By 2020, Asia Pacific’s ageing market is projected to reach US$3.3 trillion, according to the 3rd Asia Pacific Silver Economy Business Opportunities Report launched during the opening of the 6th Ageing Asia Innovation Forum, Singapore in 2015. Aimed to provide market observations of Asia Pacific’s silver economy, the Report uses household savings forecast for 2020 and the total market potential for the region’s ageing population for the projection. The Report also sees Singapore emerged first in the Ageing Asia Silver Economy Index. Hong Kong SAR and Australia are in the second and third placing respectively.
The Ageing Asia Silver Economy Index (the Index) – a ranking of countries in Asia Pacific by market potential for the ageing population, focuses on the capacity to spend of each country’s ageing population or supported by their children. Household savings and GDP per capita are one of the key factors used to derive the Index. 15 regional countries have been selected to be part of the analysis on the region’s silver economy business opportunities – Australia, China, Hong Kong SAR, India, Indonesia, Japan, Republic of Korea, Malaysia, Myanmar, New Zealand, Philippines, Singapore, Taiwan, Thailand and Vietnam.
Singapore continues to have one of the high savings rates in the region, of approximately 60% of the GDP. It has the highest household savings per capita in the region, and has the 2nd highest GDP per capita in the region. Being one of the top three countries with the longest life expectancy in the region, after Japan and Hong Kong, Singapore is also one of the countries with the longest healthy life expectancy at 73 years. The early prevention and detection for chronic diseases programmes initiated by the government bodies have cultivated in an active and health conscious elderly population.
A market survey was also done with 108 industry leaders from the region to explore the outlook of the ageing market. 52% have indicated that the ageing market economy boom is expected to occur from 2020 – 2025. The biggest economic opportunity would be the middle-income and high net worth market segment, i.e. the baby boomers markets.
The survey also projected the following products and services that would appeal to baby boomers market:
• Elderly housing – from an integrated retirement home with recreational, wellness and medical programmes to luxury resort style living
• Wellness and healthcare programmes, products and services to support active ageing and ageing-in-place
• Home care and geriatric care services
• Robotics and assistive daily living technologies to support ageing-in-place
“By 2020, Asia Pacific will be more ‘Ageing Aware’, where there will be more display of empathy and understanding towards major challenges of ageing, such as mobility issues and the onset of dementia. This will enable ageing-in-place as the community becomes friendlier to the needs of older adults”, says Ms Janice Chia, Founder and Managing Director, Ageing Asia Pte Ltd, Singapore. “The corporate sector would start to incorporate ageing demographics as one of the key considerations for their business strategies, especially in the development of new products and service offerings across all industries, thus ensuring all forms of support are integrated for the ageing population”.
