North America and Europe command the leading share of the global corporate wellness market, followed by Asia Pacific, Latin America and Middle East & Africa. (Photo: Shutterstock)
Increasing health care costs, corporate profit and focus on employee retention is driving the growth of the global corporate wellness market, with more demand now coming from emerging economies such as India and China, according to a Transparency Market Research report.
From 2018 to 2026, the market for corporate wellness services across the world is projected to grow at an annual compound growth rate of 9 percent, to $61.69 million, Transparency Market Research predicts.
The market intelligence company defines corporate wellness programs as those consisting of health risk assessments, fitness, health screening, weight management, smoking cessation and nutrition education, all of which are intended to reduce the cost of hospitalization, surgeries and visits to health care specialists.
“Moreover, corporate wellness programs increase productivity, decrease absenteeism and improve quality of life of employees,” the authors write. “Promotion of health and well-being of employees through prevention of non-communicable diseases, increase in the number of white-collar employees, and rise in awareness regarding health and wellness in organizations are the major factors driving the growth of the corporate wellness market.”
Two of the most rapidly growing segments of the market are health risk assessments and weight management programs, according to the report. In the U.S. alone, more than 75 percent of employers opt for health risk assessment programs.
“Moreover, obesity is a rapidly growing health concern across the world,” the authors write. “In the last few years, several developed and developing countries have recorded high growth rate of overweight and obese population.”
North America and Europe command the leading share of the global corporate wellness market, followed by Asia Pacific, Latin America and Middle East & Africa.
“The U.S. dominated the corporate wellness market in North America due to rise in investment and adoption of corporate wellness service, surge in health care costs and increase in incidence of chronic diseases,” the authors write. “Furthermore, the corporate wellness market in the U.S. is driven by increase in adoption of newly introduced corporate wellness plans for fitness, weight management, and nutrition.”
Europe is the second-leading market for corporate wellness services, with Germany as a key contributor. The corporate wellness market in Asia Pacific is growing rapidly, driven primarily by the developing countries.
“Growing awareness about corporate wellness programs and rise in expenditure on health care are driving the corporate wellness market in the region,” the authors write. “However, lack of availability for corporate wellness services and low penetration of health care facilities are restraining the corporate wellness market in the developing and undeveloped regions, such as Middle East & Africa and Latin America.”
Key players operating in the corporate wellness market are EXOS, ProvantHealth (Hooper Holmes Inc.), Wellness Corporate Solutions, ComPsych Corporation, Optum Inc. (United Health Group), Sodexo, BupaWellness Pty Ltd. (BupaGroup), JLT Australia (RecovreGroup), Central Corporate Wellness, TruworthWellness, CXA Group Pte. Ltd. and SOL Wellness, according to the report.
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Katie Kuehner-Hebert
Katie Kuehner-Hebert is a freelance writer based in Running Springs, Calif. She has more than three decades of journalism experience, with particular expertise in employee benefits and other human resource topics.
