The global medical equipment rental market size was estimated at USD 45.84 billion in 2017. Growing adoption of medical assist devices coupled with rising economic crisis owing to speedy technological development are among the key trends stimulating market growth. Rising R&D activities in the medical device industry is resulting in introduction of advanced variants with enhanced efficacy and effectiveness, which is leading to surge in prices of various equipment.
A shift in trend from procuring to leasing of devices has been observed over the past few decades in the healthcare industry. Healthcare providers across the globe are aiming towards improved infrastructural facilities and reduction in capital required to achieve the same. The trend is likely to stay, thereby will drive the market. However, presence of insurance coverage for a few medical devices is expected to pose a threat to the rental/leasing market.
Shortened product lifecycle is another factor anticipated to stoke the growth of the market during the forecast period. Constant availability of advanced devices is leading to price hike and hence, causing a burden on healthcare providers. In order to keep up with competition, healthcare providers need to pay keen attention to technological upgradation. Therefore, rising involvement in R&D is poised to propel the market.
In addition, rising need for home healthcare owing to reduced hospital stays and widening geriatric and disabled patient pool is boosting the demand for rental devices. Increasing mishaps such as muscular dystrophy, spinal malfunctioning, and brain or skeletal injury/ disorders are leading to a rise in the pool of disabled population. All these factors are working in favor of the market.
Availability of various grants and government provisions for disabled population is projected to impede the growth of the market. Provision grants such as financial support for procurement of equipment and funds for building infrastructural facilities for disabled are lowering the need for renting of equipment. This, in turn, is estimated to limit the market from realizing its utmost potential.
Healthcare providers have been facing issues of unhandled frozen capital with frequent new product launches. Simultaneously, excess investment in medical device procurement is encouraging players to opt for rental devices in order to liquefy frozen capital. In addition, purchase of new equipment involves spacing concerns, owing to which healthcare providers prefer leasing.
The durable medical equipment (DME) segment accounted for the largest share in the market. Rising need for mobility and assist equipment owing to increasing number of disabled and geriatric population is contributing to the growth of the market. Among different DME, monitoring and therapeutic devices are likely to witness significant gain in rental revenues during the forecast period owing to rising demand for wireless monitoring devices and growing incidence of lifestyle diseases that require routine vital statistics analysis.
Personal mobility devices are also expected to experience healthy growth in the demand during the same period. Introduction of technologically advanced products such as automated recliners and sling lifts is anticipated to supplement the growth of the market.
The hospital segment accounted for the largest share in the market in 2017. The growth of the segment can be attributed to rising patient pool and increasing government reforms regarding adoption of advanced healthcare infrastructure. Over the past few years, equipment procurement has been observed to be substituted by financing systems such as renting/leasing. Soaring need for liquefying frozen capital along with rising issues regarding inefficient capital deployment are propelling the medical equipment rental market.
In addition, convenience of splitting capital expenditure over a few months in case of rental services is poised to benefit healthcare providers. Moreover, rising concerns for diagnostic efficiency and enhanced patient output rates coupled with spiraling demand for lowered pre-therapeutic costs are projected to augment the overall market.
The personal/home care segment is estimated to emerge as the fastest growing segment during the forecast period. Rising need for geriatric care centers and home healthcare devices is one of the primary factors spurring the growth of the segment. Increasing incidence of lifestyle associated diseases such as obesity and diabetes and other disorders including cardiac conditions is likely to bolster the adoption of medical rental equipment.
North America dominated the market in 2017 and is expected to remain dominant through 2025. Presence of a large number of service providers and high demand for technologically advanced products are escalating the growth of the regional market. The region faces issues of excess expenditure on purchase of latest therapeutic apparatus, which can be tackled by leasing equipment.
The region was followed by Europe in 2017 in terms of revenue. Rising prevalence of chronic diseases such as Parkinson’s, Huntington’s disease, and atherosclerosis, proliferation of home health care services, and rapidly growing geriatric population are providing a fillip to the market in Europe. In addition, educational institutes and research laboratories are looking forward to reducing operational and procurement costs, leading to greater adoption of rental equipment globally.
Asia Pacific is anticipated to exhibit the highest CAGR during the forecast period. Widening base of geriatric population and growing supportive government initiatives in developing economies are primary growth stimulants for the growth of the regional market.
The market is highly competitive in nature. Key participants include Hill-Rom Holdings, Inc.; Siemens Financial Services, Inc.; Nunn’s Home Medical Equipment; Westside Medical Supply; Universal Hospital Services, Inc.; and Woodley Equipment Company Ltd.
Some of the major parameters affecting competitive nature of the market are burgeoning utilization of advanced devices for better healthcare services coupled with increasing need for optimum utilization of capital. Prominent players are frequently undertaking mergers & acquisitions in order to expand their product portfolio and consolidate their position in the market.
Attribute |
Details |
Base year for estimation |
2017 |
Actual estimates/Historical data |
2015 - 2016 |
Forecast period |
2018 - 2025 |
Market representation |
Revenue in USD Million and CAGR from 2018 to 2025 |
Regional scope |
North America, Europe, Asia Pacific, Latin America, Middle East & Africa |
Country scope |
U.S., Canada, U.K., Germany, China, India, Mexico, Brazil, South Africa |
Report coverage |
Revenue forecast, company share, competitive landscape, growth factors and trends |
15% free customization scope (equivalent to 5 analyst working days) |
If you need specific information, which is not currently within the scope of the report, we will provide it to you as a part of customization |
This report forecasts revenue growth at global, regional, & country levels and provides an analysis of industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global medical equipment rental market report on the basis of product, end use, and region:
Product Outlook (Revenue, USD Million, 2014 - 2025)
Surgical Equipment
Durable Medical Equipment
Personal Mobility Devices
Bathroom Safety and Medical Furniture
Monitoring and Therapeutic Devices
Storage and Transport
End-use Outlook (Revenue, USD Million, 2014 - 2025)
Personal/Home care
Institutional
Hospitals
Regional Outlook (Revenue, USD Million, 2014 - 2025)
North America
U.S.
Canada
Europe
U.K.
Germany
Asia Pacific
India
China
Latin America
Brazil
Mexico
Middle East & Africa
South Africa
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