What Market Studies Are Teaching Us

Through the many high-quality market studies that JMAI produces each year, we learn a great deal about individual markets.  But, every once in a while, we like to step back and take a broader view because, taken together, the market studies also teach us a great deal about trends in the older adult housing and care field.  Here’s a sample of what we’ve learned lately.
 
Community Based Services are not only allowing CCRC’s to expand their mission to those older adults who cannot afford (or may not want) to live in a retirement community, but also providing a substantial new revenue stream.  The sky’s the limit when it comes to the kinds of services being offered to older adults in their homes as well as on campus.  Yes, the typical services, such as home health care, adult day care and therapies are still staples.  But some new products are also hitting the market:  Wellness Memberships, gourmet (or diet-to-go) home delivered meals, in-home catering, college-level classes, a day of health and beauty, and telemedicine, just to name a few.  And many CCRC’s are targeting older adults who live in Active Adult Communities or NORCs where there are few services and amenities available.  To meet this demand, JMAI now conducts specialized market studies to determine the need for community based services.

Continuum of Care has been a phrase that CCRCs proudly announce in their marketing materials.  Historically, Continuum of Care has meant that residents will move from independent living to assisted living and then to skilled nursing.  But, as they say in Porgy and Bess, “It ain’t necessarily so…” anymore.  The Silent Generation is sending a loud and clear message that they view the nursing home as a short-term care option, either for recuperating after a hospital stay, or for receiving intense care should they become very, very ill.  CCRC’s are responding to this message by offering a variety of aging-in-place options in independent living and in residentially based assisted living. And those CCRCs that have been dependent on a turnover of entry fees for financial viability are taking a close look at that structure for future financial planning.

Destination CCRCs are attracting a younger, healthier population, particularly if they offer large, private cottages.  Waterfront communities, in particular, are perceived as “bargains” by the Silent Gens.  Where else can you live in a beautiful, customized waterfront residence that includes a great variety of services and amenities for well under $1M?

These are but a few examples of the kinds of trends that Jean will be sharing in a presentation at the PANPHA conference in May.  If you’d like to have a copy of her handout, e-mail us at staff@jeanmoreau.com and ask for a copy of the handout for “Market Study Consultants on the Hot Seat”.

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