Sleep Study Market Analysis

Sleep Study Market Analysis

Based on testing services, the market is segmented into home sleep testing and in-lab testing. The in-lab testing segment is further segmented into polysomnography testing, CPAP/ BiPAP titration, split night polysomnography, multiple sleep latency test, maintenance of wakefulness test, and epilepsy monitoring. The in-lab testing segment held the majority of market share in 2023 of about 82.9%.
 

• In-lab testing offers comprehensive monitoring of various physiological parameters such as EEG, EOG, ECG, and SpO2, in comparison to home sleep testing, the application of which is limited to certain types of test. For example, polysomnography, the gold standard for diagnosing sleep disorders, is typically performed across sophisticated laboratories.
   
• Additionally, availability of reimbursement coverage for in-lab testing is helping to overcome higher cost related concerns for in-lab testing services. For instance, Medicare in U.S. covers 20% of the cost after the Part B deductible is met. As a result, the adoption of in-lab testing is high for sleep study.
   

Based on indication, the sleep study market is classified into obstructive sleep apnea, insomnia, restless leg syndrome, circadian rhythm sleeping disorders, narcolepsy, rapid eye movement sleep disorders, periodic limb movement disorders, and bruxism. The obstructive sleep apnea segment dominated the market with a revenue of about USD 2.6 billion in 2023.
 

• Leading share of obstructive sleep apnea segment can be attributed to an increasing prevalence of sleep apnea and growing awareness for its timely diagnosis.  According to a January 2023 study published by National Center for Biotechnology Information, obstructive sleep apnea affected about 936 million adults aged 30-69 globally. Owing to high prevalence of sleep apnea, the demand for testing services to timely diagnose and monitor sleep apnea has surged globally, contributing to the leading share of the segment.
   
• Moreover, rapid adoption of home sleep testing services such as home sleep apnea test, type 3 home-sleep test, and type 2 home sleep test offering testing for obstructive sleep apnea through using portable monitoring and wearable devices is also fueling the revenue growth in the segment.  
   

Based on end-user, the sleep study market is classified into hospitals, sleep testing centers, and home care settings. The hospitals segment dominated the market with a revenue of about USD 3.4 billion in 2023.
 

• Availability of advanced and sophisticated sleep diagnostic devices such as polysomnography equipment and easy access to advanced imaging and in-lab test is enabling the patients to prefer hospitals for sleep study, that can facilitate in-depth monitoring of various physiological parameters during sleep. This contributes to a leading share of hospitals in market.
   
• Furthermore, hospitals offer comprehensive patient care and are well suited to handling complex and severe cases of sleep disorders such as severe obstructive sleep apnea, central sleep apnea, and narcolepsy. As a result, patients with severe sleep disorder conditions prefer hospitals for sleep disorder diagnosis, monitoring, and treatment.
   

North America sleep study market accounted for 42.1% of market share in global market in 2023 and is predicted to reach USD 7.4 billion by 2032.
 

• Leading share of North America can be attributed to increasing demand of sleep study among patients suffering from sleep disorders. According to the 2023 report from American Sleep Apnea Association, about 50 to 70 million people in U.S. had sleep disorders. With substantial awareness among people for available treatments, the demand for sleep study has spurred in the region.
   
• Additionally, availability of substantial reimbursement and coverage from Center for Medicare & Medicaid Services for the diagnosis and treatment of sleep disorders is also promoting the patients with limited budget to opt for in-lab testing services for sleep study. This enhanced access to sleep study services is contributing to the market growth in the region.
   

The U.S. sleep study market was valued at USD 2.4 billion in 2023 and is anticipated to grow at a CAGR of 12% over the forecast period.
 

• According to the Sleep Foundation, sleep disorders are becoming common in the U.S., with about 30 million individuals suffering from obstructive sleep apnea. As a result, the demand for the timely treatment and diagnosis of obstructive sleep apnea conditions is driving the adoption of sleep studies in the country.
   
• Furthermore, increasing availability of U.S. FDA cleared home sleep apnea testing devices in the country is also driving the adoption of home sleep testing services. For instance, in 2022, U.S. FDA cleared nine home sleep apnea testing devices. A sudden rise in U.S. FDA clearances can be attributed to improved quality of these devices and emergence of COVID-19 pandemic, that raised the demand for home-testing services for sleep study.
   

Germany sleep study market is expected to show significant growth opportunities during the forecast period.
 

• Significant rise in awareness for timely monitoring and diagnosis of sleep disorders owing to campaigns such as “Come, sweet sleep!” and availability of digital sleep improvement program in Germany is driving the revenue growth of market.
   
• Additionally, growing use of advanced telemedicine services for enabling home sleep testing is also contributing to an increased revenue growth of Germany in market. In 2021 Germany witnessed significant changes in telemedicine adoption due to government policies on obligatory electronic patient record, and due to an increasing number of prescribable digital health applications in the country. This has led to an easy availability of teleconsultation and monitoring services for home-based sleep studies in the country.
   

India sleep study market is anticipated to grow remarkably over the coming years.
 

• Increasing awareness towards sleep disorder treatments and diagnosis and increasing growth in sleep labs is driving the revenue growth of market in India. According to the Koninklijke Philips N.V., due to rising demand for sleep study in India, the company trained about 500 sleep technicians and guided the launch of over 850 sleep labs in India by March 2021.
   
• Additionally, government of India is promoting teleconsultation services for sleep disorder treatment, which is increasingly gaining popularity. For instance, Tele MANAS, the government-run national tele-mental health helpline announced to record the highest number of calls that were seeking help for sleep disorders. The increasing adoption of teleconsultation services is further driving the adoption of home sleep testing services in the country, aiding to the revenue growth in market.