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Boomers,  Technology  &  Health:  
              Consumers  Taking  Charge!




                                JANUARY  2011
MIT
        Enterprise  Forum  of  the  Northwest
Seattle-­based  MITEF  NW  is  one  of  27  chapters  of  
the  MIT  Enterprise  Forum  in  Cambridge,  Mass.,  a  
global  non-­profit  organization  dedicated  to  the  
advancement  of  technology  entrepreneurs.  MITEF  
NW’s  mission  is  to  inspire,  connect,  and  educate  
our   region's   entrepreneurial   and   technology  
business  community.  For  more  information,  please  
visit  at  www.mitwa.org.  

  COPYRIGHT   C 2010 − 2011 MIT ENTERPRISE OF THE NORTHWEST AND
           TECH4AGING.    ALL  RIGHTS  RESERVED.
FOREWORD

This  research  report  is  the  result  of  more  than  50  interviews  with  industry  and  research  thought-­‐leaders  conducted  
                                                                                                                                   th
                                                                                                                                      ,  2011.  


wellness  products  for  personal  use.

                                                                                                                                                   -­‐
ary  research.



On  behalf  of  the  Boomers,  Technology  and  Health:  Consumers  Taking  Charge!  Planning  Team




           FIVE  KEY  FINDINGS


                                                                                        Boomers   are   unlike   any   previous   midlife   gen-­‐

                                                                                        and  independent  spirit.1  They  have  been  at  the  
                                                                                                                                            -­‐

                                                                                        last  40  years.  
                                                                                                                                                           

                                                                                        adopters,   especially   “when   the   value   of   doing  
                                                                                        so  is  readily  apparent,”2

                                                                                                                                                  -­‐
                                                                                        ing,   including   online   purchases.3   They   are   also  
                                                                                        one   of   the   fastest-­‐growing   segments   of   social  
                                                                                        networking   users.4



1                                                 USATODAY.com,              (16  November  2010).
                                                                                                                                               1
                                                USATODAY.com,                    (16  November  2010).
4          Older  Adults  &  Social  Media,
5
                                                                                                                                      


                 6

lack  of  individual  accountability,  and  defensive  medicine’s  unnecessary  treatments.7

Boomers  view  tech-­‐enabled  health  products  as  a  way  to  foster  control  and  ongoing  independence  for  themselves,  espe-­‐
cially  in  light  of  the  rise  in  incidence  in  chronic  disease  with  aging,  and  their  desire  to  reduce  costs.8  Nearly  56%  of  boom-­‐
ers  show  a  high  willingness  to  use  in-­‐home  health  monitoring  devices  in  tandem  with  the  care  of  their  primary  physician.




                           -­‐  One  third  is  online.
                           -­‐  68%  of  younger  boomers  and  51%  of  older  boomers  use  home  broadband      
                                 to  go  online

                             


decision-­‐makers,  and  caretakers  for  their  aging  parents  who  want  to  age  in  place  in  their  own  homes,  and  their  boomerang  
                                                                                                     10




factors  combine  to  make  boomers  likely  early  users  of  remote  health  monitoring  and  management  products.”11




–  from  the  discipline  in  the  center  to  
                                                                     12
                                        medical  home  

                                                                                                                                                   -­‐
vices  and  phone  calls  has  been  a  key  part  of  its  early  success.”13                                                                       -­‐


                                                                                                                  14




                                                   USATODAY.com
6                  
7                  

9
10
11
12                                                                                                                                             2
13
14
Person-­‐centric  approach  to  health  and  wellness  using  devices  that  allow  

                                                                                                                                          -­‐




                                                                                                                           15

                                          16
costs  and  in-­‐person  doctor  visits



Problem-­‐solvers.  
                                                                                                                                17
                                                                                                                                   is  about  to  accelerate  due  
                                                                                                                                                                -­‐
lished  healthcare  industry  and  consumer  web  and  mobile  technology.  


                                                                                                                                                                     -­‐

                                                 18
                                                                                                                                                                     -­‐


Data  will  also  become  available  from  behind  walled-­‐garden  repositories,  and  with  it  further  opportunity  and  new  chal-­‐
                                                                                                                                      -­‐

                                                                                                                                                  beyond  the  small  

Newell.20  



worthy,”21




                                                                                                                                                                           
15         
16
17
18                                             MobiHealthNews.com,                 (17  December  2010).
19                                                                                                              ,                                                3
20
21
address  underserved  markets  where  high-­‐speed  web  access  is  an  issue.22  


                                                                                                                                                              -­‐

of  health-­‐damaging  behaviors.”23


subscribers  and  employees24
                                                                                                                                                              -­‐


                                                                                                                                                              -­‐
ing  results,  but  also  engaging  and  fun.”25

                                                                                                                                              26




of  a  robust  ecosystem  in  connected  health.27


         28

                                                                                                                             

                                                                                                                                                              -­‐
                                                                                  30

                                                                                                                    31
                                                                                                                       The  same  will  likely  be


                 32




22                                                                                  ,  
23         Chronic  Diseases:  The  Power  to  Prevent,  The  Call  to  Control
24                                                                                                 Xconomy.com,                    (27  October  2010).
25
26
27
28
29
30                                                                                TheStar.com,                                                            4
31
32
33

                                        34




                                                                                                       -­‐
                                                                                          35
                                                                                           ).  




                 WHY  NOW?

                                                                                                      -­‐

economic  burden.


2000  to  2030.36
                 37

      38
aging.   


33            
34            An  Unhealthy  America:  The  Economic  Burden  of  Chronic  Disease
35
36                                                                                                5
37
38
 The  underlying  causes  
                                                                                                     are  related  to  lifestyle  and  personal  choices,  with  poor  

                                                                                                                                              40

                                                                                                     for  two-­‐thirds  of  healthcare  costs.41

                                                                                                     80%  of  the  costs  are  being  driven  by  only  20%  of  the  
                                                                                                                              42




                                                                                        -­‐


                                                                                   43
                                                                                                  


               44
                                                                                               -­‐

being  a  woman,  46  years  of  age.45  The  economic  value  
of  unpaid  caregiving,  assuming  hours  reimbursed  at  
                                                                                          -­‐
ly.46                                                                             -­‐

                                                                47




                                                                                                                                              48
                                                                                                                                                       By  2023,  combined  
costs  are  forecasted  to  triple.




           MARKETING  TO  BABY  BOOMERS



39         
40         Chronic  Diseases:  The  Power  to  Prevent,  The  Call  to  Control
41
42
43         Chronic  Diseases:  The  Power  to  Prevent,  The  Call  to  Control
44         
45
46
47                                                                                                   MarketWatch.com,               (27  October  2010).                6
48         An  Unhealthy  America:  The  Economic  Burden  of  Chronic  Disease
49
and  enhancement  to  their  lives  and  also  help  manage  varied  lifestyles.50  Present  them  with  products  that  are  poorly  or  
                                                                         51

                                                              52
an  older                                                                                                                                    -­‐
                                                                                                                                                   -­‐
                                                      53
                                                           


                                                                                                                                           -­‐
                                                                                                                                 54



                                                                               55

Older  Users
                                                               56




                                                                                                                                                     -­‐
                                                              57
cy,  and  caretaker  demands  need  to  be  considered.
                                                                                                                    58
                                                                                                                           or  know  someone  
                                                                              60                                    61
who  has  been ;  more  likely  to  be  a  caretaker  of  an  aging  parent
wellness  program62                                                   63




                MARKET  SIZE


personal  connected  health  market  are  who  pays  –  insur-­‐




measures  the  market  based  on  out-­‐of-­‐pocket  consumer  
spending  only.

                                                                      
(APTN
50
51
52
53       	
  
54                                                                              MarketWatch.com,          (27  October  2010).
55
56
57
58           
           
60                                                                             MarketWatch.com,           (27  October  2010).
61                                                                                                                                         7
62
63         
64



                                                                                                                              

                                                                                                                                                            -­‐


                                                                                                                                                  65
                                                                                                                                                     



services  on  their  mobile  phones  and  through  dedicated  devices.66




               OPPORTUNITIES

                                                                                                                                             67
                                                                                                                                                Trower  


                                                                                                                           68
                                                                                                                                   Shwetak  Patel,  



                   
  




of  millions  of  consumers  worldwide  are  already  using.”70  

                                                                                                                                                            -­‐




                                                                                        71
                                                                                           The  number  of  prescribed  drugs  tends  to  increase  

64                                                Aging  in  Place  Technology  Watch
65         mHealth:  Taking  the  Pulse,
66         Healthcare  Unwired
67
68
69                                                                                                                                                      8
70
71         “                                    ,”  MobiHealthNews.com,  
72




more  focus  in  this  area.



                                                                                                -­‐
counts,  there  are  fewer  than  500,000  total  installed  devices.73
                                                                                               -­‐




Online  social  health  




                                                                                                           -­‐

devices  with  like-­‐minded  peers  and  professionals  for  each  individual.”74    


                                                                                                     -­‐
                                                                                          75



                                                                                         76




           NEAR-­‐  TO  MID-­‐TERM  BARRIERS

                                                                             77




72
73
74

76
77         “                                 ,”                 ,  
-­‐

                                                                                                     78




                                                                                                                                                            -­‐
care  users  coming  online  due  to  reform  measures.




                                                                                                                                                      -­‐


strategies  for  new  businesses.”80



                                                                                                                                                             -­‐

                                                                                                                                         -­‐

                                                                                                                                                -­‐
pate,  as  well  as  the  speed  at  which  the  market  grows.  
  

                                                                                                                                                             -­‐




their  physician.81
                       82

global  consumers.83                                                                                                                       -­‐
                                                                                                     freemium  model)  to  build  an  early  
market  for  their  products.      


                                                                      84

                                                                                                     85




78
79
80
81          Healthcare  Unwired
82
83                                            MobiHealthNews.com,            (17  December  2010).                                         10
84                                            MobiHealthNews.com,  
85
86
                                                                                                                          Disparate  and  


                                                                                                                                                 -­‐


                                                                                                              87




There  is  no  dispute  that  standards  and  interoperability  are  typically  needed  for  technology  markets  to  grow,  not-­‐

                                                                                                                                           -­‐


each  other.  




                                                                                                                                              -­‐

                                                                                                                                      88
                                                                                                                                           




86
87
88                                                                                                                                         11
89
90         
of  the  mobile  phone  user  base.   Boomers  are  a  fast-­‐growing  segment  of  adopters,  having  risen  to  one-­‐third  of  those  


                                                                                                                                   




                                  MobiHealthNews




                                                                                                                                                                 -­‐
ful  health  data  in  consumer  hands.

                                                                                                                                                           -­‐
                              

                                                                                                                                                     -­‐

                                                                                                                                                     -­‐

independent  living  products.     




                                                                              100




                                      101

                                     102




91                                                                                   Blog.Nielsen.com,                        (2  November  2010).
92         Boomers  and  Mobile  Usage,  eMarketer.com
93
94                                                   MobiHealthNews.com,                            (13  November  2010).
95                                                                                    MedCityNews.com,  
96         “
97                                                     HealthDataManagement.com,  
98
99                                            ,  PriceWaterhouseCoopers,  October  2010.
100                                                                                                                                                  12
101        Older  Adults  &  Social  Media,
102                                                                                                ,  
-­‐
                                                                                                                           health  buddies  
with  shared  interests.103
                                                                                                          104




                                                                                                                                         105
                                                                                                                                                    
                                                                                                                                          -­‐
                                               106                                                                                                 107
                                                                                                                                                               
                                                                                               108
                                                                                                                                        -­‐
ments  have  focused  on  health,  e.g.  the  use  and  labeling  of  transfats  and  specifying  caloric  value  of  foods  on  restaurant  
menus.   

                                                                                                                                                       -­‐

                                                                     110




                                                                                                    111



                                                                           112




agencies,  insurers,  care  providers,  tax  payers,  caretakers,  product  developers,  researchers,  businesses,  entrepreneurs,  




favorable  insurance  coverage  and  rates.  The  most  vulnerable  would  be  placed  at  further  risk  during  network  outages.  

103        “                                                                 (27  October  2010).
104        
105        
106        
107        
108
109                                                                        (6  December  2006).
110        Healthcare  Unwired                                                                                                           13
111
112
-­‐

needs  and  wants  by  involving  end  users,  caretakers,  and  care  providers  in  product  and  interface  design  while  raising  and  
                                                                                                                                          -­‐
                                                                                                                                          -­‐




                                                                                                                                           -­‐




       Personal  health  record  is  an  electronic  resource  of  person  health  data  managed  by  the  consumer.


                                                                                                                                          -­‐




                                                                                                                                            -­‐




                                                                                                                                       14
gallellim@gmail.com



maxwells@nutn.net


peltonen@gmail.com



pgroden@gmail.com
      



Berry  Brunk  –  berry@collaborell.com




                                         -­‐




                                         15
 INTERVIEWEES
 INTERVIEWEES




                                       




                             

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Boomers Technology and Health: Consumers Taking Charge!

  • 1. Boomers,  Technology  &  Health:   Consumers  Taking  Charge! JANUARY  2011 MIT   Enterprise  Forum  of  the  Northwest Seattle-­based  MITEF  NW  is  one  of  27  chapters  of   the  MIT  Enterprise  Forum  in  Cambridge,  Mass.,  a   global  non-­profit  organization  dedicated  to  the   advancement  of  technology  entrepreneurs.  MITEF   NW’s  mission  is  to  inspire,  connect,  and  educate   our   region's   entrepreneurial   and   technology   business  community.  For  more  information,  please   visit  at  www.mitwa.org.   COPYRIGHT   C 2010 − 2011 MIT ENTERPRISE OF THE NORTHWEST AND TECH4AGING.    ALL  RIGHTS  RESERVED.
  • 2. FOREWORD This  research  report  is  the  result  of  more  than  50  interviews  with  industry  and  research  thought-­‐leaders  conducted   th ,  2011.   wellness  products  for  personal  use. -­‐ ary  research. On  behalf  of  the  Boomers,  Technology  and  Health:  Consumers  Taking  Charge!  Planning  Team FIVE  KEY  FINDINGS Boomers   are   unlike   any   previous   midlife   gen-­‐ and  independent  spirit.1  They  have  been  at  the   -­‐ last  40  years.                 adopters,   especially   “when   the   value   of   doing   so  is  readily  apparent,”2 -­‐ ing,   including   online   purchases.3   They   are   also   one   of   the   fastest-­‐growing   segments   of   social   networking   users.4 1  USATODAY.com,   (16  November  2010). 1 USATODAY.com,   (16  November  2010). 4    Older  Adults  &  Social  Media,
  • 3. 5   6 lack  of  individual  accountability,  and  defensive  medicine’s  unnecessary  treatments.7 Boomers  view  tech-­‐enabled  health  products  as  a  way  to  foster  control  and  ongoing  independence  for  themselves,  espe-­‐ cially  in  light  of  the  rise  in  incidence  in  chronic  disease  with  aging,  and  their  desire  to  reduce  costs.8  Nearly  56%  of  boom-­‐ ers  show  a  high  willingness  to  use  in-­‐home  health  monitoring  devices  in  tandem  with  the  care  of  their  primary  physician. -­‐  One  third  is  online. -­‐  68%  of  younger  boomers  and  51%  of  older  boomers  use  home  broadband            to  go  online   decision-­‐makers,  and  caretakers  for  their  aging  parents  who  want  to  age  in  place  in  their  own  homes,  and  their  boomerang   10 factors  combine  to  make  boomers  likely  early  users  of  remote  health  monitoring  and  management  products.”11 –  from  the  discipline  in  the  center  to   12 medical  home   -­‐ vices  and  phone  calls  has  been  a  key  part  of  its  early  success.”13 -­‐ 14 USATODAY.com 6     7               9 10 11 12   2 13 14
  • 4. Person-­‐centric  approach  to  health  and  wellness  using  devices  that  allow   -­‐ 15 16 costs  and  in-­‐person  doctor  visits Problem-­‐solvers.   17  is  about  to  accelerate  due   -­‐ lished  healthcare  industry  and  consumer  web  and  mobile  technology.   -­‐ 18 -­‐ Data  will  also  become  available  from  behind  walled-­‐garden  repositories,  and  with  it  further  opportunity  and  new  chal-­‐ -­‐  beyond  the  small   Newell.20   worthy,”21                                 15   16 17 18 MobiHealthNews.com,    (17  December  2010). 19 ,   3 20 21
  • 5. address  underserved  markets  where  high-­‐speed  web  access  is  an  issue.22   -­‐ of  health-­‐damaging  behaviors.”23 subscribers  and  employees24 -­‐ -­‐ ing  results,  but  also  engaging  and  fun.”25 26 of  a  robust  ecosystem  in  connected  health.27 28   -­‐ 30 31  The  same  will  likely  be 32 22 ,   23  Chronic  Diseases:  The  Power  to  Prevent,  The  Call  to  Control 24 Xconomy.com,    (27  October  2010). 25 26 27 28 29 30 TheStar.com,   4 31 32
  • 6. 33 34 -­‐ 35 ).   WHY  NOW? -­‐ economic  burden. 2000  to  2030.36 37 38 aging.   33   34  An  Unhealthy  America:  The  Economic  Burden  of  Chronic  Disease 35 36   5 37 38
  • 7.  The  underlying  causes   are  related  to  lifestyle  and  personal  choices,  with  poor   40 for  two-­‐thirds  of  healthcare  costs.41 80%  of  the  costs  are  being  driven  by  only  20%  of  the   42 -­‐ 43     44 -­‐ being  a  woman,  46  years  of  age.45  The  economic  value   of  unpaid  caregiving,  assuming  hours  reimbursed  at   -­‐ ly.46 -­‐ 47 48    By  2023,  combined   costs  are  forecasted  to  triple. MARKETING  TO  BABY  BOOMERS 39   40    Chronic  Diseases:  The  Power  to  Prevent,  The  Call  to  Control 41 42 43  Chronic  Diseases:  The  Power  to  Prevent,  The  Call  to  Control 44   45 46 47 MarketWatch.com,   (27  October  2010).   6 48    An  Unhealthy  America:  The  Economic  Burden  of  Chronic  Disease 49
  • 8. and  enhancement  to  their  lives  and  also  help  manage  varied  lifestyles.50  Present  them  with  products  that  are  poorly  or   51 52 an  older -­‐ -­‐ 53     -­‐ 54 55 Older  Users 56 -­‐ 57 cy,  and  caretaker  demands  need  to  be  considered. 58  or  know  someone   60 61 who  has  been ;  more  likely  to  be  a  caretaker  of  an  aging  parent wellness  program62 63 MARKET  SIZE personal  connected  health  market  are  who  pays  –  insur-­‐ measures  the  market  based  on  out-­‐of-­‐pocket  consumer   spending  only.   (APTN 50 51 52 53   54  MarketWatch.com,    (27  October  2010). 55 56 57 58         60 MarketWatch.com,    (27  October  2010). 61     7 62 63    
  • 9. 64   -­‐ 65   services  on  their  mobile  phones  and  through  dedicated  devices.66 OPPORTUNITIES 67  Trower   68  Shwetak  Patel,         of  millions  of  consumers  worldwide  are  already  using.”70   -­‐ 71  The  number  of  prescribed  drugs  tends  to  increase   64      Aging  in  Place  Technology  Watch 65    mHealth:  Taking  the  Pulse, 66  Healthcare  Unwired 67 68 69 8 70 71  “ ,”  MobiHealthNews.com,  
  • 10. 72 more  focus  in  this  area. -­‐ counts,  there  are  fewer  than  500,000  total  installed  devices.73 -­‐ Online  social  health   -­‐ devices  with  like-­‐minded  peers  and  professionals  for  each  individual.”74     -­‐ 75 76 NEAR-­‐  TO  MID-­‐TERM  BARRIERS 77 72 73 74 76 77  “ ,”   ,  
  • 11. -­‐ 78 -­‐ care  users  coming  online  due  to  reform  measures. -­‐ strategies  for  new  businesses.”80 -­‐ -­‐ -­‐ pate,  as  well  as  the  speed  at  which  the  market  grows.     -­‐ their  physician.81 82 global  consumers.83 -­‐ freemium  model)  to  build  an  early   market  for  their  products.       84 85 78 79 80 81  Healthcare  Unwired 82 83 MobiHealthNews.com,    (17  December  2010). 10 84 MobiHealthNews.com,   85
  • 12. 86  Disparate  and   -­‐ 87 There  is  no  dispute  that  standards  and  interoperability  are  typically  needed  for  technology  markets  to  grow,  not-­‐ -­‐ each  other.   -­‐ 88     86 87 88   11 89 90  
  • 13. of  the  mobile  phone  user  base.  Boomers  are  a  fast-­‐growing  segment  of  adopters,  having  risen  to  one-­‐third  of  those       MobiHealthNews -­‐ ful  health  data  in  consumer  hands. -­‐     -­‐ -­‐ independent  living  products.     100 101 102 91 Blog.Nielsen.com,    (2  November  2010). 92  Boomers  and  Mobile  Usage,  eMarketer.com 93 94 MobiHealthNews.com,    (13  November  2010). 95  MedCityNews.com,   96  “ 97 HealthDataManagement.com,   98 99   ,  PriceWaterhouseCoopers,  October  2010. 100 12 101  Older  Adults  &  Social  Media, 102 ,  
  • 14. -­‐ health  buddies   with  shared  interests.103 104 105     -­‐ 106 107   108 -­‐ ments  have  focused  on  health,  e.g.  the  use  and  labeling  of  transfats  and  specifying  caloric  value  of  foods  on  restaurant   menus.   -­‐ 110 111 112 agencies,  insurers,  care  providers,  tax  payers,  caretakers,  product  developers,  researchers,  businesses,  entrepreneurs,   favorable  insurance  coverage  and  rates.  The  most  vulnerable  would  be  placed  at  further  risk  during  network  outages.   103  “  (27  October  2010). 104   105   106   107   108 109 (6  December  2006). 110  Healthcare  Unwired 13 111 112
  • 15. -­‐ needs  and  wants  by  involving  end  users,  caretakers,  and  care  providers  in  product  and  interface  design  while  raising  and   -­‐ -­‐ -­‐  Personal  health  record  is  an  electronic  resource  of  person  health  data  managed  by  the  consumer. -­‐ -­‐ 14
  • 16. gallellim@gmail.com maxwells@nutn.net peltonen@gmail.com pgroden@gmail.com       Berry  Brunk  –  berry@collaborell.com -­‐ 15
  • 18.  INTERVIEWEES