LPN Wisdom Identifies 4 Service Innovations Addressing the 'Aging Society'

 

LPN Wisdom identifies 4 service innovations in health, living environment, nutrition, and technology as opportunities for entrepreneurs to develop solutions that meet the needs of the elderly. This comes at a time when Thailand is transitioning into an aging society valued at over 100 billion baht per year.

 

Mr. Prabhanasak Raksaiyawan, Managing Director of LPN Wisdom and Solutions Co., Ltd. (LPN Wisdom), a research and product development company under L.P.N. Development Public Company Limited (LPN), stated that Thailand is moving towards an aging society. According to the National Statistical Office, by 2030, the elderly population aged 60 and over will account for at least 21% of the total population, making the development of products and services to meet the needs of the elderly a challenge for entrepreneurs, especially in the service sector, which is crucial for the elderly's quality of life.

 

The Service Development Center (SDC) team at LPN Wisdom conducted a survey and research on the behavior of the elderly in 2020 during the COVID-19 pandemic. They found that elderly consumers (aged 60 and over) living in condominiums managed by LPN Property Management Co., Ltd. (LPP) are a purchasing power group with an income of at least 40,000 baht per month. More than 70% live alone or with one other person in units sized 26-30 square meters. Their service needs have changed, particularly emphasizing 4 main factors: health care, improvement of living environments, nutrition, and increased interest in technology. This direction is essential for service providers managing condominiums and businesses related to the elderly to develop products and services that meet the needs of the elderly in 2021 and beyond.

 

Health: According to data from the Health Promotion Fund (HPF) in 2020, 49% of the elderly have 2-5 chronic diseases. The most common conditions include hypertension, diabetes, cardiovascular diseases, kidney diseases, and cancer. This necessitates ongoing health care for chronic illnesses. LPN Wisdom's survey in 2020 categorized the health levels of the elderly into 3 levels:

 

                • Level 1 (Ages 60-69): This group can live and engage in activities normally but is at risk for future health issues if not prevented.

                • Level 2 (Ages 70-79): This group shows some physical decline or minor health issues but can still help themselves, though they may need assistance or equipment occasionally.

                • Level 3 (Ages 80 and above): This group has health issues that significantly affect daily living, requiring assistance for many activities and often relying on caregivers.

 

These research findings present opportunities for developing services that cater to the health needs of the elderly at different age levels, including elderly care services, transportation for hospital visits, travel services, and assistance with shopping for groceries or cooking ingredients. Additionally, care for elderly individuals in levels 2 and 3 can be provided through nursing homes specifically for the elderly, home health care services, health promotion centers for the elderly, and long-term care facilities in hospitals, which are on the rise.

 

According to a report from the Department of Business Development, Ministry of Commerce, in 2019, Thailand had over 11.13 million elderly individuals aged 60 and above, accounting for 16.73% of the total population of 66.5 million. The market value for products and services for the elderly was 107 billion baht in 2019, with a continuous growth trend of 5-10% per year.

 

Living Environment: The living environment significantly impacts the quality of life for the elderly. The COVID-19 pandemic and PM2.5 dust pollution have heightened concerns among the elderly, affecting their living conditions as they spend more time at home rather than going out to socialize.

LPN Wisdom's survey revealed that 80% of activities the elderly engage in at home include listening to the radio, watching TV, and reading books, with over 35% using social media to stay informed and communicate with family members.

Moreover, the elderly prefer to live in peaceful, green environments, utilizing nature to aid in their physical and mental recovery. This creates opportunities for developing services that improve living spaces to accommodate the various activities of the elderly who primarily reside at home.

Renovation services that the elderly prioritize include the bedroom, bathroom, and kitchen. Services that adapt living spaces to meet the needs of the elderly are essential, such as installing grab bars in frequently used areas, using non-slip flooring, adjusting furniture heights, installing automatic lights with sensors near beds and walkways for easier navigation at night, and providing emergency call systems in bathrooms for timely assistance. Additionally, designing small vegetable gardens in rooms and advising on suitable plants and care methods are also in demand.

 

Nutrition: A survey of elderly behavior in condominiums in 2020 found that 95% of their daily spending is primarily on food, with most preferring to cook at home rather than ordering online. The elderly view food as medicine for health, leading them to prioritize nutrition by cooking for themselves or choosing restaurants that use high-quality ingredients, making this a viable option for them.

 

This presents an opportunity for developing health-focused food businesses that cater to the elderly, who are projected to make up about 1 in 4 of the total population by 2030, according to the National Statistical Office.

 

Technology for the Elderly: LPN Wisdom's survey indicates that about 35% of the elderly use social media to stay informed and communicate with family, with over 80% ordering products online an average of 3 times a month. This reflects the changes occurring in the current era, as the elderly increasingly show interest in gadgets like large-screen smartphones and electronic devices for home use to facilitate their activities.

 

Technology plays a crucial role in enhancing the efficiency of elderly care by family members, such as creating QR codes with personal information for emergencies, allowing helpers to scan and contact relatives. Online doctor consultations, wireless emergency buttons that send messages and videos to relatives via Internet Cloud Servers, and quick assistance through smartphones are all opportunities for developing technology and applications tailored to the elderly's needs, who represent a high purchasing power demographic compared to other age groups.

“Transitioning into an aging society presents opportunities for entrepreneurs to create new businesses that develop products and services tailored to the needs of the elderly, who demand high-quality services compared to other demographics. Additionally, elderly individuals with purchasing power typically have an average income ranging from 100,000 to over 300,000 baht per month, representing about 17.9% of the elderly population. This makes them an attractive target market. Furthermore, Thailand is a retirement destination for foreign elderly individuals with purchasing power. In 2020, there were no fewer than 90,000 foreign elderly residents in Thailand, with an average growth rate of 9% per year and an average income of no less than 100,000 baht per month. The government has also approved a 10-year long-term visa for those with deposits of at least 3 million baht. Therefore, providing services for the elderly is a significant business opportunity for entrepreneurs,” Mr. Prabhanasak stated.