Improved incomes and healthcare coverage will expand the industry's customer base
Los Angeles, CA (PRWEB) June 28, 2013
In the five years to 2013, IBISWorld estimates that revenue for the Fertility Clinics industry has increased at an average rate of 1.2% to nearly $1.6 billion. Although the industry weathered the recession well, the decline in per capita disposable income and fall in the number of people with private health insurance slowed the industry's growth and caused revenue to fall 0.9% in 2009. “In 2013, continued improvement in the labor market is expected to boost per capita disposable income and increase the number of people with private health insurance,” says IBISWorld industry analyst Kevin Culbert. “These factors are expected to contribute to industry growth of 2.2% in 2013.”
Over the past decade, the use of frozen embryos has become more popular. In 2001, frozen embryo transfers represented 14.1% of in vitro fertilization (IVF) procedures, but in 2011 it represented 22.7% of IVF procedures. Although fresh embryos still represent the majority of activity for IVF, frozen embryos have gained popularity due to relatively high success rates. “Furthermore, recent studies have shown that there tend to be fewer pregnancy complications when frozen embryo transfers are used over traditional IVF methods,” adds Culbert. “Improvements in fertility medicine technology have increased pregnancy success rates and improved efficiency, ultimately boosting Fertility Clinics industry profit.”
Since 2008, major company IntraMed America has made several acquisitions to expand the number of fertility clinics under its umbrella. Despite this, the industry's market share concentration is considered to be low. IBISWorld expects that the number of clinics will remain fairly stable during the next five years; the small businesses that dominate the industry will largely continue to operate separately due to the few benefits of consolidation within the highly fragmented market.
IBISWorld estimates that industry revenue will grow in the five years to 2018. During that time, the industry will benefit from improvement in the labor market. A declining unemployment rate will ultimately boost per capita disposable income and the number of people with private health insurance. In spite of these positive opportunities for growth, the industry will nevertheless face a declining marriage rate, as more couples choose unmarried cohabitation over traditional marriages. And as couples date and live together longer before marriage, the average age at which couples marry has increased. This trend is expected to continue over the next five years and ultimately contribute to the industry's growth because older women have a harder time conceiving than younger women do. For more information, visit IBISWorld’s Fertility Clinics in the US industry report page.
Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld
Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189
IBISWorld industry Report Key Topics
This industry includes medical facilities that offer treatments to aid individuals in conceiving children. These facilities offer diagnosis, medications, intrauterine insemination and other assisted reproductive technology methods.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.