Multigenerational Households On the Rise and Impacting Community Marketing
AdAge this week looked at the “accelerating trend of multigenerational households” and what it might mean for marketing to Baby Boomers, their parents and their adult children. The evolution of multigenerational households already has fundamentally changed the nature of active adult communities (50+ age-qualified). If this trend continues, it will call into question the viability of age qualified communities as we know them today.
But first, some context and a walk down memory lane.
Rising Numbers of Multigenerational Households
Today 49 million Americans — more than one in six people in the U.S. — live in households with three or more generations, according to the Pew Research Center. The percentage is even higher for age groups 25-to-34 and 65 and older, where one in five, or 20%, live in these extended families.
While much of the increase in multigenerational households can be attributed to the recession, there is also an increased appreciation for the value of family. I grew up with my grandmothers living with us for a combined 10 years. I know how much I benefited from their involvement in my life. From playing games … to hearing the same stories again and again … to having people who had the time and desire to focus all their energies on a child … to learning to be patient and help my elders … Growing up in a multigenerational household was a gift.
A Trend Already Impacting Age-Qualified Communities
Creating Results has marketed 52 active adult and age-qualified communities in 12 states over the course of 10+ years. At first the communities were marketed to empty nesters and the vast majority of people who lived in the community were in their 50-70s (Baby Boomers and Silent Generation). Gradually, we began to see parents moving in with their adult children. These moves were prior to the economic downturn and were motivated by a desire to be with family.
Of course, the introduction of people in their 70s-90s had programing implications for our clients’ Lifestyle Directors. How to make these new residents feel welcome? How to accommodate the desires of these older residents to stay active, even though they frequently had more limited mobility than younger residents? Lifestyle Directors introduced a new set of fitness activities, outings and social opportunities.
Then, we began to see the younger adult children of older Boomers and Silent Generation residents moving into the age-qualified communities in greater numbers. Previously, it had been a rare exception for a 20- or 30- something to live in the community for anything longer than a temporary basis. But now, these young adults were moving in.
Part of this trend was motivated by the strong value that active adult communities offered even as the real estate market appreciated beyond reason. Parents and their adult (and childless) children purchased homes together and began requesting dual owner suites. It was a small percentage, 6 – 14%, but significant enough to cause changes to product design and programing. Interestingly, this percentage is quite similar to the percentage of multigenerational households in the country as reported by the Pew Research Center.
Many members of the Baby Boomer or Silent Generations are grandparents. While children are restricted from being permanent residents at an active adult community, a growing reality is that the grandparents are providing the majority of childcare. One of our clients – Central Parke at Victoria Falls – responded with special activities for grandchildren in recognition of the number of grandchildren who frequented the community. We also responded with advertising that reflected the extended family.
As multigenerational households have evolved and grown in number, we’ve seen that the marketing, programming and design of communities have been impacted.
What has your experience been? Do you see this trend as a threat or opportunity for 50+ communities as they exist today?