Succeeding with New Products in the Senior Market: An Investigation in to Companies' Absorptive Capacity Activities

Abstract

Abstract
This thesis explores how companies can succeed with their new product offering when it comes to the senior market and senior consumers. Using the absorptive capacity literature, this thesis additionally investigates how companies can acquire and assimilate information on the senior market, which thus ultimately leads to the exploitation of senior-specific knowledge that enables firms to successfully develop new products for senior consumers.
Despite the senior market’s potentially lucrative nature with its higher level of disposable income, size and growth, the majority of firms are overlooking the business opportunity or they are showing inaction. A small number of firms are experiencing success, however, hence they are exhibiting senior aptitude. The aim of this thesis therefore is to provide insights in to how companies can achieve success with their new product offering that considers older people to be a key consumer group. In addition, this thesis aims to provide insights in to firms’ NPD and marketing activities, in order to show how success can be achieved with the senior market through new product opportunities, as well as new product strategies.
The study first conducted a preliminary phase of data collection by speaking to 14 individuals at seven industry events. After scoping the research problem, the main phase of data collection commenced. The study’s methodology subsequently consisted of 37 semi-structured interviews with key informants who were knowledgeable on their companies’ NPD and marketing practices. As a result, the findings of this study provide valuable insights in to the NPD and marketing activities of firms who are successful with their product offering in the senior market. Moreover, these findings can help firms to overcome ambivalence when considering whether to target senior consumers.
This thesis contributes to literature in several ways. Firstly, through the in-depth qualitative findings, a unique conceptual framework is developed, which highlights numerous factors and potential variables that can affect firms’ pursuit of success in the senior market. In addition, these factors include novel ideas, such as that of a senior consumer knowledge broker and a ‘veiled’ positioning strategy. Furthermore, this thesis contributes to business management literature by providing insights in to how firms’ NPD and marketing capabilities can contribute to success with senior consumers. Additionally, this thesis contributes to absorptive capacity literature by detailing how knowledge from senior consumers can be used effectively by a company to help develop a successful new product.

Date of Award	19 Sept 2024
Original language	English
Awarding Institution	University of Portsmouth
Supervisor	Nicholas Ford (Supervisor), Liz Ford (Supervisor) & Chris Simms (Supervisor)