industry & policy
Big
ideas
This will be another year of change in
the aged care sector. For providers,
2017 should also be a year to seize the
opportunities that change brings.
By Kellie Evans
I
n the wake of February 27, 2017, as
Consumer Directed Care finally became
a reality for the in-home care market,
an important stride was taken towards a
consumer-driven aged care system.
This is neither the beginning nor the end
of change in the sector. With the release last
year of the Aged Care Roadmap, it’s clear that
more reform will be needed to achieve “a
sustainable, consumer-led aged care market”.
Reform will take time but providers
should be looking now to ensure they are
ready for more change in the years ahead.
With change comes opportunity. There are
four key opportunities that are too good
for aged care providers to ignore.
1
Build your employer brand to attract
and retain employees.
The number of people aged 65 and over has
more than tripled in the past 50 years. As our
population ages dramatically in the next 30
years, the pressure on the aged care sector
to cater for ever-increasing numbers and
preferences will affect providers.
The experience of markets that have
come before us, such as the UK, implies
that care workers will be more mobile
between companies and take clients with
them. Care workers will also need to see
their role differently: from service delivery
to health and wellbeing improvement,
and sales.
The Aged Care Roadmap identifies the
need for a well-trained, well-led workforce
that can deliver flexible care to meet
needs. Providers know this and agree, but
the competition for workers is increasing.
Overseas experience also indicates that
staff poachi ng could become the norm,
as CDC will enable customers to follow
favoured carers if they change employers.
Workforce expansion needs to track
demand, in terms of volume and diversity of
services and preferences. Providers also need
to invest in their staff and ensure they have a
brand that will attract and retain employees,
selecting the best people and motivating
them to expand the services they offer.
2
Use older market insights to expand
your services.
The aged care sector has been undergoing
reform for several years in the move to
a consumer-centred model of service
provision. At the same time, government
deregulation has led to more competition.
The Aged Care Roadmap highlights the
need for a “single aged care and support
services system” to allow for a smooth
transition between services for consumers
as care needs change. But the blurring of
old lines in aged care has already begun.
Retirement villages are now offering in-home
care for residents and residential care facilities
are offering respite and restorative care.
A deregulated market, where different
services are integrated into one system, offers
many opportunities for providers to grow
their businesses. To capitalise, providers need
to understand local market opportunities so
they can expand service offerings to meet
local demands. This will require a greater
sophistication of consumer insights feeding
into customer-value propositions, branding
and marketing activities.
Understanding what defines older
Australians and how to communicate with
them at different life stages, such as planning
for retirement or in old age, will ensure
services, products and messaging resonate.
3
Embrace choice to create
opportunities.
The aged care sector has only just started
to consider how to mobilise carers as
customer service and sales personnel. The
opportunity for in-home care is staggering,
particularly now the older boomers are
coming through. The relationship between
carer and client is critical. Consumer
choice lies at the heart of the Aged Care
Roadmap and the vision it sets for the
aged care system. However, consumers
and their families are only just beginning
to understand that they have choices and
what this means for their care.
For providers, the opportunity to grow
services is great, but alongside this sits the
need to educate clients and carers on their
choices. Approaches such as co-design and
co-creation can play an important role. By
working together with customers, families,
and referrers, aged care providers can reach
solutions to problems through collaborative
and community-centred approaches.
4
Stand out to be sustainable.
Despite an ageing population, Australia
has seen significant government funding
cuts in aged care. Providers are still working
through the implications of recent Aged Care
Funding Instrument cuts. It is inevitable that
consumers will pay more for services in the
future. The Aged Care Roadmap says that
the goal is an aged care system where “the
market determines price” and “those that
can contribute to their care do”.
This is a big shift in thinking, a shift that
presents a communication challenge
and a revenue opportunity for providers.
Key to success for aged care providers
will be a clear and differentiated value
proposition. The user and client experience
will also be important. Customer research,
including customer journey mapping
and design thinking, will assist providers
in understanding customer decisions, to
ensure their customers feel validated in
their choices and share their story. The
only certainty in the aged care sector is
change. While some providers may feel
concerned, this new landscape offers
infinite opportunities for those who are
ready to embrace them. ■
Kellie Evans is an account director at Ellis
Jones, a Melbourne-based research, strategy,
communications and design agency.
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