Connect America acquires Philips’ Aging and Caregiving, including Lifeline

May 14, 2021 | by | 4 Comments

Connect America is purchasing Royal Philips’ Aging and Caregiving (ACG) line of business, including one of the top basic personal emergency response system (PERS) device providers, Lifeline. The acquisition is expected to close in a few weeks. Purchase terms, including staff, were not disclosed. The release by Connect America contains two unusual statements: both companies will remain competitive until the closing and that Philips will retain an equity stake in the company.

In the World of PERS and safety for older adults, this is big news. Our Readers will remember that Connect America, a medical alert company located in suburban Philadelphia, purchased Tunstall Americas in January 2019. Readers who follow the PERS taxonomy will recall that in 2011, Tunstall acquired AMAC, the third-largest PERS company, yet after multiple presidents and acquisitions, failed to make much of a dent in the competitive US and Canada markets. Connect America now has the major ‘name’ brand in PERS, other than Life Alert, famous for the ‘I’ve fallen and can’t get up’ TV commercials of yore and the real pioneer of the PERS pendant. Lifeline itself dates back to 1974 and was acquired by Philips in 2006. Of late, Philips has been on a divestiture tear, especially in North America.

The news hasn’t exactly made the headlines that it would have only a few years ago. One could say that the parade has passed traditional PERS pendants and home units. Replacing them are mobile and smartphones tied to assistance–GreatCall’s 5 Star services. There are bands and wristwatch forms, such as Buddi in the UK and UnaliWear’s Kanega, The latter haven’t yet the market penetration in the US but all three have in common one selling factor–none of them scream ‘old and frail at risk’ like a white pendant around the neck does. Classified now with PERS are more sophisticated but bulky devices mobile-based systems such as GreatCall’s Lively MobilePlus and Lively Wearable2, also listed as an AARP member benefit.

Connect America has been in business 35 years and has amassed a portfolio of PERS brands, traditional home and mobile devices including fall detection, plus 24/7 monitoring services. It claims to be the nation’s largest independent provider of medical alert systems under various brand names, with more than 1,000 healthcare network partners, and cumulatively over 1 million customers. Their other business is remote patient monitoring under the ConnectVitals brand and a cellular-connected device for medication management.

Another big win for Connect America is Lifeline’s agreement with AARP, marketed as part of their extensive member benefits, and other products that Philips has in this category. 

There are millions who still use traditional and mobile PERS pendants, including in the huge market of assisted living, and a multiplicity of brands, which indicate the size of the market and its longevity. The stats haven’t changed much since this Editor was with QuietCare, attempting to make PERS obsolete back in the mid-oughts. According to Freeus, the average customer is a woman, 78 years old, and keeps it for about 39 months–a little over three years. Not all of them, nor their families, feel comfortable with a smartphone which can be hard to use, break, or simply not be handy in the bathroom or bedroom. So the market is still there, albeit not a headline-making one. Hat tip to a UK Reader who wishes to remain anonymous.

The traditional PERS as ‘ancient history’

March 31, 2015 | by | 2 Comments

[grow_thumb image=”https://telecareaware.com/wp-content/uploads/2015/03/Fallen-woman.jpg” thumb_width=”150″ /]Something to think about. How many families and older adults are aware that the traditional PERS emergency pendant, which has been around for at least 40 years, is sadly outdated and in fact inadequate for those at greatest risk? While major advertisers on US media such as Life Alert, Life Call, ADT and Philips Lifeline present crisis situations where the older person is on the floor and is rescued after pressing the pendant button, they barely advertise their other available products that incorporate passive fall detection and cellular, even if somewhat inadequate for soft falls or unconsciousness. Families unwisely feel ‘protected’ when paying for traditional PERS, not realizing that more advanced technology is readily available and not that much more expensive. Moreover, and only mentioned in the context of his grandmother’s fall while in senior housing, there is a distinct recalcitrance of senior housing executives to rid their apartments of the (cheap) old pendants and replace them with (pricier) passive/cellular assistance systems, much less more advanced wearables/RFID systems or mobile/watch combinations. This Editor also notes that the major drugstore chains also sell PERS; while they trumpet wellness in their advertising, they are as behind the curve in this area as senior housing. Neil Versel in MedCityNews.

For our Readers: can we compare/contrast how the UK, EU and US are still wedded to traditional PERS after 40 years, and if more advanced forms are starting to take hold? Click on the headline to see comments, including this Editor’s opining on traditional PERS as ‘cash cow’.