HOW CHINA WILL AGE

JUNE 2016

2030

PERCENT OF ELDERLY(PERSONS OVERTHE AGE OF 65)

2015 2020 2050

TODAY THERE ARE NEARLY 200 MILLION ELDERLY PEOPLE (65+)THE NUMBER AND IMPORTANCE OF THIS POPULATION WILL KEEP INCREASING IN CHINESE POPULATION DISTRIBUTION

0

5

10

15

20

25

1 CHILD TAKES CARE OF HIS 2 PARENTS

WHO LOOK AFTER 4 GRAND-PARENTS

TODAY THERE ARE NEARLY 200 MILLION ELDERLY PEOPLE (65+)THE NUMBER AND IMPORTANCE OF THIS POPULATION WILL KEEP INCREASING IN CHINESE POPULATION DISTRIBUTION

THE ONE-CHILD POLICY AND THE 4-2-1 SYSTEMChinese culture and Confucius principle made younger

generation taking care of their parents and seniors the norm

LOWEST RETIREMENT AGE IN THE WORLD1st

China has the lowest retirement age in the world, at 55 years old

Forcast by the US Census Bureau

RATIO OF WORKERS TO RETIRED PEOPLE

*

*

2015

2:1 12:1 6:1 2050

Among 200 million of elderly citizens in China less than 2.1 million are being cared for in nursing homes (1%)

Predicted growth: 99 billion RMB today 326 billion RMB in 2050.

Healthcare monitoringSta� availability

Outdoor elderly care

3.4 million more hospital and nursing home beds

between 2015-2020

RATIO OF WORKERS TO RETIRED PEOPLE

LIFE EXPECTANCY SURGE

EXPANSION1985 2000 2015

66 72 77

GOVERNMENT INCENTIVESNURSING HOMES GROWTH SECTORS

Predicted growth: 99 billion RMB today 326 billion RMB in 2050.

Healthcare monitoringSta� availability

Outdoor elderly care

3.4 million more hospital and nursing home beds

between 2015-2020

EXPANSION

In China half of China’s elderly income comes from family, far more than in Western countries

FAMILY

A quarter of their income comes from the state, in contrast to the USA where over 40 percent of the elderly comes from social security.

Average State Pension: 1,600 RMB

A quarter of the annual income of Chinese comes from savings based resources, in contrast to the USA where 19 percent comes from personal savings, annuities and employee pensions

PERSONAL SAVINGS

INCOME SOURCES OF CHINA’S ELDERLY

50%

25%

25% STATE PENSIONS

ONE HOUSE

TWO HOUSES

NO HOUSES THREE OR MORE HOUSES

15% ARE LIVING WITH THEIR YOUNGER GENERATION AND DO NOT OWN ANY HOUSE

AVERAGE NUMBER OF HOUSES

78%

6%15%1%

A quarter of the annual income of Chinese comes from savings based resources, in contrast to the USA where 19 percent comes from personal savings, annuities and employee pensions

ONE HOUSE

CONSUMPTIONOF THE ELDERLY

15% ARE LIVING WITH THEIR YOUNGER GENERATION AND DO NOT OWN ANY HOUSE

Total Value of the elderly market was estimated at RMB in 2015.

Chinese elderly consume for about 10,000 RMB a year on average

4,000,000,000,000 RMB

10,000 RMB/YEAR

MARKET OVERVIEW

China is the world’s third largest market for medicine. Sales in 2014 were $94 billion (up 14% year on year) in 2014.

40% of Chinese retirees are willing and able to go on holiday.

There are 60,000 elderly education institutions and 7 million senior students nationwide.

10,000 RMB/YEAR

KEY MARKETS

HEALTHCARE

TOURISM

CULTURE

Over a third of 50-59 year old internet users in China identify themselves as being frequent technology users and this rises to 41% for the 60+ (compared to Asia-Pacific averages of 19% and 5%)

DIGITAL

INFOGRAPHIC PROVIDED BY DAXUE CONSULTINGSOME SOURCES ALSO COME FROM INTERNAL RESEARCH

SOURCES AND CREDITS