Global Gastroenterology Market Analysis By Product[Devices, Therapeutics(Biologics/ Biosimilars, Antacids, Laxatives, Antidiarrheal agents, Antiemetics, Antiulcer agents, Other Drug Types)], By Distribution Channel(Retail Pharmacies, Hospital Pharmacies, Online Pharmacies), By Application(Crohn's Disease, Ulcerative Colitis, GERD, IBS, Peptic Ulcer Disease, Colorectal Cancer, Gallbladder and Biliary Tract Disorders, Pancreatitis, Pancreatic Cancer, Others), By Route of Administration(Injectable, Oral, Others), By End Users(Hospitals, Clinics and Ambulatory Surgical Centers, Diagnostic Centers) By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2024-2033

Report Overview

The Global Gastroenterology Market Size is expected to be worth around US$ 67 Billion by 2033, from US$ 35.7 Billion in 2023, growing at a CAGR of 6.5% during the forecast period from 2024 to 2033.

The Gastroenterology Market is rapidly expanding, driven by the increasing prevalence of gastrointestinal diseases globally. Aging populations and dietary changes are major contributors to the rising demand for advanced diagnostic tools and minimally invasive treatments. According to the National Institute of Diabetes and Digestive and Kidney Diseases, conditions such as liver disease and irritable bowel syndrome significantly impact healthcare systems. For example, irritable bowel syndrome affects approximately 15.3 million people in the U.S. alone.

In the United States, regulatory changes and reimbursement policies significantly influence the gastroenterology market. The Centers for Medicare and Medicaid Services (CMS) recently proposed a 3.36% cut in GI payment rates for 2024, prompting concerns among professionals. Conversely, positive changes include increased facility fees and the introduction of new billing codes supporting telemedicine and health equity, which may offset some financial pressures faced by practitioners.

Efforts to enhance public health strategies in gastroenterology are evident through initiatives like the National Colorectal Cancer Roundtable (NCCRT), which promotes awareness and screening to reduce colorectal cancer incidence. Study findings linking diet and gut health emphasize the importance of nutritional awareness in preventing conditions such as nonalcoholic fatty liver disease. This aligns with global health initiatives under the SDG3 Global Action Plan, aiming to improve health outcomes across 69 countries.

Significant funding supports these initiatives, illustrated by the $11.2 million NIH grant awarded to University Hospitals in Cleveland for Barrett’s esophagus research. This reflects a broader trend of investing in gastroenterological research to enhance patient outcomes and healthcare delivery efficiency. Such financial backing is crucial for advancing medical science and community health programs.

The gastroenterology sector also witnesses robust private equity investment, signaling growth and consolidation within healthcare specialties. Since 2016, firms have targeted GI practices, with entities like Gastro Health and GI Alliance spearheading growth through strategic mergers and acquisitions. For instance, GI Alliance recently expanded by partnering with three Rhode Island-based practices, significantly increasing its Northeast presence and operational efficiencies.

Key Takeaways

• Market Size: Expected to grow from US$ 35.7 billion in 2023 to US$ 67 billion by 2033, with a CAGR of 6.5%.
• Key Drivers: Rising cases of gastrointestinal diseases, aging populations, and dietary changes increase demand for diagnostic tools and treatments.
• Regulatory Impact: U.S. CMS proposed a 3.36% GI payment rate cut in 2024, affecting market dynamics but offset by new telemedicine billing codes.
• Technology Advances: Device segment leads with 43.9% market share in 2023, driven by endoscopic ultrasound and capsule endoscopy innovations.
• Leading Distribution Channel: Hospital pharmacies dominated with a 48.8% market share in 2023, crucial for immediate and specialized care.
• Therapeutic Advances: Growth in biologics and biosimilars due to their effectiveness in treating inflammatory bowel diseases.
• Telehealth Adoption: Substantial integration into gastroenterology, improving access and convenience for chronic condition management.
• Regional Leadership: North America held a 39.7% market share in 2023, supported by superior healthcare infrastructure and high R&D investment.
• Key Market Players: Abbott Laboratories, Johnson & Johnson, and AbbVie Inc. lead, focusing on innovative diagnostic and therapeutic solutions.

Product Analysis

In 2023, the Devices segment held a dominant market position in the Product Segment of the Gastroenterology Market, capturing more than a 43.9% share. This prominence stems from the increasing adoption of advanced diagnostic and therapeutic devices. These devices are pivotal in enhancing the precision of gastrointestinal treatments and improving patient outcomes. Technologies such as endoscopic ultrasound and capsule endoscopy are particularly notable for their role in early diagnosis and management of gastrointestinal disorders, which has driven their adoption in clinics and hospitals globally.

Parallel to this, the Therapeutics category, subdivided into biologics/biosimilars, antacids, laxatives, antidiarrheal agents, antiemetics, antiulcer agents, and other drug types, also plays a crucial role in the market. Biologics and biosimilars are gaining traction due to their effectiveness in treating conditions like inflammatory bowel disease and Crohn’s disease, which are becoming more prevalent. Meanwhile, the demand for over-the-counter remedies such as antacids and laxatives continues to rise, driven by an increasing awareness of digestive health and self-medication trends.

Together, these segments underscore the dynamic nature of the Gastroenterology Market. They highlight a growing emphasis on comprehensive digestive health management, from advanced diagnostic procedures to therapeutic interventions, reflecting a robust market expansion forecasted for the coming years.

Distribution Channel Analysis

In 2023, the Hospital Pharmacies segment held a dominant market position in the Distribution Channel Segment of the Gastroenterology Market, capturing more than a 48.8% share. The preference for hospital pharmacies stems from their ability to provide specialized gastroenterology medications and treatments, especially in cases requiring medical oversight and immediate availability. Hospital pharmacies often offer greater reliability in medication supply, supporting treatment continuity for gastroenterology patients.

Retail pharmacies follow closely, serving as a primary distribution point for patients seeking accessible gastroenterology medications. This channel remains popular due to widespread accessibility and personal pharmacist-patient interactions, which aid in medication management and patient education. Retail pharmacies are increasingly adopting advanced medication dispensing systems, ensuring accurate prescriptions and enhanced customer service.

Online pharmacies have shown steady growth, primarily driven by convenience and expanding internet penetration. The rise in online pharmacy use aligns with growing preferences for at-home deliveries, especially among patients managing chronic gastroenterology conditions. Online platforms are also becoming more popular for their pricing transparency and competitive costs, further broadening access to gastroenterology treatments.

Each distribution channel plays a crucial role in enhancing gastroenterology care accessibility. However, hospital pharmacies continue to lead due to their integral role in delivering specialized and immediate medication support. The sector’s ongoing expansion aligns with patient preferences for flexibility, accessibility, and convenience in managing gastroenterology conditions.

Application Analysis

The gastroenterology market is experiencing growth across diverse applications. Crohn’s disease and ulcerative colitis lead the market, driven by increased cases and advances in biologic therapies. Rising demand for patient-specific medicines is observed, along with a shift toward more effective treatments. Enhanced diagnostics and supportive government programs boost this segment. Similarly, GERD treatments are in high demand due to prevalent lifestyle changes. With proton pump inhibitors and innovative non-invasive options, the GERD segment demonstrates steady growth.

Increased awareness of irritable bowel syndrome (IBS) and its connections to stress and diet fosters growth in IBS treatments. Options include laxatives, antidepressants, and specific therapies targeting IBS symptoms. Peptic ulcer disease, largely linked to H. pylori infections, sees rising demand for antibiotics and combination therapies. The need for effective treatment is emphasized through awareness campaigns, which have propelled the market for peptic ulcer therapies and broadened treatment options.

The market for cancer-related gastrointestinal applications, such as colorectal and pancreatic cancers, is rapidly expanding. Colorectal cancer treatments benefit from advanced diagnostic technology and heightened early detection efforts, including government initiatives. Likewise, minimally invasive treatments and improved imaging drive the gallbladder and biliary tract segment, with enhanced demand for cholecystectomy and bile regulation. Lastly, treatment options for other gastrointestinal issues like celiac disease and diverticulitis are expanding, supported by new dietary management methods and minimally invasive surgeries.

Route of Administration Analysis

The gastroenterology market, segmented by administration route, shows notable growth in injectables, oral, and alternative methods. Injectables, known for their quick action, dominate this market segment, especially in acute gastrointestinal cases requiring immediate relief. They’re widely used in hospitals and specialty clinics. Additionally, advances in biologic research are set to boost the injectable segment, meeting growing patient demand for rapid treatment. Innovations are making injectable options more efficient, supporting the segment’s steady growth.

On the other hand, oral administration holds strong market relevance due to its convenience, affordability, and suitability for home treatment. Tablets and capsules are common for chronic gastrointestinal diseases, like GERD, IBS, and Crohn’s. Advances in drug formulation enable controlled-release options, which improve treatment outcomes. Lastly, other methods, including topical and rectal applications, offer targeted relief for specific conditions, adding to the market’s overall expansion through patient-centered innovations.

End Users Analysis

Hospitals hold a strong position in the gastroenterology market due to advanced infrastructure and specialized staff. These facilities manage high patient volumes for various gastrointestinal treatments, from routine endoscopies to complex surgeries. Investments in modern diagnostic equipment give hospitals an edge. Furthermore, rising cases of chronic gastrointestinal diseases, such as Crohn’s disease and colorectal cancer, highlight the importance of hospitals. Government initiatives support this trend by funding specialized gastroenterology units and improving accessibility to expert care.

Clinics and Ambulatory Surgical Centers (ASCs) are growing in the gastroenterology sector, offering a cost-effective, convenient alternative for many patients. These centers are ideal for non-complex, outpatient procedures like endoscopies and colonoscopies. The quick, affordable services of ASCs reduce patient wait times and hospital stays. Diagnostic centers, meanwhile, are pivotal in early gastroenterology diagnostics, equipped with advanced imaging tools. With growing health awareness, these centers are essential for early detection and monitoring of gastrointestinal issues.

Key Market Segments

By Product

• Devices
• Therapeutics
  • Biologics/ Biosimilars
  • Antacids
  • Laxatives
  • Antidiarrheal agents
  • Antiemetics
  • Antiulcer agents
  • Other Drug Types

By Distribution Channel

• Retail Pharmacies
• Hospital Pharmacies
• Online Pharmacies

By Application

• Crohn’s Disease
• Ulcerative Colitis
• GERD
• IBS
• Peptic Ulcer Disease
• Colorectal Cancer
• Gallbladder and Biliary Tract Disorders
• Pancreatitis
• Pancreatic Cancer
• Others

By Route of Administration

• Injectable
• Oral
• Others

By End Users

• Hospitals
• Clinics and Ambulatory Surgical Centers
• Diagnostic Centers

Drivers

Increasing Prevalence of Gastrointestinal Diseases

The increasing prevalence of gastrointestinal diseases is a significant driver for the gastroenterology market. As more individuals are diagnosed with conditions such as inflammatory bowel disease, gastroesophageal reflux disease, and peptic ulcers, the demand for advanced diagnostics and treatments in gastroenterology intensifies. For instance, studies reveal that digestive diseases globally resulted in 8.85 million disability-adjusted life years (DALYs) for the age group of 50-59 years alone, underscoring the substantial health burden these conditions impose​.

In the United States, the burden of digestive diseases continues to be significant, with millions affected annually. Digestive diseases were responsible for around 126 million ambulatory care visits and 41 million emergency department visits, emphasizing the extensive healthcare utilization and the critical need for effective gastroenterology services​. Furthermore, conditions like Crohn’s disease and ulcerative colitis are prevalent, with hundreds of thousands of cases recorded, necessitating ongoing medical support and innovative treatment approaches​.

The landscape of digestive health concerns highlights a growing market for gastroenterology, driven by both the rising number of affected individuals and the increasing healthcare costs associated with managing these conditions. This trend underscores the importance of advancing gastroenterology diagnostics and treatment solutions to meet the evolving healthcare needs of the population​.

Restraints

High Cost of Gastrointestinal Procedures

The high cost of gastrointestinal procedures is a significant restraint in the gastroenterology market, particularly impacting access in underdeveloped and developing regions. Advanced diagnostic and therapeutic techniques such as endoscopy and colorectal surgeries are pivotal in managing gastrointestinal disorders but are often associated with high expenses. For instance, the initial investment for gastrointestinal endoscopic devices and the cost of maintaining and updating this equipment can be substantial, influencing market dynamics negatively.

In 2004, the total estimated cost of digestive diseases in the United States was reported at $141.8 billion, with direct costs accounting for 69% of this figure. Liver disease, colorectal cancer, and gastroesophageal reflux disease (GERD) were among the most costly, signifying the financial impact of gastrointestinal conditions on healthcare systems​.

Moreover, the annual healthcare expenditures for gastrointestinal diseases in the U.S. are higher than those for other major health conditions, totaling $136 billion, which further underscores the economic challenge posed by these diseases​. The rising costs are partially attributed to the advanced technologies and equipment required for these procedures, which are often not fully covered by Medicare payments, especially in settings such as Ambulatory Surgery Centers (ASCs) where the reimbursement rates are lower compared to hospital outpatient departments​.

These financial barriers restrict the availability of advanced gastrointestinal treatments and diagnostics, thereby constraining market growth. Understanding these cost dynamics is essential for stakeholders aiming to develop strategies that address both the economic and healthcare needs within the gastroenterology sector.

Opportunities

Advances in Gastroenterological Therapies

Advances in gastroenterological therapies present significant opportunities for enhancing treatment outcomes and market growth in the gastroenterology sector. Recent innovations, including the application of precision medicine and artificial intelligence, are revolutionizing the management of gastrointestinal disorders, specifically by allowing for more personalized treatment approaches tailored to individual genetic and microbiome profiles​.

For instance, studies highlight the development of novel therapeutic interventions, such as biologic drugs and minimally invasive surgical techniques, which are set to improve the efficacy and safety of treatments for conditions like inflammatory bowel disease and gastroesophageal reflux disease​​. According to the National Institute of Diabetes and Digestive and Kidney Diseases (NIDDK), the integration of advanced diagnostic and management strategies into clinical practice is increasingly crucial for addressing a broad spectrum of gastrointestinal conditions, further driving the demand for innovative solutions in this field​.

Additionally, the American Gastroenterological Association emphasizes the importance of cutting-edge technologies in endoscopic procedures, enhancing the capabilities of gastroenterologists to manage complex gastrointestinal diseases more effectively​. These advancements not only promise better patient outcomes but also highlight significant market opportunities for the development and adoption of new gastroenterological therapies.

Trends

Rising Adoption of Telehealth in Gastroenterology

The adoption of telehealth in gastroenterology has significantly transformed patient care, offering a trend that underscores the broader integration of technology in healthcare. In 2023, a substantial 25% of Medicare fee-for-service users utilized telehealth services, marking a slight decrease from the previous year, yet highlighting its ongoing relevance​. This shift is particularly pronounced in the realm of gastroenterology, where the ability to conduct remote consultations and continuous monitoring is crucial for managing chronic conditions.

According to the American Medical Association (AMA), telehealth has increasingly become embedded in various medical practices, including gastroenterology, primarily driven by its convenience and the enhanced access it provides to specialist care. This technology has proven essential for patients in rural or underserved areas, where access to healthcare specialists is often limited​.

A report by the Health and Human Services (HHS) highlighted that over 60% of telehealth visits in the gastroenterology sector utilize video consultations, which are pivotal in providing detailed visual inspections necessary for accurate diagnostics and patient monitoring​. Furthermore, telehealth’s adaptability has fostered better patient engagement and satisfaction, as evidenced by its substantial use among different demographic groups, with notable utilization rates across various insurance types, indicating its broad acceptance and integration into routine healthcare services​.

These developments suggest a continued trajectory towards more integrated and patient-centered healthcare models, where telehealth’s role in gastroenterology not only enhances patient access but also fortifies the healthcare system’s capacity to manage and treat digestive health issues more effectively.

Regional Analysis

In 2023, North America held a dominant market position, capturing more than a 39.7% share and holds USD 12.74 Billion market value for the year. This region’s dominance is attributed to its superior healthcare infrastructure and substantial investments in medical technologies. Enhanced access to specialized gastroenterology services has significantly improved patient outcomes, underscoring the region’s advanced healthcare capabilities.

Significant efforts in research and development have spurred innovations within the gastroenterology field. The region’s hefty healthcare expenditures support the adoption of cutting-edge treatments and diagnostic tools. Additionally, a marked increase in gastrointestinal disorders, such as IBS, Crohn’s disease, and colorectal cancer, has propelled the demand for specialized care.

Both government and private sectors play pivotal roles in bolstering North America’s gastroenterology market by funding healthcare initiatives and bolstering patient care infrastructure. For stakeholders, including investors and healthcare providers, the region offers robust growth opportunities, especially in areas like personalized medicine and minimally invasive procedures. The continued focus on technological advancements and improved treatment methodologies promises sustained growth in this sector.

Key Regions and Countries

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Russia
  • Netherland
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • South Korea
  • India
  • New Zealand
  • Singapore
  • Thailand
  • Vietnam
  • Rest of APAC
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Rest of MEA

Key Players Analysis

In the gastroenterology market, key players such as Abbott Laboratories, Johnson & Johnson, and AbbVie Inc. stand out due to their innovative approaches and specialized product offerings. Abbott Laboratories enhances digestive health through its advanced diagnostic systems, supporting effective disease management.

Johnson & Johnson focuses on medical devices and pharmaceutical solutions tailored for gastrointestinal conditions, aiming to improve patient quality of life. AbbVie Inc. is recognized for its biopharmaceutical products that effectively treat chronic gastrointestinal diseases like Crohn’s and ulcerative colitis, making significant contributions to the sector.

Similarly, Salix Pharmaceuticals and GlaxoSmithKline Plc (GSK) are prominent for their targeted therapies. Salix focuses solely on GI disorders, offering a wide range of treatments, while GSK invests in research to develop more efficacious gastrointestinal medications. Additionally, numerous other companies play vital roles in this market, continuously innovating to meet the diverse needs of patients, thus driving forward the advancements in gastrointestinal health management.

Market Key Players

• Abbott Laboratories
• Johnson & Johnson
• AbbVie Inc.
• Salix Pharmaceuticals
• GlaxoSmithKline Plc.
• ALLERGAN
• Takeda Pharmaceutical Company Limited
• AstraZeneca
• Astellas Pharma US Inc.
• Pfizer Inc
• Other Key Players

Recent Developments

• In September 2024: TREMFYA® (guselkumab) received U.S. Food and Drug Administration approval in September 2024 for the treatment of adults with moderately to severely active ulcerative colitis (UC). This approval was based on the Phase 3 QUASAR study, which demonstrated higher rates of endoscopic remission in patients refractory to biologics or JAK inhibitors compared to placebo. Specifically, 31.2% of patients treated with TREMFYA® achieved endoscopic remission, versus 8% with placebo.
• In June 2024: AbbVie received U.S. FDA approval for SKYRIZI (risankizumab-rzaa) to treat moderately to severely active ulcerative colitis. This expansion into inflammatory bowel disease is supported by successful clinical trials, marking a significant step in their gastroenterology portfolio.

Report Scope