High-speed Internet, Apple iPods, surround sound — there's a perception that these technologies are the exclusive domain of young Generation X and Generation Y consumers, but according to data released by the CABA Internet Home Alliance (IHA), older Americans are just as interested in technologies as younger Americans.
The study was designed to help high-profile IHA members, such as Whirlpool, American Shower & Bath, AT&T, Delta Faucet, KraftMaid Cabinetry, Milgard Windows & Doors and the National Association of Home Builders (NAHB), better address a market segment that the insurance giant Metropolitan Life says includes 80 million consumers 50-years-old and older.
Quality of Life Is Important
Analyzing the results of the research, Tim Woods, vice president of CABA Internet Home Alliance, points out that older Americans look forward to leading an active lifestyle during their retirement and that many of the new options available to homebuyers facilitate such activities. “We assumed that because they are 50-plus, they weren't going to be interested in technology, but they are and they have more disposable income than the rest of us,” says Woods. They want piece of mind with options like security and Wi-Fi. It's those things that are high on their lists because they facilitate solutions.”
He adds that older buyers have already been introduced to these technologies and their expectations are different now. “They've had it in their [previous] homes, in their businesses and they want it in their retirement,” adds Wood.
The Time Is Now for Builders
With the market in its current state, Woods says that it is advantageous for the new-home building industry to seize the opportunity it's been given to appeal to a segment of consumers interested in using technology. "There is a huge business opportunity here for builders," he points out. "The builder also has to develop a relationship with the [electronics] integrator. It then becomes a long-term payoff for both parties."
The best way that builders can take advantage of the enticement of technology, Woods says, is to include options like security, multiroom audio, home theater and home networks into show homes and to demonstrate the capabilities of these products and systems on a regular basis. He explains further, saying that if builders treat these amenities like they do flooring and kitchen cabinetry, the tech options will sell themselves. "These older buyers are expecting to go to a community and have it offered," he says. "It's getting back to that generational expectation. The younger groups don't have the income to buy these technologies yet. You have starter home segments, but they are not as targeted as the active adult communities, and they have expectations based on their ages."