[php]the_title();[/php]
Market Segmentation Data – B2C
| Segment 1 | Segment 2 | |
| Brief Description | Individual Seniors who may be ambulatory or non-ambulatory, with mild confusion, depression, and need for social interaction. | Senior Couples who may be ambulatory or non-ambulatory, with mild confusion, depression, and need for social interaction. |
| Demographics | ||
| Age range | 60+ | 60+ |
| Gender | Male or Female | Male or Female |
| Race | Any | Any |
| Religion | Any | Any |
| Location | San Diego Area | San Diego Area |
| Marital Status | Widow/ widower or unmarried single person | Married |
| Income level | – Median income of households in San Diego is $72,963.- Living on pension or savings for retirement
– Might opt to work part-time to earn additional income. – Some health and long term care insurance policies may cover some of the costs associated with assisted living. – Medicaid, the joint federal and state program pay for the healthcare of older people and those with disabilities who are unable to afford these expenses. |
– Median income of households in San Diego is $72,963.- Living on pension or savings for retirement
– Might opt to work part-time to earn additional income. – Some health and long term care insurance policies may cover some of the costs associated with assisted living. – Medicaid, the joint federal and state program pay for the healthcare of older people and those with disabilities who are unable to afford these expenses. |
| Occupation | Retired or may work part-time | Retired or may work part-time |
| Education level | Any | Any |
| Family Structure | Person living alone; children living in a different location | Couples living alone, children based in a different location |
| Psychographics | ||
| Personality | Financially independent senior citizens, unwilling to live independently or are unable to fully take care of themselves. | Financially independent senior citizens unwilling to live independently or are unable to fully take care of themselves. |
| Values | Elderly people requiring assistance in their daily tasks. Senior citizens looking for a friendly environment, whom do not want to stay alone and aloof. Unable to cope with their younger generation, they are more comfortable with likeminded and same age people. | Elderly people requiring assistance in their daily tasks. Senior citizens looking for a friendly environment, whom do not want to stay alone and aloof. Unable to cope with their younger generation, they are more comfortable with likeminded and same age people. |
| Interests | This may include interest in sports, music, arts and crafts or gardening, membership in clubs or social networks. | This may include interest in sports, music, arts and crafts or gardening, membership in clubs or social networks. |
| Lifestyle | – Various hobbies are a part of daily lifestyle though some do feel loss of interest in their activities.- Feeling of loss of identity.
– Senior citizens need care takers to constantly watch over them due to various reasons which could be poor health, imbalance in walking, etc. – Options like driving or walking alone are not feasible for them. – However, residents with restricted health conditions are not accepted |
– Various hobbies are a part of daily lifestyle though some do feel loss of interest in their activities.- Feeling of loss of identity.
– Senior citizens need care takers to constantly watch over them due to various reasons which could be poor health, imbalance in walking, etc. – Options like driving or walking are not feasible for them. – However, residents with restricted health conditions are not accepted |
| Motivations | – In house care takers to assist in the daily tasks.- Home like environment with caretakers available 24 hours.
– Cost effective when compared to a home healthcare facility. – These facilities are safer for elderly individuals than living alone in non guarded houses. – The other facility members become like a family, often substituting for lack of family relationships. – Housekeeping services are offered at these facilities leading to a safer and easier life. – Assisted living facility gives flexibility to the people to keep their own schedule, which is a challenge with home healthcare nurses. |
– In house care takers to assist in the daily tasks.- Home like environment with caretakers available 24 hours.
– Cost effective when compared to a home healthcare facility. – These facilities are safer for elderly individuals than living alone in non guarded houses. – The other facility members become like a family, often substituting for lack of family relationships. – Housekeeping services are offered at these facilities leading to a safer and easier life. – Assisted living facility gives flexibility to the people to keep their own schedule, which is a challenge with home healthcare nurses. |
| Attitudes towards your company | – Likes more information about the social environment and the quality of care takers in such facilities.- Likes to talk to the care takers before deciding on a facility
– Likes more information on what is included in the basic rate and how much other services will cost. |
– Likes more information about the social environment and the quality of care takers in such facilities.- Likes to talk to the care takers before deciding on a facility
– Likes more information on what is included in the basic rate and how much other services will cost. |
Market Trends & Growth Patterns[1]
The total estimated target market is 272,220 elderly people in San Diego. It has grown by 17.34% from 2000 to 2010. The female population over the age of 70 years account for as much as 58% (157,711) of the total senior population of the region, resulting in being the larger market for the residential care facilities. Senior male individuals form the remaining 42% (114,509) of the target market.
The Non-Hispanic white ethnicity forms more than 70% of the total market segment in San Diego, with the Hispanic community being the second largest contributor followed by Asians and Pacific Islanders. The graph below highlights the population distribution in San Diego based on race and ethnicity:
Even though the non-Hispanic whites are the largest contributors to the target market, they have grown only by 3.54% over the last decade. The Hispanic community and the Asian community has grown by over 61.74% and 105.85% respectively during the same time and seem to be more promising segments in the future.
With the median income of around $72,000 per annum (2009) in San Diego, Vintages pricing at $3,500-$5,000 is competitive. The ideal target market would be in a higher income group. Since the middle income group earns an annual income of around $72,000, this target market could still be price sensitive[2].
At the expected price point, the customers would be looking for a service oriented facility with excellent support from the care takers. Also, a variety of services covered in the base price would make a difference in the decision making process of the target market.
Market Size and Potential
A typical assisted facility would cover of all the meals, housekeeping activities as well as care takers to assist in day to day tasks. Having taken care of all the basic needs, an assisted living facility is more affordable when compared to keeping an in-house nurse or healthcare facility.
San Diego is estimated to have around 272,220 residents over the age of 70 years in 2009 — 2010 spread across the region. The current market size has grown over at 17.34% over a period of 10 years from 2000 to 2010. The future though definitely looks more attractive with the estimated growth of 157% till 2050. The graph below highlights the expected population of residents who are over 70 years of age in the San Diego region:
The non-Hispanic market will remain the main contributor with the expected growth of 101% over a period of four decades while the Hispanic market is estimated to grow at only 40%.
Currently Caucasians are the major contributors to the assisted living facility market in San Diego while in 2050, Asian and Pacific Islanders are expected to grow the most. The contribution of Caucasians in absolute number would however, will still remain the highest.
[1] https://profilewarehouse.sandag.org
[2] https://profilewarehouse.sandag.org