Premium Elder Care Margins

A premium assisted living facility concept that focuses on health improvement and revival rather than just end-of-life care. The business leverages the growing demand for high-quality elder care facilities and the willingness of wealthy families to pay significantly more for better care.

Key Points:

  • Market Opportunity:

    • Current assisted living facilities average $54,000/year
    • 31,000 assisted living facilities in US
    • 80% are for-profit operations
    • 50% of operators clearing 20%+ annual returns
    • Wealthy clients already paying $20-30k per month for premium care
  • Differentiation:

    • Focus on health improvement rather than just maintenance
    • Implement fitness programs similar to Peter Attia's "centenarian decathlon"
    • Goal to improve residents' fitness levels to match those 20 years younger
    • Create environment for "revival" rather than just assistance
  • Target Market:

    • Wealthy families willing to pay 5x current rates for premium care
    • People looking for active improvement in their elderly years
    • Families wanting better options than current facilities
  • Business Model:

    • Premium pricing strategy
    • Focus on health outcomes and improvement
    • Recurring revenue from long-term stays
    • Higher staff-to-resident ratio for better care
15:34 - 17:14
Full video: 59:35
SS

Steph Smith

Steph Smith is the host of the a16z podcast, focused on highlighting the most important trends within technology. Before joining Andreessen Horowitz, Steph led HubSpot's Creator Program, including their growing Podcast Network. She was also a writer for the Hustle.

WebsiteTwitter
Content Creator
Writer