The global medical tourism market size was estimated at USD 115.6 billion in 2022 and it is expected to reach around USD 346.1 billion by 2032, poised to grow at a compound annual growth rate (CAGR) 11.59% during the forecast period 2023 to 2032.
The rising burden of diseases among the global population and the availability of advanced medical technologies for the treatment of various chronic health disorders is propelling the demand for the medical tourism, globally. The support and assistance provided by the tourism department and the government of the source and the host destinations is expected to significantly drive the market growth. People seeks medical tourism owing to the expensive treatment in their home country or non-availability of any treatment. Therefore, to attain fast medical attention and affordable medical treatment people tend to opt for medical tourism. Medical tourism witnessed huge traction owing to the globalization of the healthcare market. The easy flow of patients, health professional, medical technologies, and capital across the borders has fueled up the growth of the medical tourism market all over the globe. Moreover, the rising awareness regarding medical tourism and rising affordability of advanced medical treatments is a major factor behind the burgeoning demand for the medical tourism.
The rising investments by the government to build strong and advanced healthcare facilities is boosting the medical tourism market. The favorable government policies, rising investments on the development of air connectivity and other transport mediums, and government initiatives to promote medical tourism are the major factors that contribute in the development of the market. Moreover, the readily available information regarding treatments of various diseases, cost, and best destinations for the treatment plays a major role in spreading awareness regarding the medical tourism. Furthermore, lack of adequate number of specialized health professionals results in the increased medical tourism. Health professionals undertake tourism activities to perform certain surgery that requires special knowledge.
Challenges and developments in medical tourism market
People travel to different places for cancer treatment, cardiovascular disease therapy, dental treatment, orthopedic treatment, and neurological treatment. The worldwide medical tourism business is growing due to the simple availability of finances and financial resources. People can get health insurance and medical insurance from a variety of financial and insurance companies. Medical travel and tourism are covered by several insurance policies. Consequently, health and medical insurance will drive the global medical tourism market forward during the forecast period. Countries with high-quality healthcare infrastructure include the China, the UK, and the U.S. These countries also have cutting-edge and cutting-edge technologies that can be used in the healthcare sector. All of these factors are contributing towards the growth of global medical tourism market.
Scope of the Medical Tourism Market
|Market Size||USD 346.1 Billion by 2032|
|Growth Rate||CAGR 11.59% From 2023 to 2032|
|Largest Market||Asia Pacific|
|Fastest Growing Market||Europe|
|Forecast Period||2023 to 2032|
|Segments Covered||By Treatment Type, By Service Providers, By Type, By Healthcare Service, and Geography|
|Companies Mentioned||Apollo Hospitals Enterprise, Asian Heart Institute, Barbados Fertility Center, Fortis Healthcare Limited, Aditya Birla Memorial Hospital, KPJ Healthcare Berhad, NTT Medical Center Tokyo, Prince Court Medical Centre, Samitivej PCL, Seoul National University Hospital, Wooridul Spine Hospital|
What are the key trends in the medical tourism market?
Every year, over 14 million individuals travel to other nations for medical treatment, according to the Medical Tourism Association. Thus, the growing number of tourists and travelers for regular checkups is driving the growth of global medical tourism market. Some of the regions have low cost for treatment of various kind of diseases. Such nations are Dubai, Singapore, and Thailand. Every year, Singapore receives 500,000 medical tourists with Indonesia accounting for half of them. As a result, growth in the number of medical tourists as well as need for cosmetic and medical treatments is expected in the near future. This factor is boosting the growth of global medical tourism market. Another factor propelling the growth of global medical tourism market is the low cost of operations and surgeries.
Medical care in Asian nations is quite low than in the private institutions in the U.S., according to the Medical and Health Tourism Congress. In Thailand, a heart surgery costs $13,000 as compared to $113,000 in the U.S. A hip replacement procedure in Thailand costs roughly $7,800 as compared to $50,000 in the U.S., as per Apollo Hospitals. In addition, the growing technological advancements in several nations are contributing towards the growth of global medical tourism market. Moreover, the growing trend of cosmetic surgeries is also driving the expansion of global medical tourism market.
Cosmetic surgery costs in the U.S. range from $4,500 to $12,500 on average. As a result, the vast number of people are desiring cosmetic surgery travel overseas to receive the same level of care at a 50% lower cost. Thus, all of these aforementioned factors are resulting towards the growth and development of global medical tourism market.
What are the challenges in the medical tourism market?
The COVID-19 pandemic was the major challenge for the growth of global medical tourism market. The global medical tourism market suffered huge losses due to lockdown and travel restrictions. No individual was allowed to travel from one country to other. As per the World Tourism Organization, the introduction of the COVID-19 pandemic resulted in a worldwide fall of about 73% in travelers in 2020.
In addition, as per the World Tourism Organization, the arrival of travelers in the Asia-Pacific region decreased by 84% in 2020 compared to 2019. In addition, one of the key challenges limiting the medical tourism market’s expansion is a lack of appropriate follow up care. After having medical care overseas, many have trouble receiving follow up treatment in their native nation.
Treatment Type Insights
Based on treatment type, in 2022, the cancer treatment segment accounted largest revenue share and is estimated to sustain its dominance during the forecast period. This can be simply attributed to the rising prevalence of cancer among the global population. According to the International Agency for Research on Cancer, around 19.3 million new cancer cases and around 10 million cancer related deaths were reported in the year 2020, across the globe. Prevalence of breast cancer in the female population is surging, accounting for around 11.7% of the new cancer cases followed by the lungs cancer that accounted for 11.4% and colorectal cancer accounted for 10.0% in 2020. The rapid emergence of various effective treatment for cancer like targeted therapeutics, chemotherapy, and radiation therapy among others is boosting the growth of the medical tourism market across the globe. Cancer treatment is expensive and hence people are increasing adopting medical tourism to attain the treatment in other countries for reducing the costs of the treatment. This is expected to further boost the growth of this segment during the forecast period.
The cardiovascular treatment is projected to be set the most opportunistic segment during the forecast period. The rising number of cardiovascular cases and surging number of deaths due to it is boosting the growth of this segment. According to the World Health Organization, cardiovascular deaths accounts for around 32% or 17.9 million of the total deaths each year across the globe. The sedentary lifestyle of the people, unhealthy food habits. Rising consumption of tobacco, and physical inactivity are the major reasons for the cardiovascular diseases. The cardiovascular cases are expected to rise in the forthcoming years with the rising urbanization, increasing employment, and increasing consumption of fast foods, globally. Hence, this segment is expected to be the fastest-growing segment during the forecast period.
Which regions are driving the medical tourism trend?
North America region dominates the global medical tourism market in 2022. The market growth is attributed to the growing number of tourists in the U.S. for treatment of orthopedic and cardiological disorders. The U.S. spent $3,930 million on inbound medical tourism in 2019, as per the World Travel and Tourism Council study. This factor is boosting the growth of medical tourism market in North America region.
Europe is also leading the market with highest market share. The factors such as rising development of medical facilities and infrastructure in nations such as France, the U.K., and Spain and growing trend of medical tourism are spurring the growth of medical tourism market in Europe. However, due to the coronavirus outbreak, these countries saw huge substantial lose in the market.
The Asia-Pacific region is growing at a rapid growth rate in the global medical tourism market. The Asian countries are considered as top most nations for medical tourism and travel due to low cost of treatments. India is the world’s tenth most popular tourist place for medical tourism, according to the Medical Tourism Index. Furthermore, bypass surgery in India costs roughly $10,000 against $113,000 in the U.S. which quite low in price. As a result, this factor is boosting the growth of market in Asia-Pacific region.
Key Companies & Market Share Insights
The market is moderately fragmented with the presence of several local companies. These market players are striving to gain higher market share by adopting strategies, such as investments, partnerships, and acquisitions & mergers. Companies are also spending on the development of improved products. Moreover, they are also focusing on maintaining competitive pricing.
The various developmental strategies like acquisition, partnerships, mergers, and government policies fosters market growth and offers lucrative growth opportunities to the market players.
Some of the prominent players in the global medical tourism market include:
Segments Covered in the Report
By Treatment Type
By Service Providers
By Healthcare Service
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