Focus: Facility Design

Healthcare architecture market exhibits 4.1% CAGR, increasing medical tourism to fuel demand

By Panchali Mallik / Special to Healthcare Facilities Today
June 14, 2019

According to the Spanish National Research Council and Cybermetrics Lab, high demand for advanced and efficient patient care has led to construction of new hospitals and some of the construction projects involve investments as huge as $ 500 million. This is likely to propel the demand for healthcare architecture. As per a report published by Fortune Business Insights, titled “Healthcare Architecture Market: Global Market Analysis, Insights and Forecast, 2018-2025” in 2017 the Global Healthcare Architecture Market was valued at US$ 5954.3 Mn and is expected to progress at a CAGR of 4.1% and reach US$ 8210.5 Mn by the end of 2025.

The number of healthcare architecture establishments are also expected to increase during the forecast period 2018-2025 owing to the high demand for design consultant for healthcare facilities. Some of the established healthcare architecture firms in the market are Stantec, Jacobs Engineering Group, CannonDesign, NBBJ, and Smith Group.

In terms of facility type, the hospital segment emerged dominant in 2017, as it held 54.1% of the global healthcare architecture market. The hospital segment is also expected to grow during the forecast period owing to the increasing incidence of chronic diseases.

Increasing hospitalization to stoke demands for design consultant for healthcare architecture

“Initiatives by governments and private market players to promote medical tourism are anticipated to increase the demand for healthcare architecture firms and rapidly develop healthcare infrastructure,” said a lead analyst at Fortune Business Insights.

Growing prevalence of chronic diseases and rapidly growing number of hospitals are some factors expected to drive the global healthcare architecture market during the forecast period 2018-2025. Additionally, increasing number of patients being hospitalized is a key factor likely to push the growth rate in the global healthcare architecture market.

However, huge investment required to construct hospitals and ensure a sophisticated architecture. This, coupled with lack of adequate facilities for transportation of machinery and raw materials in certain undeveloped nations, is expected to restrain the global healthcare architecture market during the forecast period.

Increasing demand from Japan augurs well for Global Healthcare Architecture Market

North America, emerged dominant in the global healthcare architecture market in 2017. It was valued at US$ 1680.2 Mn in the given year. Furthermore, as per Fortune Business Insights, North America is expected to remain dominant through the forecast period also owing to the high demand for technologically advanced hospital architecture in the U. S.

Asia Pacific is also among the lucrative markets for healthcare architecture firms owing to the rising demand from Japan, backed by the nation’s developed healthcare infrastructure. Besides Japan, China has also contributed to the healthcare architecture market in Asia Pacific by increasing expenditure to improve healthcare infrastructure. Evolving healthcare infrastructure in developing nations such as China, India, and others offer immense growth opportunity for the healthcare architecture market in Asia Pacific.

Fortune Business Insight’s report also provides an insightful overview of opportunities, strategies used by the leading organization in the market, and the potential areas of development.

Source: https://www.fortunebusinessinsights.com/industry-reports/healthcare-architecture-market-100067

Panchali Mallik is currently heading the content writing/ editing team at Fortune Business Insights. 

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