June 13, 2024

Health Caregiving Market Is Estimated To Witness High Growth Owing To Technological Advancements

The health caregiving market provides non-medical care and assistance to elderly people, individuals with disabilities, and chronically ill children and adults. Caregivers assist clients with daily tasks such as eating, bathing, dressing, taking medications as prescribed, accompanying to appointments, and providing transportation. The global demand for caregivers is driven by the rising geriatric population suffering from chronic diseases and disabilities that require long-term care. Technological advancements like remote patient monitoring devices and smart personal emergency response systems help caregivers enhance the level of care while reducing costs.

The Global health caregiving Market is estimated to be valued at US$ 213.24 Mn in 2024 and is expected to exhibit a CAGR of 5.0% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the health caregiving market are Honeywell International Inc., KEMET Corporation (Yageo Company), Arcol UK Limited, Panasonic Corporation, Susumu Co. Ltd., TDK Corporation, Ohmite Manufacturing Company, Vishay Intertechnology Inc., TE Connectivity Ltd., Murata Manufacturing Co. Ltd., KOA Speer Electronics Inc., AVX Corporation (Kyocera Corp.), TT Electronics PLC, Taiyo Yuden Co. Ltd., Coilcraft Inc., Sagami Elec Co. Ltd., Eaton Corporation, WIMA GmbH & Co. KG, API Delevan (Fortive Corporation), Cornell Dubilier Electronics Inc., Wurth Elektronik Group, Yageo Corporation, Bourns Inc., Lelon Electronics Corp., and United Chemi-Con (Nippon Chemi- con Corporation). The market provides lucrative growth opportunities through innovation in assistive caregiving technologies and customized care plans. Companies are investing in technologies such as smart wearables, mobile health applications, and AI-powered remote patient monitoring solutions to enhance care quality. Population aging in countries like United States, China, and Japan will augment the demand for healthcare services over the forecast period.

Market Drivers

The growing geriatric population suffering from age-related medical conditions is a key driver boosting the need for long-term care services. As per estimates, over 1.5 billion people will be aged 60 years and older by 2050. Furthermore, the increasing prevalence of dementia and Alzheimer’s diseases necessitate continual supervision and assistance, thereby fueling market expansion. Chronic diseases like diabetes, cancer, and cardiovascular disorders also accelerate the demand for caregivers. The shift towards home healthcare to reduce hospital readmissions and healthcare costs acts as another growth propeller for the caregiving industry.

Challenges in Health Caregiving Market

The health caregiving market demand faces certain challenges, many of which are related to an aging population. More people are living longer with chronic conditions, so they require long-term care options that allow them to age in place and maintain independence for as long as possible. At the same time, families are more dispersed geographically, making it difficult for family members to provide hands-on care. There is also a shortage of professional caregivers, home health aides, and nursing staff to meet the growing demand. High worker turnover in these jobs adds further strain. Financial challenges exist as well, as long-term care can be costly and Medicare/insurance may provide limited coverage for non-medical care needs. The pandemic underscored vulnerabilities in long-term care systems and highlighted the need for changes to help the industry better serve an aging population.

SWOT Analysis

Strength: The growing elderly population and increased life expectancy creates higher demand for caregiving services.
Weakness: Shortage of caregivers and high staff turnover makes it difficult to meet needs in some areas.
Opportunity: Advancements in remote patient monitoring technologies offer opportunities to enhance care for those who want to age at home.
Threats: Economic downturns may squeeze family budgets and reduce spending on long-term care.

Geographical Regions

North America currently accounts for the largest share of the health caregiving market, driven by the United States. An aging population, increased chronic conditions, and a predominance of for-profit nursing homes have fueled growth. Europe is another major region supported by supportive social welfare systems that help fund long-term care in places like Germany, the UK, and France.

Fastest Growing Region

Asia Pacific is poised to be the fastest growing region for the health caregiving market between 2024-2030. This is due to rising incomes, lower costs of care, government initiatives to expand coverage and address shortfalls in nursing home capacity, and cultural preferences for multigenerational living that keep elders at home. Countries like China, India, and Japan will see especially dynamic senior populations shaping the future of caregiving needs.

1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it