Analysis of ASC Data Suggests a Mature ASC Market
Published by Becker’s ASC Review
Those that have been involved with this industry in recent years have heard a common theory proclaiming the ASC market as a mature industry. What does this mean and is it true? In this column we will illustrate and briefly highlight several trends that suggest this to be a valid assessment of the industry and explore the ways in which experienced ASC operators are responding.
Overall ASC growth has significantly leveled off
The number of ASCs operating in the United States expanded rapidly throughout the late 1990s through to the late 2000s (see chart below). This high growth was fueled by a number of market dynamics, including:
- physician desire to perform outpatient surgery in an focused and efficient environment;
- physician desire to participate in the management of their surgical facilities;
- physicians seeking to supplement their professional income streams;
- technological and surgical advances which made more procedures suitable for ASC setting;
- many new ASC management / development companies entering the market, providing funding, organization and expertise; and
- abundance of lenders willing to provide capital to physicians and developers.
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