by The health caregiving market involves providing care and assistance to elderly, disabled, or chronically ill individuals. Caregivers help with daily activities such as bathing, dressing, feeding, transportation, medical care, and housework. The services are primarily provided at home or residential care facilities. With rising life expectancy and falling birth rates globally, the geriatric population is growing rapidly. According to United Nations data, between 2015 and 2030, the number of people in the world aged 60 years or over is projected to grow by 56%, from 901 million to 1.4 billion, and by 2050, the global population of older persons is projected to more than double its size in 2020 to nearly 2.1 billion. As people are living longer, the prevalence of chronic health conditions and disabilities increase, augmenting the need for long-term caregiving services.
The global Health Caregiving Market is estimated to be valued at US$ 185.1 Bn in 2023 and is expected to exhibit a CAGR of 5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Growing Demand for Home-Based Care: With technological advancements and focus on patient-centered care, there is an increasing preference for home and community-based caregiving services rather than institutional care facilities. Home care allows senior citizens to receive necessary medical assistance while maintaining their independence and quality of life. Various programs initiated by governments across countries to shift from hospital to home care is propelling demand. Additionally, the higher costs of nursing homes compared to home care is encouraging individuals to opt for home-based services.
Rise of Remote Patient Monitoring: Technologies such as telehealth, remote patient monitoring devices, and mobile health apps are transforming the caregiving landscape. These solutions enable round-the-clock monitoring of vital signs and symptoms from the comfort of home. During the COVID-19 pandemic, telehealth emerged as a viable method to provide continuity of care while ensuring safety. Going forward, digital health technologies will play a pivotal role in supporting independent living of seniors requiring long-term care. This will augment the need for telehealth-trained caregivers.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is medium as the healthcare giving market requires significant capital investments and established distribution channels. However, the growing market size provides opportunities for new players.
Bargaining power of buyers: The bargaining power of buyers is high. Buyers have a good understanding of their needs and options available in the market. They can select products and services easily by comparing prices.
Bargaining power of suppliers: The bargaining power of suppliers is medium. Key suppliers such as medical device manufacturers and pharmaceutical companies supplying to healthcaregiving facilitieshave established themselves well.
Threat of new substitutes: The threat of new substitutes is low. There are limited alternatives to healthcaregivingservices provided by hospitals, nursing homes, and assisted living facilities. However, telehealth and home healthcare are emerging as substitutes.
Competitive rivalry: The competition is fierce among existing players likeHoneywell International Inc., KEMET Corporation, Arcol UK Limited, and others. Companies compete on the basis of service quality, technology, infrastructure, and pricing.
Key Takeaways
The Global Health Caregiving Market Share is expected to witness high growth. The rising aging population, increasing health spending, growing prevalence of chronic diseases, technological advancements, and shortage of caregivers are driving the market. The global Health Caregiving Market is estimated to be valued at US$ 185.1 Bn in 2023 and is expected to exhibit a CAGR of 5% over the forecast period 2023 to 2030.
Regional analysis: North America dominated the market and is expected to continue its dominance during the forecast period. This is attributed to the availability of advanced healthcare infrastructure and higher per capita healthcare expenditure in the region. Asia Pacific is anticipated to offer lucrative opportunities owing to population growth, improving healthcare infrastructure, and increasing per capita incomes in developing countries like China and India.
Key players: Key players operating in the Health Caregiving Market are Honeywell International Inc., KEMET Corporation, Arcol UK Limited, Pamplona Capital Management, and others. Honeywell International Inc. specializes in developing solutions for senior living communities and caregivers. KEMET Corporation (Yageo Company) offers medical device components. Arcol UK Limited provides assistive healthcare technologies and expert advice. Pamplona Capital Management focuses on investing in healthcare businesses through acquisitions.
