If you watch the news, you wouldn’t ever know we are on the front end of the largest economic
boom in our history. The real numbers no one talks about show the economic expansion will last through the end of the 2030’s. How do we know that? Two reasons:
Just like the 79 million Baby Boomers drove record growth in the 1980’s and 1990’s, the Millennials with over 100 million will drive massive economic expansion in the 20’s and 30’s of this century.
With healthcare technology keeping Boomers living into their 90’s longer than ever, adding 10 to 15 years into a demographic group’s life adds 10 to 15 more years of economic impact by Baby Boomers.
The combination of the above two scenarios creates a perfect storm of spending and growth by each of these two demographic segments. Every industry that caters to either segment will grow in record numbers including:
You name the industry… if 30 and 70-year olds are their target market, plan on 20 years of record growth.
However, your members must be smart about key influences that will have radical impact on every industry as well. Two elements driving how business models will evolve the next 20 years are:
Rapidly Developing Emerging Technologies
Change in Consumer Buying Habits
With the advent of Industry 4.0 that is connecting people, machines, information, processes and technology, market disruption is causing change in business models at a record pace. Failure of companies or individuals to adapt the new technologies and embrace consumer buying habit changes will cause your members to disappear.
Technologies that are going to have a dominating impact on industries are:
Shared Mobility (will change the transportation industry)
3D Printing (will change manufacturing industries)
Artificial Intelligence (will change every professional industry)
Robotics (will change retail, food service and hospitality industries)
Blockchain (will change any industry that serves as an intermediary)
The hardest element for many people to realize is the urgency they need to have in changing their business models to embrace these new technologies in order to leverage them to take advantage of the growth coming in 2020 and beyond.
On the consumer buying habit changes, your members need to pay close attention to trends like:
Rentals/Shared Models (AirBnB & Uber)
Swap Commerce (online barter sites)
Chemical Revolt (do it yourself)
Subscriptions Services (Product delivered in a box for a monthly fee)
Consumer buying habits shift fast do to how connected everyone is. If consumer buying habits shift in your industry and your members aren’t out in front of it, they may quickly lose market share and not be able to recover.
It is critical as an association you bring your members the best and most current information on these changing trends so they can ensure their business models are ahead of the market disruption running towards every industry. Don’t wait another year. Make 2019 a breakthrough year for your members so they can seize the moment of growth that will take place in 2020 and beyond.
The future of their business and your association depend on it.