North America Workplace Wellness Market expected to reach $24.2 Billion by 2028

According to a new report published by Allied Market Research, titled, “North America Workplace Wellness Market by Type and End User: Regional Opportunity Analysis and Industry Forecast, 2021–2028," The North America workplace wellness market was valued at $15.7 billion in 2020, and is projected to reach $24.2 billion by 2028, registering a CAGR of 5.9% from 2021 to 2028. Workplace wellness includes employer’s approach taken toward improvement of its employee health such as company-sponsored exercise programs, weight-loss plans, educational seminars, smoking-cessation programs, and health screenings. These plans are designed to help employees to maintain a healthy lifestyle, lose weight, and improve overall physical health. Wellness programs also involve financial incentives for employees such as lower health insurance premiums or gift cards.  

Factors such as upsurge in incidence of chronic diseases and optimum return on investments drive the growth of the North America workplace wellness market. In addition, rise in awareness toward maintenance of a balanced work life and implementation of wellness programs by employers propel the North America workplace wellness market growth.  In addition, the COVID-19 pandemic has underlined to prioritize health and wellbeing of employees, in terms of physical and mental health. Various strategies were adopted by the key players and government initiatives were undertaken for the better understanding of COVID-19 impact on the workplace wellness market. For instance, in September 2020, 4medica, Inc., a U.S. based healthcare interoperability innovator, introduced the COVID-19 employee wellness management app. With temperature measurements, integrated lab testing, and monthly health checks, the solution assists employers in safely returning workers to work. As a result, productivity is maintained, and workers feel safe returning to work, which benefits the company.

On the other hand, huge cost to companies to adopt workplace wellness plans is anticipated to hamper the market growth. Conversely, substantial efforts by the public as well as the private sector of developed countries toward improvement in health of their employees is likely to create profitable opportunities in the future. By type, the market is divided into weight management & fitness services, nutrition & dietary plan, stress management services, health screening and assessment, and smoking cessation. The health screening and assessment segment dominated the workplace wellness market in 2020. This is attributed to increase in adoption of these health screening and assessment programs by most of employers worldwide to improve health fitness of their employees. However, the stress management services segment is anticipated to grow at the fastest growth rate during the forecast period.  

By end user, the market is categorized into large-size private organizations, mid-size private organizations, small-size private organizations, public sector, and NGO. The large-size organizations segment dominated the market in 2020, and is anticipated to maintain its dominance during the forecast period. This is attributed to the fact that large-size organizations have more workforce strength. This segment is anticipated to grow at the fastest growth rate during the forecast period. 

By country, it is analyzed across U.S., Canada and Mexico. U.S. is expected to garner the largest market share in 2020, and is expected to maintain its dominance. This is majorly attributed to presence of major workplace wellness service providers and better healthcare & medical infrastructure. Moreover, rise in incidences of cancer and chronic diseases such as obesity and diabetes propels the market growth in this country.

Key Findings Of The Study 

• By type, the stress management services segment is estimated to grow at a CAGR of 6.6%.
• The health screening and assessment segment was the largest growing segment in 2020 and is expected to maintain its dominance throughout the forecast period.
• By end user, the mid-size organizations segment is expected to witness significant CAGR of 6.0%, respectively, during the forecast period.
• The large organizations segment was the highest contributor to the market throughout the forecast period.
• The NGO segment is expected to garner 10.22% share of the North America workplace wellness market in 2020.