Urgent Care Center Market To Reach US$ 37.3 Billion By 2032

Introduction

Global Urgent Care Center Market size is expected to be worth around US$ 37.3 Billion by 2032, from US$ 24.3 Billion in 2023, growing at a CAGR of 5.1% during the forecast period from 2023 to 2032. In 2023, North America led the market, achieving over 39.7% share with a revenue of US$ 9.6 Billion.

The surge in chronic diseases necessitates readily accessible healthcare services, further propelling market growth. Technological enhancements within urgent care centers have been crucial in this expansion. These centers are now equipped with advanced diagnostic and treatment technologies that were previously only available in larger hospital settings, including sophisticated imaging and comprehensive laboratory services. This advancement not only broadens the spectrum of conditions that can be treated but also improves the quality of care delivered.

Moreover, the strategic placement of urgent care centers in underserved regions plays a vital role in bridging the gap in healthcare accessibility for both urban and rural populations.

Recent strategic initiatives within the sector underscore its significant growth and integration. For example, in October 2023, CVS Health acquired Urgent Care Now for $1.9 billion, incorporating over 1,000 locations into its network, thereby enhancing its geographic reach and service capabilities. In a similar vein, UnitedHealth Group launched Optum UrgiCare in September 2023, which merges traditional and digital healthcare services to improve patient experience and access.

The economic impact of these expansions is considerable. Urgent care centers are set to save the healthcare system approximately $23 billion annually by reducing emergency room visits and providing timely care for urgent, non-emergency conditions. Additionally, the Centers for Medicare and Medicaid Services (CMS) adjusted reimbursement rates in July 2023, aligning them with those for hospitals for certain services. This policy shift is anticipated to bolster the growth of these facilities by ensuring a better alignment of costs with their revenue models.

Overall, the urgent care center market is experiencing significant growth, propelled by strategic acquisitions, technological advancements, and supportive government policies. The integration of digital technologies into healthcare services, coupled with favorable reimbursement adjustments, cements the role of urgent care centers as a crucial element in the healthcare delivery system, fostering sustained growth and increased reliance on these facilities for immediate medical attention.

Key Takeaways

• Market Size: The Urgent Care Center Market is expected to reach approximately USD 37.3 Billion by 2032.
• Market Growth: The market is projected to grow at a Compound Annual Growth Rate (CAGR) of 5.1% during the forecast period from 2023 to 2032.
• Service Analysis: In 2023, acute respiratory infection services held a dominant market share of over 27.4%.
• Ownership Analysis: Hospitals held a dominant market position with over 32% share in 2023.
• Regional Analysis: In North America, the market had a commanding 39.7% share in 2023, with the U.S. showing robust growth.
• Technological Advancements: Enhanced capabilities in diagnostics and treatment, previously exclusive to hospitals, are now available in urgent care centers.
• Strategic Expansions: Notable developments include CVS Health’s acquisition of Urgent Care Now and the launch of UnitedHealth Group’s Optum UrgiCare.
• Economic Impact: Potential to save the healthcare system around $23 billion annually by reducing emergency room visits.

Urgent Care Center Statistics

• In 2023, over 1.5 million patients faced waits of more than 12 hours in major emergency departments.
• Of these, 1 million patients were waiting for hospital admission after decisions regarding their treatment were made.
• An estimated 268 deaths occurred weekly due to prolonged waiting times, according to the Royal College of Emergency Medicine (RCEM).
• Delays in admission, accounting for 65% of the extended wait times, indicate substantial hospital capacity challenges.
• Attendance at Accident and Emergency (A&E) units in February increased by 8.6% compared to the same month the previous year.
• Emergency admissions in February showed a 7.7% year-over-year increase.
• To address this surge, 5,000 additional permanent staffed beds were deployed this winter.
• In December 2023, only 59.6% of patients achieved the four-hour target for receiving emergency treatment.
• During the same month, over 1,100 patients waited longer than an hour for admission.
• Just 53.4% of patients transported by ambulance were admitted within 30 minutes.
• By March 2024, hospital trusts in England aim to evaluate 76% of patients within a four-hour window.
• In January 2024, there was a 13% increase in demand for urgent and emergency care compared to the previous year, equating to an average of 50 additional patients per day.

Financial Insights

• Annual industry revenue: Approximately $18 billion.
• Cost per visit range: $150–$200.
• Average net profit margin: Around 15%.
• Revenue growth in pediatric centers: 14%.

Operational Insights

• Independently owned centers: 85%.
• Centers open seven days a week: 70%.
• Centers with extended hours beyond traditional care: Over 50%.
• Average wait time: 30 minutes, with 69% achieving less than 20 minutes.
• Average visit duration: About 60 minutes.
• Centers with a continuous on-site physician presence: More than 90%.
• Centers offering on-site laboratory services: 85%.
• Diagnostic tests available on-site: Average of 12 types.
• Treatment for common illnesses like colds and flu: Over 90%.
• Centers providing occupational health services: Approximately 78%.
• Centers offering sports physical examinations: 56%.
• Partnerships between hospitals and physicians: About 53%.
• Centers capable of point-of-care dispensing: Around 60%.

Key Insights

• Utilization rate: Nearly 30% of Americans have used these facilities in the past two years.
• Efficiency: About 97% of patients receive treatment within one hour.
• Patient satisfaction: High, with an average satisfaction rate of 92%.
• Patient ratings: Consistently high, averaging 4.5 out of 5 stars.
• Contribution to primary care: Account for 29% of all primary care visits in the U.S.
• Return visits: Approximately 70% of patients return to the centers.

Trends and Projections

• Number of centers: Over 9,000 across the U.S.
• Annual patient volume: Approximately 160 million, underlining a significant role in non-emergency healthcare.
• Average annual patient volume per center: Around 12,000 (about 450 weekly).
• Employment: More than 150,000 healthcare professionals nationwide.
• Projected job creation by 2020: Additional 225,000 jobs.
• Growth rate of pediatric centers: 15% annually.
• Market expansion since 2013: 28%, with a 10% increase in patient visits noted in 2018 alone.

Emerging Trends

• Integration with Pediatric and Primary Care: Urgent care centers are increasingly merging with pediatric and primary care services, offering comprehensive care solutions. This integration caters to family-oriented communities and efficiently manages routine healthcare needs, transforming centers into all-encompassing facilities for non-emergency medical services.
• Adoption of Specialist Services: Urgent care centers are expanding their service offerings by incorporating specialist services such as dermatology, orthopedics, and behavioral health. This expansion not only diversifies their revenue streams but also enhances patient convenience by consolidating a variety of healthcare services under one roof.
• Technological Enhancements: The incorporation of mobile health applications and telemedicine is transforming the operational landscape of urgent care centers. These technological advancements boost patient engagement, streamline administrative operations, and facilitate remote care, significantly improving accessibility and operational efficiency.
• Strategic Industry Partnerships: To augment their service capabilities and extend their market reach, urgent care centers are engaging in strategic partnerships across the healthcare industry. These alliances are vital for improving resource allocation, integrating advanced technologies, and expanding market presence.
• Economic and Staffing Efficiencies: Faced with economic pressures and staffing challenges, urgent care centers are refining their operational models to enhance efficiency. This involves optimizing staffing solutions, employing technology for routine administrative tasks, and refining financial management strategies to maintain profitability and ensure high-quality service delivery.

Use Cases

• Routine Care and Screening: Urgent care centers effectively manage cases needing immediate but not emergency-level attention. Services include treatment for minor injuries like burns or cuts, addressing common ailments such as the flu or fever, and conducting routine screenings and vaccinations.
• Chronic Disease Management: Many urgent care centers are broadening their offerings to include chronic disease management. They provide regular follow-ups and monitoring for patients with chronic conditions who require consistent oversight but not acute hospital care.
• Telemedicine Services: To enhance accessibility, urgent care centers are increasingly adopting telemedicine. This technology allows them to provide remote consultations, particularly beneficial in rural or underserved areas, enabling patients to access medical advice without extensive travel.
• After-hours Care: Urgent care centers are pivotal in offering medical services beyond typical primary care hours. They cater to patients who need immediate care for non-life-threatening conditions outside of normal business hours.
• Bridging the Gap in Healthcare Service: Acting as an intermediate option between primary care and emergency room facilities, urgent care centers help reduce the load on overwhelmed emergency services. They provide a faster alternative for patients with urgent, non-emergency medical needs.

Conclusion

The urgent care center market is experiencing substantial growth, driven by strategic acquisitions, technological advancements, and supportive government policies. The integration of advanced diagnostic and treatment capabilities, previously exclusive to hospitals, enhances the quality and scope of care provided. Additionally, urgent care centers are playing a critical role in improving healthcare accessibility, particularly in underserved regions. As the sector expands, its potential to save the healthcare system billions annually and improve patient care is evident. With ongoing investments in technology and service integration, urgent care centers are becoming an essential part of the healthcare delivery system.

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