Hospital Furniture Market – Forecast and Analysis
The hospital furniture market share is expected to increase by USD 5.74 billion from 2021 to 2026, and the market’s growth momentum will accelerate at a CAGR of 6.78%, according to a report from Technavio.
Key Hospital Furniture Market Driver
International accreditation of hospitals is one of the major drivers of the global hospital furniture market. Globally, many hospitals are striving to develop world-class infrastructure, quality of services, and amenities to serve patients and comply with the norms set by the Joint Commission International (JCI) to boost and attract medical tourists. Currently, more than 1,000 hospitals globally have been awarded JCI accreditation. The hospitals are ramping up their infrastructure to meet the standards of the JCI, as it is considered a significant factor by medical tourists. One of the critical infrastructure constituents is the hospital furniture comprising hospital beds, bedside tables, and examination tables and chairs. Moreover, the companies’ web page’s accreditations boost customer confidence in hospitals that help enroll more patients who need medical treatments, which will support the market growth during the forecast period.
Key Hospital Furniture Market Trend
Another key factor driving the global hospital furniture market growth is the growing senior population. According to the World Bank, in 2010, the aging population accounted for 7.63% of the total population. It has been steadily growing over the years. In 2017, 8.6% of the population was aged 65 years and above. With the rising age, people are more prone to frequent hospitalization, which necessitates the need for hospital furniture such as hospital beds, tables, and chairs. Women, especially after menopause, generally tend to lose bone mass or density, making their bones brittle and vulnerable to damage. Therefore, with the expanding geriatric population base, the admission rates in hospitals are expected to increase, thereby positively impacting the growth of the global hospital furniture market in the forecast period.
Key Hospital Furniture Market Challenge
One of the critical challenges to the global hospital furniture market growth is the limited sustainability of smaller vendors. It is extremely difficult for a new player to enter the market and gain substantial revenue, as the hospital furniture manufacturing process is expensive for small and medium players. In addition, they do not have large-scale manufacturing plants to manufacture the products in bulk numbers. Furthermore, major players have growth strategies for expanding their manufacturing facilities worldwide, especially in developing countries. Also, these companies are entering into collaborations, partnerships, and distribution agreements to gain significant revenue. All these factors will result in the market becoming highly consolidated and competitive, which will hinder the global hospital furniture market during the forecast period.
To make the most of the opportunities and recover from the post-COVID-19 impact, market vendors should focus more on the growth prospects in the fast-growing segments while maintaining their positions in the slow-growing segments.
Hospital Furniture Market Value Chain Analysis
34% of the market’s growth will originate from North America during the forecast period. US and Canada are the key markets for hospital furniture in North America. Market growth in this region will be faster than the growth of the market in Europe and the rest of the world.
The significant increase in the number of accidents, resulting in many casualty admissions, will facilitate the hospital furniture market growth in North America over the forecast period.
COVID Impact and Recovery Analysis
The outbreak of COVID-19 in the first half of 2020 led to an increase in the demand for hospital furniture worldwide. The hospital furniture market share growth in the hospital beds segment will be significant during the forecast period. The growth is attributed to the growing work-related injuries and age-related diseases. According to the CDC, in 2014, the percentage of long-term care services for people aged 65 and above accounted for 92.9% of residential care community residents and 84.9% of nursing home residents.