New con­sum­ing class: Teenagers over 60 years

Med­i­cal And Life­style Mkt of ‘Se­nagers’ Pegged At 43k Cr

The Times of India (New Delhi edition) - - Times Global - Nam­rata.Singh

Mum­bai: ‘Se­nagers’ — 60plus se­niors, who in a lot of ways be­have like teenagers — are a grow­ing con­sum­ing class in In­dia. Af­ter a good ca­reer run of a few decades, to­day’s ur­ban-cen­tric se­nagers have a dis­pos­able in­come and are spend­ing, be it on life­style prod­ucts, eat­ing out or in­vest­ing in fi­nan­cial prod­ucts.

ACII study on se­nior con­sumers has pegged the mar­ket for their med­i­cal needs and life­style prod­ucts at Rs 43,000 crore. But the po­ten­tial mar­ket size driven by se­nior cit­i­zens is as large as Rs 1,00,000 crore (ex­clud­ing cat­e­gories like real es­tate and pharmacy, along with bank­ing, fi­nan­cial ser­vices & in­sur­ance, or BFSI). Of this, only Rs 10,000 crore has been tapped so far.

Ac­cord­ing to the re­port, the 60+ pop­u­la­tion forms 25% of the cu­mu­la­tive as­sets of ex­ist­ing bank­ing de­posits, while the avail­able mar­ket is a whop­ping Rs 1,67,000 crore.

In a clear in­di­ca­tion that se­nagers are be­hav­ing like teenagers, RPG Group-backed Se­nior­ity, a ded­i­cated shop­ping des­ti­na­tion for se­nior cit­i­zens, is clock­ing an or­der a minute (around 1,500 in a day with an av­er­age or­der value at Rs 800-900). Se­nior­ity co-founder Ayush Agrawal said, “It is easy to as­sume that 60-70% of our con­sumers are healthy, apart from a few mi­nor pain points here and there. We have an equal mix of med­i­cal and life­style prod­ucts, but 80% of our sales come from the life­style prod­ucts tar­geted at se­nior cit­i­zens.” The In­dian Ho­tels Com­pany, which an­a­lysed data on se­nior cit­i­zen travellers from 2014 on­wards, found that rev­enue from this seg­ment of guests has been grow­ing at 14% year-on-year.

Vi­viana Malls CEO (malls) Manoj Agar­wal said there is a sig­nif­i­cant pres­ence of se­nior cit­i­zens on both week­days and week­ends at their Thane mall. “We do find that some amount of im­pulse shop­ping hap­pens. Though, in our ex­pe­ri­ence, it is more for their chil­dren and grand­chil­dren rather than them­selves,” he added. Vi­viana Mall has in­tro­duced a lounge ex­clu­sively for se­nior cit­i­zens and it also has a golf cart pick-up and drop ser­vice in base­ment park­ing for ease of move­ment from where car is parked to lift/es­ca­la­tor lob­bies. ven­tive cor­rec­tive ac­tion (PCA), an or­der that lim­its the bank’s op­er­a­tions sub­stan­tially. The de­vel­op­ments have put a ques­tion markon­merger,thoughthe­merged en­tity should be out of PCA on a con­sol­i­dated ba­sis. Ru­mours about In­di­a­b­ulls’s sub­stan­tial ex­po­sure to Anil Am­bani’s Reliance Group as well as to DLF also weighed on the stock price.

In the call, the In­di­a­b­ulls man­age­ment said that it had no ex­po­sure to the Reliance Group and its loan of Rs 38 crore to DLF was re­paid last week.

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