Outbound Medical Tourism Market

Outbound Medical Tourism Market Outlook (2023 to 2033)

In 2023, the outbound medical tourism market is projected to reach an impressive figure of US$ 221.21 billion. According to FMI’s comprehensive report, the demand for outbound medical tourism is predicted to experience an astounding CAGR of 11.6% from 2023 to 2033.

The key factor behind medical tourism is the potential for substantial cost savings. People opt to travel abroad for treatments and procedures because it is significantly cheaper than in their home countries. As a result, the projected market size for outbound medical tourism is expected to soar to an impressive US$ 662.92 billion by 2033.

Growth in per capita income and rising awareness about fitness and well-being are boosting the demand for outbound medical tourism all over the globe. Majorly, outbound medical tourism is done for cosmetic, dental, and weight loss and critical treatments for diseases such as cancer and other heart-related ailments.

The primary reason which makes patients cross borders is to get the best treatment service for their illness from the experts. The other main factors that motivate patients to travel are immediate treatment availability, affordability of medical facilities, and non-availability or low-quality treatment and less skilled service providers in their home country.

The availability of top-tier healthcare services in popular medical tourism destinations is another crucial driver. These countries often boast state-of-the-art medical facilities, highly trained healthcare professionals, and advanced technologies. Therefore, these countries typically attract patients seeking exceptional medical care.

Certain destinations are renowned for their expertise in specific medical fields. Patients often choose to travel to these destinations to receive specialized treatments from highly skilled doctors and medical teams.

Many medical tourists seek alternative medicine treatments. These treatments are rooted in specific countries' cultures. Modalities like Ayurveda and Traditional Chinese Medicine (TCM) are popular. These treatments attract medical tourists to particular destinations. Alternative medicine offerings bolster the growth of medical tourism in these areas.

Medical tourism destinations are no longer limited to India, China, and Thailand. Other countries are emerging as popular options. Eastern Europe and Latin America are gaining popularity. Medical tourists now have a wider range of choices available to them.

Patients nowadays desire customized healthcare experiences. They want services created specifically for their particular requirements. Medical tourism providers are responding to this demand. Providers aim to deliver personalized services and attention. Enticing and retaining patients is the primary objective. This focus on personalization enhances the overall medical tourism experience.

Technological advancements have revolutionized healthcare. Remote consultations and telemedicine services have become prevalent. Now, patients can communicate with medical professionals online. Physical visits are reduced until the actual treatment or procedure is required.

2018 to 2022 Outbound Medical Tourism Market Analysis vs. 2023 to 2033 Forecast

From 2018 to 2022, the market for outbound medical tourism registered a significant incline, at a CAGR of 10.5%. The outbound medical tourism market is further forecast to grow healthily from 2023 to 2033. People increasingly prefer to avail of outbound medical services amid rising healthcare costs within their home countries. A significant proportion of medical tourists travel to countries such as China and India, as treatment costs are significantly lower compared to both North America and Europe.

The escalating demand for affordable yet superior healthcare services has propelled the medical tourism industry to new heights. This transformation is driven by various factors that have collectively reshaped the healthcare landscape. Notably, the increasing accessibility of information and resources about medical tourism has empowered individuals to make informed choices about their medical needs. Consumers are now more knowledgeable and discerning, actively seeking out the advantages offered by medical tourism.

The growing awareness has led to the emergence of new niche markets. These markets cater to specific medical requirements. They provide targeted solutions. They are designed for individuals seeking specialized treatments and procedures. The convergence of technology and healthcare has transformed the landscape. It has made high-quality medical services more accessible and convenient. Patients worldwide are anticipated to benefit from these advancements.

Given the increased demand for disbursing good quality healthcare at reduced costs, countries globally are revamping existing healthcare infrastructure, incorporating key innovations and technological advancements. Moreover, patients seek overseas medical treatment in lieu of inadequate or limited health insurance coverage.

In addition, outbound medical tourism is also widely dependent on the availability of certain treatments in home countries. Recent years have experienced a major upswing in outbound medical tourism concerned with treatment related to weight loss, cosmetic surgery, dental surgery, cardiovascular treatment, fertility treatment, cancer treatment, and orthopedic treatments. Among these categories, cosmetic surgery, fertility treatments, and dental care are the most sought-after outbound medical tourism drivers.

Medical tourism has evolved beyond medical treatments. It now includes wellness and tourism offerings. Patients can undergo treatments and enjoy a vacation. They can also participate in wellness retreats. This integration provides a holistic experience. Medical tourism encompasses both healthcare and leisure activities.

Several insurance providers offer coverage for medical tourism. Patients now have easier access to it at lower costs. The availability of insurance coverage removes financial barriers. It expands the pool of potential medical tourists. More individuals can now consider medical tourism as a viable option.

The emergence of online medical tourism platforms has significantly simplified the process for patients seeking treatment abroad. These platforms serve as invaluable resources, offering diverse services such as medical consultations, travel arrangements, and insurance options. Patients can now confidently navigate their healthcare journey, armed with comprehensive information and convenient tools provided by these platforms.

What are the Opportunities and Trends abounding in the Outbound Medical Tourism Industry?

Increasing ‘Travel with Purpose’ Frequency to majorly push Outbound Medical Tourism Popularity

The travel and tourism market is prospering, and travelers prefer the ‘travel with purpose’ concept. This concept is prominent among developed regions whereas many untapped regions are emerging as an opportunity for outbound medical tourism. Factors that have led to the increasing popularity of medical travel include the high cost of health care, long wait times for certain procedures, the ease and affordability of international travel, and improvements in both technology and standards of care in many countries. The avoidance of waiting times is the leading factor for medical tourism from the United Kingdom, whereas, in the United States, the main reason is cheaper prices abroad.

Many surgical procedures performed in medical tourism destinations cost a fraction of the price they do in other countries. For example, in the United States, a liver transplant that may cost US$ 300,000, would generally cost about US$ 91,000 in Taiwan. A large draw to medical travel is convenience and speed. Countries that operate public healthcare systems often have long wait times for certain operations, for example, an estimated 782,936 Canadian patients spent an average waiting time of 9.4 weeks on medical waiting lists in 2005. Based on these trends, the market for outbound medical tourism is likely to take a turn for the better in forthcoming years.

Sudip Saha

Principal Consultant

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What are the Restraints of the Outbound Medical Tourism Industry?

The demand for outbound medical tourism is restricted due to factors such as unclear information regarding the treatment centers, safety issues of tourists, and the tours being expensive. The other factors leading to sluggish growth are the expenses involved in the treatments. Nonetheless, the demand is increasing exponentially and reliability is estimated to offer opportunities for growth in the future as well.

The key factor includes economic factors as some of the treatments are expensive and demand tremendous reliability. Broadly, medical issues, financial issues, administrative or practical issues, and hesitation from traveling hinder the outbound medical tourism industry to a significant extent.

Country-wise Insights

Is Outbound Medical Tourism Redefining Healthcare Options for United States Residents?

Individuals in the United States Embrace Medical Tourism for Affordable Healthcare

The United States outbound medical tourism market is growing significantly. This growth is attributed to the substantial difference in treatment costs between the United States and countries like India and Mexico. A 2014 study published in the International Medical Tourism Journal highlighted this price difference. According to the study, treatment expenses in the United States are 85% higher compared to these countries. For instance, knee replacement procedures in the United States can cost between US$ 35,000 and US$ 60,000. In contrast, the same procedures are available for less than US$ 20,000 in Costa Rica and India, including accommodation and airfare expenses. This significant price contrast is fueling the potential market growth in the United States.

The United States has leading healthcare institutions. Certain countries are renowned for specialized medical facilities and esteemed specialists. Patients choose these destinations for treatment from highly skilled professionals. This enhances their chances of successful outcomes. The government has been actively exploring regulatory changes to facilitate the integration of medical tourism into the domestic healthcare system. These changes aim to evaluate medical tourism as a potential cost-saving measure and streamline processes for medical travelers.

What's Driving Patients in the United Kingdom to Explore Specialized Treatments Beyond Borders?

Citizens in the United Kingdom Opt for Medical Tourism to Access Affordable Procedures

The United Kingdom outbound medical tourism market has been experiencing robust growth in recent years. Citizens in this country are increasingly opting to seek medical treatments and procedures abroad, driven by

• cost savings and reduced waiting times
• access to specialized treatments
• the desire for a unique combination of healthcare and travel experiences

Individuals from the United Kingdom show a notable increase in interest in wellness tourism. They seek holistic treatments, spa retreats, and wellness programs abroad. The goal is to improve overall well-being and achieve a balance between healthcare and rejuvenation. Citizens opting for medical tourism have witnessed a remarkable surge in demand for cosmetic surgeries. Procedures such as breast augmentation, facelifts, rhinoplasty, dental implants, and smile makeovers are particularly sought after.

What are the Key Factors Driving Germany Outbound Medical Tourism Market and Shaping its Future?

Germany's Expertise in Healthcare Draws Global Demand for Outbound Medical Tourism

Germany is renowned for its highly skilled healthcare professionals. The country boasts state-of-the-art medical facilities. Stringent quality standards are upheld in the healthcare sector. As a result, doctors and specialists in this country are sought after worldwide. Patients have confidence in the medical competence available both domestically and abroad.

Patients in Germany traditionally went to distant countries like Thailand and India for medical treatments. However, a noticeable trend is emerging. Patients now prefer nearby European destinations. Destinations like Hungary, Poland, and the Czech Republic are becoming popular choices. The proximity of these countries and cultural similarities play a significant role. Shorter travel distances make the overall experience more convenient and comfortable for German medical tourists.

What is the demand outlook for outbound medical tourism in India?

Government schemes and High-quality low-cost treatment have positively affected the medical tourism industry in India.

As per Future Market Insights, the India outbound medical tourism market is expected to grow significantly over the forecast period. One of the major factors behind this growth is that the government of India has come up with various schemes and facilities to help in boosting the medical tourism sector in the country.

The Ministry of Tourism has issued key guidelines aimed at making available quality publicity material, training and capacity building for service providers, and participation in international and domestic wellness-related events among others. In addition, it has also extended its Market Development Assistance (MDA) scheme to wellness tourism service providers, including accredited wellness centers.

Besides, efforts to streamline the medical visa process by making it easily available under the e-visa section have also proven to be a major boon for Indian outbound medical tourism service providers. Providing visa-on-arrival for tourists from certain countries has also facilitated the growth of medical tourism in the country. Urban cities like Mumbai, Pune, Bangalore, Gurgaon, and Chennai are some of the major hubs for medical tourists visiting India. The availability of the latest and most advanced medical machinery and facilities in these cities also drives the number of visitors every year. The high quality of stay combined with the low cost of travel and treatments also make these hubs a very attractive option for people seeking treatments.

Where do the majority of inbound medical tourists to Italy originate from?

Majority of medical tourists in Italy originate from Arabian and Asian nations

The availability of high-quality healthcare and the ease of access make Italy's healthcare famous amongst medical tourists from developing middle-income countries. The individuals primarily seeking treatment are high-net-worth individuals from these countries. The majority of medical tourists entering Italy are from Arab states and developing Asian nations. This leads to the perfect opportunity to expand the presence of firms in these nations and generate a substantial revenue stream.

The race to attract medical tourists has already started, and the stakes are extremely lucrative. This has led the Italian government to focus on developing a policy framework to initiate the growth of the market and capture the majority market share in the market. The government has already started working on easing the visa policies and making the process hassle-free.

What are the factors that will further boost the outbound medical tourism sector in China?

The government plan to open special zones for medical tourism across the country will further help in boosting the sector

The Chinese government has taken a notice of the growing trend of medical tourism that is going around the globe, where its neighboring countries like India, Thailand, and Singapore are succeeding to attract consumers from developed countries. The need to catch up to their contemporaries’ has pushed the government of China to intervene in the sector and make supportive policies to help the sector grow.

The Hainan province on the southern coast is an island famous for its medical facilities, providing consumers with warm weather, pleasant stay, and excellent quality healthcare. The Hainan Boao Lecheng International Medical Tourism Pilot Zone is one of the most ambitious steps from the government to improve the medical tourism sector in the country. The pilot zone boasts some of the most advanced medical machinery and treatments from across the globe. Some of the facilities are exclusive to the pilot zone, and not available anywhere else in China.

What is Driving the Surge in Outbound Medical Tourism from Japan?

Medical Tourism in Japan is a Rising Trend Revolutionizing Healthcare Choices

The Japan outbound medical tourism market is experiencing robust growth. In Japan, healthcare is universally accessible and provided at no cost to Japanese citizens, expatriates, and foreigners. The country operates under a comprehensive universal healthcare system that extends coverage to all residents, including non-Japanese individuals staying in Japan for over a year.

With Japan's aging population and high healthcare costs, many individuals are exploring more affordable treatment options abroad. Patients often discover significant cost savings. Countries with competitive healthcare systems are particularly attractive. Medical tourism has become an appealing alternative.

Category-wise Insights

What type of Tour Type is widely availed by medical tourists?

Independent travelers are the prominent tour type category, mainly due to the emergence of technology

Traveling and availing of accommodations has become a hassle-free experience due to the emergence of technology and transparent visa procedures. The government of numerous countries has made it easier for tourists to avail visas for medical reasons on a priority basis. This has led to tourists traveling to these countries independently for medical reasons. This makes independent travelers the major Tour Type category.

Medical treatments can be costly in many countries, particularly for complex procedures. Independent travelers often choose medical tourism to access high-quality healthcare services at more affordable prices. By directly engaging with hospitals or facilitators, they can negotiate prices. They have the potential to save a significant amount compared to receiving the same treatment in their home country.

Which Age-group is most likely to visit other countries for medical treatments?

The age group between 45-54 is most likely to visit other countries for medical treatments

Orthopedic issues are mostly common and start occurring among patients aged between 45-54. This leads to a prominent number of people seeking surgeries for these issues. The UK has some of the best orthopedic surgeons, which leads to people traveling for orthopedic surgeries. This translates to the age group between 45-54 being the major group visiting foreign countries for medical tourism.

As people enter middle age, they tend to become more conscious of their health and well-being. This age group may actively seek out medical treatments and procedures. They seek these treatments to address existing health concerns and prevent future health issues.

People in the 45 to 54 age range are more prone to health issues and chronic conditions. These health issues and conditions often require specialized medical treatments. They choose medical tourism to access high-quality healthcare services. Medical tourism can provide these services at lower costs compared to their home countries. Medical tourism can also be sought for treatments that are not available or are expensive locally.

What is the preferred booking channel among consumers?

Wide variety of options and the hassle-free experience of booking make an online booking the preferred channel

Online booking is the most popular booking channel among medical tourists visiting the countries. This is due to the convenience offered by these booking channels. The consumer can choose from a wide variety of options for accommodations ranging from hotels, hostels, and lodges. Booking consultant appointment is also easier through online mode. Medical tourists can reach out to world-class surgeons through online channels of health concierges and book an appointment before their visit.

Competitive Landscape

Key firms in the market are looking to provide consumers with customized solutions for their travels. The trend of personalized healthcare will further help the leading firms in keeping a competitive edge. The various key firms are Asklepios Kliniken GmbH, Bangkok Dusit Medical Services, Fortis Healthcare Ltd., Apollo Hospitals, Bumrungrand International Hospitals, Christus Muguerza S.A.P.I De CV, Prince Court Medical Center, Clemenceau Medical Center, Asian Heart Institute, Gleneagles Hospital, and others.

For instance:

• In August 2022, the Government of India designated ten airports for special arrangements. These airports include Delhi, Mumbai, Chennai, Bengaluru, Kolkata, Visakhapatnam, Kochi, Ahmedabad, Hyderabad, and Guwahati. The purpose of these arrangements is to facilitate the entry of international passengers visiting India for medical reasons. The designated airports are going to have dedicated desks, a multi-lingual portal, and simplified visa procedures to assist these travelers.
• In October 2021, BC Platforms (BCP), a renowned company specializing in healthcare data management and analytics, strengthened its collaboration with Bumrungrad International Hospital in Thailand. This partnership aims to expedite the adoption of precision medicine in Southeast Asia.
• In October 2019, Cleveland Clinic and Etihad Airways joined forces to announce a partnership in the field of medical tourism. The primary objective of this collaboration was to ensure a smooth and hassle-free patient journey for international patients. This strategic move not only helped the hospital in expanding its customer base but also bolstered its market position.
• In July 2019, the Medical Tourism Association (MTA) forged a partnership with the Korea Tourism Organization (KTO). This collaboration was initiated due to the exceptional quality and complexity of medical services offered by South Korea to patients from around the world.
• Gurugram-based startup Avocure offers end-to-end assistance to patients traveling for their medical and wellness needs. Nearly 150,000 patients from all over the world travel to India every year seeking medical treatment, says a report by the Ministry of Tourism.

Key Market Players

• Asklepios Kliniken GmbH
• Bangkok Dusit Medical Services
• Fortis Healthcare Ltd
• Apollo Hospitals
• Bumrungrand International Hospitals
• Christus Muguerza S.A.P.I De CV
• Prince Court Medical Center
• Clemenceau Medical Center
• Asian Heart Institute
• Gleneagles Hospital

Outbound Medical Tourism Market by Category

By Treatment Type: Outbound Medical Tourism Market is segmented as:

• Dental Treatment
• Cosmetic Treatment
• Cardiovascular Treatment
• Orthopedic Treatment
• Neurological Treatment
• Cancer Treatment
• Fertility Treatment
• Others

By Services: Outbound Medical Tourism Market is segmented as:

• Wellness Services
• Therapeutic Services

By Tour Type: Outbound Medical Tourism Market is segmented as:

• Independent Traveler
• Tour Group
• Package Traveler

By Consumer Orientation: Outbound Medical Tourism Market is segmented as:

• Men
• Women
• Children

By Age Group: Outbound Medical Tourism Market is segmented as:

• 15 to 25 Years
• 26 to 35 Years
• 36 to 45 Years
• 46 to 55 Years
• 66 to 75 Years

By Booking Channel: Outbound Medical Tourism Market is segmented as:

• Phone Booking
• Online Booking
• In-Person Booking

By Region: Outbound Medical Tourism Market is segmented as:

• North America
• Latin America
• Europe
• Asia Pacific
• Middle East and Africa