Competition within the private health insurance industry is helping to increase the coverage for industry services.
Melbourne, Australia (PRWEB) January 19, 2014
Over the past five years, the Eye Surgery Clinics industry has grown slowly, assisted by Australia's ageing population and a competitive private health insurance industry. In 2013-14, the industry is anticipated to be worth $1.2 billion, and is estimated to grow at an annualised 1.7% over the five years through 2013-14. IBISWorld industry analyst Ryan Lin states “in the current year, industry revenue is expected to jump by 3.0% as recovering economic conditions and an ageing population spur demand for industry services.” Changing lifestyles and the pursuit of convenience have also boosted demand for corrective eye surgery. However, clinical surgeries are not fully covered under the government-funded Medicare program, with limited coverage provided for eye treatment procedures, and elective corrective procedures not covered in most cases.
Over the past five years, Australia remained relatively insulated from the global financial crisis due to the resources boom. As a result, the economy remained relatively steady and discretionary income continued to climb. According to Lin, “the highly competitive private health insurance industry offered broader coverage at increasingly low prices. These trends have helped drive demand for elective industry procedures.” The ageing population is expected to stimulate further growth for the industry, as older people use the services of eye surgery clinics more than younger people. Over the coming five years, similar trends are to be expected. The elderly proportion of the Australian population will grow, increasing the demand for specialist eye surgery services. Over this period, industry revenue attributed to eye surgery for the elderly will continue to be subsidised by Medicare. Industry participation is expected to grow, reflecting a higher level of demand as baby boomers continue to hit retirement age.
The Eye Surgery Clinics industry has a low level of market share concentration. The industry is made up of many small and medium independent clinics and day surgeries. The majority of these clinics are managed by owner-operators. Outside of the industry's largest company, Vision Eye Institute, the most significant players have grown organically after being founded as owner-operator clinics by renowned ophthalmologists. These include Vistaeyes and Medownick Laser Eye Surgery Clinic. Larger industry firms require steady revenue streams to gain a return on their capital investment in laser surgery technology. The smaller firms within the industry are generally independent clinics in community settings. For more information, visit IBISWorld’s Eye Surgery Clinics report in Australia industry page.
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IBISWorld industry Report Key Topics
Players in this industry operate clinics that primarily engage in eye surgery. This includes laser eye surgery and other procedures for both treatment and enhancement purposes.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Technology & Systems
Regulation & Policy
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