Seizing growth opportunities in Elderly healthcare market

The elder care market in India offers a substantial opportunity for expansion, as the sector is anticipated to reach over US$18B by FY29 at a strong CAGR of almost 10%. The senior population, which is expected to more than double from ~160M in CY24 to ~350M by CY50, is the main driver of this expansion. There is an increasing need for specialist elder care services as the median age approaches levels found in industrialized countries like the USA and Japan, and the proportion of seniors in the overall population increases from ~11% in CY24 to ~21% by CY50. These developments underscore the urgent need for creative, scalable, and long-lasting solutions to meet the changing healthcare, lifestyle, and support needs of this population, making elder care a crucial and exciting field.

India's growing senior population presents vast opportunities in elder care. For active early seniors, there’s potential to offer wellness programs, recreational services, and financial planning tools to support their independence. Middle seniors, managing chronic conditions and mobility challenges, create demand for accessible healthcare, fitness solutions, and safety innovations. For advanced seniors, opportunities lie in long-term care services, home healthcare, and caregiver support.

Exhibit 3 represents the multi-faceted challenges faced by the elderly in India, encompassing health, social, economic, and digital aspects. It highlights gaps in comprehensive care, limited financial security, social isolation, and inadequate digital access, emphasizing the urgent need for integrated solutions to ensure well being and inclusion for the aging population.


Investment landscape in elder care services market

Growing financial support is driving an explosion of prospects in India's elder care industry. While government spending on senior citizen welfare nearly doubled from US$ 5M in FY18 to US$ 9M in FY22, private investment in elder care enterprises reached US$ 24M in 2023, demonstrating growing investor confidence. Spending on elder welfare through Corporate Social Responsibility (CSR) has also been rising significantly, providing more opportunities for meaningful projects. Elder care is positioned as a vibrant and high-impact growth industry due to this thriving funding ecosystem, which highlights the opportunity for creative solutions and services that address the many requirements of India's aging population. Exhibit 4 gives us a glimpse into government and private sector investments in India.


Recent major fundings in elder care sector

India's elder care industry is growing significantly, as evidenced by rising investments and growing market potential. In recent years, funding activity has increased significantly, with large cash inflows intended to improve infrastructure, scale operations, and broaden geographic reach. This indicates that investors are becoming more optimistic about the sector's long-term prospects. The steady stream of funds emphasizes how much room there is for innovation and advancement in elder care, making it a viable path for both financial gain and social impact. There are numerous chances for stakeholders to profit from this rising demand as the market develops.