Segmentation of Retirement Villages in New South Wales and Victoria

Segmentation of retirement villages in across New South Wales and Victoria
Retirement villages are divided according to finance. This means they are divided according to
the monetary value of the property. Some are for sale while others are rented. There is a variety
of retirement homes for different levels of various prices available to the population. The prices
vary according to the care given and services and amenities offered or the type of
accommodation accorded for example an independent living unit or a one bedroom apartment.
The retirement villages are also segmented according to the property developers and providers
or suppliers or stake holders. They are either public or private investments. The key stake holders
in this industry are private investors who include for- profit investors comprising of major
private investors and small individual investors and the other private investor is the not- for -
profit organizations such as churches and charitable organizations. The other key stakeholder
which is public investment is the government fully funded projects. Government and not-for-
profit retirement villages are relatively affordable to low and middle level income earner since
they are heavily subsidized unlike the for-profit retirement villages. Majority of the retirement
villages in New South Wales and Victoria are those operated for profit (65%) compared to public
(15%) and not for profit (20%). Hu, et al (2017)
The villages are segmented according to the care given to the old persons and it depends on the
age of the clients. As age progresses, more care is needed for the clients. In this case there are
three categories namely:
a) Independent living facilities
In this scenario, the residents do not need supervision and are of relatively good health. The
residents can generally take care of themselves.
b) Assisted living facilities
It is basically for residents over the age of 80 and they do not require full time supervision.
Care is given by both professionals and community volunteers.
c) Skilled nursing facilities

The residents in this case are aged 85 years and above and they need special care. It is also
caters for the retirees who are out of hospital recently and need rehabilitation. The clients
are monitored closely by professionals like nurses. Also most clients in this case are bed
ridden.
According to geographical segmentation, there are those retirement villages which are based in
urban setting or metropolitan cities and those in rural setting and less developed areas. Majority
of the homes in urban setting are developed and owned by private investors while those in rural
areas are operated by government and not for profit organizations. Xia et al (2015)
The villages are also segmented according to the size. The size varies from very small villages to
very large ones. Larger villages usually have more social amenities like swimming pools and
shopping malls and are located in cities and mainly owned by for – profit investors and the
government. Small villages on the other hand are usually mainly owned and operated by the not -
for profit organizations and are based in rural setting with minimum social facilities and services
offered. Also small sized villages have facilities with low bed space compared to larger villages.
Zuo et al (2014)
The villages are also segmented according to their development or socio-economic standards.
Some villages are of resort standards with a wide variety of social amenities and services which
makes them more expensive while others are less developed especially in the rural area and
services and social amenities offered are of a lower standard in comparison to more developed
villages in the metropolitan areas. Due to increased competition in the retirement village sector,
there has been significant improvement on social amenities and services offered by private
investors in a bid to win over more residents with the government and not- for profit villages
lagging behind to the costs incurred. (Atkins and Tonts 2016)
The retirement villages are also segmented according to their designs and structures. Some
villages have complicated structures such as lifts, ramps and rails a feature predominantly of the
private investors while the government and not for profit retirement villages are have much
simpler structures and designs due to their constraint budget and target consumer with regards to
socio-economic status hence making them affordable without major losses to operate and
maintain.. The private sector villages are complicated to competiveness in the industry following