Market Dynamics
Global medical alert systems market drivers:
Advances in medical alert systems technology
Older persons are given immediate medical assistance through medical alert systems in a medical emergency. Seniors can quickly request medical assistance using these programs by pressing a button. After pushing the emergency button, the contact center operators relay the signal to the first responders, who are informed of the senior's status and medical history. The time needed to send the password is a significant issue that could lead to a delay in the treatment of patients.
Technology improvements in medical alert systems are speeding up the process, making medical facilities more accessible, and offering real-time monitoring of the elderly. The market participants have been working to create cutting-edge products that would meet the needs of both patients and healthcare professionals. For instance, Bay Alarm Medical (US), which makes medical alarm devices for the elderly, has announced support for 4G LTE cellular networks.
Global medical alert systems market restraint:
Concerns related to data security and privacy
Digital health innovations promise to improve healthcare and quality of life significantly. Medical alert systems' ongoing improvements have made collecting data easier for patients and doctors. However, the privacy of patient data is still a concern. Despite the tightest security measures, the safety of data from outside threat actors and internal threats cannot be guaranteed in today's digital health environment. Healthcare data security is vulnerable due to the possibility of patient health information being sold or used for unlawful prescription drug purchases and other crimes, including identity theft and insurance fraud. Healthcare software might provide financial information in addition to patient details, attracting attackers.
Global medical alert systems market opportunities:
Entry into markets under development
A market for medical alert systems is created in developing nations because of their quickly changing healthcare industries. The growing and aging populations can be linked to the increased demand for sophisticated and effective medical alert systems in emerging markets. The cost of healthcare is rising in developing nations, along with the expansion of the middle class and rising per capita disposable incomes. If done using a different approach, digitizing healthcare services can help to increase healthcare access and quality in emerging nations. Therefore, the expanding healthcare industry in emerging countries offers a chance for producers of medical alert systems to increase their market presence in these areas.
Regional Analysis
The global medical alert systems market is divided into four regions: North America, Europe, Asia-Pacific, and LAMEA.
North america dominates the global market
North America is the major revenue contributor and is expected to grow at a CAGR of 5.20% during the forecast period. Key pharmaceutical companies' presence, technical breakthroughs in the wearable healthcare industry, the high incidence rates of accidents from falls from beds and upper bunks, and high disposable income are all significant contributors to the larger proportion. The Centers for Disease Control and Prevention (CDC) estimate that every year in the US, one in three seniors 65 and over fall from beds and upper bunks, and 20% to 30% have significant injuries. Furthermore, ADT is a well-known security, automation, and smart home solutions supplier. ADT is situated in the US and is a prominent supplier of these services.
Europe is expected to grow at a CAGR of 6.10% during the forecast period. The second-largest market for medical alert systems is in Europe. The market is expanding in this region due to factors like older persons' growing preference for independent living, improved economies, high disposable income per person, and rising healthcare costs. Additionally, more product releases by significant players are anticipated to fuel the market. For instance, Tunstall Group (UK) introduced Tunstall Carecom, a cutting-edge nurse call system, in the UK. This area's market expansion is driven by hospitals' increasing usage of medical alert systems to improve healthcare.
The Asia-Pacific area benefited from factors such as an aging population, government backing for healthcare reform, ongoing technological advancements, and the ease with which major market players could adapt PERS devices to their needs. For instance, the UN estimates that China will quadruple its senior population from 10% to 20% within just 20 years (between 2017 and 2037). Japan, which was the next closest, took 23 years. Furthermore, it noted that in 2015, China had a dependency ratio of 14% for seniors 65 and older compared to the country's entire working population.
The Middle East and Africa held a minor market share in 2019; this region is expected to increase due to the growing geriatric population, rising chronic disease prevalence, and demand for better healthcare facilities. These regions have less developed economies and meager incomes. A medical alert system may also be developed in nations like the UAE with increased healthcare costs and disposable money.
Segmental Analysis
The global medical alert systems industry is segmented by system type, offering type, connection type, technology, and application.
Based on system type, the global medical alert systems market is bifurcated into Personal Emergency Response Systems (PERS), Nurse Call Systems (NCS), Ambulatory Auto Alert Systems, Automated Airborne Flight Alert Systems, and Smart Belt.
The Personal Emergency Response Systems (PERS) segment is the major contributor to the market and is estimated to grow at a CAGR of 6.90% during the forecast period. According to type, the PERS market has been further divided into standalone PERS, mobile PERS, and home- or landline-based PERS. Cellular emergency response systems, GPS-based emergency response systems, and wireless emergency response systems are the other divisions of the mobile PERS. The R-cube/V-cube monitoring system, the roaming system, the standalone voice communicator, and the transmitter are further divisions of the standalone PERS.
Patients in a ward receive a service guarantee via nurse call systems. NCS places a strong emphasis on patient communication and exemplary patient care. The companies involved in medical alert systems are constantly working to improve classic alarm systems to make them easier to use. For instance, Tunstall (UK), a linked care and health solutions supplier, debuted Tunstall Carecom, a nurse call system, in December 2019. Residential and nursing care facilities are supported by Tunstall Carecom, which satisfies the needs of contemporary care delivery.
The global medical alert systems market is bifurcated based on offering types into hardware, services, and software.
The hardware segment is the major contributor to the market and is estimated to grow at a CAGR of 7.65% during the forecast period. A wristband transmitter and a pendant transmitter are further divided into the transmitter segment. The most often used hardware includes console units and accessories. The need for this component in medical alert systems has increased with the arrival of next-generation technology. This promotes rapid market growth over the course of the projection period. Additionally, because hardware components are readily available, patients and caregivers have more preferences. As a result, these elements support the expansion of the global market for medical alert systems.
Medical alert services provide remote, around-the-clock monitoring with a call center at a reasonable rate. This choice is highly beneficial for people who don't have family or a live-in carer. Several trustworthy medical companies have monitoring centers run inside by gadget manufacturers. Additionally, many businesses sell items for an upfront fee and ask customers to subscribe to their monitoring services to use the alarms. For instance, GreatCall, a linked health technology business headquartered in California, U.S., has about 900,000 US users of its mobile services designed for the elderly and the family carers who look after them.
The global medical alert systems market is bifurcated based on connection type into wired and wireless.
The wired segment is the major contributor to the market and is estimated to grow at a CAGR of 6.25% during the forecast period. Senior adults use these tools when there is a medical emergency. Standard phone lines, advanced digital phone services, voice-over-internet protocol (VoIP), and digital subscriber line (DSL) phone services are all examples of wired medical alert systems. For the segment of the population that lives alone, ordinary landlines are advised because they are simple to operate and user-friendly. Additionally, wired medical alert systems help senior persons who need to be tech-savvy.
In contrast to wired systems, the wireless gadget generates an alert using a cellular signal. Due to the widespread use of wireless medical alert devices, the wireless market is expected to grow. Thanks to these wireless technologies, the aged population's increased mobility contributes to the segment's higher preferability rate. The development of smart wearable technology is another factor in the expansion of this market. To increase their market share, several businesses are investing in research and development that incorporates artificial intelligence and the Internet of Things. Adopting well-known players in wireless medical alert systems aids in developing this market.
The global medical alert systems market is bifurcated based on technology into Two-Way Voice Systems, Unmonitored Medical Alert Systems, Medical Alert Alarm (Button) Systems, IP-Based Systems, and Others.
The Two-Way Voice Systems segment is the major contributor to the market and is estimated to grow at a CAGR of 6.30% during the forecast period. After pressing the panic button, a two-way voice system is triggered. This two-way hands-free contact with the monitoring center aims to give senior patients the best care possible. The alarm panel's speaker and microphone comprise most of the alert system. As a result, it became less necessary to use a phone to make the required contact. Children and those with medical issues can also benefit from this technology, in addition to the elderly. Many businesses in the medical alert system industry are concentrating on improving existing features and closing security gaps in these products.
Unmonitored medical alert systems give emergency services or private contacts a subscription-free choice in the event of an emergency. Benefits of an unmonitored medical alert system include lower costs for the user, including no monthly fees, extra costs, or difficulty with the equipment or connection. Traditional medical alert systems charge a monthly fee to cover the expense of renting the equipment as well as the 24/7 monitoring that is offered to the user. With unmonitored systems, the user must pay for the hardware upfront and is not given access to monitoring. Furthermore, most unattended medical alert systems can be connected to an existing landline phone, negating the requirement for cellular service.
The global medical alert systems market is bifurcated based on application into Home-Based Users, Senior Living Facilities/Senior Care Centers, Assisted Living Facilities, and Others (Nursing Homes, Hospice).
The home-based user segment is the highest contributor to the market and is estimated to grow at a CAGR of 6.90% during the forecast period. Several well-established and small- and mid-sized competitors provide at-home medical alert systems with value-added services. The expansion of this market is driven by the players' rising propensity to create medical alert systems and other products for customers at home. For instance, in December 2019, ADT (US), the leading security, automation, and smart home solutions provider, partnered with Senior Helpers (US), a premier provider of in-home senior care. Senior Helpers offer companion services for seniors searching for help with daily tasks and specialist care for people with chronic illnesses.
The aged population receives assistance from senior living homes or senior care facilities through services including skilled nursing, independent living, memory care, and others. Several companies operating in the global medical alert systems market focus on developing products and deploying services keeping senior care centers and other caregivers in mind. For instance, Cornell Communications (US), a design and manufacturing firm, offers mobile, visual, and wireless nurse call systems to deliver better resident care at senior care centers, assisted living communities, and outpatient medical facilities. Thus, this factor is set to drive the growth of this segment over the assessment period.
As an illustration, in November 2019, the Dutch multinational conglomerate Koninklijke Philips NV teamed up with Sunrise Senior Living, an American operator of assisted living that offers senior care services in the US, Canada, and the UK, to bring cutting-edge technology to Welltower's flagship senior living community in New York City. Such tactics assist in the development of this market area.
