Startups need to get ready for the flourishing baby boomer market

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The world is aging at an unprecedented rate.

By 2020, the aging market in Asia Pacific is projected to boom to a staggering US$3.3 trillion. Annual healthcare spending for the elderly may reach US$2.5 billion in 2030—five times the cost in 2015.

Quoting from the third Asia Pacific Silver Economy Business Opportunities Report: “The biggest economic opportunity would be the middle-income and high net worth market segment […],” i.e. the baby boomers. These are the folks in their 50s, 60s and 70s, who could be nearing retirement or semi-retirement and experiencing empty nests.

While the clarion call by the Asia Pacific Risk Center sounds dire, entrepreneurs should seize the opportunities available with the upcoming silver boom.

Unfortunately, few businesses are prepared to surf the upcoming silver tsunami.

Seniors as the fastest growing tech and social media users

Beyond their demographic swell, seniors are also the fastest growing group to embrace the internet.

In Singapore, the IDA’s annual survey showed that the highest increase in internet users in the last three years came from senior citizens aged 50 and above. Just look around Singapore and you’ll see grandparents and their grand kids playing with their smartphones.

Likewise, in America, people who are 65 years old and above are the ones driving growth on social media. Labeled ‘Instagrans,’ the percentage of this age group, who say they are active on social networks, has grown from 15 percent to 23 percent.

As young generations plateau in their use of social media, the opportunities for growth can only come from the Gen X, boomer generations, and older.

Well-defined: Assistive living, healthcare, and nursing homes

While the demand for senior-focused products and services is there, experts in the geriatric and aging fields have projected that the increases in market growth come primarily from healthcare and mobility-related products and services.

In a survey of 108 leaders in APAC, participants forecast that the following products and services would appeal to the ballooning baby boomer market:

• Elderly housing: from an integrated retirement home with recreational, wellness, and medical programs to luxury resort-style living. A great example here could be found in Home Farm, a retirement village built on eco-friendly and sustainable principles.
• Wellness and healthcare programs, products, and services to support active aging and aging in place
• Home care and geriatric care services
• Robotics and assistive daily living technologies to support aging in place.

In line with the clarion call above from aging experts, a whole army of modern aging startups have blazed forth with both guns firing. They include machines that dispense pills (instead of espresso), camera-triggered sensors that detect falling seniors, and even robot fitness coaches that can guide seniors in exercising.

Not-so-well-defined: Design for aging consumers

Unmet silver needs = Golden opportunities

Silver can be sensational

More seniors needed in tech