1 / 18

Agenda

Elderly People – Growth With A Promising Client Segment ? Dr. Daniel Lang Eureko Academy November 30, 2007. Agenda. 1. Setting the scene. 2. Workshop questions. 3. Wrap-Up. Growing with the market is still a promissing approach – but only in selected country markets.

bell-webb
Download Presentation

Agenda

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Elderly People –Growth With A PromisingClient Segment ?Dr. Daniel LangEureko AcademyNovember 30, 2007

  2. Agenda 1. Setting the scene 2. Workshop questions 3. Wrap-Up

  3. Growing with the market is still a promissing approach – but only in selected country markets Growth in life premium income in 2006 Source: CEA (2007). The European Life Insurance Market.

  4. Europe (Population, in mio.) 60+ yrs 25 to 59 yrs 0 to 24 yrs 1950 2000 2050 (Year) Source: United Nations Secretariat, World Population Prospects: The 2006 Revision. Stagnating and decreasing population The Netherlands (Population, in mio.) 60+ yrs 25 to 59 yrs 0 to 24 yrs 1950 2000 2050 (Year)

  5. (Population change, 5 year periods) Europe 60+ yrs 25 to 59 yrs 0 to 24 yrs 2000 2050 (Year) Strong increase in the number of elderly people (Population change, 5 year periods) The Netherlands 60+ yrs 25 to 59 yrs 0 to 24 yrs 2000 2050 (Year) Source: United Nations Secretariat, World Population Prospects: The 2006 Revision.

  6. Elderly people are wealthier than any other age segment Financial wealth by age and cohort in The Netherlands (mean) (Financial wealth in local currency) (Age) Source: Aissie, Rob and Kapteyn, Arie (1999). Wealth and savings: Data and Trends in the Netherlands. Research Memorandum Nr. 46.

  7. Elderly people live longer than ever before 1920-1929 4x10-J.-Cohorts 1930 bis 1969 1970-1976 (Netherland -1973) Development of mortality rates The Netherland Russia Japan Death rates per 1000 Age Age Age Quelle: http://www.mortality.org/

  8. Elderly people – a diverse age segment in transition

  9. The Life Cycle Model suggests specific needs in later life Currency Age Source: Robert, Alain (2002). Implementing the value proposition: the acquisition & advisory process. UBS Strategy Seminar, 16 January 2002.

  10. Preliminary conclusions • Companies in mature markets need very specific growth strategies. • In theory, growth strategies based on the age segment „elderly people“ seems to be a suitable approach: • The number of people in the age of 60plus is strongly increasing over the next two decades. • Elderly people are wealthier than any other age segment. • People at the age of 60plus are healthier than ever before. • However, a conclusive definition of the segment is difficult to find: • Segment definition by age is easy to administer but somewhat superficial. • The Life Cycle Model suggets general needs in later life but does not link the needs with specific requirements, probabilities or specific ages. • The age segment presents itself as diverse and in transition.

  11. Agenda 1. Setting the scene 2. Workshop questions 3. Wrap-Up

  12. Workshop questions #1 Needs of the elderly people #2 Elderly people & market structure #3 Elderly people & business strategy #4 Elderly people & regulations

  13. #1 Needs of the elderly people What type of new and growth relevant requirements from the elderly people do you expect? According to your experience, in which areas differ the needs of the elderly compared to the young people?

  14. #2 Elderly people & market structure • According to your point of view, how will the pension market evolve in the light of an ageing population? • Do you expect: • revolutionary changes (e.g. market structure, distribution or regulation) • Changes affect the whole market • A sparate „retirement market“ arises with different products distributors and providers • incremental changes (e.g. value proposition, pricing, communication policy)

  15. Responses in the financial services market Postbank is reacting to the demographic change in society putting senior citizens in the focus. In order to benefit from the experience of this important and especially loyal customer group, Postbank founded a 60plus Customer Council in March 2006. The 21 Postbank customers aged between 60 and 75 are to test Postbank products and services in detail and give suggestions for improvement.

  16. #3 Elderly people & business strategy • (a) Given the needs of the elderly people, what are crucial consequences for financial service providers in general? Do you expect that the role of pension service providers will fundamentally change? • (b) What are critical success factors for Eureko? How can Eureko prepare itself for the steady growth of the elderly sector? • (Corporate Strategy, Human Ressources, Communication, Value Proposition / Branding, Product, Distribution or Asset Management)

  17. #4 Elderly people & regulations What are the consequences for pension system planers?

  18. Agenda 1. Setting the scene 2. Workshop questions 3. Wrap-Up

More Related