In the fall of 2014, the CEO of UniCredit, an Italian banking and financial services institution, called upon the senior officials of the company to brainstorm over making their services more accessible and designing better products for the aging population. They were looking to understand the challenges faced by this naturally expanding market, and also consider them as a source of opportunity for better business.
They set up a special committee within the organization to see the ideas to fruition, and a couple of initiatives were taken in separate departments. The investment advisory business trained 2000 of its staff as home-visit relationship managers, which alleviated the need for the aged to physically visit a bank, or even use an app, which they might find complicated.
In the wealth management department, the staff was trained to focus on the extended families of their aged customers so that the chances that their children or grandchildren might become important clients, increases.
According to UN’s global population forecasts, the population over 65 is set to double in just 25 years. As the world’s average age shifts to the 50+ side slowly, there will be greater need to save more money for retirement, healthcare etc. The asset management industry will hence, expand to almost double by 2020, according to PwC.