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Home Healthcare Market - Forecast (2022 - 2027)

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  • 127 Pages
  • April 2022
  • Region: Global
  • IndustryARC
  • ID: 5616443
The Home Healthcare market size is estimated to reach $514.5 billion by 2027, growing at a CAGR of 7.1% during the forecast period 2022-2027. Unlike a skilled nursing facility, Home Healthcare provides supportive care where the patient is living. Professional caregivers assist in the daily living of patients suffering from a disability, illnesses, or old age. Some of the common Home Healthcare devices used for treatment and monitoring of patients include Holter Monitors, Oxygen delivery systems, Wound care products, Dialysis equipment, Insulin delivery devices, infusion therapy equipment, and blood glucose monitors. The implementation of the Internet of Things (IoT) framework from the home healthcare system is anticipated to drive the market during the forecast period as it allows for real-time patient health status sharing with medical professionals as well as increased automation. However, the high production costs and low awareness in developing regions are major challenges for the home healthcare industry growth.

Home Healthcare Market Report Coverage

The report: “Home Healthcare Market Forecast (2022-2027)”, by Industry ARC, covers an in-depth analysis of the following segments of the Home Healthcare Market.
  • By Service Type: Rehabilitation Services, Skilled Care/Nursing, Unskilled Care & Respite Care, Virtual Care, Hospice Care, Companion Care, Infusion Services, and Others.
  • By Product Type: Testing/Monitoring Products, Therapeutic Products, Mobility Products, and Others.
  • By Disease/Disability: Cardiovascular Disorders, Hypertension, Diabetes, Respiratory Diseases, Cancer, Pregnancy, Trauma, Renal Disorders, Neurovascular Disorders, Mobility Disorders, and Others.
  • By Geography: North America (U.S., Canada, and Mexico), Europe (Germany, UK, France, Italy, Spain, Russia, and Rest of Europe), Asia-Pacific (China, India, Japan, South Korea, Australia & New Zealand, and Rest of Asia-Pacific), South America (Brazil, Argentina, and Rest of South America) and Rest of World (the Middle East and Africa).

Key Takeaways

Geographically, the North American Home Healthcare market accounted for the largest share in 2020 owing to the well-developed healthcare infrastructure and high disposable income in the region.

An increase in the global geriatric population and lifestyle diseases is anticipated to drive the market. However, safety concerns and limitations of Home Healthcare when compared to hospitals and skilled nursing facilities are projected to hamper growth during the forecast period.

Detailed analysis on the Strength, Weaknesses, and Opportunities of the prominent players operating in the market will be provided in the Home Healthcare Report.

Home Healthcare Market Segment Analysis-By Service Type

Based on Service Type, the Home Healthcare Market is segmented into Rehabilitation Services, Skilled Care/Nursing, Unskilled Care & Respite Care, Virtual Care, Hospice Care, Companion Care, Infusion Services, and Others. The Skilled Care/Nursing service segment had the largest share of the market in 2020. This is attributed to them providing a more comfortable, convenient, and cheaper alternative to hospitals or nursing homes. Moreover, it is seen that patients who undergo skilled care at home recover faster and are less prone to depression than when in medical institutions or rehabilitation centers. Moreover, the favorable reimbursement policies for skilled care are anticipated to further strengthen the segment. However, the Virtual Care segment is projected to witness the fastest growth during the forecast period 2022-2027 at a CAGR of 7.7% owing to the Covid-19 pandemic. The risk of patient infection from contact with infected healthcare professionals has resulted in the growth of the virtual care segment.

Home Healthcare Market Segment Analysis-By Disease/Disability

The Home Healthcare Market based on Disease or Disability can be further segmented into Cardiovascular Disorders, Hypertension, Diabetes, Respiratory Diseases, Cancer, Pregnancy, Trauma, Renal Disorders, Neurovascular Disorders, Mobility Disorders, and Others. The Diabetes segment is anticipated to be the largest segment share in 2020 owing to the rapid surge in diabetes cases and related diseases globally. According to the International Diabetes Federation (IDF), 8.9% of the population suffers from diabetes. Diabetes cases are significantly higher in developed countries owing to increased cases of obesity and consumption of high-calorie foods. For instance, it is estimated that 10.5% of the US population suffers from diabetes. Segments such as Respiratory, Cardiovascular and Neurovascular diseases are anticipated to register rapid growth during the forecast period with a CAGR of 7.5% owing to the increase in the global geriatric population. Moreover, the surge in Covid-19 infections and their long-term impact on the respiratory systems in some patients is predicted to further boost the growth of the respiratory diseases segment.

Home Healthcare Segment Analysis-By Geography

The Home Healthcare Market based on Geography can be segmented into North America, Europe, Asia-Pacific, South America, and the Rest of the World. The North American segment is projected to dominate the Home Healthcare market during the forecast period 2022-2027 with a market share of 32% owing to the highly developed healthcare infrastructure, high awareness levels, and healthcare expenditure in the region. The annual US healthcare spending was estimated to be $4.1 trillion in 2020 and is projected to further increase during the forecast period. An increase in the geriatric population and chronic illnesses are the other key factors driving the growth of the region. Asia Pacific region is anticipated to grow the fastest owing to the increase in population, income, and illnesses in the region. For instance, rapid urbanization in major Asia Pacific economies such as China, India, Vietnam, and South Korea has resulted in an increase of Chronic Obstructive Pulmonary Disease (COPD) and asthma patients.

Home Healthcare Market Drivers

Increase in Global Geriatric Population is Projected to Drive Market Growth

There were around 727 million persons over the age of 65 in 2020 and constituted 9.3% of the overall population. The geriatric population is predicted to reach 16% by 2050. This is anticipated to drive the market during the forecast period as the geriatric population is more prone to Renal, Neurological, Cardiovascular, Respiratory, and Mobility related diseases that require Home Healthcare. For Instance, 72% of all Alzheimer’s Dementia patients in the US are above the age of 75, and 1 in 9 people above the age of 65 are diagnosed with the disease.

An increase in Hospital and Skilled Nursing Facility Costs is Anticipated to Boost Service Demand

The high cost of hospital treatments and Nursing Homes is anticipated to drive the growth of Home Healthcare services are they provide a cost-efficient alternative. Of the total $4.1 trillion spent in the US on healthcare in 2020, 30% went for hospital expenses. The average daily hospital cost was around $2,607. Moreover, around 65% of all bankruptcies in the US occur due to hospital expenses. This makes home healthcare a more attractive option as the costs of acute Home Healthcare expenditure is 50-70% lower than hospitals. Furthermore, home healthcare is more convenient and comfortable for the patient as they can be in the comforts of their own home.

Home Healthcare Market Challenges

The Low Penetration of Home Healthcare in Developing Regions is Anticipated to Hamper Market Growth

Even though home healthcare costs are lower than hospital treatment, the penetration levels of the services in developing regions are low owing to the lack of awareness among the population. Moreover, the Home Healthcare services are highly unorganized in these regions, with patients opting for local alternatives instead. For instance, it is estimated that by 2025, only 2.4% of the Indian home healthcare sector will be organized compared to 6-8% in the US. However, the emergence of new start-up Home Healthcare service providers in these regions may help overcome this challenge during the forecast period.

Shortage of Professional Home Healthcare workers is Projected to Limit Growth Opportunities

Despite the rapid rise in demand for Home Healthcare services, a shortage of home healthcare professionals, and high employee turnover is anticipated to hamper market growth as patients are forced to sometimes wait months for treatment. This is causing them to choose alternative treatment options such as hospitals or skilled nursing facilities. The shortage is owing to the low wages paid to home healthcare workers. For instance, in the US the wage provided by home healthcare providers is around 10-15$ an hour which is lower or at par with an entry-level job at fast-food chains. It is estimated that there will be 7.8million home healthcare job opening in the US alone between 2016 and 2026.

Home Healthcare Market Industry Outlook:

Product launches, mergers and acquisitions, joint ventures, and geographical expansions are key strategies adopted by players in the Home Healthcare Market. The top 10 companies in of the industry are-
1. Fresenius SE & Co. KGaA
2. Linde plc
3. Apollo Homecare
4. OMRON Corporation.
5. GE Healthcare
6. Portea Medical
7. Koninklijke Philips N.V
8. Air Liquide
9. LHC Group
10. Portea Medical

Partnerships/Product Launches:

In August 2020, LHC Group entered into a joint venture with University Health Care System. This Joint venture will help to expand the availability of vital health care services in the US states of Georgia and South Carolina.

In March 2020, Linde subsidiary Lincare announced in-home services for Covid-19 patients eligible for home care in order to reduce the burden on hospitals. They also ensured the continuation of care for the 1.6 million patients across the US supported by the company.

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Table of Contents

1. Home Healthcare Market - Overview
1.1 Definitions and Scope
2. Home Healthcare Market - Executive Summary
2.1 Market Revenue and Key Trends by Company
2.2 Key trends by Product Type
2.3 Key trends by Service Type
2.4 Key trends by Disease/Disability
2.5 Key trends by Geography
3. Home Healthcare Market - Comparative Analysis
3.1 Company Benchmarking - Key Companies
3.2 Financial Analysis - Key Companies
3.3 Market Value Split by Key Companies
3.4 Patent Analysis
3.5 Pricing Analysis - Average Selling Price
4. Home Healthcare Market - Forces
4.1 Market Drivers
4.2 Market Constraints/Challenges
4.3 Porters five force model
4.3.1 Bargaining power of suppliers
4.3.2 Bargaining powers of customers
4.3.3 Threat of new entrants
4.3.4 Rivalry among existing players
4.3.5 Threat of substitutes
5. Home Healthcare Market - Strategic Analysis
5.1 Value Chain Analysis
5.2 Opportunities Analysis
5.3 Market Life Cycle
6. Home Healthcare Market - By Product Type (Market Size -$Million/$Billion)
6.1 Testing/Monitoring Products
6.1.1 Activity Monitors & Wristbands
6.1.2 Blood Glucose Monitors
6.1.3 Blood Pressure Monitors
6.1.4 Cholesterol Monitoring Devices
6.1.5 Coagulation Monitoring Products
6.1.6 ECG/EKG Devices
6.1.7 EEG Devices
6.1.8 Fetal Monitoring Devices
6.1.9 Hearing Aids
6.1.10 Heart Rate Monitors
6.1.11 HIV Test Kits
6.1.12 Holter Monitors
6.1.13 Home Sleep Testing Devices
6.1.14 Ovulation and Pregnancy Test Kits
6.1.15 Peak Flow Meters
6.1.16 Pulse Oximeters
6.1.17 Temperature Monitors
6.2 Therapeutic Products
6.2.1 Automated external defibrillators (AEDs)
6.2.2 Dialysis Equipment
6.2.3 Inhalers
6.2.4 Insulin Delivery Devices
6.2.5 IV Equipment
6.2.6 Nebulizers
6.2.7 Ostomy devices
6.2.8 Oxygen Delivery Systems
6.2.9 Sleep Apnea Therapeutic Devices
6.2.10 Ventilators
6.2.11 Wound Care Products
6.3 Mobility Products
6.3.1 Wheelchairs
6.3.2 Walkers & Rollators
6.3.3 Mobility Scooters
6.3.4 Canes
6.3.5 Crutches
6.3.6 Medical Lifts and Slings
6.4 Others
7. Home Healthcare Market - By Service Type (Market Size -$Million/$Billion)
7.1 Rehabilitation Services
7.2 Skilled Care/Nursing
7.3 Unskilled Care & Respite Care
7.4 Virtual Care
7.5 Hospice Care
7.6 Companion Care
7.7 Infusion Services
7.8 Others.
8. Home Healthcare Market - By Disease/Disability (Market Size -$Million/$Billion)
8.1 Cardiovascular Disorders
8.2 Hypertension
8.3 Diabetes
8.4 Respiratory Diseases
8.5 Cancer
8.6 Pregnancy
8.7 Trauma
8.8 Renal Disorders
8.9 Neurovascular Disorders
8.10 Mobility Disorders
8.11 Others.
9. Home Healthcare Market - By Geography (Market Size -$Million/$Billion)
9.1 North America
9.1.1 U.S.
9.1.2 Mexico
9.1.3 Canada
9.2 Europe
9.2.1 U.K.
9.2.2 France
9.2.3 Germany
9.2.4 Italy
9.2.5 Spain
9.2.6 Russia
9.2.7 Rest of Europe
9.3 Asia Pacific
9.3.1 China
9.3.2 India
9.3.3 Japan
9.3.4 South Korea
9.3.5 Australia & New Zealand
9.3.6 Rest of Asia Pacific
9.4 South America
9.4.1 Brazil
9.4.2 Argentina
9.4.3 Rest of South America
9.5 Rest of the World
9.5.1 Middle East
9.5.2 Africa
10. Home Healthcare Market - Entropy
11. Home Healthcare Market Company Analysis
11.1 Company 1
11.2 Company 2
11.3 Company 3
11.4 Company 4
11.5 Company 5
11.6 Company 6
11.7 Company 7
11.8 Company 8
11.9 Company 9
11.10 Company 10