Long Term Care (LTC) provides medical and non-medical services to persons with chronic illness or disability. It incorporates a wide range of services including nursing care, therapy, personal care, and social services in healthcare facilities or home and community settings. The rising burden of chronic illnesses such as cancer, diabetes, cardiovascular diseases, and respiratory diseases is escalating the need for long term care services. Physical and cognitive impairments associated with such chronic conditions enhance the requirement for assistance in day-to-day activities over an extended period. Furthermore, growth in the geriatric population, who are more prone to chronic conditions, is augmenting demand for long term care.

The global Long Term Care Market is estimated to be valued at US$ 720.02 million in 2023 and is expected to exhibit a CAGR of 5.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Opportunity:
The increasing prevalence of chronic diseases presents a massive market opportunity for home-based long term care services. As per studies, about 50% of older adults suffering from multiple chronic illnesses prefer care at home over institutional facilities. Moreover, home care helps reduce healthcare costs while improving patient outcomes and quality of life. The growing demand for home healthcare amid pandemic-induced restrictions has further boosted investments in remote patient monitoring, telehealth, and other digital technologies to enable long term care delivery at home. Major players are focusing on expanding their home and community-based service offerings to leverage this lucrative opportunity.

Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate in the long term care market. Establishing nursing homes and assisted living facilities requires large capital investments and meeting regulatory standards poses a barrier.

Bargaining power of buyers: The bargaining power of buyers is high given the growing ageing population driving demand. Buyers can negotiate on pricing and services.

Bargaining power of suppliers: Medical equipment and service providers have moderate bargaining power. Developing technologies allow established players to innovate and cater to specific needs.

Threat of new substitutes: Threat from substitutes is low as in-home care has limitations. However, telehealth and remote patient monitoring solutions are gaining traction.

Competitive rivalry: Intense as major players compete on service quality, innovation and geographic expansion. Price competition also influences market share.

SWOT Analysis
Strengths: Growing ageing demographics worldwide is the key driver. Shift towards independent living and home care boosts market potential.

Weaknesses: High operational and labor costs impact profits. Staff shortage and burnout can affect service quality.

Opportunities: Emerging markets will catalyze future growth. Digital health solutions create new revenue streams.

Threats: Regulations influence standards compliance. Economic downturns may curb spending on aged care. Disease outbreaks disrupt operations.

Key Takeaways
The global long term care market is expected to witness high growth at a CAGR of 5.1% during the forecast period of 2023 to 2030. The market size for 2024 is projected to reach $720.02 million.

Regional analysis indicates that North America dominates currently due to increasing healthcare expenditure and favorable policies for senior citizens. However, Asia Pacific is likely to emerging as the fastest growing region supported by China and India’s expanding elderly population base.

Key players operating in the long term care market are Major players in the market are also focused on innovation and partnerships for business expansion