Number of pages: 100 | Report Format: PDF | Published date: March 20, 2023
Historical Years – 2021 | Base Year – 2022 | Forecasted Years – 2023-2031
Report Attribute |
Details |
Market Size Value in 2022 |
US$ 18.6 billion |
Revenue Forecast in 2031 |
US$ 31.4 billion |
CAGR |
5.50% |
Base Year for Estimation |
2022 |
Forecast Period |
2023-2031 |
Historical Year |
2021 |
Segments Covered |
Type, Drug Type, Treatment Centers, Distribution Channel, and Region |
Regional Scope |
North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa |
According to the deep-dive market assessment study by Growth Plus Reports, the global addiction treatment market was valued at US$ 18.6 billion in 2022 and is expected to register a revenue CAGR of 5.50% to reach US$ 31.4 billion by 2031.
Addiction Treatment Market Fundamentals
Addiction treatment refers to the medical and psychological interventions that help individuals struggling with addictive behaviors maintain long-term recovery. Addiction is a complex and chronic condition that can be difficult to overcome without professional help. Effective treatment typically involves a combination of evidence-based therapies, medication-assisted treatment (MAT), support groups, and follow-up care. Generally, the first step in addiction treatment is detoxification, which involves safely managing the withdrawal symptoms that can occur when a person stops using drugs or alcohol.
After detox, addiction treatment typically involves individual or group therapy that addresses the underlying psychological, emotional, and social factors contributing to addictive behaviors. Cognitive-behavioral therapy (CBT) and motivational interviewing are among the most used therapies for addiction treatment.
MAT may also be a component of addiction treatment, particularly for opioid or alcohol addiction. MAT involves using medications, such as methadone, buprenorphine, or naltrexone, combined with counseling and behavioral therapies. Moreover, there are many support groups, such as Alcoholics Anonymous and Narcotics Anonymous, which provide a sense of community and connection with others who have experienced similar struggles with addiction. Ongoing follow-up care, including regular check-ins with a healthcare provider or therapist, can help individuals maintain their recovery over the long term.
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Addiction Treatment Market Dynamics
Emerging addiction trends drive the global addiction treatment market. Several factors contribute to addiction, including heredity, trauma, stress, depression, or anxiety disorders. People genetically predisposed to addiction are more prone to acquire a habit. According to PennState, in 2022, researchers discovered that 85% of daily cigarette users were addicted in some way, whether mild, moderate, or severe. About two-thirds of individuals who smoked one to four cigarettes daily were addicted, and a quarter of those who smoked less than once a week were addicted.
The global addiction treatment market is also supported by the development of new compounds for treating stimulant addiction. Novel chemicals are being explored to treat stimulant addiction and immunotherapies that target the addiction. Cocaine and nicotine vaccines are being researched, and a methamphetamine addiction vaccine is in the pipeline. Although CBT is underused, a National Institutes on Drug Abuse supported clinical experiment found that patients who received computer-delivered CBT4CBT, a CBT used fewer drugs and had longer recovery durations than those who got conventional treatment alone.
Rising government initiatives such as the launch of drug addiction campaigns are increasing the awareness related to addiction treatment. These campaigns educate the public about addiction and encourage individuals struggling to seek help. With increased awareness and access to treatment, more people can receive the support they need to overcome addiction. For instance, Gwinnett United in Drug Education, Inc. uses public awareness programs to educate the community about the dangers of alcohol, cigarettes, and other substances. The organization frequently supports campaigns produced by state and national groups to help the community and crafting campaigns based on local needs and facts. To ensure that campaigns and additional materials are relevant to this essential target group, the organization firmly incorporates young people in their planning, development, execution, and assessment.
However, one of the major restraining factors for the addiction treatment market is the stigma associated with addiction, which can prevent individuals from seeking treatment. The lack of access to affordable and effective treatment options, particularly in low-income communities, can impede market potential.
Addiction Treatment Market Ecosystem
The global addiction treatment market is analyzed from five perspectives: type, drug type, treatment centers, distribution channel, and region.
Addiction Treatment Market by Type
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Based on device type, the global addiction treatment market is segmented into alcohol addiction treatment, tobacco/nicotine addiction treatment, opioid addiction treatment, and others.
The tobacco/nicotine addiction segment has dominated the global addiction treatment market. This is owing to increasing awareness of the negative health effects associated with tobacco/nicotine addiction. Additionally, advances in medical research have led to the development of more effective treatment options, such as nicotine replacement therapy and behavioral therapy. Moreover, increasing accessibility to treatment is also influencing the tobacco/nicotine addiction segment growth.
Additionally, tobacco/nicotine addiction treatment awareness is increasing through various campaigns and initiatives by health organizations, government agencies, and non-profit organizations. These efforts aim to make people aware of the harmful effects of tobacco/nicotine use and promote better lifestyle choices.
The alcohol addiction treatment segment is expected to show lucrative growth in the forecast period. The high consumption rate, ease of availability, and legalization in most countries are major factors driving revenue growth in this market. Moreover, rising customer demand for alcohol consumption in diverse social, public, and private settings accelerates revenue development.
Addiction Treatment Market by Drug Type
Based on drug type, the global addiction treatment market is segmented into bupropion, varenicline, acamprosate, disulfiram, naltrexone, methadone, buprenorphine, nicotine replacement products, and others.
The naltrexone segment accounts for the majority of revenue share in the global addiction treatment market. Naltrexone reduces cravings and prevents relapse in individuals with alcohol and opioid addiction. Additionally, it is non-addictive and has minimal side effects, making it a safe option for long-term use. In addition, naltrexone is available in oral tablets and depot injection formulations, making it convenient for patients.
The methadone segment is expected to register significant revenue growth in the forecast years. Methadone is an effective medication for treating addiction because it reduces withdrawal symptoms and cravings. Additionally, methadone has a long half-life, meaning it only needs to be taken once daily, making it more convenient for patients.
Addiction Treatment Market by Treatment
Based on treatment, the global addiction treatment market is segmented into rehabilitation centers, outpatient treatment centers, and inpatient treatment centers.
The inpatient treatment centers segment accounted for the major revenue share in 2022. Inpatient treatment centers provide a structured and supportive environment for individuals struggling with addiction or mental health issues. The residential treatment centers segment is expected to show lucrative growth in the forecast period. Residential treatment centers provide a safe and supportive environment for individuals to focus solely on their recovery. Additionally, these centers offer a range of evidence-based treatments and therapies that can be customized to meet the specific needs of each individual. Furthermore, rehabilitation centers provide comprehensive programs that address physical, emotional, and psychological addiction, increasing the chances of successful recovery.
Addiction Treatment Market by Distribution Channel
Based on distribution channel, the global addiction treatment market is segmented into retail pharmacies, hospital pharmacies, and online pharmacies.
The hospital pharmacies segment dominates the global addiction treatment market. Hospital pharmacies are one of the most profitable and conveniently accessible distribution channels for getting addiction medication at the primary level. Different medications with varying dosage levels are available to relax the patient and reduce the desire for drug misuse. Nearly all pharmaceutical and non-prescription medications are readily available to addicted individuals.
Addiction Treatment Market by Region
Based on the region, the global addiction treatment market is segmented into North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.
North America dominates the addiction treatment market with the largest revenue share. This is attributed to the increasing rates of addiction in the region. For instance, according to December 2020 report from the Centers for Disease Control and Prevention, about 14 out of every 100 United States adults aged 18 and older (14.0%) smoked cigarettes in 2019. According to a close source, 34.1 million individuals in the United States now smoke cigarettes, and around 16 million people live with smoking-related diseases and associated bad consequences. Moreover, many government initiatives to support drug addiction treatments, such as launching campaigns to increase addiction-related awareness, rising research and development for addiction treatment, and offering favorable reimbursement, are potential driving factors influencing the market revenue growth in North America. Furthermore, the United States has a high-level medical care system with the highest utilization of medical services. Its enthusiasm for creative work and steps to limit and eliminate drug abuse encourage people to utilize fixation medications.
The Europe addiction treatment market is characterized by increased awareness and improvements in many governments’ preventative programs and diagnostic processes, which drive market revenue growth in Europe. Leading pharmaceutical businesses in this region are developing medications with new compounds. Furthermore, the increase in the number of healthcare centers for drug addiction treatment and cooperation with private drug recovery facilities makes it easier for patients to undergo treatment. It allows treatment centers to reach a larger number of dependent people in society.
Asia Pacific is predicted to be the fastest-growing region in the addiction treatment market over the forecast period. This growth can be attributed to the increasing number of rehabilitation centers. Moreover, the demand for new treatments is also increasing as trends in the addiction treatment market in the Asia Pacific. Expanding government focus on timely treatment is another factor boosting the market potential.
Addiction Treatment Market Competitive Landscape
The addiction treatment market is moderately competitive due to product launches, mergers, and acquisitions. Furthermore, the market classified technological advancements and accessibility to their treatment solutions as superior business growth strategies.
The prominent companies with the largest revenue share in the global addiction treatment market are:
Addiction Treatment Market Strategic Developments
The global addiction treatment market is expected to grow at a revenue CAGR of 6.75% during the forecast period.
Teva Pharmaceutical Industries Ltd., Glenmark Pharmaceuticals, Titan Pharmaceuticals, Inc., and Pfizer, Inc. are among the key players in the global addiction treatment market.
The naltrexone segment accounts for the largest revenue share in the global addiction treatment market.
Asia Pacific is expected to observe the highest revenue growth in the global addiction treatment market during the forecast period.
The global addiction treatment market was valued at US$ 31.4 billion in 2023.
*Insights on financial performance are subject to the availability of information in the public domain