U.S. Dermatological Services Market Expected to Reach $128.06 Billion by 2033

According to a new report published by Allied Market Research, titled, “U.S. dermatological services market: Opportunity Analysis and Industry Forecast, 2024–2033," The U.S. dermatological services market size was valued at $63.20 billion in 2023 and is estimated to reach $128.06 billion by 2033, exhibiting a CAGR of 7.3% from 2024 to 2033. The medical dermatology segment is expected to register the highest CAGR of 6.8 during the forecast period.

Dermatology is the branch of medicine focused on diagnosing, treating, and managing conditions related to the skin, hair, and nails. Dermatological services include a wide range of medical and cosmetic procedures, from treating skin diseases like acne, eczema, and skin cancer to performing aesthetic enhancements like Botox and laser treatments. The importance of dermatology lies in its role in maintaining overall health and well-being. Skin is the body's largest organ and serves as the first line of defense against environmental hazards. Dermatology not only addresses visible skin issues but also detects underlying health problems, such as infections and autoimmune disorders. In addition, dermatological services contribute to improved self-esteem and quality of life by enhancing skin appearance and treating disfiguring conditions.

The U.S. dermatological services market is experiencing robust growth, driven by several factors. One of the primary drivers is the growing aging population. As the Population Reference Bureau projects, the number of Americans aged 65 and older is expected to surge from 58 million in 2022 to 82 million by 2050, marking a substantial 47% increase. This demographic shift is significant because older adults are more prone to various dermatological disorders, including acne, psoriasis, vitiligo, and fungal infections. The increase in prevalence of these conditions is fueling demand for specialized dermatological services, as this population seeks both treatment and management options to maintain skin health and quality of life.

Furthermore, the rise in adoption of cosmetic dermatology is contributing significantly to market growth. The International Society of Aesthetic Plastic Surgery’s 2022 report highlights that the U.S. witnessed 7,448,196 cosmetic procedures performed in that year alone. Among these, Chemical Peels and Hair Removal were particularly popular, with 371,228 and 398,772 procedures performed, respectively. This high volume of cosmetic treatments drives the growing consumer interest in dermatological aesthetics, reflecting broader societal trends toward enhancing appearance and boosting self-esteem through skin care.

In addition, technological advancements and the expansion of service facilities are playing a crucial role in the market growth. Service providers are increasingly adopting cutting-edge technologies to enhance precision, effectiveness, and safety of dermatological treatments. This includes innovations in laser therapy, and minimally invasive procedures, which are making dermatological care more accessible and appealing to a broader audience. Moreover, the expansion of dermatology practices into new locations, especially in underserved and rural areas, is significantly improving access to care, thereby addressing health inequities and contributing to the overall growth of the U.S. dermatological services market.

The U.S. dermatological services market is segmented into application. On the basis of application, the market is divided into medical dermatology, aesthetic dermatology, specialized procedures, and other services. The medical dermatology segment dominated the market share in 2023, owing to the rise in prevalence of skin conditions such as acne, eczema, and skin cancer. Increased public awareness, early detection efforts, and advancements in treatment options also contributed to higher demand for medical dermatology services, making it the leading segment in the market.

However, the aesthetic dermatology segment is expected to register the highest CAGR during the forecast period owing to rise in consumer demand for cosmetic procedures like Botox, dermal fillers, and laser treatments. This surge is driven by increase in awareness of skincare, a desire for youthful appearance, and the influence of social media, making aesthetic services the fastest-growing segment in the U.S. dermatological service market.

Key Findings of the Study

• On the basis of application, the medical dermatology segment dominated the market share in 2023. However, the aesthetic dermatology segment is anticipated to grow at the highest CAGR during the forecast period.