Will Radetsky, CEO of GeniusX.net, will examine key development trends and present forecasts for the future, based on the latest data and research.
The sperm bank market is experiencing significant growth, driven by a number of factors, including innovative developments in cryopreservation, growing awareness of fertility issues, and expanded access to infertility treatment.
According to recent research, the global sperm bank market reached an impressive $5.2 billion in 2023. Experts predict that the market will continue to grow at a compound annual growth rate (CAGR) of 3.56% from 2023 to 2030. This steady growth is driven by several key factors, including innovations in cryopreservation methods, increased awareness of fertility issues, the development of reproductive tourism, increased availability of infertility treatments, and an increased risk of miscarriage.
Male infertility as a growth driver
According to the American Pregnancy Association, male infertility accounts for up to 50% of all infertility cases. This problem can be caused by various factors, including smoking, drug use, exposure to harmful substances, excessive alcohol consumption, and genetic problems.
The growing prevalence of male infertility significantly contributes to the increased demand for sperm bank services and various infertility treatments, including donor insemination and IVF procedures.
In many countries around the world, governments actively support the development of assisted reproductive technologies (ART), which has a significant impact on the growth of the sperm bank market. For example, in Singapore, the state provides up to 75% co-financing for various ART procedures, such as IVF, GIFT (gamete intrafallopian transfer), and ICSI (intracytoplasmic sperm injection).
In the UK, the National Health Service (NHS) funds up to 3 IVF cycles. Such support significantly increases the availability of infertility treatment and, as a result, stimulates demand for sperm bank services.
Market segmentation
The sperm bank market can be divided into two main segments: known donors and anonymous donors. In 2022, the known donor segment occupied the largest market share – 57.6%. This is due to changes in legislation in many countries that give children the right to know their biological parents. Countries such as Austria, Switzerland, New Zealand, Sweden, the United Kingdom, and Australia have adopted strict laws against donor anonymity.
Using known donors provides access to the donor’s medical and behavioral history, which is an important factor for many future parents. In addition, the cost of using a known donor is usually higher, which also contributes to the growth of this segment.
The market is also segmented by fertilization methods used: donor insemination and in vitro fertilization (IVF). In 2022, the donor insemination segment occupied the largest market share – 73.7%. This is due to the relatively low cost and simplicity of the procedure. It is usually recommended to try at least 3 cycles of artificial insemination before moving on to more expensive IVF.
However, the IVF segment is expected to grow at the fastest rate in the forecast period. This is due to growing awareness of the advantages of IVF compared to insemination procedures, despite the higher cost.
The increasing prevalence of infertility among the male population and the increase in the average age of mothers in countries such as Japan also contribute to the growing demand for IVF procedures. In addition, the abolition of the “one-child” policy in China and the increase in cases of polycystic ovary syndrome (PCOS) are additional factors stimulating the growth of this segment.
The sperm bank market is also segmented by the type of services provided: sperm analysis, sperm storage, and genetic counseling. In 2022, the sperm analysis segment occupied the largest market share – 47.8%. This is due to the increased demand for ART procedures and the need for sperm analysis before any procedure. For example, The Sperm Bank of California (TSBC) assesses fertility according to standards defined by the World Health Organization.
By 2032, the sperm storage segment is expected to reach $3.6 billion. This is due to the growing demand for sperm storage services among men undergoing cancer treatment, planning surgical operations that may affect fertility, or wishing to postpone fatherhood for personal or professional reasons.
Regional analysis
North America dominates the sperm bank market, accounting for 36.9% of the market share in 2022. The main factor contributing to this is the growing prevalence of infertility among the American population.
According to the U.S. Department of Health and Human Services, infertility affects approximately 1 in 5 married women aged 15-49 who have never given birth. In addition, about one in four (26%) women in this category have impaired fertility, which affects their ability to conceive and carry a pregnancy.
Europe ranks second in the size of the sperm bank market. This is due to several factors, including lower treatment costs compared to the US and Canada, an increase in the number of IVF centers, the presence of the world’s largest sperm bank (Cryos International in Denmark), and the development of reproductive tourism. Interestingly, according to the National Infertility Association, Spain is the preferred destination for infertility treatment, accounting for 40% of European reproductive tourism.
Market trends
The sperm bank market demonstrates a number of key trends that will determine its development in the coming years. First of all, there is a significant increase in demand for assisted reproductive technologies (ART). According to the World Health Organization, approximately 10-15% of couples worldwide face infertility problems. The U.S. National Institutes of Health report that the use of ART has increased significantly from 2000 to 2020, with the number of ART cycles performed annually in the United States doubling over the past decade.
The client base of sperm banks is also expanding. In addition to traditional couples facing fertility problems, sperm bank services are increasingly being used by single women wishing to become mothers, male same-sex couples for surrogacy, female same-sex couples for artificial insemination or IVF, as well as couples with a high risk of genetic diseases. Interestingly, 43% of women with type 2 diabetes turn to in vitro fertilization services to become parents.
Modern sperm banks offer expanded genetic screening, which ensures healthier outcomes and reduces the risk of hereditary diseases. This makes the use of donor sperm a more attractive option for many couples and single people planning pregnancy.
There is also a growing demand for sperm storage services. Men are increasingly turning to this service before undergoing chemotherapy or radiation therapy, which can negatively affect fertility, before surgical operations, especially those related to reproductive organs, as well as to postpone fatherhood due to career or financial considerations.
The development of reproductive tourism also plays a significant role in market growth. Countries with a favorable legal environment and more affordable prices for infertility treatment, such as Spain, the Czech Republic, Turkey, Hungary, and India, are attracting more and more patients from other countries.
Conclusion
The sperm bank market demonstrates steady growth and has significant potential for further expansion. The main factors contributing to this growth are the increasing prevalence of infertility, expanded access to infertility treatment, changing social norms, and technological developments in reproductive medicine.
With the market projected to grow to $5.0 billion by 2030 and a compound annual growth rate of 3.56%, the sperm bank industry remains one of the most dynamically developing healthcare sectors.
As more countries adopt laws supporting the use of assisted reproductive technologies, and more people realize the importance of preserving fertility, demand for sperm bank services is expected to continue to grow.
This growth opens up new opportunities for investment and innovation in reproductive medicine, as well as raises important ethical and legal issues that society will have to address.
