SENIOR CITIZEN'S DILEMMA ON CHOLOLATE.

Marketing people are those young, fabulous people that are ensconced in those lovely towers in Sudirman or Kuningan. From these heights they formulate their strategies to capture as much of the market as possible for their bosses, Nearly all of the products target the equally young and vibrant 25 to 45 age group. Or possibly even on occasions include those under who can watch television commercials and understand them.

THE DECISION MAKERS

They are right of course. In Indonesia these are where the numbers are. Thirty -seven percent of the population is under 15, Forty-six percent are under 45.A recent study in Munich noted that many of the decisions made around the world and particularly in Asia are made by Senior Citizens. It is the Senior Citizens that more often make the decisions on what we use, eat and drink.They play key roles in new product development. They decide on everything from concept to packaging to distribution channels.They make good decisions and awfully bad ones.But they are so respected that we give give them a whacking big bonus especially for bad ones.Probably to soothe their feelings.

WEALTH AND POWER

In the same study in Munich, it was noted that in 2030 consumption by Senior citizens in Europe will be almost 60%. While those under 50 will consume about 42%.
Today in Indonesia we have almost 40million Senior Citizens. Including me. Nearly two million live in Jakarta.If you look around casually, you will see 240,000 at least who are wealthy as well as powerful.Some are close to the top in Forbes list.

Yet marketing people, researchers and particularly advertising people(who loathe us because we screw up their ads)largely tend to ignore the economic driving power of Senior Citizens.Now come on, be reasonable, if your were a young marketing-advertising buck in Milan would you ignore Silvio Berlusconi? I am counting on him to single-handed bail out Europe,before breakfast sometime this week.

The numbers are too small for the marketing department and except for a few on top, too poor.Remember in 23 year the Indonesian economy will grow by 199% and so will the numbers of Senior Citizens. So you better start planning.

THE RETAIL VIEW

The up-market Supermarkets are beginning to see the potential of the over-fifty shopper.These are some of the conclusions of a supermarket group in Jakarta:

1)The Upper Income Senior Citizens visit supermarkets less often. When they do they visit the upmarket ones that have more imported products.
2)The buy the stuff they like, not the price.
3)They dont care much for slick packaging or slogans. The go for the quiet and sleek.ONe that make good sense. Marketing is going to be baffled by this!
4)The contribute significantly to higher margins.
5)Contrary to popular belief they love chocolate.

CATEGORY MANAGEMENT

Sogo's Food Hall seems to have caught on rather smartly to this niche. The category management and the planogram seems to have been developed for the senior citizens. It works so well that the chocolates targeted to the Senior Citizens are frequently out-of-stock.

The convenience stores like Starmart, Indomart and others havent caught on yet. The customers here are largely the teens and Senior Citizens. Simply because these stores are nearer home and often within walking distance.

DESIGNING CHOCOLATES FOR SENIOR CITIZENS

In Europe the big manufacturers are already redesigning chocolates foe Senior Citizens.Over there consumption volume and value of chocolate among senior citizens is responding significantly to initiatives by the manufacturers. The smaller manufacturers and artisans have known it all along and have prospered over the years.

It is not enough to address the "concerns" of Senior Citizens.Taste , flavour, texture and mouth appeal are just as important among the different age segments of Senior Citizens as it segmentised for the 5 to 45 years.There are few studies on this.What I ask are you going to feed McCain with perchance he is elected?

THE AUSTRALIANS HAVE DONE IT

As usual the Australians seem to have come with just the right formula of chocolate that will only appeal to their palate but alsoto their health values. Cocoa Farm, Australia have come up with wine infused chocolate. At the moment they have three great bars, Shiraz, Merlot and Pinor Nior. Cocoa Farm has also a rich dark chocolate with only 0.3% natural sugar and a sperb milk chocolate "Roasted Hazlenut and Coffee".The last is my favourite. I have only had it once. The memory remains.

There are many more ideas for developing Senior Citizen chocolate, but I deal with them in future blogs.I am a bit distracted. I on pins and needles waiting for Berlusconi to write out a personal cheque and hand it over to Sarkozy. Then we can all go back and concentrate on chocolate.