Substance Abuse Treatment Market

Market Overview

The substance abuse treatment market was valued at USD 9365.7 million in 2019 and is anticipated to grow with a CAGR of 8.2%.

Substance abuse disorder is among the most severe and expensive public health issues across the world. The estimated costs to the American economy was about USD 223.5 million in 2006 for excessive alcohol drinking and USD 193 million in 2007 for illicit drug abuse and related problems, as per the U.S. Department of Justice & National Drug Intelligence Center. 

The intensity of the problem is exemplified by the sharp rise in the U.S. abuse of opioid analgesics during the past decade, with the associated significant increase in overdose-related deaths. The opioid abuse epidemic is especially prominent in that it corresponds to the abuse of a medication prescribed by the healthcare professionals, highlighting the need for testing and appropriate interventions in primary healthcare settings for patients with substance abuse.

Growing number of patients suffering from drug-or-nicotine-related addiction, rising policy interventions, and surging funding from NGOs provide an impetus to the market growth. In regard to this, the Substance Abuse and Mental Health Services Administration (SAMHSA), a U.S. Department of Health and Human Services agency, has several awareness-raising campaigns in operation. These programs are aimed at eradicating illegal drug use in federal workplaces and providing help to render all workplaces drug free. However, the individuals' unwillingness to pursue treatment modalities and discontinuation of therapeutic interventions hampers the market growth.

As per the National Survey on Drug Use and Health conducted by the Substance Abuse and Mental Health Services Administration (SAMHSA), around 23.5 million Americans are addicted to drugs and alcohol. In 2015, about 15.1 million adults in the U.S. suffered from alcohol abuse disorder, of which, only 6.7% of people with alcohol abuse disorder were treated. Alcohol is the fourth leading preventable cause of death in the U.S., with the death toll standing at 900,000 people annually. Also, more than 2 million people die from abuse of prescription pain relievers in the country. Heroin is most commonly regarded as an illicit opiate, with the estimated number of users as high as 900,000. As per the World Health Organization (WHO), about 1,100 million smokers were registered in 2015 across the globe, which includes around one-third of the global population aged 15 years.  

Segmental Analysis

Growing Consumption of Tobacco and Government Initiatives to Drive the Segment Growth

Based on type, the market is segmented into alcohol abuse treatment, nicotine abuse treatment, and drug abuse treatment. The nicotine abuse treatment segment holds the highest market share on account of the growing consumption of tobacco, increasing adult population, and surging government initiatives and anti-smoking policies. The WHO initiated the ‘Tobacco Free Initiative,’ include the implementation of policies such as reducing the attractiveness of nicotine product and the screening of documentaries and videos that inform the public about the hazards of smoking.

Medication Segment to Dominate the Market during the Forecast Period

Based on treatment, the market is segmented into detoxification, medication, counseling and behavioral therapy, support group. The medication segment dominates the market due to the availability of medications to treat substance abuse. Disulfiram, Acamprosate, Naltrexone are the medication used to treat alcohol abuse, whereas Bupropion and Varenicline are non-nicotine medications used for the treatment of nicotine abuse. Furthermore, In June 2018, Omeros Corporation received approval from the regulatory authority and ethics committee to initiate phase I clinical trial for drug candidate PDE7, a phosphodiesterase inhibitor, for the treatment of all addictions, including nicotine addiction and compulsive disorders.  

Regional Analysis

Government Welfare Programs to Curb Prescription Drugs Drives North America’s Market Growth

North America’s substance abuse treatment market is primarily driven by the high incidences of drug abuse in the region. As per statistics published in 2015 by the National Institute of Substance Addiction and Alcoholism, approximately 15.1 million people aged 18 and older (6.2% of this age group) suffer from alcohol abuse disorder, which comprises 9.8 million men (in this age group 8.4% of males) and 5.3 million women. 

In the U.S., the non-medical use of prescription opioids has increased significantly in the last few years. As per the figures released by the National Institute on Drug Abuse, in the U.S., more than 90 deaths per day result in an overdose of opioids. Surging incidence of comorbidities related to substance abuse, such as HIV and hepatitis C, has resulted in increased demand for drug abuse treatment. Rising number of government welfare programs to curb prescription drugs and alcohol abuse and a growing number of treatment options drive the regional market growth.

Rising Incidence of Alcohol and Tobacco Addiction in Asia-Pacific

Asia-Pacific is projected to exhibit the fastest growth during the forecast period on account of the rapid expansion of the healthcare sector, rising incidence of alcohol and tobacco addiction, and increasing launches of novel drugs by key players. For instance, in November 2017, Glenmark Pharmaceuticals launched Kwitz, a nicotine gum in India. As per the WHO, around 260,000 people die of liver cirrhosis in India, which has compelled the government to undertake active measures.

Recent Developments

• In March 2019, Blue Mountain Capital Management announced the launch of a new national behavioral health platform, Promises Behavioral Health, which will provide comprehensive treatment options for substance abuse and rehabilitation programs for drug abuse.
• On February 27, 2019, Acadia Healthcare acquired Mission Treatment Services, which runs a wide variety of healthcare treatment centers and offers services such as successful recovery from drug abuse and addiction and counseling to men and women aged 18 and above.
• In December 2017, Axsome Therapeutics, Inc signed a research collaboration agreement with Duke University to develop AXS-05, a novel, oral, fixed-dose combination of dextromethorphan and bupropion. Under the agreement terms, Duke University will be responsible for conducting preclinical research.  

Substance Abuse Treatment Market Segmentation

By Type

• Alcohol Abuse Treatment
• Nicotine Abuse Treatment
• Drug Abuse Treatment

By Treatment

• Detoxification
• Medication
• Counseling and Behavioral therapy
• Support Group

By Region

• North America
• Europe
• Asia-Pacific
• South America
• The Middle East and Africa