Exploring service innovation of funeral and interment industry based on life value perspective: A case study of Lung Yen Co., Ltd in Taiwan

Population index from Dept. of Household Registration, Ministry of the Interior (MOI) indicated that elderly population was up to 11.2% in 2012, aging society has already exceeded 7% standard which regulated by World Health Organization (WHO) of United Nations. Along with the increasing elderly population, demographic information of Council for Economic Planning and Development, Executive Yuan, indicates that the annual death toll will be increased gradually from 154 thousand persons in 2012 up to 341 thousand persons in 2060 in Taiwan area, which will be 2.2 times comparing with the current death toll. As a result, it obviously revealed that the overall annual market of funeral and interment industry will be increased from the current NT$ 50 billion up to 500 billion per year. This influential power urges the emergency of the life service industry in Taiwan. People will have increasing requirement and quality for the funeral and interment service day after day. Therefore, Taiwan's Life Service Industry needs to urgently implement innovation and introduce new thought on service innovation. This research adopts the life value viewpoints of Frank (1969): there are three major aspects, such as create meaningful value, experience meaningful value and meaningful value of attitude to discuss. In addition, these five major value activities of the funeral and interment industry are: fate, coffin, funeral, burial and continuousness. Further, this research adopts those major service innovation activities launched by Lung Yen Life Service Co., Ltd. (hereinafter referred to as Lung Yen) over the years as the analysis unit.