Consumers’ desires to receive health care supports and services within their own homes, along with an large aging demographic, has led researchers to forecast a billion dollar market for elder care technology products in the next five years.
The global market for senior care tech products is expected to reach $3.2 billion come year’s end, and nearly $7.2 billion by 2018 as the market registers a compounded annual growth rate of 17.7% in that time frame, according to a report from BCC Research.
National health expenditures in the U.S. totaled has been the rise, with increases in spending attributable to an aging society, note researches in the “Technologies for Long-Term Care and Home Healthcare: Global Markets” report from BCC.
U.S. health expenditure totaled approximately $2.8 trillion in 2012, as compared to $2.5 trillion in 2010. But while 2013 is still underway, researchers believe this year will top previous years in terms of healthcare spending, especially as demographics look to play a significant role.
“In large part, these spending increments are attributable to an aging society,” writes the report. “Moreover, the amount spent on healthcare for older Americans is three to five times greater than the cost of care for someone under age 55.”
The report divides elder-care technologies into two groups of monitoring systems, for home telehealth and safety monitoring. Home telehealth is used to deliver care in an individual’s home ad includes the monitoring of physiological parameters and symptoms, whereas safety monitoring includes assist-call devices, medication management products and robotically enhanced mobility-assitance devices.
Older adults’ preferences to age in place was also found to contribute to a growing demand for healthcare tech to keep seniors healthy and in their homes, especially as family members worry for their elderly relatives safety living alone.
“Advances in communications and information technology have created products that make remote monitoring feasible,” writes the report. “Smart phones, personal digital assistants, and wireless networks are everywhere, including within seniors’ homes. These technologies carry both economic and emotional appeal to caregivers and the elderly.”
Written by Jason Oliva