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Thursday, 4 August 2016
Home Healthcare Market to Expand at 8.10% CAGR from 2014 to 2020 owing to Rising Prevalence of Chronic Diseases
The moderately consolidated global home healthcare market is dominated by Johnson & Johnson, Abbott Laboratories, and F. Hoffman-La Roche Ltd. According to Transparency Market Research, these three industry giants collectively accounted for more than 50% of the market in 2013. Bayer AG, Philips Healthcare, and The Linde Group are some of the other leading companies in the market.
Increasing Prevalence of Chronic Diseases Augurs Promise for Home Healthcare Market
The leading driver for the global home healthcare market is the increasing prevalence of a number of chronic diseases, especially ones that do not present acute symptoms if managed properly. Diabetes and blood pressure disorders are among the types of diseases that can be easily monitored by the patient or their relatives. Such diseases necessitate the use of home healthcare solutions, which allow patients to monitor their condition without consulting their physician. The convenience of this system for both the patient and the doctor has led to promising prospects for the home healthcare market in the coming years.
The increasing geriatric demographic also bodes well for home healthcare solutions. Elderly patients often prefer to receive treatment in their own homes due to the emotional comfort offered by the familiar location. The elderly are also more likely to suffer from degenerative or chronic conditions that require monitoring.
The increasing availability of ergonomically designed home healthcare solutions owing to the steady technological advancement witnessed in the home healthcare sector has also made home healthcare more attractive to patients. Due to the lack of direct monitoring by physicians, home healthcare inherently carries some risk of accidental dosage, overdoses, or other errors that can result in severe complications. The introduction of modern advances such as smartphone apps, which record patient data at regular intervals to provide constant connectivity between the physician and the patient, and sophisticated devices designed keeping safety in mind has thus helped make home healthcare safer, resulting in increased demand.
Therapeutic Home Healthcare Devices to Exhibit Fastest Growth in Demand
Of the key product types in the global home healthcare market, diagnostic and monitoring home devices and therapeutic home healthcare devices are the leading contributors. While diagnostic and monitoring home devices are likely to remain dominant in the global home healthcare market in the coming years, the therapeutic home healthcare devices segment is expected to exhibit the fastest CAGR of all product segments in the 2014-2020 forecast period. The share of medical supplies in the home healthcare market is set to drop over the coming years, with home mobility assist devices expected to go the other way due to the increasing prevalence of mobility disorders and orthopedic conditions.
By service, rehabilitation services account for a majority share in the global home healthcare market and are likely to retain their dominance in the market in the coming years. However, the increasing technological sophistication of telecommunication devices means that telehealth and telemedicine services is likely to exhibit an 11% CAGR in the 2014-2020 forecast period.
Due to the technological sophistication required for widespread availability of home healthcare solutions, developed regions such as North America and Europe are the leading contributors to the global home healthcare market. These are likely to remain the largest regional segments of the global market over the coming years, despite the promising prospects of the Asia Pacific market. However, the latter’s 8.6% CAGR for the 2014-2020 period is the highest of all regional segments of the market.
The global home healthcare market is expected to reach a valuation of US$303.6 bn by 2020. The information presented in this review is based on a Transparency Market Research report titled ‘Home Healthcare Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2013 - 2019.’