Market Size and Overview:

Global Rehabilitation Services Market was valued at USD 7.26 billion and is projected to reach a market size of USD 11.43 billion by the end of 2030. Over the forecast period of 2024-2030, the market is projected to grow at a CAGR of 6.7%.

Industry Overview:

Medical rehabilitation represents a unique healthcare sector dedicated to aiding individuals in restoring their physical, mental, and cognitive capabilities. Rehabilitation services facilitate the reintegration of individuals into their daily routines. These services encompass a diverse range of therapies, including occupational therapy, speech and language therapy, cognitive therapy, and physical therapy. Occupational therapy aims to enhance both the mental and physical well-being of individuals, enabling them to engage in routine activities. It addresses various issues such as diminished upper body strength, impaired fine motor skills, reduced coordination, cognitive impairments, safety concerns, and challenges in self-care and community reintegration.

MARKET DRIVERS:

The market is being propelled by an increasing elderly population worldwide and advancements in technology.

The global Rehabilitation Services Market is witnessing growth propelled by the expanding elderly demographic and the associated rise in age-related disabilities. A primary contributor to disabilities in the elderly is the depletion of lubricating substances in joint bones, such as hyaluronic acid or hyaluronan (HA), lubricin, and surface-active phospholipids, which are typically found in lower quantities in individuals aged 60 and above. The prevalence of major diseases like cardiovascular diseases (CVD), cancer, and neurological disorders worldwide, coupled with the increasing number of individuals with disabilities, presents opportunities for market growth. Moreover, various countries and healthcare organizations worldwide are prioritizing the enhancement of healthcare infrastructure and exploring advancements for improved diagnosis and treatment methodologies.

MARKET RESTRAINTS:

The market growth is hindered by the high costs associated with rehabilitation services.

The high cost of rehabilitation services serves as a constraint on market expansion. A significant portion of the global population belongs to the middle-income bracket, as indicated by data released by Oxfam, a global confederation of charitable organizations, which forecasts that over a quarter of a billion individuals may fall into poverty by 2022. Such economic factors deter access to healthcare services for a considerable portion of the population, potentially impeding the growth trajectory of the Rehabilitation Services Industry in the forecast period.

Segmentation Analysis

Rehabilitation Services Market - By Application:

1. Physical Operational Therapy

2. Lower-body Exercise Equipment

3. Daily Living aids

4. Mobility Equipment

5. Body Support Device

6. Others

Regarding application, the Mobility Equipment category secured a predominant market share in 2022 due to the escalating prevalence of disabilities worldwide. According to data from the World Health Organization (WHO) concerning Road Traffic Injuries published in June 2022, approximately 1.3 million individuals succumb to road accidents annually, with over 90% of these fatalities occurring in low and middle-income nations. Moreover, an additional 50 million people sustain non-fatal injuries, many of whom acquire disabilities as a consequence of their injuries.

However, Daily Living aids are projected to exhibit the highest compound annual growth rate (CAGR) of 6.5% during the forecast period of 2023-2028. These aids play a crucial role in the daily lives of individuals with disabilities, assisting them in various routine activities. Essential equipment such as bathing aids, walking frames, bed levers, toilet frames, stair lifts, hospital beds, hoists, among others, are indispensable for daily functionality.

Rehabilitation Services Market - By End-Use:

1. Hospitals and Clinics

2. Rehab Centers

3. Homecare Settings

4. Physiotherapy Centers

Concerning end-use, the Physiotherapy segment commanded a significant market share in 2022. This is attributed to the growing demand for physiotherapy among the elderly population and individuals recovering from major injuries or surgeries. According to a research paper published by the National Center for Biotechnology Information in July 2020, approximately 310 million primary surgeries are conducted annually, with around 40 to 50 million in the U.S. and 20 million in Europe.

The increasing incidence of surgeries and the expanding elderly population are driving the growth of the Rehabilitation Services Market Share. However, Occupational Therapy is expected to register the fastest CAGR of 6.2% during the forecast period of 2023-2028. This growth can be attributed to its focus on enhancing patients' abilities to engage in occupational-based activities, functional exercises, and preparatory methods. Occupational therapy is primarily utilized in major ailments such as post-stroke management and Parkinson’s disease, among others.

Rehabilitation Services Market - By Region:

1. North America

2. Europe

3. Asia-Pacific

4. Latin America

5. The Middle East

6. Africa

Geographically, North America dominated the market with a 40% share in 2022, attributed to its well-established healthcare infrastructure. Additionally, the rising prevalence of non-communicable diseases such as cancer, cardiovascular diseases, diabetes, arthritis, and Parkinson’s is rapidly increasing in this region. This surge in chronic ailments and disabilities in North America propels the growth of the Rehabilitation Services Market share.

Moreover, Asia-Pacific is anticipated to exhibit the fastest CAGR of 7.1% during the forecast period of 2023-2028, owing to emerging healthcare trends in the region. Furthermore, various government policies, increasing research initiatives by key market players, expanding public and private reimbursement infrastructure, a growing number of physicians, and rapid adoption of new products are anticipated to drive the growth of the Rehabilitation Services Market Share in this region throughout the forecast period.

Rehabilitation Services Market Share by Company:

1. Smart Speech Therapy (U.S.)

2. Therapy Solutions (U.S.)

3. Benchmark Therapies (U.S.)

4. Speed Pathology (Australia)

5. Priory (U.K.)

6. Bellefleur Physiotherapy (Canada)

7. SuVitas (India)

8. LifeStance Health Inc. (U.S.)

9. FYZICAL (U.S.)

10. Sutter Health (U.S.)

These companies are experiencing significant expansion attributed to continuous product innovation supported by rapid technological adoption. To effectively compete in the market space, emerging firms in the region are focusing on vertically integrating their operations and collaborating with established brands to enhance their global market presence. Major corporations are investing in research and development activities to create innovative products and expand their product applications. Additionally, these companies are utilizing various strategies such as mergers and acquisitions to foster growth.

COVID-19 Impact on the Rehabilitation Services Market:

COVID-19, caused by the novel coronavirus, emerged as a global pandemic following its outbreak in Wuhan, China, in December 2019. The pandemic swiftly escalated, placing immense pressure on healthcare systems worldwide. Companies intensified their research and development endeavors to develop vaccines and treatments against the virus.

The COVID-19 pandemic resulted in a sharp decline not only in patient numbers but also in outpatient rehabilitation services such as physical and occupational therapy sessions. One limitation of the study was the omission of patient profiles, which could provide a more comprehensive assessment. Additionally, the study solely considered the number of patients and outpatient rehabilitation services, neglecting other crucial parameters. Further research is warranted to explore the impact of the COVID-19 pandemic on patients' functional status and how delayed or interrupted rehabilitation services affect patient outcomes. Studies assessing the importance of timely rehabilitation are essential to understand the ramifications of such delays during pandemics. The primary concern is that COVID-19 or any similar pandemic in the future may disrupt healthcare services for rehabilitation patients due to various factors. With a projected increase in the number of patients with disabling conditions, the rehabilitation services sector may face setbacks in the future. Hence, there is a need for adequate preparedness to deliver excellent and timely rehabilitation programs with a patient-centered, personalized, and tailored approach.

Notable Happenings in the Rehabilitation Services Market in the Recent Past:

- Acquisition: In November 2022, Medline announced the acquisition of Dufort et Lavigne Ltée, a Montreal-based distributor of medical supplies.