4 Surprising Facts About Senior Care Industry Revenue in 2018
Today’s post shares 4 statistics that promise record-setting senior care industry revenue in 2018 and beyond!
#1) Compound annual growth rates underscore the value of our opportunity.
The compound annual growth rate (CAGR) is a useful metric for determining senior care industry revenue in 2018. The CAGR is a pro forma number that explains what an investment returns on an annually compounded basis. Importantly, readers should know that the CAGR is a “smoothed” figure that does not adequately convey the investment’s volatility. But it is nonetheless quite helpful for tracking the multiyear performance of investments in senior care.
So what does the CAGR have to say about senior care industry revenue?
A recent report predicted that the elder care market would grow from $319.8 billion in 2013 to $436.6 billion by 2018, which represents a CAGR of 6.4%.
Furthermore, the home health care sector is predicted to grow to $300-billion by 2020, nearly doubling in size from its 2014 valuation.
These numbers are extremely promising, especially when you consider that the “Baby Boom” of aging hasn’t really hit home quite yet. Senior care industry revenues are rolling in strong in 2018, but the future looks even brighter.
#2) The “2030 Problem” promises double-demand for your home care service.
By the year 2030, America’s senior population will have doubled in size. This unprecedented growth trend has been referred to by the Journal of Nursing Education as the “2030 problem,” and its social and public policy implications are enormous (Market et al., 2004, p. 81).
The 2030 problem isn’t news; in fact, if you’re studying up on senior care industry revenue in 2018, you’ve probably heard it referenced ad nauseam. For decades now, scholarly institutions and health care theorists have warned about the forthcoming surge in demand for services, and called for a renewed emphasis on research, education, and practice to meet it.
But while health care organizers see the 2030 problem as a major challenge to overcome in terms of staffing, funding, and resource management, Executive Care owners see it as a once-in-a-lifetime opportunity. After all, the 2030 “problem” boils down to the literal doubling of our target market. Senior care industry revenue reports for 2018 are already right on track with these projections.
#3) 90% of Baby Boomers are looking for businesses like ours.
In one study, more than 90% of American seniors indicated that they’d prefer the home care model, which promotes independence and dignity while allowing the individual to “age in place.”
With 75+ million seniors aging past 65 over the next few years, and more than 90% of them seeking home care, prospects are good for record-setting senior care industry revenue.
#4) Low entry barriers make senior care industry revenue opportunities more accessible than ever.
Did you know you can get started with one of the top brands in elder care for less than $100,000?
This isn’t a new statistic – in fact, franchisees have been buying their way into our proven model for years – but it’s definitely worth mentioning in a discussion of senior care industry revenue in 2018. After all, profitability is much easier to attain when your start-up costs are controlled.
And speaking of low barriers to entry, our opportunity doesn’t require any previous experience in management, sales, or health care.
You can view an itemized breakdown of our start-up costs at http://executivehomecarefranchise.com/our-opportunity/investment.
Marek, K. D., Rantz, M. J., & Porter, R. T. (2004). Senior care: making a difference in long-term care of older adults. Journal of Nursing Education, 43(2), 81-83.