Keeping tabs on trending business topics

WASILLA — While trends in the Lower 48 often take some time before they reach the Last Frontier, small Alaska businesses still need to stay on top of things, a member of the Alaska Small Business Development Center told the Wasilla Chamber of Commerce Tuesday.

Julie Nolen broke down national data between demographic age groups and trending topics as they related to industry, retail and leisure in her presentation to the chamber at its weekly meeting.

Age groups included senior citizens, born before 1945; baby boomers, born between 1946 and 1964; generation X, born between 1965-76; generation Y, born between 1977-97; and generation Z, born after 1997.

Nolen said generation Z is the most diverse and multicultural U.S. generation ever, adding that 55 percent are Caucasian, 24 percent are Hispanic, 14 percent are African American and 4 percent are Asian.

“It’s really shocking how few retailers are reaching this generation,” Nolen said. “They are leaving a lot of opportunity for entrepreneurs to market to them.”

She said the millennials were less interested in buying “stuff” like beauty products and were more focused on the more “shareworthy experience” of dining out with friends and attending concerts. She said teens in the demographic also prefer to shop online and often with retailers that have local stores to make the return and exchange process easier.

“This generation also puts a lot of value on customer reviews,” Nolen said. “And 36 percent will play more video games than they did in 2015.”

According to the data, Nolen said that generation Z was least likely to believe in the concept of the American dream.

“Instead, they’re looking for products and messaging that reflect reality, not perfection,” she said.

Nolen said generation X makes up 25 percent of the U.S. population, or some 60 million people. The demographic has more spending power and income — and they’re happier.

“Sixty-seven percent say they are satisfied or very satisfied with their lives,” she said, “but they are concerned with climate change, savings for retirement and cost of living increases.”

She said the baby boomer and senior demographics were driving an interesting boom of sorts in home remodeling.

“Boomers want to be able to age in place,” Nolen said. “They want to stay in their communities, so the business of remodeling is really huge right now to make aging-friendly accessible retrofits to those homes.”

She said in 2014 there were almost 4 million babies born — a number on the edge of another boom.

Nolen said regarding specific trends for industries, wind and solar power continue to be hot, as do trends for technology issues like voice over IP, online auctions as well as environmental consulting and biotech jobs.

On the retail side, spending on pets and activewear clothing were trending upward, as was craft beer and ice cream.

“The big thing now is the gourmet ice cream sandwich, using waffles, donuts, Pop Tarts and cinnamon rolls,” Nolen said. “I expect to see that up here by this summer.”

She said the craft beer market continues to grow as well — both nationally and statewide.

“Profits there have doubled in the last five years and it is expected to be a $36 billion business by 2019,” Nolen said of the national outlook. “Craft brewers are also active in the farm-to-table movement by looking for locally-grown ingredients.”

Contact reporter Steven Merritt at 352-2269 or steven.merritt@frontiersman.com