The five things you need to know about 2007

I'm especially interested in the changes that will happen in 2007. That's because businesses are about to acknowledge that all the technological invention and human development of the past 10 years must be implemented—or those business leaders will have to go off and sulk about their lost customers and profits.

It's an era with opportunities that go well beyond controlling innovations, inventions, operations, and technologies. Podcasts, RSS, and Bluetooth-enabled everything will evolve to actually become profit centers themselves, rather than just must-have additions.

Businesses will have to find new ways to make money as the consumer becomes older, more able to gather and interpret information instantly, and more mindful of health-and-wellness issues. For a reality check, it's important to note that these days 330 people turn 60 each hour, according to the U.S. Census Bureau.

I see five critical issues and trends that will create colossal opportunities for commerce in 2007:

1. The first baby boomers turn 65 in 2010. What does "boomer retirement" mean for your products, your customers, and your labor force? You'd better have a clue, or a huge and unpleasant surprise is about to have an effect on your bottom line. As people move into the next phase of life, with a reduced reliance on Social Security and dwindling returns on their investments and housing, a new active semi-retired population, 78 million strong, is about to change the dynamics of the way American businesses operate. These boomers also spend $2 trillion a year. Paying attention now?

We need to divide the boomer population into two separate groups: older boomers, born between 1946 and 1955, and younger boomers, born between 1956 and 1964. While both groups are nearly the same size and have almost the same household income, each has its own substantially different needs.

Younger boomers are responsible for other family members still at home, for example, while older boomers are focused on caring for themselves and are beginning to worry about their financial future.

Older boomers, who begin to reach retirement age in just three short years, will have little choice but to continue working. Those who predicted windfall inheritances from boomers' parents never took into account their longer lifespan, in addition to the parents' more active lifestyles and financial needs. Thus, those 65-year-olds counting on their parents' dollars to bail them out will find themselves having to look elsewhere. That may well mean a new part-time (or, for some, full-time) career at Wal-Mart or another retailer, not in a minimum-wage keep-me-busy type of job such as a greeter, but rather in a management position that offers benefits, including health care.

The potential dividend is that more responsible, more seasoned workers could change the face of brick-and-mortar retail.

2. The consumer becomes the commander. Hand-held devices and RFID technologies are creating a more information-enabled consumer, one that's the commander of the shopping experience. With a touch of a button, shoppers can compare features and prices, as well as access the latest research and consumer blogs, and then purchase the product.

How will you compete in this new environment? Shoppers who focus solely on brand name and price will thwart your efforts to build a relationship with a compelling retail environment. Your staff's skills need to evolve beyond what the customer has access to. Your store employees need to become brilliant listeners and communicators. The only alternative is to always offer the lowest price. The new equation for "value" must take into account the ever-changing combination of four elements: price, quality, service, and relationship.

3. America gets a failing grade on health and wellness. Wellness issues will have a dramatic effect on your business. With a population across all ages and races that continues to increase its waistline, its cancer rates, and its incidence of heart disease and diabetes, the wellness and longevity of your relationship with your customer and employees are at risk. What are you doing to help solve America's No. 1 impending crisis?

Again, we need to divide and conquer the boomer challenge. The older boomers are dieting for health, while the younger boomers are still dieting for appearance's sake.

Older boomers are being forced to change the way they eat, exercise, and work. And as they seek solutions, opportunities abound for those retailers, products, brands, restaurants, vacations, and everyday fitness experiences that meet their needs.

4. Advertising to the masses is over. More age diversity, ethnic diversity, economic diversity, and media choices are spreading marketing and advertising dollars too thin to be effective. How are you competing and communicating in this digital, 24/7 downloadable, and on-demand frontier?

Thanks to new online social networks such as MySpace, a new Forrester Research assessment of consumer technology adoption reports that GenY spends 12.2 hours online each week, 28 percent longer than GenX and nearly twice as long as boomers.

The Forrester report shows that GenY members are 73 percent more likely to research online what they want to buy, and then actually make their purchases in the store. This is testament to the value of savvy, up-to-date Web sites that attract these young consumers.

5. America the green. More consumers are buying organic foods, hybrid cars, and even cleaning fluids that are environmentally safe. Retailers like Wal-Mart and Target are promoting organics, while many new stores rely on windmills for power, and consumers are shifting their investment dollars and purchases to those retailers and companies that are environmentally responsible. Are you green, or about to wilt?

2007 will be an important year—are you prepared?