Consumer Behavior: Building Marketing Strategy 13th Edition by Delbert Hawkins, David Mothersbaugh

Exercise 44

The Rise of Multigenerational Families
A multigenerational family is a family household containing (a) at least two adult generations or (b) a grandparent and at least one other generation. Nearly 50 million Americans live in multigenerational households, which is a 33 percent increase since 1980. A number of factors account for this trend, including: 6
•The increasing immigrant population-this population is more likely to live in multigenerational families. Indeed, nearly a quarter of all Hispanics and Asian Americans live in such households.
•The delay in marriage of younger individuals and the economic recession-because young people have pushed marriage into their late 20s, those in their early 20s are often the most likely to move back in with their parents, and tough economic times have accelerated this trend.
•Medicare cuts and cultural beliefs about caring for an elder parent-there has been an increase in the percentage of those 65 and older moving in with their children. Economic issues may be one factor. However, over half of American adults also believe it is their responsibility to take an elder parent into their home if the parent wants to live with them.
There are different forms of multigenerational family. The first (47 percent) involves two adult generations where the youngest adult is 25 or older. The second (47 percent) involves three or more generations. The third involves a grandparent and grandchild with no parent present. This last category, called the skipped generation, represents 6 percent of all multigenerational families and shows the power of America's aging population in directly parenting and influencing multiple generations of children. It diverges considerably from our traditional notion of aging baby boomers as empty nesters focused on travel and other leisure activities.
Marketers are finding opportunities and challenges in this family type. For example:
•Ameriprise advisors are trained to help women deal with the fact that if they are a caregiver to a family member or friend (and 60 percent are), that it has work and financial consequences that must be planned for.
•Caldwell Banker's real estate agents are trained to position houses for multigenerational families. So, for example, a fifth bedroom could be touted as "in-law quarters."
•Presto created a printer device to which e-mails and pictures can be sent and then directly printed with the push of a button to allow electronic communication with older family members even if they are less technologically proficient.
•For the grandparents raising their grandchildren, opportunities abound that go beyond the typical gift scenario such as diapers, baby food, and other basic need products.
What additional marketing opportunities may exist for multigenerational families