New Report Estimates Global Senior Living Market to Grow by $91.37 Billion in the Next 5 Years
The largest share expected to come from North America--estimated to contribute 39% to the growth of the global market from 2023-2027
Market research firm Technavio’s latest report estimates the global senior living market size to grow by USD 91.37 billion from 2023 to 2027. The market is estimated to grow at a CAGR of 5.65% during the forecast period. North America held the largest share of the global market in 2022, and the market in the region is estimated to witness an incremental growth of 39%.
Key companies profiled in the report include AbsoluteCare Inc., Affinity Living Communities, Antara Assisted Service Ltd., Brookdale Senior Living Inc., Covenant Living Communities and Services, Enterprise Retirement Living Ltd., Erickson Senior Living Management LLC, Extendicare Canada Inc., Genesis Healthcare Inc., Golden Heights Personal Care Home, Grand world Elder Care, HC One Ltd., Lendlease Corp., Life Care Centers of America Inc., Merrill Gardens, ProMedica Health System Inc., Senior Lifestyle, Sunrise Senior Living LLC, Utsav Care Homes, and Wickshire Senior Living.
Senior living market - Five Forces
The five forces analysis covers:
Bargaining Power of Buyers
The threat of New Entrants
Threat of Rivalry
Bargaining Power of Suppliers
Threat of Substitutes
The report includes the market's adoption lifecycle, from the innovator's stage to the laggard's stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Technavio has segmented the market based on age group (85 or older, 75 to 84, 65 to 74, and 60 to 64), service (assisted living, independent living, and CCRC), and geography (North America, Europe, APAC, South America, and Middle East and Africa).
The market share growth by the 85 years or older segment will be significant during the forecast period. People aged 85 years and above need more services due to aging, common diseases, as well as cognitive, psychiatric, and social changes. Also, their visual acuity and hearing ability deteriorate more quickly. This makes assistive living or senior living facilities more necessary for people aged 85 years and older, which is driving the growth of the segment.
Geography Overview By geography, the global senior living market is segmented into North America, Europe, APAC, South America, and Middle East and Africa. The report provides actionable insights and estimates the contribution of all regions to the growth of the global senior living market.
North America is estimated to contribute 39% to the growth of the global market during the forecast period. The presence of a large baby boomer population and the expanding aging population are driving the growth of the senior living market in North America.
Key factors driving market growth
The market is driven by the aging baby boomer population.
The number of people aged 65 years and above is increasing across the world.
The obesity rate among the aged population is also on the rise, which is increasing the risk of disability and chronic diseases, such as hypertension and diabetes.
This is increasing the demand for nursing care to ensure comfortable and healthy living, which is driving the growth of the global senior living market.
Leading trends influencing the market
Technological advances are identified as one of the major trends in the market.
The market is observing an increase in the demand for assisted services, such as mobile applications, wearables, trackers, communication devices, and smart alarms.
Caregivers and nurses are using these technologies to track, record, and observe patients and communicate with doctors and other healthcare professionals.
In addition, the proliferation of smart homes in developed countries is increasing the adoption of mHealth and mobile-based healthcare applications that can generate patient-related data, such as weight, diet, exercise, blood pressure (BP), blood sugar, and other parameters.
This trend is expected to positively influence the growth of the global senior living market during the forecast period.
Major challenges hindering the market growth
Low life savings by baby boomers is identified as one of the key challenges in the market.
The number of retired baby boomers is increasing and most of them do not have sufficient retirement funds.
Also, many individuals who fall in the age group of 50-70 years do not have a proper retirement plan, which has hindered investments in retirement communities.
These factors are reducing the growth potential in the market.
What are the key data covered in this senior living market report?
CAGR of the market during the forecast period.
Detailed information on factors that will drive the growth of the senior living market between 2023 and 2027.
Precise estimation of the size of the senior living market size and its contribution to the market in focus on the parent market.
Accurate predictions about upcoming trends and changes in consumer behavior
Growth of the senior living market industry across North America, Europe, APAC, South America, and Middle East and Africa.
A thorough analysis of the market's competitive landscape and detailed information about vendors.
Comprehensive analysis of factors that will challenge the growth of senior living market vendors.