Hospital Linen Supply and Management Services Market Analysis Report By Product, By Material, By End Use (Hospitals, Diagnostic Centers, Standalone Clinics), By Service Provider, And Segment Forecasts, 2018 - 2025

Industry Insights

The global hospital linen supply and management services market size was valued at USD 7.3 billion in 2016 and is expected to expand at a CAGR of 3.0% during the forecast period. Value-added services by key players, increasing outsourcing of hospital linen supplies and services, growing patient base due to rise in occurrence of various diseases, and increasing volume of geriatric population are key factors driving market growth.

Key players offer various value-added services along with linen supply. They are involved in offering patient linen and apparels, medical apparels, gowns, towels, washcloths, bath towels, bed covers, pillow covers, and different gowns for a varied patient pool. In addition to these offerings, value-added services result in increasing the attractiveness of these players amongst end users.

Value-added services include uniform rentals, laundry, and waste removal systems. Most key players such as Unitex Textile Rental Services, Inc.; Angelica Corporation; ImageFIRST Healthcare Laundry Specialists, Inc.; Swisslog Holding AG; and AmeriPride Services Inc. offer laundry services along with linen supply. These may be provided in-house or on a contractual basis. Some of these companies also provide laundry installation systems.

In addition, outsourcing of value-added services is an additional revenue source for companies. This also allows companies to retain their competitive edge and increase their market share. Outsourcing helps healthcare facilities focus on core competencies and saves time and money used for upgrading equipment, training of workers, and various materials required for laundry. Moreover, in-house laundry requires massive investment in terms of building an in-house laundry facility. Therefore, rising number of outsourced laundry services is increasing the revenue of key players, thereby bolstering the market.

Additionally, a growing number of hospitals are opting for outsourced linen supplies such as uniforms, gowns, bedsheets, pillow covers, towels, and medical apparels. Therefore, outsourcing of hospital linen supplies and services is amongst the key factors driving the growth of the market.

Product Insights

On the basis of product, the market for hospital linen supply and management services is segmented into blanket, bedsheet and pillow covers, bed covers, bathing and cleaning accessories, and patient repositioners. Bedsheet and pillow covers held the largest market share in 2016, owing to increasing number of hospitals and hospital beds and implementation of hygiene policies.

Hospital bedsheets can be of various kinds: flat sheets, fitted sheets, bariatric sheets, hyperbaric sheets, gurney sheets, mortuary sheets, and birthing sheets. These sheets are classified on the basis of bed size into single and double bedsheets. Companies also offer bedsheets with shrink-resistant and easily washable features. These bedsheets also have stain-release properties, which make them look newer for longer duration, thereby reducing expenses. Pillow covers are also available in different colors and sizes depending on customer needs. These pillow covers offer features such as stain resistance and are equipped to minimize shrinkage of the pillow.

The bathing and cleaning accessories segment is expected to witness the highest growth during the forecast period due to increasing awareness regarding need for optimum sanitation and necessity to maintain a high standard of hygiene.

Material Insights

On the basis of material, the industry is segmented into woven and non-woven. Woven material held the largest share in the market. However, non-woven material is anticipated to witness the highest growth due to increasing technologies for manufacturing good quality linen materials.

Non-woven material is made from long fiber and staple fiber, which is bonded by heat, solvent, chemical, or mechanical treatment. In the healthcare sector, this method is used to manufacture isolation gowns, surgical gowns, surgical drapes and covers, surgical masks, surgical scrub suits, caps, gloves, shoe covers, and bath wipes. It is anticipated to witness the highest growth in the market owing to development of various technologies for manufacturing linen supplies.

End-use Insights

On the basis of end use, the hospital linen supply and management services market is segmented into hospitals, diagnostic centers, and standalone clinics. Hospitals accounted for the largest share in the market and are anticipated to witness the highest growth in the forecast period, due to increasing number of public and private settings and a rising number of hospital beds. Diagnostic centers and standalone clinics are also expected to witness significant growth due to soaring patient population treated at these facilities.

Hospitals usually have tie-ups with companies for linen sheets, blankets, and pillow covers. Increase in the number of beds and hospitals are insulating market growth. Additionally, a number of healthcare settings are collaborating with third parties in order to capitalize on the growing requirement of linen supply, hence driving market growth over the forecast period.

Service Provider Insights

The market for hospital linen supply and management services is categorized into in-house and contractual services. The contractual service provider segment is expected to be the fastest growing market due to increasing awareness of and demand for cleanliness and hygiene by healthcare professionals and patients alike. Moreover, these solutions enable healthcare facilities to maximize internal resource utilization and curb additional costs.

The in-house segment is anticipated to witness steady growth during the forecast period due to reliability of these services. This segment includes washing, dry cleaning, and maintenance of linen within the premises of hospitals, diagnostic centers, or standalone clinics. In-house facilities are more reliable and save time and money. They also offer better long-term return on investments and are compliant with industry regulations. They maximize efficiency, guarantee laundry is taken care of in an appropriate manner, and ensure there is no mix-up in linen. This may occur in case of contractual service providers as they manage linen from different clients and companies.

Regional Insights

North America held the dominant share in 2016 owing to presence of major players in the market and stringent healthcare policies for hygiene and safety. On account of a massive population base, improving healthcare infrastructure, vast untapped market potential, and growing prominence given to brands by the healthcare sector, Asia Pacific is expected to witness the fastest growth during the forecast period.

For instance, in India, most hospitals have a contract with third parties to manage their linen and laundry requirements. Demand for superior quality linen clothing in hospitals in increasing in these regions as patients are more aware of hygiene standards and protection against hospital acquired infections (HAI). Also, presence of key players such as Emes Textiles Pvt. Ltd. and Tetsudo Linen Service in this region is driving market growth.

Hospital Linen Supply and Management Services Market Share Insights

Key market players include Unitex Textile Rental Services, Inc.; Emes Textiles Pvt. Ltd.; Angelica Corporation; E-town Laundry Company; ImageFIRST Healthcare Laundry Specialists, Inc.; Tetsudo Linen Service; Celtic Linen; Swisslog Holding AG; and AmeriPride Services Inc. 

Various strategies such as geographical expansion and mergers and acquisitions are being adopted by these players to increase product reach and strengthen product portfolios. For instance, in June 2017, Angelica Corporation completed the sale of most of its subsidiaries to KKR & Co. L.P., an investment firm. The development was aimed at strengthening the business, with the Angelica name serving more than 3,800 clinics, long-term facilities, and hospitals. This development also was expected to strengthen Angelica’s finances and operations, thereby increasing its customer base.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis on latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research, Inc. has segmented the global hospital linen supply and management services market report on the basis of product, material, end use, service provider, and region:

• Product Outlook (Revenue, USD Million, 2014 - 2025)

  • Bed Sheet & Pillow Covers

  • Blankets

  • Bed Covers

  • Bathing & Cleaning Accessories

  • Patient Repositioner

• Material Outlook (Revenue, USD Million, 2014 - 2025)

  • Woven

  • Non-Woven

• End-use Outlook (Revenue, USD Million, 2014 - 2025)

  • Hospitals

  • Diagnostic Centers

  • Standalone Clinics

• Service Provider Outlook (Revenue, USD Million, 2014 - 2025)

  • In-house

  • Contractual

• Regional Outlook (Revenue, USD Million, 2014 - 2025)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • Japan

    • China

  • Latin America

    • Brazil

    • Mexico

  • Middle East and Africa (MEA)

    • South Africa

    • Saudi Arabia