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Medical Center & Facilities: Latest Market Statistics and Trends

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Global Medical Facility Industry Analysis

The global medical facility industry encompasses all locations where medicine is practiced on an ongoing basis. Such sites include medical doctor’s offices, small-sized clinics, hospitals and care centers. This sector is part of the healthcare section one level above.

Medical facilities have to meet strict set legal standards in most countries, with a license issued by regulatory agency necessary for each facility to begin practicing medicine. Medical facilities can be privately owned, state owned, or be owned by non-profit organizations or for-profit business outfits.

Key Market Segments

Various types of residences are available for retirees depending on their specific needs. Developers operating in the field of adult and retirement communities continue to increase the number of options available. Urban residences are available to retirees working part-time or those wishing to live with younger people, reports Global Industry Analysts. Senior housing built in close proximity to college campuses are becoming increasingly popular. An environmentally friendly approach to development is becoming more and more important, with developers opting for renovation and other eco-friendly options.

Marketing is playing a significant role in the senior housing sector, with many retirees choosing senior living communities based on the wellness programs provided. Senior housing providers are responding to demand for flexible financing and customized services to attract retirees. There is an array of wellness programs on offer including rehabilitation services, hospice programs and memory care.

Over the coming years, resident programs that favor intellectual stimulation will receive increasing attention. Assisted living facilities are particularly popular with people suffering from physical conditions that do not require a high degree of intensive care. Demand for such facilities is fuelled by a combination of a desire for independence and senior citizens’ financial resources. Many retirees are in a financial position that allows them to choose the type of senior care facilities they will live in, through a combination of long-term care insurance, savings and pensions.

Regional Market Share

India’s hospital services market is a leading segment within the country’s healthcare industry. Growth in the Indian hospital market is being driven by improved affordability, rising rates of disease and greater health insurance coverage. According to RNCOS, India’s hospital service industry is forecast to exceed $81 billion by 2015. Market growth will be fuelled by the need to solve the country’s deficit of 3 million hospital beds.

India’s hospital service industry will benefit from private sector investment, representing about 80% of the overall market. Private outfits such as Max Healthcare, Fortis and Apollo are investing in urban areas likes Bengaluru, Pune, Hyderabad, Mumbai and Delhi due to the densely populated nature of these cities and need for greater bed capacity. These cities are also home to a high percentage of middle-income earners who have the means to pay for high-quality healthcare services.

The economic recession took its toll on the nursing home and residential care market in the UK, reports KeyNote. State spending was reigned in by strict budgetary cuts, with October 2010’s Comprehensive Spending Review outlining annual local authority spending cuts in excess of 5% through 2014. Many local government bodies have increased the eligible age for free adult social care. In the four-year period ending 2010, the UK’s long-term care for physically disabled and elderly people grew almost 15% to almost $22 billion. The number of public sector long-term care places fell from almost 59,000 to just over 46,000 in the same four-year period. In 2010, the private sector represented 85% of the overall long-term care market.

Leading companies in the UK care homes industry include BUPA, Sunrise Senior Living and Barchester Healthcare. Care homes represent a long-term growth market due to rising life expectancies. Key Note expects the long-term care market to expand by more than 13% by 2015 to exceed $25 billion.

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