Transcript Business Model of SCHSA (1)

Senior Citizen Home
Safety Association
Marketing Strategy and
Business Model
C.K. Law
Background
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1996 Cold Spell during Chinese New Year
>100 elderly died (partially) due to the cold spell
Public demand for emergency call services
Private sector responded first
Visited the two private emergency call service
centre
Discussions with interested parties – conclude
to set up a new NGO as a social enterprise.
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Business Model of SCHSA (1)
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An enterprise - making profits
No profit distribution - profits used to improve welfare
for the elderly
Core business – human service, elderly care instead of
security service
Market position – a platform to build elderly care
service instead of direct care service
Maximize return on social capital, build up maximum
collaboration – increase strategic partners instead of
competitors
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Business Model of SCHSA (2)
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Financing model – loan and donation to finance
starting and working capital
Fees for service instead of subvention
Match non-fee charging value added services
with donation (financial resources) and
volunteers (human resources) – at no additional
cost to customers.
Fund raising and profit to provide services to
elderly who are unable to pay for the service.
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Business Model of SCHSA (3)
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Demarcate “welfare” services from “business”
All “businesses” aim at profit making in the long
run
Welcome competition in core business
Hong Kong based – consultancy services to
other parts of China only
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Marketing strategy
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Product – care for vulnerable elderly home alone
Price – The break-even volume and price negotiation
Place – As a telecommunication-based service, location
relatively less important. Welfare rent helps
Promotion – Product promotion and fund raising
(social marketing of values) benefits one another
Person – singleton frail elderly – extending to anyone
needing support at home (e.g. people with disability)
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