Thursday, October 06, 2005

Emerging market - Senior citizens

As India moves away from the joint family model to a nuclear family model, the dynamics of elders in the society is changing. As with any change in dynamics, it presents an interesting business opportunity.

Old age homes for instance. This piece in financial express notes how the old age home has changed from a depressing peeling paint kind of place to swank retirement habitats where elders can lead a good life. That is just the tip of the iceberg.

Recently (and my memory fails me), another well known group had started providing services to elders facing the empty nest (with children in America) syndrome. For a price, they would appoint someone who would do all the chores for the elders. Escort them to a place, drive them around and take care of their daily needs. It is all the more important in the face of recent targetting of empty nests by hooligans.

Like the ageing baby boomers of the US, this generation presents a set of elders who are affluent themselves and have children who are willing to pay for conveniences. The booming middle class is creating wealthy seniors which is a market waiting to be tapped.

2 comments:

Jayesh said...

On the flip side, hope its not too much of a good thing that tempts youth staying in India to 'offload' their parents to such homes. Plus the state of parents whose kids are in the USA also is sad, though they have all amenities they long for their children and the gaggle of their grandchildren to tackle the monotony of old age

Neelakantan said...

Of course. There is nothing that beats the "gaggle of their grandchildren". I see these facilities less as "offloading platforms" and more as investments by professionals today for their comfortable retirement tomorrow.