The home care industry is growing rapidly as the population ages and more people require assistance with activities of daily living. In this article, we will explore the market growth, size, and trends in the home care industry, as well as some interesting statistics about the industry. We will also discuss some of the latest trends in home healthcare services, all of which are vital considerations when it comes to growing a private home care business. Finally, we will provide a brief overview of the home healthcare services industry outlook.
Home Healthcare Services Industry Overview
The home care industry is growing rapidly due to the aging population and the need for more people to have assistance with activities of daily living. The US home healthcare services market share is $95B in 2022 and is expected to grow to $153B by 2030, at a compound annual growth rate (CAGR) of 7.2%. The home health care industry employs nearly 3 million people, and this number is expected to grow to 4 million by 2025.
Businesses that make up the home healthcare services industry include:
– home health agencies
– home care agencies
– hospice care providers
– home medical equipment suppliers
– private duty home care companies
The home care industry is highly fragmented, with the top 50 companies accounting for only 26% of the market share. The type of services that it provides are:
– home health services
– home care services
– hospice care services
– home medical equipment supplies
Although the aging population is the main driving force, the home care industry also services people of all ages who are disabled, have chronic illnesses or are recovering from surgery.
Interesting Statistics about the Home Healthcare Industry
Let’s look at some interesting statistics about the home healthcare industry.
– The number of Americans over the age of 65 is expected to nearly double by 2030, from 46 million to 84 million.
– There are currently more than 450,000 home health agencies in the United States.
– 90% of seniors want to age-in-place and stay in their own homes.
– The home healthcare industry is expected to create nearly 1 million new jobs by 2030.
The number of Americans living with chronic illnesses (diabetes, hypertension, etc.) is also expected to increase. By 2030, it is estimated that 170 million people, or nearly half of the US population, will have at least one chronic illness.
Some of the most common chronic illnesses include:
– diabetes
– heart disease
– obesity
– arthritis
– cancer
54M Americans currently have a disability. Some of the most common disabilities include:
– difficulty walking or climbing stairs
– difficulty hearing or seeing
– mental illness
– Alzheimer’s disease or dementia
As the population ages and the number of people with chronic illnesses and disabilities increases, the demand for home healthcare services will continue to grow.
Trends in the Home Healthcare Industry
Let’s look at the trends forecasted for the home healthcare industry.
– The aging population is the main driver of growth in the home healthcare industry.
– The home healthcare industry is shifting from a fee-for-service model to a value-based model.
– Technology is playing an increasingly important role in home healthcare, with telehealth, remote patient monitoring, and mobile apps becoming more prevalent.
Other trends are:
– The home healthcare industry is becoming more consolidated.
– The home care workforce is expected to grow significantly in the next decade.
– The home healthcare industry is becoming more regulated.
– Home care services are being increasingly provided by non-traditional providers such as retailers and technology companies.
Those seeking an opportunity in this sector can find something that suits their skills and passion.
Conclusion
With a positive outlook, it makes sense to join the home care industry. Whether you start from scratch or buy into a franchise, the outlook is positive. Do the homework needed by looking into all the possibilities before committing yourself to the model you choose and remember to place your passion into your perspective.