Andrea Alms Video: Money In Motion 28 - The Obesity Tech Market
October 2022 - Venture Capital
Hello. My name is Andrea Alms. I am technology investor and financial manager and this is your money in motion. The global obesity treatment market is valued at 5 billion in 2018 and is estimated to reach 14 billion by 2026 at a compound average growth rate of 12%. The U.S. obesity treatment market is estimated to grow to 3 billion in 2021 and projected to grow at a compound average growth rate of 9% to reach 5 billion by 2027. Obesity can be denoted as a condition where excess fat accumulates, is seen in the body and leads to associated health risks such as cardiovascular diseases, diabetes, SE orthopedic disorder. Previously, it was thought obesity was prevalent only in high income countries. However, this has drastically changed in recent times where the rate of obesity is increasing even in middle and low income countries. It is also a fact that more than 30% of the world's population is either overweight or obese. Yes, a $1,000,000,000 market and only single digit growth rate in the U.S.. Where can we find that higher double digit growth rate? As for the market segment, there are drugs, surgery, fitness equipment and dietary supplements. What about software and tech? In the drug segment, we find the usual suspects in key players Lilly, Pfizer and so on. In a previous episode. The drug market is $100 billion market with single digit growth, extremely concentrated market with few players. Of course, in the weight loss equipment market. The key players are Olympus, Covidien and so on. This segment is double digit billion dollar market with a single digit growth rate. Finally, our software and tech app. Here are some of the leading fitness and weight loss apps Fitbit, Fat Secret and so on. The Global Fitness app market is valued at about 13 billion in 2020 and is projected to reach over 120 billion by 2030 at a compound average growth rate of 24%. Yes, this is our sweep spot, a multibillion dollar market and relatively double digit high growth rate. Thank you. This is your money. Your money in motion.