| During the next 20 years, the last members of the | | | | and services they purchase. Children of the Great |
| Greatest Generation (those born 1924 or earlier) will | | | | Depression and the upheavals of World War II, the |
| be cycling out of assisted living and members of the | | | | Silent Generation is not inclined to take on debt or |
| Silent Generation (those born between 1925 and | | | | financial risk. This group has learned to weather the |
| 1942) will become assisted living's principal customers. | | | | storm. |
| With the average age of entry into assisted living | | | | Although a majority of the upcoming generation of |
| today being 83, the Silent Generation- whose oldest | | | | potential assisted living customers own their homes, |
| members are this age at the time of this writing- are | | | | their annual household income has stagnated- there |
| just beginning to cross the threshold of assisted living | | | | has not been a net real increase in family incomes |
| residences. In 20 years, their youngest members will | | | | among age 50 and older households since 1999. The |
| be 86 years of age. | | | | estimated median annual household incomes of the |
| About 95 percent of members of the Silent | | | | target market sector, 75-plus years of age, are |
| Generation are retired today. This group has been | | | | expected to increase only 2.5 percent during the |
| labeled conformist, believes in the status quo, | | | | next five years. At best, this increase will only keep |
| adapters, people who went along and got along. | | | | pace with inflation. |
| Members of the Silent Generation have not been | | | | If the price of assisted living charged to customers |
| seen as risk takers-for example, only 2 percent took | | | | keeps pace with inflation, the proportion of |
| the risk to be self-employed, whereas the majority | | | | consumers with sufficient funds to afford |
| included long-term employees of companies that | | | | out-of-pocket payments is likely to shrink. On the |
| provided them a good living, good benefits, and | | | | positive side, the proportion of households relying on |
| retirement pensions. | | | | Social Security for more than half of their income has |
| The Silent Generation, however, may mistakenly be | | | | also been shrinking. |
| perceived as a group unlikely to clamor for change, | | | | HEALTH STATUS. Health trends among the target |
| and the assisted living industry should not be too | | | | market sector for assisted living have begun to trend |
| complacent. The Silent Generation has taken a stand | | | | downward. The proportion of individuals at least 75 |
| on some issues. It legitimized divorce, for example. | | | | years of age who report that their health is |
| After marrying at an average age of 23 years for | | | | "excellent" or "very good" dropped from 35 percent |
| men and 20 for women, the "divorce epidemic" was | | | | to 31 percent between 1994 and 2004. Thus, the |
| started among men and women born between 1930 | | | | number of individuals who will need assistance may |
| and 1940 who showed the biggest age-bracket jump | | | | increase during the next 20 years. |
| in divorce rate in history. And the Silent Generation | | | | The factor that bears the greatest share of the |
| can claim kinship with one of the greatest leaders for | | | | blame in the health decline is the proportion of the |
| social change in American history, Dr. Martin Luther | | | | populace that is overweight or obese. The proportion |
| King Jr. | | | | that is fit, in that they are not overweight or obese, |
| The growth of assisted living during the next 20 | | | | has declined dramatically in the past decade. It is |
| years will depend on how the next generation of | | | | projected that the obesity epidemic will reduce |
| consumers views this long-term care alternative. | | | | recent gains in longevity. |
| Several factors will be influential: their level of family | | | | USE OF TECHNOLOGY. Technologies are likely to |
| support, economic resources, health status, and the | | | | enhance the quality of the living environment and |
| availability of technology. | | | | improve service delivery in the coming years. Use of |
| FAMILY SUPPORT. Many among the next generation | | | | computers has increased dramatically, as has cell |
| of senior living customers will have adult children. | | | | phone usage. Still, the segment moving into assisted |
| Ninety-four percent of women in the Silent | | | | living in at least the first part of the next decade will |
| Generation became mothers and stayed home, | | | | be more likely not to have adopted newer |
| where they raised an average of 3.3 children. So | | | | technologies. Further in the future, however, new and |
| unlike many of their daughters, women of the Silent | | | | better technologies will emerge that will enable people |
| Generation may have children to support them when | | | | to communicate better, more easily, and more |
| they need help. And, although not all adult children will | | | | affordably with each other, even at long distances. |
| behave the same way, many will want the same | | | | Assisted living residences that learn to take |
| independence for their parents as they will want for | | | | advantage of technologies to help provide |
| themselves. | | | | opportunities for residents to have more rewarding |
| ECONOMIC OUTLOOK. Tomorrow's assisted living | | | | interactions and intelligent discourse with family, |
| consumers may be reluctant to spend money unless | | | | friends, and professionals will help improve their |
| they see clear benefit and value from the products | | | | prospects with future customers. |