Updated date - Oct 21, 2019

[306 Pages Report ] The global home healthcare market is expected to reach USD 353.56 billion by 2022 from USD 237.05 billion in 2016, at a CAGR of 8.3%. The base year considered for the study is 2016 and the forecast period is from 2017 to 2022.

Market Dynamics

Rising incidence of chronic diseases

In recent years, chronic diseases that require long-term treatment have replaced infections as the primary cause of age-related death, and this shift is not limited to the developed world. Treating and managing chronic illnesses has become a major concern. Nearly 50% of all home healthcare patients have at least one chronic illness, and this number is expected to keep increasing in future. Chronic diseases, which affect older adults disproportionately, contribute to disabilities, diminish the quality of life, and increase long-term care costs, thus opening an array of opportunities for various home healthcare companies.

Patients with chronic conditions reportedly show signs of early recovery when treated in a comfortable environment, such as in their homes. Chronic diseases such as diabetes, coronary artery disease (CAD), chronic obstructive pulmonary disease (COPD), asthma, hepatitis, and infectious diseases have increased the burden on healthcare systems across the globe. Globally, around 415 million people were affected by diabetes in 2011; by 2030, this number is expected to rise to 642 million (Source: IDF). Around 80 to 85% of this population requires home healthcare for continuous monitoring of the disease. The number of deaths due to CAD has also increased�from 5.74 million in 1990 to 7.4 million in 2012 and 8.14 million in 2013�as estimated by the WHO. The global CAD burden is projected to increase from around 47 million DALYs (disability-adjusted life years) in 1990 to 82 million DALYs by 2020.

Changing reimbursement policies

In October 2014, the CMS announced changes to the Medicare home healthcare management prospective payment system for 2015 in the US. The changes reduced payments to home agencies by 0.3% (USD 60 million). The CMS cut payments by USD 260 million for 2016. Recently, in July 2017, CMS further proposed a 0.4% decrease, or a USD 80-million cut, for providers in 2018 and a USD 950-million cut for 2019. The proposed model for 2019 also suggested changing the unit of care considered, from 60-day episodes of care to 30 days, with patients grouped into six different clinical categories.

These changes have significantly affected the stocks of some of the largest publicly traded home health companies in 2017. For instance, Amedisys� shares went down by approximately 24.6% in July 2017. Many home healthcare providers declared that this cut would affect the overall quality of care that will be provided. If the quality of the care decreases, the market will be negatively affected.

Untapped developing regions

Home healthcare is an established trend in the developed regions of North America and Europe. Due to favorable regulations and policies in these regions, homecare is rapidly being adopted. As the market in developed countries is nearly saturated, market players have shifted their focus towards the developing regions, especially the emerging economies of Asia and the Pacific region.

Asia has a huge population and a correspondingly huge patient base for medical conditions such as diabetes, asthma, and blood pressure, all of which require continuous monitoring. As the concept of home healthcare in countries like India and China is still in the early growth phase, market players can capitalize on a wide range of opportunities in these markets. For instance, in April 2017, Quadria Capital (Singapore) invested USD 40 million (INR 250 crore) in Dabur family-owned HealthCare at Home (HCAH). In June 2015, India Home Health Care (IHHC) invested USD 10 million (over INR 600 million) to expand its presence in 50 cities of India. In addition, in February 2015, Nightingales Home Health Services (US) announced an investment of USD 40 to USD 50 million in the Indian market by expanding its home health services in 16 major cities in India. Such strategic alignments help global market players gain entry in the emerging economies and strengthen their businesses by expanding their customer base.

The objectives of this study are as follows:

To define, describe, segment and forecast the global home healthcare market by product, service, software, telehealth, and region

To provide detailed information regarding the major factors influencing market growth (drivers, restraints, opportunities, and industry-specific challenges)

To analyze micromarkets with respect to individual growth trends, prospects, and contributions to the overall market

To analyze the opportunities in the market for stakeholders and provide details of the competitive landscape for market leaders

To forecast the size of the market with respect to the four key regions, namely, North America, Europe, Asia, and the Rest of the World (RoW)

To strategically profile the key players and comprehensively analyze their product portfolios, market positions, and core competencies

To track and analyze competitive developments such as agreements, partnerships, collaborations, and joint ventures; mergers and acquisitions; product developments; expansions; and research and development activities in the home healthcare market

Research Methodology

The study estimates the home healthcare size for 2017 and projects its demand till 2022. In the primary research process, various sources from both demand side and supply side were interviewed to obtain qualitative and quantitative information for the report. Primary sources from the demand side include expert researchers from homecare service providers, registered nurses, academic research institutes, laboratory technicians, doctors, home healthcare associations, and pathologists.

For the market estimation process, both top-down and bottom-up approaches were used to estimate and validate the market size of the market as well as to estimate the market size of various other dependent submarkets. All possible parameters that affect the market covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data. This data was consolidated and added to detailed inputs and analysis from MarketsandMarkets and presented in this report. Secondary sources such as directories; databases such as Hoovers, Bloomberg Business, Factiva, and Avention; white papers; annual reports; company house documents; investor presentations; and SEC filings of companies were referred.

To know about the assumptions considered for the study, download the pdf brochure

The home healthcare market is highly competitive with the presence of several small and big players. Prominent players in the market include Philips Healthcare (Netherlands), Kindred Healthcare (US), Linde Group (Germany), Almost Family Inc. (US), Abbott Laboratories (US), LHC Group (US), A&D (Japan), Amedisys (US), Fresenius (Germany), Omron (Japan), McKesson (US), BAYADA Home Health Care (US), Kinnser Software, Inc. (US), and Roche (Switzerland).

Target Audience for this Report:

Home healthcare equipment manufacturers

Home healthcare service providers

Home health software vendors

Nursing services providers

Wound care product manufacturing companies

Pregnancy care product manufacturers and service providers

Supportive care product manufacturers and service providers

Diagnostic companies

Research and development (R&D) companies

Business research and consulting service providers

Medical research laboratories

Venture capitalists

Scope of the Report

This report categorizes the market into following segments and subsegments:

Home Healthcare Market, by Product

Testing, Screening, and Monitoring Blood Pressure Monitors



Blood Glucose Monitors



Pulse Oximeters



Peak Flow Meters



Heart Rate Monitors



Fetal Monitoring Devices



HIV Test Kits



Sleep Apnea Monitors



Coagulation Monitors



Ovulation and Pregnancy Test Kits



Holter and Event Monitors



Cholesterol Monitoring Devices



Colon Cancer Test Kits



Home Hemoglobin A1c Test Kits



Drug and Alcohol Test Kits



ECG/EKG Devices



EEG Devices



Temperature Monitors



Hearing Aids



Pedometers

Therapeutic Oxygen Delivery Systems



Nebulizers



Ventilators



Wound Care Products



IV Equipment



Dialysis Equipment



Insulin Delivery Devices



Inhalers



Other Therapeutic Products (Ostomy Devices, Automated External Defibrillators, and External Stimulation Devices)