The global air ambulance services market size was valued at USD 3.7 billion in 2016 and is expected to grow at a CAGR of 9.3% over the forecast period. Improving global economy; increasing per capita health expenditure; availability of reimbursement plans; rising prevalence of chronic diseases, such as cardiac disorders requiring emergency medical response; and improving medical infrastructure in sports and entertainment industry are anticipated to help air ambulance services industry grow at a sturdy rate over the forecasts period.
U.S. air ambulance services market, by type, 2014 - 2025 (USD Million)
The global per capita healthcare expenditure is rising exponentially over the past two decades. As per statistics published by The World Bank Group, per capita, health expenditure in 1996 was around USD 467.6, and in 2014, this number grew exponentially to USD 1,060.9. This exponential growth of around 55.0% in per capita healthcare expenditure can be attributed to improving economic environments, improved access to quality treatment, and increasing awareness in the population, which translates into increased demand for these services since the past five years.
To complement this increasing demand, service providers, especially in developing economies, offer a wide range of services in air medical transport. Furthermore, there has been a constant increase in service providers resulting in increased competition. For instance, in the U.S. there are more than 300 service providers with more than 1,300 aircraft, cumulatively.
There is an alarming increase in the incidence of chronic disorders, such as cardiovascular conditions, which require an emergency medical response. For instance, as per the World Health Organization’s reports, cardiovascular diseases dominated the total number of fatalities globally. In 2012, around 31.0%, which is 17.5 million, deaths were recorded due to cardiovascular disorders. These facilities are of great help in such life-threatening situations, hence these services have maintained steady demand despite being expensive.
The presence of reimbursement policies in developed economies, such as the U.S., helped these services grow at a lucrative rate by helping them overcome the challenges associated with high prices. As per statistics provided by the Government Accountability Office (GAO), the Medicare and Medicaid payments accounted for around 30.0% and 12.0% of market revenue, respectively, while private insurers accounted for approximately 50.0%; out-of-pocket payments are rare as service is expensive.
Rotary-wing services, which include helicopter-based medical transport services, dominated the air ambulance services market with over 68.0% share in 2016. Helicopter ambulances are used in transport for shorter distances. Moreover, easy landing on the ground, streets, and rooftops increases the accessibility of these facilities.
Fixed-wing services refer to specialized aircraft equipped with medical facilities and a dedicated crew. These are primarily used when a patient needs to be transferred for longer distances. Fixed-wing generally is private jets or business jets that are designed in such a way that they can accommodate medical crew and equipment.
Global air ambulance services market, by type, 2016 (USD Million)
Hospital-based air ambulance services dominated this space in 2015 and is also anticipated to gain hefty shares over the forecast period. Most of the hospitals in the developed countries run this program, wherein hospitals offer emergency response services with the medical crew in the air ambulance.
Community-based services are from public donations or donated by business. These services are provided through partnerships with private players and community health organizations. For instance, Air Methods in the U.S. offers various community-based programs such as Air Idaho Rescue in Wyoming, Montana, and Idaho.
North America held a commanding share in the global air ambulance services industry in 2016. Accessibility to supportive infrastructure for air medical transport, availability of reimbursement, and local presence of a large number of service providers in this region compliments the lucrative growth of this market.
The Asia Pacific is projected to exhibit remunerative growth of over 11.0% in the forecast period. The economic environment in this region is improving, and countries like India and China are on the forefront of global investments. Multinational companies are investing in this region considering the cost-effectiveness and availability of a large pool of labor. Many global business conglomerates avail these services as a part of safety protocol.
Some of the key players in this industry include AMR; PHI Air Medical; Scandinavian Air Ambulance; IAS Medical; Express AirMed Transport; Native American Air Ambulance; Lifeguard Air Ambulance; REVA Air Ambulance; and Acadian.
Strategic initiatives undertaken by these players include collaborations, service portfolio expansion, and partnerships with business firms, sports, and entertainment events. For instance, in February 2017, AMR partnered with the National Association for Stock Car Auto Racing (NASCAR) tournaments; this initiative is anticipated to help the company attain organic growth as well as gain publicity.
Report Attribute |
Details |
Market size value in 2020 |
USD 4.31 billion |
Revenue forecast in 2025 |
USD 8.2 billion |
Growth Rate |
CAGR of 9.3% from 2017 to 2025 |
Base year for estimation |
2016 |
Historical data |
2014 - 2015 |
Forecast period |
2017 - 2025 |
Quantitative units |
Revenue in USD million and CAGR from 2017 to 2025 |
Report coverage |
Revenue forecast, company share, competitive landscape, growth factors and trends |
Segments covered |
Type, service model, region |
Regional scope |
North America; Europe; Asia Pacific; Latin America; Middle East & Africa |
Country scope |
U.S.; Canada; UK; Germany; China; Japan; Brazil; Mexico; South Africa; Saudi Arabia |
Key companies profiled |
AMR; PHI Air Medical; Scandinavian Air Ambulance; IAS Medical; Express AirMed Transport; Native American Air Ambulance; Lifeguard Air Ambulance; REVA Air Ambulance; Acadian |
Customization scope |
Free report customization (equivalent up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope. |
Pricing and purchase options |
Avail customized purchase options to meet your exact research needs. Explore purchase options |
This report forecasts revenue growth at global, regional & country levels and provides an analysis of the latest trends and opportunities in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global air ambulance services market on the basis of types, service model, and region:
Type Outlook (Revenue, USD Million; 2014 - 2025)
Rotary-Wing
Fixed-Wing
Service Model Outlook (Revenue, USD Million; 2014 - 2025)
Hospital-Based
Community-Based
Regional Outlook (Revenue, USD Million; 2014 - 2025)
North America
The U.S.
Canada
Europe
Germany
The U.K.
Asia Pacific
China
Japan
Latin America
Mexico
Brazil
MEA
South Africa
Saudi Arabia
This report has a service guarantee. We stand by our report quality.
We are in compliance with GDPR & CCPR norms. All interactions are confidential.
Design an exclusive study to serve your research needs.
Get your queries resolved from an industry expert.
"The quality of research they have done for us has been excellent..."
With Covid-19 infections rising globally, the apprehension regarding a shortage of essential life-saving devices and other essential medical supplies in order to prevent the spread of this pandemic and provide optimum care to the infected also widens. In addition, till a pharmacological treatment is developed, ventilators act as a vital treatment preference for the COVID-19 patients, who may require critical care. Moreover, there is an urgent need for a rapid acceleration in the manufacturing process for a wide range of test-kits (antibody tests, self-administered, and others). The report will account for Covid19 as a key market contributor.