Enjoy complimentary customisation on priority with our Enterprise License!
The long-term care market size is estimated to grow at a CAGR of 3.33% between 2022 and 2027. The long-term care market size is forecast to increase by USD 398.4 billion. The growth of the market depends on several factors, including growing demand for long-term care from the aging population, an increase in healthcare budgets by governments, and growing demand to prevent infections and ensure patient safety.
This long-term care market report extensively covers market segmentation by application (nursing care and assisted living facilities, home healthcare, and hospice), type (government, public and private players, out of the pocket, and private insurance), and geography (North America, Europe, APAC, South America, and Middle East and Africa). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
To learn more about this report, View Report Sample
The growing demand for long-term care from the aging population is notably driving the market growth, although factors such as the lack of skilled nursing staff for long-term care may impede the market growth. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
The growing demand for long-term care from the aging population is notably driving market growth. The geriatric population requires home healthcare services because they are susceptible to both communicable and non-communicable diseases. Due to the convenience and growing acceptance of services like assistive living care and home-based diagnosis, long-term care services, such as home healthcare services, are on the rise. Additionally, many lifestyle diseases like diabetes and cardiovascular disease are more common in the elderly population. The demand for nursing care and stroke recovery care services is high due to the prevalence of these diseases. Personal care, companion management, palliative care, fit-mind cognitive care, hospital discharge services, and home support care services are additional services geared toward the geriatric population.
The older population's reduced mobility also raises the demand for long-term care services, particularly home healthcare. This is due to their inability to regularly afford healthcare facilities. Nursing services, assistance services, wound care services, and dietary management services are, therefore, frequently used by the elderly population. Thus, the growth of the aging population will drive the growth of the long-term care (LTC) market during the forecast period.
Technological advances in long-term care are an emerging trend in market growth. This is because more people are using the internet, which has led to the development of online platforms, mobile apps, and mHealth. Mobile applications, wearables and trackers, communication tools, and smart alarms are among the long-term care services that are increasingly in demand. Caretakers and nurses can monitor, record, and observe patients using these services, as well as communicate with physicians and other HCPs.
The use of computer and mobile phone-based patient data management among these technologies is spreading throughout long-term care. The main technological advancements are mHealth and mobile-based healthcare applications that produce electronic health records (EHRs) and mobile health records (MHRs). Patient data, including weight, diet, exercise, blood pressure, blood sugar, and cholesterol, is stored and updated by the user in MHR and EHR. Furthermore, during emergencies, service providers and caregivers are notified using other technologies, such as alarm integration strategies. Thus, such factors will drive the growth of the global long-term care (LTC) market during the forecast period.
The lack of skilled nursing staff for long-term care is a major challenge impeding market growth. Particularly in the area of geriatrics, the industry is experiencing a shortage of primary care doctors and caregivers. Long-term care facilities are in need of trained nurses, and many nurses choose to work in management positions in order to advance their careers. The industry has a strong isolationist culture, which keeps nurses focused on their tasks rather than their patients. As a result, residents of long-term care facilities received lower-quality services.
It is challenging to persuade potential employees, such as medical students, to choose careers in primary care because non-primary care medical specialties offer better financial rewards. In conjunction with and under the direction of a physician, physician extenders like nurse practitioners and physician assistants fill the gap and are crucial in providing long-term care for residents. Therefore, a lack of skilled workers can harm the market's reputation and discourage potential new residents, which lowers industry revenue. Additionally, this also lowers the standard of care given to residents. Thus, such factors will hinder the growth of the long-term care (LTC) market during the forecast period.
The report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Global Long-Term Care Market Customer Landscape
Vendors are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Sunrise Senior Living LLC - The company provides senior care services including assisted living, independent living, and memory care in the US, Canada, and the UK. The key offerings of the company include long-term care through memory care, assisted living, and skilled nursing.
The report also includes detailed analyses of the competitive landscape of the market and information about 15 market vendors, including:
Qualitative and quantitative analysis of vendors has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.
The market share growth by the nursing home and assisted living facilities segment will be significant during the forecast period. Nursing homes provide institutional care for people who need significant help with activities of daily living like bathing, using the restroom, and transferring and are recovering from an acute illness or whose chronic medical needs necessitate skilled nursing care. Nursing homes have a high occupancy rate and benefit from their early market penetration. It represents the second-largest market segment for long-term care globally.
Get a glance at the market contribution of various segments View the PDF Sample
The nursing home and assisted living facilities segment were valued at USD 1,197.50 billion in 2017 and continue to grow by 2021. Elderly people who need assistance with daily tasks like bathing, doing laundry, and taking medications are the main target audience for assisted living. Most assisted living facilities have staff members and licensed medical professionals on duty for 24 hours. Assisted living facilities frequently have living quarters that resemble apartments. This segment also provides communities with memory care units designed specifically for people with cognitive impairment and frequently includes heightened security features like additional surveillance technology and locked doors. These apartments might not permit residents to have kitchens in their residences due to safety concerns. Compared to independent living, nursing retirement homes provide more personal assistance and medical care. For elderly residents with severe medical conditions or cognitive impairment, nursing care is very effective. As the number of elderly people increases, there is an increase in the demand for nursing services in many nations. For instance, the Census Bureau predicts that by 2030, 20% of US citizens will be over 65, which will result in a rise in the demand for independent nursing care. Such factors will drive the growth of the long-term care (LTC) market in the segment during the forecast period.
For more insights on the market share of various regions Download PDF Sample now!
North America is estimated to contribute 35% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
The aging population, rising use of long-term care services, and rising public awareness are the main factors driving the growth of the long-term care (LTC) market in North America. Due to its high consumption rate and high disposable income, the US has dominated this region. The region has a slightly higher potential for growth than other regions like APAC and Europe because it has a large number of long-term care facilities and rehabilitation centers. Numerous adult daycare centers, hospice services, and nursing home facilities have increased the range of services that are offered in the regional market. Additionally, the region's high disposable incomes and widespread public awareness have led to a high uptake of different long-term care services.
North American developed nations like the US and Canada have seen advancements in healthcare infrastructure in recent years. The demand for long-term care in the area has been fueled by the accessibility of goods and services, rising healthcare spending, the availability of long-term health insurance, and favorable reimbursements. Furthermore, the increasing number of hospitals and the availability of skilled HCPs have driven the growth of the market in the region. The Department of Health and Human Services (HHS) also estimates that seven out of ten seniors who reach the age of 65 will now need some kind of long-term care (LTC). Additionally, it has been predicted that 24 million people in North America will require LTC by the year 2030. Hence, all of the abovementioned factors will boost the market growth during the forecast period.
The outbreak of COVID-19 in 2020 negatively affected the potential growth of the regional market temporarily. However, the lockdown restrictions were lifted due to the rapid vaccination drives in 2021, which led to the resumption of operation in all sectors, including the service sector. Moreover, rising investments in the healthcare industry in the region will further enhance long-term care services. Additionally, the expansion of home- and community-based services (HCBS) is leading to the development of nursing home care centers, which is enhancing long-term care services across the region. Such factors will drive the growth of the market in the region during the forecast period.
The long-term care market report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
Technavio categorizes the global long-term care market as a part of the global specialized consumer services market. The parent global specialized consumer services market covers revenue generated by consumer service providers, including residential services, home security services, legal services, personal services, renovation, and interior design services, consumer auction services, wedding services, and funeral services. Our market research report has extensively covered external factors influencing the parent market growth during the forecast period.
Long-Term Care Market Scope |
|
Report Coverage |
Details |
Page number |
168 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 3.33% |
Market growth 2023-2027 |
USD 398.4 billion |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
3.01 |
Regional analysis |
North America, Europe, APAC, South America, and Middle East and Africa |
Performing market contribution |
North America at 35% |
Key countries |
US, China, Japan, Germany, and France |
Competitive landscape |
Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks |
Key companies profiled |
Sunrise Senior Living LLC, Wickshire Senior Living, Extendicare Canada Inc., Sonida Senior Living Corp., Diversicare Healthcare Services Inc., Kindred Health Holdings LLC, Genesis Healthcare Inc., Life Care Centers of America Inc., Honor Technology Inc., Amedisys Inc., FCP Live In, CareOne Management LLC, Illumifin Corp., Brookdale Senior Living Inc., Abri Health Care Services LLC, SeniorLiving.org, and Revera Inc. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period. |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements. Get in touch
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Market Segmentation by Type
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
Get lifetime access to our
Technavio Insights
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.