PUBLISHER: Grand View Research | PRODUCT CODE: 1404954
PUBLISHER: Grand View Research | PRODUCT CODE: 1404954
The global behavioral rehabilitation market size is expected to reach USD 845.5 billion by 2030, based on a new report by Grand View Research, Inc. It is projected to register a CAGR of 6.42% from 2024 to 2030 due to the presence of favorable government initiatives, a rising number of service providers, and growing awareness regarding behavioral health among patients. Furthermore, the increasing incidence of depression and substance abuse disorders is anticipated to boost market growth. The high demand-supply gap in behavioral health services in most of the regions has led to the entry of new market participants. Hence, with the increasing competition, companies are engaging in several activities, including mergers and acquisitions, to gain competitive market share.
Major service providers are focused on regional expansions to provide outpatient services, which are preferred over other healthcare settings owing to cost benefits. For instance, in June 2023, Mount Sinai Health System opened a new Mount Sinai-Behavioral Health Center in New York. The facility is worth USD 140 million and will offer integrated behavioral health services, including inpatient care, intensive outpatient, and crisis services, such as Intensive Outpatient Programs and Partial Hospitalization Programs. The COVID-19 pandemic has amplified mental health conditions globally with increased incidence rates of psychological distress, depression, anxiety, and post-traumatic stress.
This has increased the demand for behavioral health services, which was majorly disrupted due to the adverse effects of the pandemic. According to a survey conducted by the National Council for Mental Wellbeing in 2020, around 54% of behavioral health service providers closed their programs due to the negative effects of the pandemic, while 65% of the providers had to reschedule, cancel, or shift patients. Moreover, these providers lost around 23% of their annual revenue due to the pandemic. However, the adoption of telehealth services was boosted in the later stage of the pandemic owing to limited access to in-person consultations.