Correspondence: Joseph F. Coughlin, Massachusetts Institute of Technology AgeLab, 77 Massachusetts Avenue, E40-279, Cambridge, MA 02139, USA. E-mail: coughlin@mit.edu

¹is Director of the Massachusetts Institute of Technology AgeLab (web.mit.edu/agelab). His research and teaching at MIT seeks to understand how demographic trends, consumer behaviour and technology converge to drive future innovations in business and government. He consults to financial services, consumer products, retailers, IT and health firms worldwide.

²is a Research Scientist at the MIT AgeLab. Her research addresses the social aspects of aging, including questions about what an aging population will need to enhance and improve their quality of life and to enable older adults to live independently longer. Before coming to the MIT AgeLab, she was a research analyst at the Volpe National Transportation Systems Center, USDOT. Dr D'Ambrosio earned her PhD from the University of Michigan, Ann Arbor, and her AB from Brown University.

Received 7 March 2009; Revised 7 March 2009.

Abstract

Myths are tales that combine fact and fiction. Commonly shared business myths help provide the foundation for underlying beliefs about what is important, what matters to the customer, and explain or justify business practices. While myths can be a means to structure information and knowledge, they can also be barrier to innovation in a changing market. The changing demographics in all industrialised markets and the coming retirement of the baby boom generation pose challenges to seven commonly accepted myths among financial planners about who customers are, what they want and the most effective ways to deliver service value. This paper examines these widely held 'industry beliefs' and suggests strategies that product developers and planners might consider to improve practice management and to grow new business in an ageing marketplace.