Wearable Medical Devices Market

Market Overview

The global wearable medical devices market size was valued at USD 51.70 billion in 2023. It is estimated to reach USD 272.03 billion by 2032, growing at a CAGR of 27.81% during the forecast period (2024–2032). The major driver for the global wearable medical devices market growth is the surging need for round-the-clock monitoring owing to an increase in chronic illness globally. Moreover, a surging focus on fitness and a healthy lifestyle orientation are also anticipated to positively impact the wearable medical device market.

Wearable medical devices are a type of healthcare technology worn on the body to monitor and track various health parameters. These devices are developed to be worn comfortably and non-invasively and integrate sensors, connectivity, and data analysis capabilities to collect and analyze pertinent health data. Due to improvements in sensor technology and the capacity to produce very compact sensors and batteries, wearable medical devices have grown in popularity over time.

Wearable medical devices provide real-time monitoring and feedback, allowing individuals, caregivers, and healthcare professionals to make well-informed decisions regarding health and wellness. Wearable medical technology can precisely track fitness, heart rate, overall wellness, and illness management. It is used for a variety of purposes. They can also save patient health data and send medication reminders.

Market Dynamics

Global Wearable Medical Devices Market Drivers

Rising Demand for Round-The-Clock Monitoring

Diseases like hypertension and diabetes, which are linked to inactivity, are predicted to rise in incidence over the next few years. These diseases require round-the-clock monitoring of various physiological parameters, like blood pressure and sugar levels. This increases the need to integrate healthcare data with portable devices, which can be provided to physicians in real time, reducing errors and boosting the industry demand. Moreover, increasing mortality due to the growing prevalence of noncommunicable diseases is a major concern, boosting the demand for remote monitoring devices. These factors are anticipated to further increase the demand for wearable medical devices.

Furthermore, the soaring prevalence of chronic diseases and increasing mortality are major concerns among people and government organizations. Thus, healthcare providers are now focusing on personalized care, including continuous monitoring of patients. Wearable medical devices offer round-the-clock monitoring of patients, as many of these devices can be worn 24/7. As a result, the demand for wearable devices is anticipated to increase over the forecast period.

Growing Inclination Towards Fitness

Growing inclination toward staying fit is a high-impact rendering driver for the wearable devices market. With most of the population realizing the benefits of healthy living, there has been a mounting need for devices and gadgets that can efficiently monitor physiological fluctuations. This has increased the demand for fitness wearables, considering their real-time ability to track metrics such as step count, heartbeat, sleep patterns, calories burned, etc.

Wearable devices like smart bands and smartwatches help monitor fitness parameters, including calories burned, footsteps taken, and distance covered. Moreover, these wearable device companies also guide experts like dieticians or nutrition consultants, which increases their adoption. The demand for these devices is expected to increase over the forecast period. As per the 2018 survey conducted by Valencell, "The State of Wearable Today," on 826 U.S. consumers above 18 years of age and older people, more than 2-3rd of consumers with wearables believe that the device has positively impacted their health.

Global Wearable Medical Devices Market Restraint

Non-Availability of Reimbursement

Lack of reimbursement facilities coupled with the increasing cost of medical diagnosis and therapies affects the adoption of healthcare services. It helps lower healthcare expenditure by promoting early detection of diseases and timely intervention. Reimbursement for wearable medical equipment is currently unavailable. As a result, individuals with high disposable income are currently the only potential consumers of these devices, limiting their wearable medical devices market growth.

Global Wearable Medical Devices Market Opportunities

Growing Trend toward Mobility and Home Care

There is an increasing trend toward portability and delivery of care at home or the bedside, accelerating the development of next-generation diagnostic, therapeutic, display, and monitoring equipment design, which is more versatile, precise, and compact. These systems have a consumer-driven model for healthcare that embraces innovations, such as customized wearable devices, electronic patient records, and wireless internet-linked systems, which are anticipated to deliver intelligent, user-friendly, and convenient healthcare at home.

Additionally, the main reason behind the trend of portable medical devices/equipment and care delivery at home is a rapidly aging population, which is chronically ill and disabled. This will allow people to enjoy greater mobility at home. Consequently, this will likely encourage designers to create medical devices that patients can discreetly carry even in public, creating opportunities for market players.

Regional Analysis

Based on region, the global wearable medical devices market share is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

North America Dominates the Global Market

North America is the most significant global wearable medical devices market shareholder and is anticipated to exhibit a CAGR of 25.7% during the forecast period. North America is the most developed market for wearable medical devices. High adoption of remote patient monitoring and home care devices for regular, continuous, and long-term monitoring of patients and reducing the frequency of hospital visits are anticipated to fuel market growth over the forecast period. In addition, the increasing geriatric and obese population is a primary factor propelling market growth in the country. For example, as per the Population Reference Bureau, in 2019, the number of Americans aged 65 years or above is expected to increase from 52.0 million in 2018 to 95.0 million by 2026, and this age group's share of the overall population is likely to rise from 16% to 23%. As elderly people prefer home healthcare services, the increasing geriatric population is expected to expedite the demand for wearable medical devices in the country during the forecast period.

Furthermore, increasing healthcare expenditure is expected to boost regional market growth. For instance, according to the World Bank, in 2016, the total healthcare spending in Canada accounted for ~10.53% of its GDP, whereas it was ~10.37% in 2015.

Europe is estimated to exhibit a CAGR of 28.01% over the forecast period. The European market includes the UK, Germany, and France. Rising demand for home care devices, supportive central data management systems, and growing accuracy and efficiency of wearable medical devices are the high-impact rendering drivers. Europe is home to some of the world's most innovative wearable startups. According to International Data Corporation's worldwide quarterly wearable device tracker, shipments of wearable devices in Europe increased by 30% in 2018. In addition, wearable devices with payment options are increasing rapidly in Europe as consumers easily and quickly incorporate this relatively new payment method into their daily routines. This trend has spread across Europe, with over 30 payment-enabled wearables available in 26 EU countries, which is expected to boost the market for wearable medical devices in the region.

Asia-Pacific is foreseen to witness exponential growth over the forecast period. Major aspects boosting market growth are favorable government initiatives supporting the adoption of advanced medical devices, the growing geriatric population, and soaring healthcare expenditure. For instance, the Government of India had plans to launch the "Fit India" campaign on National Sports Day, August 29, 2019. The campaign aims to spread awareness about fitness and healthy living among people in India. These factors likely expedite the demand for sleep trackers, wrist actigraphy devices, and polysomnography equipment, as these devices are mainly used to track physical and mental parameters. Japan was the largest market in the Asia Pacific region, majorly due to the high healthcare expenditure and introduction of new wearable medical devices in the market.

Brazil, Mexico, Argentina, and Colombia are key countries in the Latin America's market for wearable medical devices. Brazil held the largest market share due to high patient awareness regarding the various advantages of wearable medical devices. The population of Brazil was 212,559,417 in 2020, accounting for a 0.72% increase from 2019. Moreover, according to the World Bank, the geriatric population accounted for ~9.25% of the total population in Brazil in 2019, increasing from ~8.92% in 2018. Such factors create lucrative opportunities for the wearable medical devices market in the country.

Segmental Analysis

The global wearable medical devices market is segmented by product, application, and site.

By Product Type

The diagnostic and monitoring device segment, which includes activity monitors and fitness trackers in particular, is the market leader in wearable medical devices. This dominance is fuelled by rising rates of lifestyle-related disorders including diabetes and cardiovascular conditions, improvements in wearable technology, and growing consumer awareness of and acceptance of health and fitness tracking devices. These products are very attractive to consumers and healthcare practitioners because of their convenience, real-time data tracking, and connectivity with smartphones and other devices. The popularity of these gadgets is also greatly influenced by the increased interest in leading a healthy lifestyle and the movement towards preventative healthcare.

By Application

By application, the market for wearable medical devices is dominated by the remote patient monitoring segment. This dominance is brought about by the growing demand for continuous monitoring of chronic illnesses like diabetes, heart disease, and respiratory ailments. Healthcare professionals can track patients' vital signs and health data in real-time via remote patient monitoring, which enables prompt interventions and improved condition management. The use of remote patient monitoring solutions is also fuelled by the aging population, telehealth technological improvements, and the need to save healthcare expenses by eliminating hospital visits and admissions.

By Distribution Channel

By distribution channel, the wearable medical device market is dominated by the online sales segment. This is mostly because of the ease of use and accessibility it provides to customers, who can compare a large number of products, read reviews, and make purchases from the comfort of their homes. This tendency is mostly due to the quick expansion of e-commerce platforms and the developments in digital marketing. Additionally, as consumers looked to reduce in-person interactions, the COVID-19 pandemic drove the transition towards online buying. Online sales of wearable medical gadgets are made even more appealing by their competitive pricing, frequent discounts, and direct delivery services.

Recent Developments

• June 2023- Cala Health introduced the kIQ system, which the company describes as the first noninvasive wearable device approved by the FDA to temporarily alleviate tremors in patients with essential tremors and Parkinson's disease.
• September 2022- Bonatra, an Indian startup, introduced a wearable smart ring, Smart Ring X1, that monitors multiple health parameters, including heart rate, blood oxygen (SpO2), and sleep quality.