The global ambulatory services market was valued at $2.3 tn in 2016 and is forecast to grow at a modest 5.8% CAGR between 2017 and 2024, culminating in 2024 global sales of $3.7 tn.
The demand for ambulatory service centers is expected to rise significantly over the next few years, owing to factors such as growing healthcare expenditure, the rise in the prevalence of chronic diseases, increasing government initiatives and high unmet medical needs across the globe. The benefits associated with ambulatory surgery centers (ASC) include low cost of operations, reduced hospital stay, faster turnaround time and access to quality healthcare services. The concept of ambulatory surgery centers has gained positive response from different stakeholders such as patients, physicians, payors and administrators.
Governments across the globe are constantly increasing the healthcare budgets, but the outcomes are not realized due to several inefficiencies in the healthcare delivery landscape. With the presence of ambulatory service centers, the number of people who can be treated has increased significantly. The U.S. accounts for the highest spending toward healthcare as a percentage of GDP. In 2015, as per the CMS data the U.S., healthcare expenditure was 3.2 trillion and is expected to rise significantly over the next few years. Based on the type of service hospital care accounts for 32% of expenditure, followed by physician and clinical services with 20% share, dental services account for 4% share and the rest is shared by various other services including home healthcare and personal care services.
Based on service type, the ambulatory services market is categorized as medical specialty, surgical specialty, emergency departments and outpatient departments. In 2016, the primary care offices accounted for the majority share of over 48%, as they are the first point of contact for availing medical services. In the U.S., as per the CDC data, the number of physician office visits were 922.6 million, and roughly 53% of visits were made to the primary care physicians.
However, due to growing demand for specialized treatments such as cataract surgery, orthopedic surgery, the surgical specialty segment is expected to emerge as the fastest growing with a CAGR of 6.5% from 2017 to 2024
“Optimal Price Point (OPP) for Ambulatory Services”
Estimated Average ambulatory service cost – $ xx globally. However, with improving access and availability of options, OPP and range of acceptable Prices (RAP) are going to change. We at Ameri Research continuously track these prices with our proprietary pricing model.
The cost of surgeries significantly varies across ambulatory service centers and hospitals. On an average, the surgery cost is reduced by 40 to 50% in ambulatory settings and in some procedures the savings are 75 to 85 percent. Moreover, the patient satisfaction regarding treatment, scheduling an appointment and discharge time is observed to be much better in ambulatory settings.
The key regions analyzed in the study include North America, Europe, Asia-Pacific, Latin America and the Middle East and Africa. In 2016, North America dominated the market with a revenue share of over 47%. Key reasons for the high share include the presence of well-developed primary care and secondary care network, and high support from various government agencies to improve the access and affordability of various healthcare services. In the U.S., there are an estimated 5,260 surgery centers where as there are 5,724 hospitals. The gap between the hospitals and ambulatory centers is narrowing down as number of patients prefer to visit these specialized centers
Asia-Pacific is expected to emerge as the fastest growing region with a CAGR of over 7% over the forecast period. The high growth is anticipated due to the rising number of ambulatory centers, high unmet needs, growing private & public healthcare expenditure and the rising awareness about the various benefits associated with the ambulatory centers.
Merger and Acquisition Insight
The mergers and acquisitions of ambulatory surgery centers by hospital networks is a common trend witnessed in the recent past. Due to the low cost of operations and high patient volume, the ambulatory surgery centers have been successful in generating positive cash flows to the investors. In the recent past, several hospitals have acquired specialized ambulatory surgery centers and converted them into CMS designated hospital outpatient departments.
Top Players & Company Share
As of 2016, major players in the market include Surgery Partners, Medical Facilities Corporation, Symbion, IntergraMed America Inc., Nueterra, Terveystalo Healthcare Oyj, Aspen Healthcare, AmSurg Corp., and Medical Facilities Corporation.
Ambulatory Services Market by Type (Revenue, USD Million, 20124- 2024)
- Primary Care Offices
- Outpatient Departments
- Emergency Department
- Medical Specialty
- Surgical Specialty
- Spinal Injections
- Plastic Surgery
Ambulatory Services Market Regional Outlook (Revenue, USD Million, 20124- 2024)
- North America
- Asia Pacific
- Latin America
- Middle East and Africa
- South Africa
- Saudi Arabia