Elder Care Subscription Market

2016-2020 Elder Care Subscription Demand Outlook Compared to 2021-2031 Forecast

The global elder care subscription market is estimated to be valued at US$ 1.36 Bn in 2021. The demand for elder care subscription is expected to rise at a CAGR of 16% during the forecast period 2021-2031.

Global expenditure on elder care is driven by changing demographics with increasing life-expectancy which has led to rising number of aged population with medical and non-medical conditions, requiring support from caregivers. These are among a few factors projected to fuel the revenue growth of elder care subscription offerings.

Consequently, the high demand for yearly subscription services are expected to drive the growth of the market on a global scale.  As per FMI, the global market is anticipated to witness growth in revenue from US$ 1.37 Bn in 2021 to over US$ 6.05 Bn by 2031.

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Which Growth Strategies are highly Sought-After among Elder Care Subscription Providers?

Companies operating in the market are focused on providing cost effective services for the elderly. These services are aimed at offering comfort for the elders. The subscription service providers offer yearly plans at discounted rates. Owing to this, there has been immense rise in the demand for elder care yearly subscription plans.

Companies involved in caregiving services are expanding the services offered to capture large consumer base. The services required by elderly differ from one to another hence companies are offering wide services which are patient-centric. The introduction of home care services has also given companies and opportunity to tap new prospects of the market.

What Is the Impact of COVID-19 Crisis on Elder Care Subscription Growth?

COVID-19 pandemic has impacted every sector. Due to social distancing norms implemented to contain the spread of the virus, organizations are transforming towards digitalization to ensure overall safety employees and staffs.

The COVID-19 pandemic outbreak has disrupted many industries, including the elder care subscription space. Different end-use verticals have suffered heavily as a result of mobility and travel restrictions implemented to protect public health against the infection. The COVID-19 pandemic has compelled companies to rethink how and where the employees work as well as how to control them. This has resulted in increased reliance on digital services.

The pandemic crisis is leading to greater adoption of online and on-demand services across different sectors including healthcare. Suppliers are boosting efforts to enhance their online businesses as consumers adopt new habits that will contribute to long-term transition towards online services.

Owing to this, there has been rise in demand for elder care subscription services. People are looking for subscription services for medical requirements which can avoid hospital visits. Hence, elder care subscription has seen a rise in demand, during the pandemic crisis.

Thus, the elder care subscription is estimated to witness a noteworthy growth from around 13.7% to 14.2% Y-o-Y from 2019 to 2021.

Country-wise Insights

Why is the Demand for Elder Care Subscription Surging in the U.S.?

According to Future Market Insights analysis, the overall elder care subscription spending in the U.S. alone is likely to increase at a rate of 17.6% between 2021 and 2031.

North America is witnessing low rate of fertility and is falling below the replacement fertility rate. Unstable fertility rates impact the overall economic growth of any region. The United States has reported a total fertility rate of around 1.9 babies per woman which is low in comparison to the previous fertility rate of 2.1.  The lower fertility rates indicate that the new generation is smaller than the one that came before and will struggle to support the retirees.

The increase in elderly dependent population in North America will trigger economic issues and spur the need of elder care services. Hence, the market is U.S. is expected to grow at a significant rate.

Is the U.K. a Lucrative Market for Elder Care Subscription?

The market in the UK is anticipated to be valued around US$ 134.5 Mn by 2031. In recent years, there has been a rise in dependency ratio of elderly over the younger population in European countries including the U.K., France, and Germany.

In Europe there has been a surge in the number of elderly patients suffering from disabilities. The increase in life expectancy over the years has resulted in an increase in the population of the elderly.

This increasing population of elderly often experiences a greater burden of ailments such as suffering from terminal illness, dementia, and other major disabilities. The necessity for care of the elderly is focused on managing chronic disorders, and prevention of diseases therefore bringing forth the shift towards opting elder care services such as nursing homes in the country.

During the middle stages of Alzheimer’s disease or dementia a patient is required to be in 24-hour supervision which is provided in elder care centers. Additionally, the requirement of specialized elder care facilities is generated due to the rise in standard of living which demands products and services that cater specifically for the elderly.

As per a research by Alzheimer's Society, in 2019 there were more than 850,000 people diagnosed with dementia in the U.K. With this number predicted to rise, elder care subscription is expected to become highly sought-after in the country.

What is Driving Demand for Elder Care Subscriptions and Services in China?

According to the Future Market Insights analysis, the market for elder care subscription in China is likely to grow at a CAGR of 17.7% from 2021 and 2031.

China, Japan, and South Korea are offering growth opportunities for elder care subscription services owing to the rising number ageing population. Owing to this, there has been a rise in elderly-friendly services.

Moreover, the companies operating across China are focusing on offering elder care services to the doorstep of the patients. Presently, China is actively exploring more advanced and scalable elderly care services to provide convenient and complete care for the elder people in the country. Hence, there has been a significant rise in demand for elder care subscription services in the region.

How are Elder Care Subscription Sales Faring across India?

The market in India is anticipated to witness growth in revenue from around US$ 53.9 Mn in 2020 to US$ 364.2 Mn by 2031. The demand for elder care subscription has increased rapidly across major economies inSouth Asia and Pacific including India, Singapore, Malaysia, Indonesia, and Australia and New Zealand.

Increasing number of companies in the India market are coming up with advanced solutions and services for the elderly. The companies operating in the market are focusing on revolutionizing elderly care with a robust ecosystem of healthcare solutions that are affordable and accessible to all. Companies such as ApnaCare, Samvedna Senior Care, and Emoha Elder Care are offering patients with the advanced solutions and services.

The demand for elder care subscription is projected to exponentially grow as the elder population is growing at a high rate. The elder population of India is currently at 6% of the total population of the country. Furthermore, rapid growth in the enterprises end-user segment is further expected to drive the market.

Moreover, regulations in India favor design, development and management of support services for aged care facilities and retirement housing. In Asia, Australia also has well developed infrastructure to address the growing demand for care of elderly. Multiple level of care is available to assist and support geriatric population. Such services include, Home and Community Care (HACC), Community Aged Care Packages (CACP), Extended Aged Care at home packages, Respite care and day care services.

Category-wise Insights

What is the Market Share of Yearly Subscription Type?

On the basis of subscription type, the market is segmented into yearly and monthly. Out of these, the yearly subscription segment is anticipated to hold the largest share in the market and grow at the highest CAGR of 16.9% over the forecast period.

This widespread adoption is mainly due to the advantages provided by yearly subscription models and the cost effective pricing model. The yearly subscription is provided by a large number of companies at discounted prices and hence in appealing to the consumers.

Who is the Leading End User of Elder Care Subscription?

In terms of end user, the market is segmented as hospitals, elderly nursing homes, and homecare. As per FMI, there has been a rise in demand for elder care subscription services across individuals and homecare segment. Companies such as Amazon are launching elder care subscription services with features such as 24/7 urgent response, customized alerts, remote assistance, and fall detection response, among others.

The homecare end user segment is dominating the global elder care subscription market and it is estimated to account for 42.1% of the total value share by the end of 2021. With the growing popularity of on-demand services for patients at the comfort of their homes and increasing adoption of digitized services across the globe, there has been a simultaneous rise in demand for elder care subscription services as well.

The average cost of elderly nursing homes is way more in comparison with the homecare services. Owing to this, there has been a surge in the demand for homecare services for the elderly. Moreover, senior citizens are more satisfied with the homecare services and find the services to be at a good value.

Competitive Landscape

Companies offering elder care subscription are aiming at innovation and strategic partnerships with other vendors in order to expand their portfolio of services while addressing the demand of an expanding customer pool. Some of the leading companies operating in the market are Amazon, ApnaCare, IgnoxLabs Pvt Ltd. (Emoha Elder Care), Samvedna Senior Care, Eldercare Services, Portea Medical, Iora Health, Home Instead, Inc., and Living Assistance Services, Inc., among others.

The inclination of established players in the market happens to be towards the development of advanced solutions to fulfill specific requirements of the customers, cultivating the demand for innovative and advanced products in the market.

• In September 2021, Amazon announced the launch of Alexa Together, a new subscription service for the elder people. It is primarily designed for the families with ageing members at monthly and yearly subscription plans. Amazon plans to eventually replace its existing tools for caring for family members remotely with Alexa Together by next year.

Elder care subscription providers are also focusing on entering into partnerships with other solution providers to target new innovations within the market. The strategy helps companies to broaden their geographic reach with additional service portfolios.

Scope of Report

Key Points Covered in Elder Care Subscription Industry Survey

• Which region is expected to showcase high demand for Elder Care Subscription?

  South Asia & Pacific is projected to register strong growth in the market, exhibiting a CAGR of nearly 17.2% during the forecast period.

• Who are some of the leading companies offering Elder Care Subscription?

  Amazon.com, Inc., Eldercare Services, Iora Health, Home Instead, Inc., and Living Assistance Services, Inc., are the top elder care subscription vendors. They are likely to account for over 30% of the global market.

• Who are the leading end users of elder care subscription? 

  Homecare segment is expected to dominate the market over the forecast period, generating a maximum revenue among all end users by the end of 2021.

• How much is the global elder care subscription market worth?

  The elder care subscription matket was valued at ~US$ 1.2 Bn in 2020, and is estimated to grow at an exceptional pace with a CAGR of 16% to reach ~US$ 6.05 Bn in 2031.

• What will be the demand outlook/ sales forecast for elder care subscription?

  The sales of elder care yearly subscription type are expected to total ~US$ 760.1 Mn by the end of 2021.

• What was the last 5 year elder care subscription market CAGR?

  The market in last 5 years (2016 – 2020) grew by a CAGR of 13.6%.

• What are the key trends in the Elder Care Subscription industry?

  Market players are focusing on the introduction new and innovative services for patients at the comfort of their homes. This is the primary trend driving the market growth

• What is driving demand for Elder Care Subscription?

  Increasing demand for homecare services due to increasing ageing population will remain the key factors driving the market.

• Which countries are key providers of Elder Care Subscription?

  Some of the leading countries involved in providing elder care subscription include the U.S., Germany, U.K., India, and China

• What was the Global Elder Care Subscription Market Growth Between 2020 and 2021?

  The global market growth between 2020 and 2021 was recorded at 14.2%.

• What are the top 5 countries driving elder care subscription demand?

  Leading countries driving demand for the elder care subscription are U.S., UK, China, Japan, and Germany.

• What is Europe elder care subscription market outlook?

  The Europe market for elder care subscription is expected to rise at a CAGR of 15.3% between 2021 and 2031.

• What is the elder care subscription market statistics in South Korea and Japan?

  The demand for elder care subscription in Japan and South Korea is expected to rise at 16.7% CAGR and 12.8% CAGR, respectively through 2031.

Elder Care Subscription Outlook by Category

By Subscription Type:

• Monthly
• Yearly

By End User:

• Hospitals
• Elderly Nursing Homes
• Homecare

By Region:

• North America
• Latin America
• Europe
• East Asia
• South Asia & Pacific
• Middle East and Africa (MEA)