Medical Tourism Market - Segmented by Treatment Type (Cosmetic Treatment, Dental Treatment, Cardiovascular Treatment and Others) and Geography - Growth, Trends, and Forecast (2018 - 2023)
The global medical tourism market was valued at USD 15.43 billion in 2017, and is expected to register a CAGR of 8.5% during the forecast period of 2018-2023. Asia-Pacific accounted for the largest share of around 40% of the global market, whereas, North America was estimated to register the fastest CAGR over the forecast period.
Medical tourism refers to traveling to another country for obtaining medical treatment. It is a high-growth industry, driven by globalization and rising healthcare costs in developed countries. A study shows that in the United States, about 750,000 residents travel abroad for care, each year. A range of governments across the globe have taken up various initiatives, to stimulate and improve medical tourism in their respective countries, to improve patient quality care and boost the market. Many countries recorded significant economic development potential in the emergent field of medical tourism. Cosmetic surgery, dental care, elective surgery, fertility treatments, cardiovascular surgery, and genetic disorder treatments are the most preferred forms in this sector.
High Cost of Medical Treatment in Developed Countries and Their Availability at Low Price in Other Countries Boost the Growth of Medical Tourism Market
The cost of undergoing medical treatment in a developed country is very high. It is estimated that, although the treatments are of reliable quality, the procedures tend to be on the expensive side. Along with this, the major healthcare products are also quite extravagantly priced. This scenario places a big burden on the healthcare systems, worldwide, accompanied by the additional rising costs of litigation during the recent times. Healthcare practitioners need to be aware of both the direct and indirect costs, and consider how the implementation of prevention protocols may offer cost savings in the longer term. People in the developed countries cannot afford the huge expenditure associated with medical treatments. Not all medical bills are covered by the insurance companies, which makes the patients turn to countries abroad. Countries in Asia, Middle East, and South America provide high quality medical services at a much lower rate, compared to the developed economies. There are companies, which cater to all the medical and non-medical needs of the tourist during their travel.
Issues with Patient Follow up and Post-procedure Complications Hinders the Growth of Medical Tourism Market
Medical procedures, like heart surgeries and joint replacements, sometimes require patients to follow up for longer periods of time, and these follow ups can last for 3-6 months. However, in the case of medical tourists, they leave for their home country as soon as they are deemed fit for travel, and hence, follow up mostly happens through online consulting. Online consulting is not always as effective as in-person consulting, and can lead to unintentional skipping of important points. Along with it, in case there are any post procedure complications, there is very little the doctors in their home country can do, as the doctor who performed the procedure is overseas. To add to this, many a times these complications are not covered by insurance and can prove financially fatal to the patient. Due to this, the issues with patient follow up and post procedure complications are a major concern for potential medical tourists and are hence hindering the growth of the global medical tourism market.Some ethical concerns regarding medical tourism, like differentiating between the standards of treatment for foreigners and the locals, can hamper the market. In addition, the people from developed countries or other places are prone to diseases/infections in the host country. All these factors are anticipated to restrict the market’s growth.
Market Segmentation Insights for the Medical Tourism Market
The medical tourism market is segmented by treatment type and geography. By treatment is further segmented into Cosmetic, Dental, Cardiovascular, Orthopedics, Bariatric Surgery, Fertility, Ophthalmic and others. Cardiovascular Treatment has the largest share in the market that is about 20.3% as cardiovascular diseases are one of the leading causes of death worldwide and patients in the developed countries are seeking the most cost-effective treatments from the developing countries, saving up to 70% of the costs. Emerging markets such as India, Brazil, Thailand and Singapore have around 10% of the cost of cardiac surgeries compared to cost in the US. Fertility tourism or reproductive tourism is one of the fastest growing areas with a CAGR of 9.7% in the future forecast.
Asia-Pacific is expected to have High Growth Opportunities in Medical Tourism Market
Asia-Pacific has the highest share in the market and accounted for around 40% of the global market, in 2017. Owing to increase in accessibility and availability of healthcare facilities and rise in healthcare and research expenditure, Asia-Pacific has a high market potential for the growth of the medical tourism market. This region is anticipated to experience rapid market expansion, due to economic development and the government is taking initiative to encourage medical tourism in the country. For instance, the visa barriers are being relaxed, and foreigners have to apply for M-visa for obtaining medical treatment in India.
Key developments in the Market
- Jan, 2018 - The Saudi Commission for Tourism and National Heritage (SCTH) has been promoting medical tourism to boost the local tourism sector. As a part of its plan to pave the way for investment in touristic sites, the SCTH established public facilities around the geothermal waters of Al-Dobdobah well. The sulfuric hot spring waters are known for their medicinal properties and attract a lot of medical tourists.
- Oct, 2017- The Indian ministry of finance, in association with the ministries of tourism and health, launched a portal, www.indiahealthcaretourism.com, for helping medical travelers with a comprehensive information base. The portal offers information in Arabic, Russian, and French.
Major Players -Cosmedic Travel, BB Health Solutions, Euromedical Tours, Klinikum Medical Link, Apollo Hsopitals, Healthbase, Medretreat, KPJ Healthcare Behard, among others.
Reasons to Purchase the Report
- The present status and outlook of the medical tourism market, in developed and emerging economies.
- Analyzing various perspectives of the market with the help of Porter’s five forces analysis.
- The treatment type that is expected to dominate the market.
- Regions that are expected to witness the fastest growth during the forecast period.
- Identify the latest developments, market shares, and strategies employed by the major market players.
- 3 months analyst support along with the Market Estimate sheet (in Excel).
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