Gearing up for the grey has become the latest trend in the business world. Businesses are adapting to serve the needs of the elderly; from healthcare and home care services to housing and technology, the possibilities are endless.
As the population ages, entrepreneurs are stepping up to provide valuable and necessary solutions. With baby boomers reaching retirement age, it is important to consider the growth potential in this market, and how businesses can help to improve the quality of life for seniors.
Thailand is one of the fastest-ageing societies in the world with more than 12 million elderly people amid a decrease in the population across the country. The Thailand government seeks to address the challenge of its ageing population so as to sustain its social welfare schemes and healthcare. However, the elderly population also presents business opportunities, particularly for assistive and medical devices in the growing market of home care devices for the elderly, which was valued at around THB8bn ($250m) in 2021, as well as for age-friendly housing, food and nutritional support and age-friendly lifestyle and health and wellness services. Analysts also expect more opportunity for the elderly care business as growing trends point towards living alone, low-interest rates, high purchasing power among healthy seniors and foreign seniors being target customers for upmarket nursing homes.
Did you know that by 2050, one in six people in the world will be over the age of 65? That’s a huge increase from one in 11 in 2019. This demographic shift is creating new challenges and opportunities for businesses across various sectors. In this article, we will explore some of the emerging trends and opportunities that are driven by an aging population.
Health and Wellness
One of the most obvious sectors that will benefit from an aging population is health and wellness. As people live longer and seek to maintain their quality of life, they will demand more products and services that can help them stay healthy and active. For example, some of the areas that are expected to grow include:
- Telemedicine: With the advancement of technology and the need for social distancing, telemedicine has become a convenient and cost-effective way for seniors to access health care services remotely. According to a report by Grand View Research, the global telemedicine market size was valued at USD 55.9 billion in 2020 and is expected to grow at a compound annual growth rate (CAGR) of 22.4% from 2021 to 2028.
- Wearable devices: Wearable devices such as smartwatches, fitness trackers, and health monitors can help seniors track their vital signs, activity levels, and sleep patterns. These devices can also alert caregivers or emergency services in case of falls or other emergencies. According to a report by Allied Market Research, the global wearable medical devices market size was valued at USD 13.2 billion in 2019 and is projected to reach USD 104.9 billion by 2027, registering a CAGR of 28.4% from 2020 to 2027.
- Home care: Home care is another service that can help seniors live independently and comfortably in their own homes. Home care can include personal care, household chores, medication management, companionship, and transportation. According to a report by IBISWorld, the home care providers industry in the US generated revenue of USD 103.3 billion in 2020 and is expected to grow at an annualized rate of 3.4% from 2021 to 2026.
Travel and Leisure
Another sector that will see a surge in demand from an aging population is travel and leisure. As seniors retire and have more disposable income and free time, they will seek to explore new destinations and experiences. For example, some of the trends and opportunities that are emerging include:
- Senior-friendly travel: Senior-friendly travel is a niche market that caters to the specific needs and preferences of older travelers. This can include offering accessible facilities, customized itineraries, flexible schedules, special discounts, and multigenerational trips. According to a report by Statista, the global senior travel market size was estimated at USD 58.5 billion in 2018 and is projected to reach USD 69.4 billion by 2025.
- Wellness tourism: Wellness tourism is another niche market that focuses on enhancing the physical, mental, and spiritual well-being of travelers. This can include offering activities such as yoga, meditation, spa treatments, nature walks, and healthy cuisine. According to a report by Global Wellness Institute, the global wellness tourism market size was valued at USD 639 billion in 2017 and is expected to grow at a CAGR of 7.5% from 2018 to 2022.
- Adventure tourism: Adventure tourism is a type of travel that involves exploring new places and engaging in exciting activities such as hiking, biking, kayaking, skiing, or zip-lining. Adventure tourism can appeal to seniors who are looking for fun and challenge in their retirement years. According to a report by Technavio, the global adventure tourism market size was valued at USD 586.3 billion in 2018 and is expected to grow at a CAGR of 13.3% from 2019 to 2023.
Education and Lifelong Learning
A third sector that will benefit from an aging population is education and lifelong learning. As seniors seek to keep their minds sharp and learn new skills or hobbies, they will enroll in various courses and programs that can enrich their lives. For example, some of the areas that are expected to grow include:
- Online education: Online education is a convenient and flexible way for seniors to access learning opportunities from anywhere and at any time. Online education can include courses on topics such as languages, arts, history, or technology. According to a report by Research and Markets, the global online education market size was valued at USD 187.877 billion in 2019.
