I recently discussed in this column the vast size and potential of the “Longevity” economy. “Age-Tech” is emerging as the preferred way to describe the intersection of Longevity and Technology.
To understand more about the size and import of Age-Tech, I spoke to Dominic Endicott. Dominic is a venture capitalist operating between Boston, New York and London. As a partner at Nauta Capital, he led his firm’s investment in Great Call, a mobile wellness service oriented at the needs of older customers. Great Call was recently acquired by leading electronics retailer Best Buy for $800M, the largest ever acquisition by Best Buy.
Dominic’s firm was the first institutional investor in Great Call, back in 2007 when the company was a start-up. Great Call is seen today as one of the largest ever exits in the “Age-Tech” space. Building on this experience, Dominic is setting up a dedicated venture capital fund focused on Age-Tech, 4Gen Ventures. Dominic and his colleague John Sviokla published today a perspective on the sector in Strategy+Business.
I wanted to get his views on “Age-Tech”, 4Gen and what the venture capital industry could contribute to the Longevity economy.
Tina Woods: There is consensus that “aging” is a big and growing sector. Now we are starting to hear the term “Age-Tech”. What is “Age-Tech”?
Dominic Endicott. We are in the messy, murky phase of an exploding digital vertical. By analogy, back in 2007, digital innovation in the $14 Trillion global financial services industry was limited, and the term “Fin-Tech” was used by perhaps a hand-full of entrepreneurs and investors. Today, it is an established term, and fin-tech venture capital investment surpassed $27 Billion in 2017 . “Age-Tech” today is similarly in use by a sub-culture of investors, entrepreneurs, corporations and social-impact groups, and the state of digital innovation in the aging economy is comparable to that in financial services in 2007. I would suggest that “Age-Tech” is about digitally-enabling the Longevity economy. We can think of 4 categories of digital-enablement in Age-Tech: services purchased by older people; services purchased on behalf of older people; services traded between older and younger people; and services delivered to future older people.
Written By: Tina Woods, Source: Forbes