Population Trends Continue to Drive Aged Care Franchise Profitability
Individuals born between 1946 and 1964, referred to as the “Baby Boomer” generation, are reshaping America’s aging population in ways that bode well for aged care franchise profitability. In fact, the current growth of the senior population is unprecedented in U.S. history.
Today’s post outlines several population trends that bode well for aged care franchise profitability in 2019.
- America’s senior population will nearly double over the next four decades. According to the Population Reference Bureau report, “Aging in the United States,” the number of Americans aged 65 and older will grow from roughly 52 million in 2018 to more than 95 million in 2060.
- American’s senior population is becoming more racially and ethnically diverse. Between 2018 and 2060, the percentage of non-Hispanic white seniors is projected to drop from 77% to 55%, according to U.S. Census Bureau research.As America’s senior population becomes more diverse, the need for customizable care options becomes grows. Aged care franchises that offer a range of care services that can be tailored to cultural preferences will enjoy distinct competitive advantages.
- Aging in place is now more popular than ever. According to AARP research, more than 90% of seniors plan to “age in place” in their comfort of their homes.But in order to maintain this independent lifestyle, many seniors will be relying on the services of aged care franchises to help them overcome the challenges posed by injury, illness, and aging.
- People are living longer than ever before. The average U.S. life expectancy increased from 68 years in 1950 to 78.6 years in 2017, according to the CDC’s “Morality in the United States, 2017” report. This is due to a number of factors, including advanced nutritional knowledge and medical science.
- More older adults are financially sound than ever before. The poverty rate for Americans aged 65 or older has declined sharply over the past 50 years, according to the U.S. Census Bureau’s “American Community Survey.” Today, only 9% of seniors fall below the poverty line, compared to more than 30% in 1966.This bodes well for aged care franchise profitability. Not only do more seniors need home care solutions than ever before, but now unprecedented numbers of older adults can actually afford them!
- More older adults are living alone than ever before. Compared with previous generations, the rates of divorced women 65 and older increased from 3% in 1980 to 14% in 2018, according to U.S. Census Bureau research. Older men have experienced similar levels of divorce, up from 4% to 11% during the same period. As divorce rates continue to climb for seniors, many older adults are ending up without a spouse to assist with their care.Likewise, many older adults do not have young family members nearby to provide informal care in the home. This is especially true for families in the rural Midwest, where disproportionate numbers of young adults are moving away from home, but it happens all over America. Many families turn to local aged care franchises in situations like these.
You Can Start An Aged Care Franchise In 2019
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Want to learn more about the Executive Care aged care franchise opportunity? Visit the Steps to Ownership page or call 1-(855)-393-2372 to speak with a representative.