Home Healthcare Market by Product (Dialysis Equipment, Ventilators, HIV Test Kits, Hearing Aids, Activity Monitors), Service (Skilled Nursing, Infusion Therapy, Palliative Care), Indication (Cancer, Wound Care, Diabetes), & Region - Global Forecast to 2028
Market Growth Outlook Summary
The global home healthcare market growth forecasted to transform from $250 billion in 2023 to $383 billion by 2028, driven by a CAGR of 8.9%. The rising prevalence of chronic illnesses, the aging population, and the development of Asian nations as home healthcare product manufacturers are all predicted to fuel market expansion and present significant prospects for industry participants.
Home Healthcare Market Size, Dynamics & Ecosystem
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Home Healthcare Market Dynamics
Driver: Sharp increase in the number of older people and the prevalence of chronic illnesses
According to UN Department of Economic and Social Affairs, the number of people over 65 in the globe is expected to increase from 771 million in 2022 to 1.6 billion by 2050. Furthermore, it is projected that the number of individuals 80 years of age and above will triple by 2050 compared to the current figure of 143 million in 2019. Because the elderly population is more prone to chronic illnesses, its growth will increase healthcare demand and place a considerable burden on governments and health systems; as a result, the home healthcare sector will profit. Getting medical care at home reduces the number of avoidable hospital stays, readmissions, and the time and cost of traveling to visit experts.
Opportunity: Growing focus on newer technologies such as telehealth
Telehealth allows home healthcare providers to remain influential even when they are not present in person. It enables ongoing patient monitoring and the early detection of impending catastrophes. Telehealth includes virtual medical, health, and educational services as well as remote patient monitoring. During virtual sessions, doctors and nurses can examine a patient's condition and determine the best course of action, which may involve providing care, issuing a prescription, or, in certain cases, sending the patient for extra treatment, using audio-visual technologies. For these reasons, patients are benefiting from telehealth more and more.
Restraint: Limited insurance coverage
The majority of countries in North America offer insurance coverage for home healthcare services; however, this coverage is limited to home healthcare organizations that have received Medicare certification. Equipment used for multi-parameter monitoring, telemetry, rehabilitation, or remote monitoring is not covered by insurance. Both in North America and Europe, insurance coverage for this equipment varies. Insurance companies in Asian countries such as India only pay for post-hospitalization therapy, not for in-home healthcare treatments for the elderly or chronic illnesses.
Challenge: Shortage of homecare workers
There is a great need for homecare workers in the booming home healthcare sector. The US Bureau of Labor Statistics has projected employment trends for the home healthcare industry for the years 2014–2024, and personal care aides and home health aides rank among the top 10 positions in this sector. Furthermore, there is anticipated to be a demand for 924,000 personal care and home health aides between 2021 and 2031. Because of this, home healthcare providers must find about 924,000 new patients in order to fulfill the rising demand (Source: US Bureau of Labor Statistics).
The market is moderately consolidated. The top players— Fresenius SE & Co. KGaA (Germany), Abbott (US), Ge Healthcare (US), Koninklijke Phillips NV. (Netherlands), ResMed, Inc. (US), Linde, Plc (Ireland), and F.Hoffmann-La Roche, Ltd. (Switzerland)-in the market accounted for a combined majority market share in 2022. The companies in the sector are fiercely competitive. Big businesses are the only ones that can afford significant capital expenditures, high R&D and manufacturing costs. This will stop new competitors from joining this market.
Home Healthcare Market Segmentation & Geographical Spread
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In 2022, therapeutic products segment accounted for the largest share of the home healthcare industry, by products
The home healthcare market is divided into three segments: mobility care items, therapeutic products, and products for testing, screening, and monitoring. In 2022, the market was dominated by therapeutic products. This was mostly because chronic illnesses including renal diseases and sleep and respiratory problems are becoming more common, which has raised the need for home healthcare therapeutic equipment.
In 2022, skilled nursing services segment accounted for the largest share in the home healthcare industry, by service
The home healthcare market has been segmented into skilled nursing services, rehabilitation therapy services, hospice & palliative care services, unskilled care services, respiratory therapy services, infusion therapy services, and pregnancy care services. By 2022, the market's highest share belonged to the skilled nursing services category. The industry is expanding due to factors like the rising demand for homecare services.
In 2022, other indications segment accounted for the largest share in the home healthcare industry, by indication
Cancer, respiratory conditions, mobility issues, cardiovascular conditions and hypertension, pregnancy, wound care, diabetes, hearing impairments, and other indications are the segments of the home healthcare market. By 2022, the market's greatest share belonged to the other indications category. The market is growing because kidney and sleep issues are becoming more common.
North America is the largest regional market for home healthcare industry.
The global home healthcare market is segmented into four major regions—North America, Europe, the Asia Pacific, and Rest of the World. North America held the biggest market share for home healthcare in 2022. The increased prevalence of chronic illnesses and the region's excellent healthcare system are responsible for North America's significant market share worldwide. On the other hand, throughout the course of the forecast period, the Asia Pacific market is anticipated to develop at the highest CAGR. The high prevalence of chronic illnesses and rising healthcare expenses are the main factors driving growth in the Asia Pacific home healthcare industry.
The major players in home healthcare market are Fresenius SE & Co. KGaA (Germany), Abbott (US), GE HealthCare (US), Koninklijke Phillips NV. (Netherlands), ResMed, Inc. (US). The market leadership of these players stems from their comprehensive product portfolios and expanding global footprint. These dominant market players possess several advantages, including strong marketing and distribution networks, substantial research and development budgets, and well-established brand recognition.
Scope of the Home Healthcare Industry
Report Metric |
Details |
Market Revenue Size in 2023 |
$250.0 Billion |
Projected Revenue Size by 2028 |
$383.0 Billion |
Industry Growth Rate |
Poised to Grow at a CAGR of 8.9% |
Market Driver |
Sharp increase in the number of older people and the prevalence of chronic illnesses |
Market Opportunity |
Growing focus on newer technologies such as telehealth |
This report categorizes the home healthcare market to forecast revenue and analyze trends in each of the following submarkets:
By Product
- Therapeutic Products
- Testing, Screening, and Monitoring Products
- Mobility Care Products
By Service
- Skilled Nursing
- Rehabilitation Therapy
- Hospice & Palliative Care
- Unskilled Care
- Respiratory Therapy
- Infusion Therapy
- Pregnancy Care
By Indication
- Cancer
- Respiratory Diseases
- Movement Disorders
- Cardiovascular Diseases & Hypertension
- Pregnancy
- Wound Care
- Diabetes
- Hearing Disorders
- Other Indications
By Region
-
North America
- US
- Canada
-
Europe
- Germany
- UK
- France
- Italy
- Spain
- Rest of Europe
-
Asia Pacific
- China
- Japan
- India
- Rest of Asia Pacific
-
Rest of the World
- Latin America
- Middle East Africa
Recent Developments of Home Healthcare Industry:
- In August 2022, Fresenius Medical Care North America (FMCNA) acquired InterWell Health Brand (US) to expertise in kidney care value-based contracting and performance.
- In August 2022, Contessa (US) partnered with Mount Sinai Health System (US) offers a full continuum of home-based care that includes home health, hospitalization at home, rehabilitation at home (in lieu of care at a skilled nursing facility) and palliative care at home.
- In July 2022, Invacre Corporation (US) introduced Next Generation e-fix eco Power Assist Device to Transform the Manual Wheelchair.
Frequently Asked Questions (FAQ):
What is the projected growth rate of the global home healthcare market between 2023 and 2028?
The global home healthcare market is expected to grow from USD 250 billion in 2023 to USD 383 billion by 2028, at a CAGR of 8.9%, driven by the rising prevalence of chronic illnesses, an aging population, and advancements in home healthcare technologies.
What are the primary drivers of the home healthcare market?
Key drivers for the home healthcare market include the sharp increase in the elderly population, the growing prevalence of chronic illnesses, and the rising demand for telehealth services that enable remote patient monitoring and care.
What challenges does the home healthcare market face?
The home healthcare market is challenged by limited insurance coverage for services and equipment, as well as a shortage of qualified homecare workers to meet the increasing demand for care.
Which segments dominate the home healthcare market?
In 2022, therapeutic products accounted for the largest share of the home healthcare market, followed by skilled nursing services, indicating a strong demand for chronic illness management at home.
How is telehealth influencing the home healthcare market?
Telehealth is transforming the home healthcare landscape by enabling continuous patient monitoring, virtual consultations, and timely interventions, thereby enhancing patient care and reducing hospital visits.
What is the role of skilled nursing services in the home healthcare market?
Skilled nursing services hold a significant share of the home healthcare market, providing essential care for patients with chronic illnesses and post-operative recovery needs, contributing to the overall growth of the sector.
What are the recent developments in the home healthcare market?
Recent developments include acquisitions like Fresenius Medical Care's purchase of InterWell Health to enhance kidney care services, and partnerships such as Contessa's collaboration with Mount Sinai Health System to offer comprehensive home-based care.
How does the aging population affect the home healthcare market?
The increasing elderly population significantly drives the home healthcare market as older adults typically have a higher prevalence of chronic illnesses, leading to greater demand for home-based medical services and support.
What are the market opportunities in the home healthcare sector?
The home healthcare sector presents opportunities through the integration of new technologies, such as telehealth and remote monitoring solutions, which enhance care delivery and patient engagement, particularly in chronic disease management.
Who are the key players in the home healthcare market?
Major players in the home healthcare market include Fresenius SE & Co. KGaA, Abbott, GE Healthcare, Koninklijke Philips NV, and ResMed, which collectively hold a significant market share due to their strong product offerings and innovative solutions.
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The objective of the study is analyzing the key market dynamics such as drivers, opportunities, challenges, restraints, and key player strategies. To track companies’ developments such as acquisitions, product launches, expansions, agreements and partnerships of the leading players, the competitive landscape of the home healthcare market to analyzes market players on various parameters within the broad categories of business and product strategy. Top-down and bottom-up approaches were used to estimate the market size. To estimate the market size of segments and subsegments the market breakdown and data triangulation were used.
The four steps involved in estimating the market size are
Secondary Research
In the secondary research process, various secondary sources such as annual reports, press releases & investor presentations of companies, white papers, certified publications, articles by recognized authors, gold-standard & silver-standard websites, regulatory bodies, and databases (such as D&B Hoovers, Bloomberg Business, and Factiva) were referred to identify and collect information for this study.
Primary Research
In the primary research process, various sources from both the supply and demand sides were interviewed to obtain qualitative and quantitative information for this report. Primary sources were mainly industry experts from the core and related industries and preferred suppliers, manufacturers, distributors, service providers, technology developers, researchers, and organizations related to all segments of this industry’s value chain. In-depth interviews were conducted with various primary respondents, including key industry participants, subject-matter experts, C-level executives of key market players, and industry consultants, to obtain and verify the critical qualitative and quantitative information as well as assess prospects.
The following is a breakdown of the primary respondents:
Breakdown of Primary Participants:
Note 1: Others include sales managers, marketing managers, and product managers.
Note 2: Companies are classified into tiers based on their total revenues. As of 2022, Tier 1 = >USD 100 million, Tier 2 = USD 10 million to USD 100 million, and Tier 3 = <USD 10 million.
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COMPANY NAME |
DESIGNATION |
Abbott |
Marketing Manager |
Resmed |
Senior Product Manager |
GE Healthcare |
Marketing Manager |
Market Size Estimation
Both top-down and bottom-up approaches were used to estimate and validate the home healthcare market's total size. These methods were also used extensively to estimate the size of various subsegments in the market. The research methodology used to estimate the market size includes the following:
- The key players in the industry have been identified through extensive secondary research
- The revenues generated by leading players operating in the home healthcare market have been determined through primary and secondary research
- All percentage shares, splits, and breakdowns have been determined using secondary sources and verified through primary sources
Global Home healthcare Market Size: Bottom-Up Approach
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Global Home healthcare Market Size: Top-Down Approach
Data Triangulation
After arriving at the overall market size applying the process mentioned above, the total market was split into several segments and subsegments. To complete the overall market engineering process and arrive at the exact statistics for all segments and subsegments, data triangulation and market breakdown procedures were employed, wherever applicable. The data was triangulated by studying various factors and trends from both the demand and supply sides.
Market Definition
Home healthcare refers to the medical attention, care and support provided to patients at residences by licensed healthcare workers, such as nurses, home health aides, and personal care aides. The home healthcare market includes products and services that can be set up remotely at patient’s home.
Key Stakeholders
- Senior Management
- End User
- Finance/Procurement Department
- R&D Department
Report Objectives
- To define, describe, segment, and forecast the global home healthcare market, by products, service, indication, and region
- To provide detailed information regarding the major factors influencing the market growth (such as drivers, restraints, opportunities, and challenges)
- To analyze the micromarkets1 with respect to individual growth trends, prospects, and contributions to the overall home healthcare market
- To analyze market opportunities for stakeholders and provide details of the competitive landscape for key players
- To forecast the size of the market segments with respect to five regions, namely, North America, Europe, the Asia Pacific, Latin America, and the Middle East & Africa
- To profile the key players and comprehensively analyze their product portfolios, market positions, and core competencies
- To track and analyze company developments such as product launches & approvals, partnerships, acquisitions, agreements, and other developments
- To benchmark players within the market using the proprietary Competitive Leadership Mapping framework, which analyzes market players on various parameters within the broad categories of business and product excellence
Available Customizations
MarketsandMarkets offers the following customizations for this market report
Country Information
- Additional country-level analysis of the home healthcare market
Company profiles
- Additional five company profiles of players operating in the home healthcare market.
Product Analysis
- Product matrix, which provides a detailed comparison of the product portfolio of each company in the home healthcare market
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