Niche
e-marketer ThirdAge Media targets one of the fastest growing and most lucrative
markets in the country and on the Web: Baby Boomers.
One needs to look no further than television advertisements
to realize that the Baby Boomer generation arguably is the largest, most
influential demographic in the United States population. Commercial jingles
incorporate tunes from the '60s and '70s -- who doesn't think Toyota upon
hearing strains of "Everyday People" -- and mutual fund companies
stress the importance of saving for retirement in spots featuring frolicking
forty- and fiftysomething actors. Baby Boomers are moving into that period of
life when the kids are grown and out of the house, retirement is nearing, and
the time finally has arrived to do, buy and learn things for themselves again.
While many companies have jumped on the opportunity to
target this demographic for the purpose of marketing a product or service, few
are offering a vehicle through which these Baby Boomers -- or "Third
Agers" -- can come together and find comprehensive and easy-to-access
information on topics of interest to them. That's exactly what the creators of ThirdAge Media did. Founded in 1996 in San
Francisco, ThirdAge Media is a company devoted to serving the communication
needs of Third Agers -- those individuals moving toward and beyond the age of
50. To accomplish this goal, ThirdAge Media takes what Communications Manager
Mindy Cebers calls a "fully integrated approach to communication"
through three media: a Web site, a news syndicate and electronic distribution
channel, and a market research division.
ThirdAge Media was founded by Mary Furlong, Ed.D., Robert
Huret and Gary Hromadko. Furlong, who currently is the CEO of the company and
has done extensive research on and work with the Third Age demographic.
Furlong, herself a Third Ager who recently celebrated her 50th
birthday, holds a presidential appointment to the National Commission on
Libraries and Information Sciences and provides counsel to the U.S. House of
Representatives Select Committee on Aging. In 1996, New Choices magazine awarded Furlong the "New Choices
Award" for her commitment to Third Agers. Additionally, Furlong has been
named one of Upside magazine's
"Elite 100" and one of Interactive
Age's "Twenty-five Unsung Heroes on the Web."
In addition to serving as ThirdAge Media's CEO, Furlong is a
writer, penning a nationally syndicated column called "Web for
Grown-ups" and has published books for Third Agers interested in learning
about computer technology, including "Computers for Kids Over Sixty,"
"Young @ Heart: Computing with Seniors" and "We Teach
Technology."
Furlong's desire to teach older adults how to use computers
came to fruition when she founded SeniorNet, a non-profit organization that
today consists of more than 140 computer learning centers across the country.
This desire and apparent connection to the aging population soon led to the
development of ThirdAge Media.
Initially funded by Advance Publications, Softbank and 22
private investors, the privately held ThirdAge Media today names Media One,
Interactive Services Group (ISG), General Electric Investments, Phoenix
Partners, SOFTBANK Holdings, Inc. and E*Trade among its investors.
ThirdAge Media is built around the philosophy that
individuals in the Third Age demographic are at the point in their lives where,
due to such factors as retirement and children leaving home, they are able to
focus more of their attention and time on themselves. Thus, ThirdAge Media
exists as a means by which to serve up information targeted toward the needs
and likes of Third Agers.
"There are currently 70 million people age 50 and older
in the United States," says Cebers. "The Third Agers are the fastest
growing user segment on the Web, spending more time on the Internet than their
younger counterparts.
In fact, according to Forrester Research, 30 million
Internet users were age 45 and older in 1998. Forrester predicts that number to
skyrocket to 112 million by 2002.
"Information targeted for Third Agers is unique and especially
pertinent for this transitional time in life," Cebers continues.
"Third Age delivers news and information on a variety of topics, including
health, money, romance, work, family, technology and general living."
The company's Web site, visited by more than 500,000
subscribers each month, consists of databases of information and resources on
subjects of interest to Third Agers, and facilitates forums for the discussion
of issues important to the Third Age demographic. Viewers will find, for
example, articles explaining how to care for aging parents, and answers to
exercise and fitness questions geared specifically for Baby Boomers.
From a business standpoint, ThirdAge Media lists on its Web
site two reasons why the company has chosen to target the Third Age
demographic. First, the population of the United States consists of 76 million
Baby Boomers, one of which turns 50 every seven seconds, making the Third Age
demographic the fastest growing market in the country. Second, Third Agers
account for 40 percent of income and dominate many consumer categories.
For the purpose of distributing news and information of
interest to Third Agers, Third Age Media has developed Third Age News Service,
which distributes articles to more than 170 newspapers nationwide via Universal
Press Syndicate, and over the Internet via Yahoo!, Netscape, Snap!, AOL,
Excite, Infoseek, RoadRunner and the Microsoft Network. In addition, Third Age
purchased the news service of the American Association of Retired Persons (AARP). In all, the company distributes more
than 100 news stories each week, Cebers says.
The ThirdAge Media's staff of in-house writers and editors
identify and create the content that is submitted to the various news sources. And, Cebers says, due to the competitive, fast-paced
nature of the news publishing business, the company "works hard to attract
and retain the brightest talent and to foster an atmosphere of camaraderie and
teamwork."
The typical perception is
that Baby Boomers don't use the Internet because it is somehow too complicated
or intimidating for them. Furlong and ThirdAge beg to differ with that, and
they've done the research to prove their assertion that Third Agers do use the
Internet for information and shopping, among other things, and that the number
will grow steadily into the future.
ThirdAge Media, in conjunction with the Excite Network, conducted a survey of
Internet users, which revealed that Third Agers spend an average of 15 hours
per week on the Internet and are 85 percent more likely to purchase business
equipment online than the average adult Internet shopper. Furthermore, the
study revealed, 37 percent of this demographic are more likely to purchase
books online, and 27 percent are more likely to buy stocks and mutual funds via
the Internet. And although ThirdAge reports that, according to @plan, 4.3
million Internet users are over the age of 55, only 5 percent of advertising is
targeted toward the Third Age demographic.
In March 1999, ThirdAge Media launched "Web Made Easy,"
a portion of the ThirdAge Media Web site dedicated to beginning home PC users.
Web Made Easy features tutorials, Internet basics, advice on using Web browsers
and recommended Web sites devoted to various related topics.
"We know that this audience is already wired and
getting even more wired," says Furlong. "Adult users tend to take a
practical approach to using the Internet. They want to know how the Internet
can improve their lifestyle. The Web Made Easy helps these 'newbies' see beyond
the curve in the Internet's superhighway and maximize their online
experience."
Web Made Easy contains four main content areas geared
specifically to adult users. "New to the Net," "Explore the
Web" and "Get More Out of the Net" contain various information
on surfing, searching and downloading, while "Meet People and Stay in
Touch" provides information on using e-mail, chat rooms and forums as
means of communication. Furthermore, Third Agers can submit their e-mail
addresses and receive free electronic newsletters discussing Internet and
technology issues. Web Made Easy also launched with 19 five- to 10-minute
tutorials on subjects including downloading software and writing multimedia
letter, a computer and Internet dictionary, a site of the day and an Internet
guide called the "ThirdAge Top 5000."
In its function as community forum, ThirdAge Media features
Personal Portraits, a section in which visitors can submit profiles of
themselves for the purpose of connecting with other Third Agers who share their
interests and concerns. ThirdAge also sponsors chat rooms and forums on topics
such as family, health, money, news and romance, from the point of view of
Third Agers.
Each of the categories of information on the ThirdAge site
-- family, health, living, money, news, romance, shopping, technology and work
-- contains extensive articles and other forms of information on each
particular topic. Each category page includes links to forums for Third Agers
to discuss issues in the category and a guide to Web sites recommended by
ThirdAge Media. And, true to ThirdAge Media's philosophy, the content of the
sections really is specifically geared toward members of the Baby Boom
generation. For instance, the health section features articles and other
information on menopause, lowering cholesterol, fighting cancer, Medicare and
staying fit as you age. The family section discusses topics such as the "empty
nest syndrome" and caring for elderly parents, while the living section
takes a lighthearted approach to life by featuring articles on celebrities who
have entered the Third Age, a horoscope section, articles dealing with fashion,
hobbies and travel information, and a guide to the best online jokes.
In a manner that is one part entertainment and one part
news, ThirdAge Media further serves as an electronic romance adviser/dating
service. For Third Agers interested in entering or re-entering the dating scene,
the site allows visitors to design and post their own personal home pages.
Other Third Agers can then browse the information and contact prospective
paramours via e-mail. The romance section also contains content dealing with
sex, dating and relationships.
A main component of
ThirdAge Media's revenue model is sponsorships, and the site offers various
program levels, according to Cebers. At one end of the spectrum, a company can
sponsor a one-time event, such as a poll or forum, while at the other end of
the spectrum are center sponsorships. Call sponsorships involve long-term
relationships, during which ThirdAge Media creates an information center around
the sponsoring company's products or information, Cebers says. For example, IBM
obtained a center sponsorship, which advertises IBM equipment and software at
discounted prices for Third Agers. The page lists a toll-free telephone number
for ordering and a ThirdAge priority code. And, in keeping with one of the
points of the ThirdAge Media mission -- to educate Third Agers on using
technology and the Internet to their advantage -- the IBM Center lists "10
Must-Knows in Computer Lingo." The list defines and explains various
technology, hardware and software terms necessary to understanding everyday
computer technology.
The company also offers traditional banner advertising and a
"Shop Channel" advertising program, which allows companies to hawk
their products and services on a commerce page targeted toward a mature
demographic audience.
According to Cebers, ThirdAge Media's ride on the
Information Superhighway has been fairly smooth. Any challenges the business
has encountered have been minor, she says, adding that the site is currently
enjoying a steady growth phase. In fact, traffic to the site increased by
66 percent during 1998, during which time page views topped 7 million.
According to Ceber, the
company plans to capitalize on this exciting growth phase. "The company is
positioned to grow as the level of awareness in the community grows," she
explains. "We plan to grow the affinity marketing elements of our business
by offering goods and services of unique interest to this audience. In other
words, to incorporate commerce into our content and community."
And if awards are any indication of the company's success,
ThirdAge Media is definitely doing something right. The company has received
accolades from Netscape, USA Today, Yahoo!, Snap!, Webcrawler, Webnet and
HomePC, just to name a few.
But the company is not in business to achieve awards, Cebers
asserts; rather, it is in the business to service Third Agers. She explains:
"The company's long- and short-term goal is the same: to provide a
connection, a resource and a means of communication for the Third Age
demographic."
Company: ThirdAge Media
URL: www.thirdage.com
Founders: Mary Furlong, Robert Huret and Gary Hromadko
Industry: Niche information services
Location: San Francisco
Founded: 1996
Revenue: undisclosed
Copyright © 2000 by Virtual
Advisor, Inc. All rights reserved.