• The physical rehabilitation market in India largely comprises of geriatric care, restorative care and pain relief.
  • An estimated 35-40% of the physical rehab spend in India is concentrated in the top 10 cities.
  • Restorative care comprises 28% of the physical rehabilitation market in India.

India’s physical rehabilitation market is expected to grow by 15.5% to become a $35 billion market by FY28, according to a report by Redseer Consultants.

Currently, it’s a $17 billion market and covers – restorative care that includes recovery after critical health conditions like a complex surgery; geriatric care that includes services and products for the elderly; and pain-relief via physiotherapy for arthritis, injury and more. Both at-home and at-centre care are included here.

“Rehab is rapidly evolving and today transition care centres and out-of-hospital care providers can address a wide range of patient requirements from basic to complex or critical care,” says Vivek Srivastava, CEO of HCAH India, an out-of-hospital patient care provider.

According to Redseer’s Rehab Tech report, lack of awareness, sparse availability and limited capabilities of rehab providers are currently restricting the usage of rehab, despite its strong need.

The report says that the potential for growth comes from the fact that an estimated 35-40% of the physical rehab spend in India is concentrated in the top 10 cities – Delhi NCR, Hyderabad, Bangalore, Mumbai, Kolkata, Chennai, Pune, Kochi, Coimbatore and Indore.

Physical rehabilitation care in India:

Segment Market value in India Description
Restorative care $5 billion Recovery from critical health conditions, post-surgical care
Geriatric care $5 billion Medical care to optimise functioning in elderly people
Pain relief $3-4 billion Physiotherapy-led care in non-critical conditions such as arthritis, injuries and lifestyle related pains
Others $3 billion

Source: Redseer Rehab Tech Report

Physical rehab market an attractive business opportunity

Not only is physical rehab a large opportunity, it is also an attractive business proposition. In the case of restorative care, which comprises 28% of the total market, the gross margins are at 50-55% for the service provider, as per the report.

Moreover, this is a high-value service. A consumer recovering from a critical surgery spends anywhere around $650-700 or ₹50,000 for 12 days of care.

It’s also a scattered and an unorganised market. While hospitals dominate the critical, restorative rehab segment, local providers lead the geriatric and pain-relief segments.

“Both of them aren’t able to aptly serve the consumer needs. Despite providing a standard service, consumers find rehab at hospitals to be expensive and lacking a recovery-focused environment. While local players are more affordable, they lack the basic quality and professionalism in service and have limited ability to address complex situations,” said the report.

Redseer also believes that there is a strong case for specialised players who employ technology to solve these pain points. Consumers also have a latent need related to the ease of availing rehab – booking, customisation, care plan management, remote monitoring etc.

"Elders are consuming more technology, are using tech devices, buying online, and want more safety, more healthcare, and more engagement than ever before", says Saumyajit Roy, CEO, Emoha, an eldercare facility in India.

Kushal Bhatnagar, engagement manager at Redseer, believes that players with a stronger tech enablement are better placed to thrive in the market. “Specialised rehab providers with wide segment coverage have access to a larger total addressable market (TAM) and potential to create a stronger brand in the rehab space among both consumers and doctors,” he added.

Redseer also believes that specialised rehab players with cross-segment coverage, both at-home and at-centre capabilities, and tech focus, are likely to prosper.

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