Preventing Elderly Falls with AI... A Challenge Born from "Belated Filial Piety" [Life Chapter 3 Companies]

Kwon Kyung-hyuk, CEO of Happy Aging

"You really don't understand the risk of falls among the elderly unless you experience it yourself. I didn't know at all until my mother passed away. Many people take it lightly, thinking 'That's just how old people are,' and end up facing serious consequences. Our company initially started simply as a business handling and donating fall prevention welfare products, but now we are expanding into the digital realm by developing an app integrated with artificial intelligence (AI) technology. I believe that to solve the social problem of elderly falls in the era of super-aging society, both analog and digital approaches are necessary."

Kwon Kyunghyuk, CEO of 'Happy Aging' (54), who worked as a marketing research analyst at a public opinion polling company for over 15 years, transformed into an expert in elderly fall prevention due to his mother’s sudden accident. His 78-year-old mother fell in the bathroom, fracturing her wrist and sustaining various injuries, and passed away shortly after. What was once considered a trivial everyday risk, dismissed as "That's just what happens when you get old," resulted in irreversible consequences. Amid his busy work life, he felt a deep sense of guilt for not properly recognizing his parents' aging.

Based on this experience, he founded Happy Aging in 2016. Selected for the government’s social enterprise promotion project, he started by helping 100 elderly people with a 30 million KRW grant and has since grown the company to approach annual sales of 1 billion KRW. Initially, he planned to simply purchase and distribute safety grab bars at low cost, but leveraging his experience as a market research expert, he shifted toward product development. He developed silicone safety grab bars and produced anti-slip mats through OEM (Original Equipment Manufacturer) methods, laying the foundation for the business.

Kwon Kyung-hyuk, CEO of Happy Aging, is being interviewed by Asia Economy on the 4th. Photo by Park Yujin

- After your mother’s accident, what preparation process did you go through?

▲ At first, the concept of a social enterprise was unfamiliar. I never thought that socially beneficial work could be commercialized. Then, I happened to learn about a social venture competition and applied with the desire to solve the social problem of elderly fall prevention. Fortunately, I was selected and received 30 million KRW in funding, starting with a plan to help 100 elderly people. The year after founding the company, we were selected for various other support projects and received awards, gradually shaping the direction of the business. Although I was from a humanities background and initially worried about product development, my experience as a market research expert was very helpful.

- How do you feel social awareness of elderly falls has changed compared to the early days of your startup?

▲ The general perception itself hasn’t changed much. However, perhaps because we are approaching the entry into a super-aged society next year, policy interest has greatly increased. The Ministry of Health and Welfare and the National Health Insurance Service are actively seeking prevention policies. For dementia, the biggest issue among the elderly, local governments have established 'Dementia Safety Centers' to provide policy support, and the next step appears to be fall prevention. Japan’s long-term care insurance policies have also been benchmarked, leading to pilot projects for home safety improvements through interior renovations.

One regret is that the system sometimes fails to keep up with reality. For example, replacing general flooring with fall risk is sometimes not covered by support. This seems to be because the focus is on welfare products registered with the insurance corporation. The system requires replacement with products that have been institutionally verified at the national level. In that sense, I think we are still in a transitional period.

- You recently started a new service incorporating artificial intelligence (AI) technology.

▲ Together with students from Kyungpook National University’s Industry-Academic Cooperation Foundation, we developed an application that analyzes fall risk. It has been over a year now. Especially for seniors over 75, who often do not recognize their degree of aging well, this app helps provide an objective risk assessment. When a user photographs their home space, AI automatically analyzes risk factors and suggests customized prevention measures. For example, if you take a photo of the bathroom, it evaluates the slipperiness of the floor and informs you of the necessary safety products. Currently, it is being applied to about 1,200 households with support from basic local governments, and Seoul City has shown great interest. The support amount per household is not large, varying by local government but generally a few hundred thousand KRW. We plan to add analysis functions for different spaces such as bedrooms, living rooms, and entrances. Server costs run about 200,000 to 300,000 KRW, and we are considering charging a small usage fee. I think it should be priced at a level that users are willing to pay.

The 'Fall Prevention 9988' application, developed by Happy Aging and Kyungpook National University Industry-Academic Cooperation Foundation, measures the risk of fall accidents based on AI. Image=Happy Aging

- How do you handle product development and quality control?

▲ We have referred extensively to best practices from advanced countries overseas. One point we emphasize is that 'inappropriate assistive devices are more dangerous than having none.' In that sense, we prioritize safety when researching and developing each product. For silicone safety grab bars, we improved on the shortcomings of existing products to make them non-slip, sturdy, and easy to install. Safety grab bars and anti-slip bathroom mats are our representative products.

- Generally, what are the preferences of elderly people regarding fall prevention products?

▲ We conducted a survey on this, and the order of preference was safety grab bars, anti-slip bathroom mats, bath chairs, walkers, and canes. Safety grab bars seem to be highly utilized because they can be installed throughout the home.

- Your sales have been steadily growing.

▲ Sales were 300 million KRW in 2022, 600 million KRW in 2023, and we are targeting 1 billion KRW this year. Especially recently, growth has been highlighted as cooperation with local governments nationwide has increased.

- Do you have plans to enter overseas markets?

▲ We tried initially, but many countries can solve these issues on their own. In China, it is difficult to gain a price advantage. I believe there is more room for development in the domestic market. We plan to focus on developing products and services tailored to the characteristics and living environments of elderly people in Korea.

- What are your future goals?

▲ In 10 years, our goal is to grow into a leading social enterprise with annual sales of 10 billion KRW. Not simply pursuing profit, but sincerely conducting elderly fall prevention business and contributing to society. Sincerity is the most important. Even in our company, at first, we worried about growth and expansion, but ultimately, the key was how sincerely we approached the social problem we wanted to solve. After losing my mother early, this work has now become about protecting the safe old age of many more seniors.

Balancing social value and profitability is not easy, but I believe that is my role. I always emphasize this to our employees. Every product we make can save someone’s life. I believe that the more local governments we cooperate with and the more elderly people we reach, the safer our society will become.