Rapid growth in the number of older people in Japan has raised visions of an economy reeling from the strain of pension costs and lower productivity.
But rather than being a burden, Japan's growing army of pensioners and baby-boomers nearing retirement are starting to help the economy by using their substantial savings on luxury goods such as flat-screen televisions and travel.
Economists now say taking advantage of this emerging market, driven by what in Japan are called "silver spenders", is crucial to ensuring the economy remains buoyant even if demand slows from trading partners such as China and the United States.
"It's the sheer number. Although they're not really avid spenders, consumers in their 50s and above are a big force," said Yoshimasa Maruyama, an economist at Mizuho Research Institute.
The government predicts there will be one person over 65 for every two of working age by 2025.
Individuals in Japan hold assets estimated at 1,400 trillion yen ($12,670 billion), mostly squirreled away in cash and savings.
Those over 60 account for more than half the total savings, according to government estimates. Including the over 50s takes the figure above three-quarters.
The average household whose main earner is in their 60s or above has 25 million yen ($226,200) in savings, triple the household savings where the main provider is in their 30s.
That means most can live comfortably on savings and pensions after retirement.
More silver spenders means the effect goes beyond companies that could be expected to benefit from changing demographics such as healthcare provider Goodwill Group and hospital bed maker Paramount Bed Co Ltd, economists say.
One item credited with bolstering overall consumption in the past few months has been flat-screen televisions, with silver spenders seen as the main customers.
They were also the obvious marketing targets.
Commercials for Sharp Corp's state-of-the-art flat-screen Aquos TV feature Sayuri Yoshinaga, a 59-year old actress with a middle-aged following.
The top model sells for over 500,000 yen.
But not everyone is spending their retirement watching television, and travel firms report a rise in vacationers in their 50s and 60s.
Top travel agency Japan Travel Bureau says it is increasingly focusing on "mature" travellers, who spend nearly twice as much on trips as those in their 20s and 30s.
Japan's tertiary sector index, reflecting activity in the retail, travel and other service industries, has been recovering over the past year to levels not seen in more than a decade.
But Naoko Yano, an economist at Mitsubishi Research Institute, said the silver generation was not yet contributing significantly to overall consumption considering the size of their wealth.
"Right now, they're spending below potential. I do think the key to keeping consumption afloat in the years ahead will depend on how to encourage these people to spend," she said.
UFJ Institute economist Masashi Murata said a key challenge will be in seeing how older consumers deal with lower pension payments in the coming years as reforms trim payouts.
"I'm quite cautious about the strength of silver spending," he said. "In the long run, the outlook is not so good."
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