The Geriatric Care Services Market is on a robust growth trajectory, projected to expand from USD 1.45 trillion in 2023 to USD 2.88 trillion by 2032, with a compound annual growth rate (CAGR) of 7.8% during the forecast period. This growth is driven by a rapidly increasing global geriatric population, favourable reimbursement policies, and heightened government funding for elderly care.
Market Drivers: Understanding the Growth Factors
Ageing Population: The global demographic shift towards an older population is a primary driver of market expansion. According to World Population Prospects, by 2050, one in six people globally will be over the age of 65, up from one in eleven in 2019.
Chronic Health Conditions: The prevalence of chronic diseases among the elderly necessitates specialized care services. Conditions such as high blood pressure, Alzheimer’s disease, and diabetes are increasingly common, leading to a higher demand for tailored geriatric care.
Diverse Service Offerings: Geriatric care services encompass a wide range of solutions, including in-home care, assisted living facilities, and nursing homes. These services are designed to promote the well-being and independence of older adults.
Key Market Segments
Service Types: The market is segmented into home care, adult day care, and institutional care. The institutional care segment leads with a valuation of approximately USD 914.1 billion in 2023, driven by comprehensive healthcare services provided within formal settings.
Service Providers: Public geriatric care services dominate the market with a revenue share of USD 1.04 trillion in 2023, projected to grow at a CAGR of 7.5% through 2032 due to government initiatives that enhance accessibility and affordability.
Payment Sources: Public insurance remains the largest segment, expected to reach over USD 2.02 trillion by 2032, supported by programs like Medicare and Medicaid that provide extensive coverage for geriatric services.
Challenges Facing the Market
High Costs: The cost of geriatric care services remains high in developing nations, limiting access to essential services.
Infrastructure Gaps: Many emerging economies lack adequate healthcare infrastructure to support specialized geriatric facilities.
Growth Opportunities
Personalized Care Demand: As chronic health conditions rise, there is a growing need for personalized assistance with daily activities, medication management, and emotional support.
Expansion in Assisted Living Facilities: The number of assisted living units has increased from 717,100 in 2020 to 743,273 in 2022, reflecting a surge in demand for supportive living environments.
Regional Insights
The U.S. dominates the North American geriatric care services market with an expected value exceeding USD 1.06 trillion by 2032. This dominance can be attributed to:
A robust healthcare infrastructure.
A significant ageing population requires various levels of specialized care.
Comprehensive insurance coverage that facilitates access to necessary services.
Leading Companies in the Market
Brookdale Senior Living Inc.
Active Day
Extendicare Inc.
Genesis Healthcare Corp
Home Instead Senior Care Inc.
Recent Industry Developments
In January 2023, Genesis Healthcare Inc. announced plans to add 34 nursing homes in Pennsylvania, aiming to strengthen its market position.
In October 2019, Active Day acquired Person-Centered Services (PCS), expanding its operations across Ohio and enhancing its customer base.
Source: Global Market Insights
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