linda woog (Author), 2007, Analysis of the Best Ager market for the tourism industry, Munich, GRIN Verlag, https://www.grin.com/document/125131
