The Next 25 Years
In 20 years…..
People over 65 years old
will dominate the population
White population majority will
come closer to being a minority
More niche marketing campaign
opportunities – as ethnic groups
grow in numbers
U.S. Population Projections
2000: 280 million people 2025: 350 million people
Growth rates will mirror the Baby Boom era during the
1950s & 1960s after WWII
25% population increase
Growth rates are rising due to people living longer,
birth rates holding steady and continued immigration
States’ Growth Rate
States’ Growth Rate con’t
Every market segment will expand and it will be
difficult to target groups with a single marketing
strategy, as niche groups of today become the
mass markets of tomorrow providing greater
Niche Advertising Opportunities
Euro RSCG Latino
Mission: Innovate marketing to Latinos in the U.S. and Latin America by
applying a contemporary understanding of the marketplace, a simplified
approach, and the full resources of a global communications agency.
Auto Industry Tailoring Ads to Minority Groups
"Tooth Art" Postcard
• The postcard featured an African American man with a large
smile and a gold RAV4 emblem on his tooth.
• It was part of a "buzz" campaign using postcards distributed to
hip urban nightspots and coffee houses
• Recognizing that the card might offend, Toyota pulled it from
the marketplace prior to hearing of Rev. Jackson's concerns.
• The company has apologized publicly for the postcard and is
taking steps to ensure that future marketing materials are
appropriate for all audiences.
Auto Industry Tailoring Advertising for Minorities
Detroit - Automakers increasingly are targeting the Black, Hispanic
and Asian-American communities with tailored advertising, as
the purchasing power of minorities grows.
Whether they're selling a Toyota Camry or a Jaguar S-Type,
companies are no longer taking a one-size-fits-all approach to
marketing. Instead, they are creating ads that speak to specific
groups and placing them in targeted media outlets. The
increasing awareness of diversity sometimes trickles down into
the way cars are designed, as automakers seek to fit the product
to the consumer's lifestyle.
"Just about every major auto company has begun to realize it makes
perfect sense to have culturally specific advertising," said Randi
Payton, chief executive of On Wheels, which publishes the
magazines African Americans on Wheels and Latinos on Wheels.
The share of such targeted marketing in overall marketing budgets
has grown about 11% over the last five years, said Art Spinella,
president of CNW Marketing Research in Bandon, Ore.
Companies spend about 9.8% of their marketing budgets on
blacks, 16.2% on Hispanics and 3% on Asians, he said.
Auto Industry Example con’t
According to the 2000 census, 12.3% of the population identified itself as
black, 12.5% Hispanic or Latino, and 3.6% Asian.
Automakers say they try to create ads that target a group's values, rather
than simply placing their general-population ads in black-oriented
newspapers or translating TV spots for Spanish-language stations.
"The overarching goal, which is true for all of our initiatives, is we're
meeting customers on their terms," said Nathaniel Mason, a Ford
At Toyota, diversity marketing translates into more family oriented ads for
both Asians and Hispanics, said James Lentz, the company's vice
president for marketing in the United States. The company's Hispanic
advertising is generally "much more emotional," he added.
In the Chinese community, "the entire family is involved in the purchase
decision," Lentz said. "So in the advertising, you'll see not only parents
and children, but also grandparents."
Advertising geared at Blacks tends to feature celebrities, Spinella said,
citing a recent Jaguar print ad with singer Natalie Cole.
The population growth will increase
demand on natural resources causing
them to be stretched out, possibly
leading to shortages in land, water, |
power etc. \/
Products and services will be analyzed on
their environmental impact and marketing
advertisements must take that into consideration
Graying of America
Largest growth will be seen in those 65 and older
2000: 35 million 12% pop 2025: 70 million 25% pop
>100% increase in ages:
Graying of America
Shift from youth focused advertising to brands that attract older
generations and ads tailored to adult preferences
- Marketers have to create an ageless society, since people want to
be defined by their activities rather than their age
Example: Carnival Cruise Line TV ad
Featured an older couple getting up from dinner to go dance along with
the younger crowd - showing activities suitable for all age groups
Non-Hispanic Whites will still be the majority -
decrease from 70% to 60% of the population by 2025
Hispanic population nearly doubles
2000: 35 million 2025: 68 million
Asian population will double
2000: 12 million 2025: 24 million
Percent of Total Population
Companies must develop multicultural
marketing strategies to address the diversity of
their consumers. Ethnographic research will
help them understand the culture of the
emerging ethnic groups and help in identifying
how to market to each group’s particular
Bank of America defines "home"
with families of color
The next 20 years…..
Will open up doors to marketing opportunities directed
at the segmented markets resulting from the changing
age and ethnicity demographics
The growing population will increase group
representation and create markets that were not
considered large enough to be profitable before
Marketing will need to be more multicultural, age
sensitive and environmentally conscious
Alison Stein Wellner, “The Next 25 Years,” American
The United States has the highest growth rates of any industrialized country
in the world.
The U.S. population is growing by about 3.2 million people each year.
Using the Census Bureau's medium projections, U.S. population is expected
to grow to 400 million by the year 2050. Eight states have population growth
rates over 2.0%, which means their population will double in less than 35
years. Florida’s population has grown from 1.9 million in 1940 to 15 million
today. That is over a 600% increase in just 50 years.
Along our ecologically fragile coasts, where nearly half the population lives,
the U.S. is among the most densely populated countries in the world. The
Northeast averages 767 people per square mile, while Haiti, for comparison,
has 580. By 2010, when California’s population reaches 50 million, population
densities in coastal California will reach 1,050 people per square mile.
Since 1980, the U.S. has converted more than 10 million acres of forest to
suburb -- an area twice as large as Yellowstone, Everglades, Shenandoah, and
Yosemite National Parks combined.
Current U.S. population Percent change in
Age when you were born population since
you were born
10 248,709,873 13%
20 226,542,199 24%
30 203,302,031 38%
40 179,323,798 57%
50 151,325,798 86%
60 132,164,569 113%
70 123,202,624 128%
80 106,021,537 166%
90 92,228,496 205%