Medical Tourism Market Size, Share, Industry Analysis, Trends, Growth, Forecasts, 2032

Medical Tourism Industry Prospective:

The global medical tourism market size was worth around USD 12.07 billion in 2023 and is predicted to grow to around USD 86.78 billion by 2032 with a compound annual growth rate (CAGR) of roughly 24.5% between 2024 and 2032.          

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Medical Tourism Market: Overview

Medical tourism is defined as international travel for the reason of receiving medical treatment. Several patients engage in medical tourism due to the procedures they seek can be performed in other countries at a relatively cheap cost and without getting late and the inconvenience of being placed on a waiting list. Additionally, many patients travel to a particular destination to undergo procedures that are not available in their hometown.

For instance, stem-cell transplants and gender-assignment operations. The medical tourism industry is driven by several factors including quality of care, cost savings, globalization of healthcare, rising healthcare costs in home countries and many others.

Key Insights

• As per the analysis shared by our research analyst, the global Medical Tourism market is estimated to grow annually at a CAGR of around 24.5% over the forecast period (2024-2032).
• In terms of revenue, the global Medical Tourism market size was valued at around USD 12.07 billion in 2023 and is projected to reach USD 86.78 billion, by 2032.
• The growing healthcare costs in several nations are expected to propel the market growth.
• Based on the treatment type, the cardiovascular treatment segment is expected to dominate the medical tourism industry over the projected period.
• Based on the service provider, the private segment is expected to dominate the market during the forecast period.
• Based on region, the Asia Pacific is expected to hold a prominent market share over the forecast period.

Medical Tourism Market: Growth Drivers

Escalating healthcare costs in developed nations drive market growth

The global medical tourism industry is being favorably impacted by the growing expense of healthcare in developed countries. It is becoming more and more difficult for many people to afford expensive medical procedures and treatments in their native nations. Consequently, individuals look for substitutes that provide healthcare at a lower cost. By delivering much cheaper medical care and procedures in well-known locations, medical tourism offers an acceptable solution. Traveling to nations with relatively cheaper healthcare expenditures might result in significant financial savings for patients.

For those looking for affordable healthcare, medical tourism locations provide a compelling alternative due to their cost difference, as well as the presence of top-notch medical facilities and knowledgeable healthcare personnel. Medical tourism's attractiveness as a less expensive option is anticipated to fuel the market's expansion as healthcare costs in developed countries continue to climb. To access high-quality healthcare at a far lower cost than they would pay at home, patients are becoming more and more eager to travel overseas.

Medical Tourism Market: Restraints

Lack of expertise and knowledge hampers market growth

Expertise is needed to comprehend the intricacies of medical travel and to put the correct plans into action for the best possible outcomes. This takes the shape of materials, certificates, and training from prominent industry figures and leaders. For many medical tourism enterprises, not having access to these will limit potential and market development.

A significant difficulty across Asia and North America, lack of competence and information was cited by over 25% of survey respondents as one of their top concerns. Thus, by utilizing these resources, medical travel programs have a greater chance of advancing in the field because of their understanding of worldwide best practices and streamlined tactics for drawing in and keeping more foreign patients.

Medical Tourism Market: Opportunities

Growing technological development offers a lucrative opportunity for market growth

The medical tourism market is being stimulated by the healthcare industry's fast technological improvements. Innovative procedures and treatments are becoming available as a result of technological advancements in medicine, providing patients with additional alternatives for meeting their healthcare needs. To acquire cutting-edge medical procedures and technology that might not be easily accessible in their own countries, patients frequently look for medical tourism destinations. Modern diagnostic instruments, minimally invasive treatments, robotically aided operations, and precision medical approaches are some examples of these developments.

Furthermore, people looking for cutting-edge medical treatments are drawn to medical tourism locations by the allure of these cutting-edge technologies combined with the knowledge of medical specialists. They are prepared to travel to take advantage of the most recent developments and obtain customized care that may improve their health results. Medical tourism is predicted to increase as a result of patients desiring access to the most cutting-edge and inventive therapies offered anywhere in the world, as technology breakthroughs continue to transform the healthcare sector.

Medical Tourism Market: Challenges

Lack of patient referrals poses a major challenge to market growth

Knowing where their target patients are can be a major challenge for several medical tourism firms and healthcare professionals. While many of these healthcare professionals may be equipped with the most cutting-edge and creative treatment options for the most complicated medical issues, they may not have access to the patient population that needs these therapies. A deficiency of patient referrals was identified by over 40% of the participants as a primary impediment to the expansion of the medical tourism industry.

The Asian Pacific (28.9%), North American (26.7%), European (14.4%), and South American (17.9%) markets all confront this element as one of their main obstacles, indicating a serious problem with the patient-provider network. Poor communication between healthcare providers and referral organizations as well as a lack of knowledge about the payment methods used by referral systems are common causes of this burden. The underutilization or absence of technological solutions to maximize payment methods and referrals might complicate matters further.

Medical Tourism Market: Segmentation

The Global Medical Tourism industry is segmented based on the treatment type, service provider, and region.

Based on the treatment type, the global Medical Tourism market is bifurcated into orthopedic treatment, cardiovascular treatment, bariatric treatment, cosmetic treatment, dental treatment, infertility treatment, ophthalmology treatment, alternative medicine, and others. The cardiovascular treatment segment is expected to dominate the medical tourism industry over the projected period. The segment expansion is attributed to the increasing prevalence of cardiovascular disease. For instance, as per the data published by the World Heart Federation in May 2023, the number of deaths from cardiovascular disease (CVD) increased from 12.1 million in 1990 to 20.5 million in 2021 on a worldwide scale. As the greatest cause of mortality globally in 2021, cardiovascular disease (CVD) accounted for four out of every five fatalities in low- and middle-income nations (LMICs). Moreover, the high treatment cost of CVD in some countries also propels market growth. As per the National Institutes of Health, the treatment cost of CVD per individual accounted for USD 3842, which is very high for some nations. Thereby, driving the segment growth.

Based on the service provider, the global Medical Tourism industry is categorized into public and private. The private segment is expected to dominate the market during the forecast period because of the use of cutting-edge healthcare technologies and the availability of privately insured, globally recognized providers. Furthermore, the private sector outperforms the public sector in terms of service speed and anonymity.

Medical Tourism Market: Report Scope

Regional Analysis

The Asia Pacific is expected to hold a prominent market share over the forecast period

The Asia Pacific is expected to hold a prominent market share over the forecast period due to government initiatives, the low cost of healthcare in this region, and the inclination for medical tourism among developing nations in the region. India offers healthcare at a far lower cost than the United States and the Middle East. In comparison to Europe, the cost of medical care and treatment in India was around 50% lower in December 2021, according to IJIRA. In addition, compared to America, treatment costs are reduced by 65% to 90% here. These figures show how dominant Asia-Pacific nations are in the global medical tourism market. The government's initiatives in the Asia-Pacific region are also anticipated to fuel the market's expansion in that area.

For instance, the Indian government intended to introduce a specific type of AYUSH visa in April 2022 for travellers coming to India for medical care or traditional medicine tourism. The government's "Heal In India" program, which aims to encourage medical tourism in India, includes this effort. Additionally, to draw tourists, Japan added "wellness" facilities to its list of health tourism offers in February 2022. Spas, fitness courses, and yoga and meditation sessions are among the wellness options. Thus, the aforementioned stats are expected to propel the market revenue growth in the region.

Medical Tourism Market: Competitive Analysis

The global Medical Tourism market is dominated by players like:

• Dania Medicare Solutions
• Apollo Hospitals Enterprise
• Asian Heart Institute
• Barbados Fertility Center
• KPJ Healthcare Berhad
• Fortis Healthcare Limited
• Samitivej PCL
• NTT Medical Center Tokyo
• Prince Court Medical Centre
• Aditya Birla Memorial Hospital
• Wooridul Spine Hospital
• Seoul National University Hospital
• MAGIC POTION TECHNOLOGY PVT LTD
• Indo American Health

The global Medical Tourism market is segmented as follows:

By Treatment Type

• Orthopedic Treatment
• Cardiovascular Treatment
• Bariatric Treatment
• Cosmetic Treatment
• Dental Treatment
• Infertility Treatment
• Ophthalmology Treatment
• Alternative Medicine
• Others

By Service Provider

• Public
• Private

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa