Tools commonly used in the Surrogacy industry for day-to-day tasks and operations.

• Fertility drugs
• In vitro fertilization (IVF)
• Embryo transfer
• Ultrasound machines
• Surrogacy contracts
• Legal services
• Counseling services
• Medical equipment for childbirth
• Prenatal vitamins and supplements
• Surrogacy matching services

Common products and services typical of NAICS Code 541990-17, illustrating the main business activities and contributions to the market.

• Gestational surrogacy
• Traditional surrogacy
• Altruistic surrogacy
• Commercial surrogacy
• Surrogacy agencies
• Fertility clinics
• Egg donation services
• Sperm donation services
• Embryo donation services
• Intended parents

The specific certifications, permits, licenses, and regulatory compliance requirements within the United States for this industry.

• American Society for Reproductive Medicine (ASRM) Certification: ASRM is a professional organization that provides certification for fertility clinics and professionals. The certification ensures that the clinic or professional meets the highest standards of care and safety in the field of reproductive medicine. The certification is voluntary, but it is highly recommended for surrogacy clinics and professionals.
• Society for Assisted Reproductive Technology (SART) Certification: SART is a professional organization that provides certification for fertility clinics and professionals. The certification ensures that the clinic or professional meets the highest standards of care and safety in the field of assisted reproductive technology. The certification is voluntary, but it is highly recommended for surrogacy clinics and professionals.
• American Board Of Obstetrics and Gynecology (ABOG) Certification: ABOG is a professional organization that provides certification for obstetricians and gynecologists. The certification ensures that the professional meets the highest standards of care and safety in the field of obstetrics and gynecology. The certification is not specific to surrogacy, but it is highly recommended for surrogacy professionals.
• American Board Of Medical Specialties (ABMS) Certification: ABMS is a professional organization that provides certification for medical professionals in various specialties, including obstetrics and gynecology. The certification ensures that the professional meets the highest standards of care and safety in their specialty. The certification is not specific to surrogacy, but it is highly recommended for surrogacy professionals.
• National Infertility Association (RESOLVE) Certification: RESOLVE is a non-profit organization that provides certification for fertility clinics and professionals. The certification ensures that the clinic or professional meets the highest standards of care and safety in the field of infertility. The certification is not specific to surrogacy, but it is highly recommended for surrogacy clinics and professionals.

A concise historical narrative of NAICS Code 541990-17 covering global milestones and recent developments within the United States.

• The history of surrogacy dates back to biblical times when Sarah, the wife of Abraham, gave her handmaid Hagar to her husband to bear a child. In the 1970s, the first successful gestational surrogacy was performed in the United States, where a woman carried a child that was not biologically related to her. In 1985, the first commercial surrogacy agency was established in California, and since then, the industry has grown significantly. In recent years, surrogacy has become more widely accepted and accessible, with advancements in reproductive technology and changes in laws and regulations. Notable advancements include the use of in vitro fertilization (IVF) and pre-implantation genetic testing (PGT) to increase the success rate of surrogacy, and the legalization of surrogacy in several states in the USA, including New York in 2020.

The anticipated future trajectory of the NAICS 541990-17 industry in the USA, offering insights into potential trends, innovations, and challenges expected to shape its landscape.

• Growth Prediction: Growing

  The surrogacy industry in the USA is expected to grow in the coming years due to the increasing demand for surrogacy services. The industry is expected to benefit from the growing acceptance of surrogacy as a viable option for couples who are unable to conceive naturally. The increasing use of technology in the surrogacy process is also expected to drive growth in the industry. However, the industry is also likely to face challenges such as legal and ethical issues related to surrogacy. Overall, the surrogacy industry is expected to continue to grow in the USA in the coming years.

Recent groundbreaking advancements and milestones in the Surrogacy industry, reflecting notable innovations that have reshaped its landscape.

• Surrogacy agencies are now offering virtual consultations and appointments to clients, making the process more convenient and accessible.
• The use of genetic testing to screen embryos before implantation has become more common, increasing the chances of a successful pregnancy.
• Surrogacy agencies are now offering more personalized services, such as matching intended parents with surrogates who share similar values and lifestyles.
• The use of social media and online platforms has made it easier for intended parents and surrogates to connect with each other.
• Surrogacy agencies are now offering more support services to surrogates, such as counseling and financial assistance.

This section provides an extensive list of essential materials, equipment and services that are integral to the daily operations and success of the Surrogacy industry. It highlights the primary inputs that Surrogacy professionals rely on to perform their core tasks effectively, offering a valuable resource for understanding the critical components that drive industry activities.

Service

Fertility Services: Fertility clinics provide medical services such as IVF and embryo transfer, which are vital for creating embryos that the surrogate will carry, making them a key component of the surrogacy process.

Health Insurance: Health insurance plans are necessary for surrogates to cover medical expenses related to pregnancy and childbirth, ensuring that financial barriers do not impede the surrogacy process.

Legal Services: Legal professionals provide essential services for drafting surrogacy contracts, ensuring that all parties understand their rights and responsibilities, which is crucial for protecting everyone involved.

Maternity Care Services: Prenatal and postnatal care services are essential for monitoring the health of the surrogate and the baby throughout the pregnancy, ensuring that any complications are addressed promptly.

Medical Screening Services: Comprehensive medical screenings are conducted to assess the health of potential surrogates, ensuring they are physically capable of carrying a pregnancy, which is critical for the safety of both the surrogate and the baby.

Nutritional Counseling: Nutritionists provide dietary guidance to surrogates to ensure they maintain a healthy diet during pregnancy, which is vital for the health of both the surrogate and the developing fetus.

Psychological Counseling: Mental health professionals offer counseling to surrogates and intended parents, helping them navigate the emotional complexities of the surrogacy process and ensuring mental well-being.

Support Groups: Support groups provide a community for surrogates and intended parents to share experiences and advice, fostering emotional support and understanding throughout the surrogacy journey.

Surrogacy Agency Services: Agencies facilitate the matching process between surrogates and intended parents, providing support and guidance throughout the surrogacy journey, which is essential for a successful arrangement.

Transportation Services: Transportation services are often required to facilitate travel for medical appointments and procedures, ensuring that surrogates can access necessary healthcare without logistical barriers.

Explore a detailed compilation of the unique products and services offered by the Surrogacy industry. This section provides precise examples of how each item is utilized, showcasing the diverse capabilities and contributions of the Surrogacy to its clients and markets. This section provides an extensive list of essential materials, equipment and services that are integral to the daily operations and success of the Surrogacy industry. It highlights the primary inputs that Surrogacy professionals rely on to perform their core tasks effectively, offering a valuable resource for understanding the critical components that drive industry activities.

Service

Compensation Management: Managing the financial aspects of surrogacy, this service ensures that surrogates receive timely and appropriate compensation for their commitment and efforts, while also providing transparency to intended parents regarding costs.

Embryo Transfer Services: Facilitating the medical procedure of embryo transfer, this service is crucial in the surrogacy process, ensuring that the intended parents' embryos are implanted in the surrogate under the care of qualified medical professionals.

Fertility Clinic Coordination: This service involves coordinating with fertility clinics to facilitate medical procedures such as embryo transfer and monitoring, ensuring that all medical aspects of the surrogacy are handled professionally and efficiently.

Health Insurance Coordination: This service assists in navigating health insurance options for surrogates, ensuring that medical expenses related to the pregnancy and delivery are adequately covered, which is essential for both parties' peace of mind.

Legal Consultation for Surrogacy Agreements: Providing expert legal advice to draft and finalize surrogacy contracts, this service ensures that all parties understand their rights and responsibilities, protecting the interests of both the surrogate and the intended parents.

Post-Birth Support Services: Providing assistance and counseling after the birth, this service helps surrogates transition back to their regular lives while ensuring that intended parents receive the necessary support to bond with their newborn.

Psychological Screening and Support: Offering psychological evaluations and ongoing support for surrogates and intended parents, this service helps address emotional and mental health needs throughout the surrogacy process, fostering a healthy relationship among all parties.

Surrogacy Agency Services: Acting as intermediaries, these agencies provide comprehensive support throughout the surrogacy process, including matching, legal, medical, and emotional support, ensuring a streamlined experience for intended parents and surrogates.

Surrogate Education Programs: Offering educational resources and workshops for surrogates, this service prepares them for the physical and emotional aspects of pregnancy, helping them understand their role and the expectations involved in the surrogacy process.

Surrogate Matching Services: This service involves connecting intended parents with potential surrogates through a comprehensive screening process, ensuring compatibility and shared values, which is crucial for a successful surrogacy journey.

A thorough examination of the Surrogacy industry’s external dynamics, focusing on the political, economic, social, technological, legal, and environmental factors that shape its operations and strategic direction.

Political Factors

Economic Factors

Social Factors

Technological Factors

Legal Factors

Economical Factors

An in-depth look at the Surrogacy industry's value chain, highlighting its role, key activities, and efficiency strategies, along with its unique value drivers and competitive strengths.

Value Chain Position

Category: Service Provider
Value Stage: Final
Description: Surrogacy operates as a service provider in the reproductive health sector, facilitating the process of gestation for individuals or couples unable to carry a pregnancy themselves. This industry involves comprehensive support services, including legal, medical, and emotional assistance throughout the surrogacy journey.

Upstream Industries

Downstream Industries

Primary Activities

Operations: Core processes in surrogacy include matching intended parents with surrogates, conducting medical screenings, and facilitating legal agreements. Quality management practices involve thorough vetting of surrogates and ongoing support throughout the pregnancy. Industry-standard procedures include regular medical check-ups and psychological evaluations to ensure the well-being of both the surrogate and the baby.

Marketing & Sales: Marketing strategies often involve online platforms, informational seminars, and partnerships with fertility clinics. Customer relationship practices focus on building trust through transparency and personalized support. The sales process typically includes consultations to understand the needs of intended parents and provide tailored solutions for their surrogacy journey.

Support Activities

Infrastructure: Management systems in the surrogacy industry include client management software that tracks the progress of surrogacy arrangements and maintains communication records. Organizational structures often consist of small teams focused on personalized service delivery, ensuring that each client receives dedicated attention. Planning systems are essential for coordinating medical appointments, legal consultations, and support services effectively.

Human Resource Management: Workforce requirements include professionals with expertise in reproductive health, law, and psychology. Training and development approaches focus on enhancing staff knowledge of legal regulations and emotional support techniques. Industry-specific skills include understanding the complexities of reproductive technology and the emotional dynamics of surrogacy arrangements.

Technology Development: Key technologies include telehealth platforms for remote consultations and management software for tracking client interactions. Innovation practices focus on improving client experiences through technology, such as online portals for document management and communication. Industry-standard systems often involve secure data management practices to protect sensitive client information.

Procurement: Sourcing strategies involve establishing relationships with medical facilities, legal experts, and psychological counselors to create a comprehensive support network. Supplier relationship management is crucial for ensuring timely access to necessary services, while purchasing practices emphasize quality and compliance with industry standards.

Value Chain Efficiency

Process Efficiency: Operational effectiveness is measured through client satisfaction and successful pregnancy outcomes. Common efficiency measures include tracking the time taken to match intended parents with surrogates and the responsiveness of support services. Industry benchmarks are established based on client feedback and success rates of surrogacy arrangements.

Integration Efficiency: Coordination methods involve regular communication between surrogacy agencies, medical providers, and legal professionals to ensure alignment on client needs and expectations. Communication systems often include integrated platforms that facilitate real-time updates and information sharing among all parties involved in the surrogacy process.

Resource Utilization: Resource management practices focus on optimizing the use of medical and legal services to provide comprehensive support to clients. Optimization approaches may involve streamlining processes for client intake and service delivery, adhering to industry standards for quality and efficiency.

Value Chain Summary

Key Value Drivers: Primary sources of value creation include the successful matching of surrogates with intended parents, comprehensive support services throughout the pregnancy, and strong legal protections for all parties involved. Critical success factors involve maintaining high standards of care and building trust with clients.

Competitive Position: Sources of competitive advantage include the ability to provide personalized service and a strong network of medical and legal professionals. Industry positioning is influenced by reputation, success rates, and the quality of support services offered, impacting market dynamics.

Challenges & Opportunities: Current industry challenges include navigating complex legal landscapes and addressing emotional needs of clients. Future trends may involve increased demand for surrogacy services due to changing family structures, presenting opportunities for agencies to expand their offerings and enhance service quality.

A focused SWOT analysis that examines the strengths, weaknesses, opportunities, and threats facing the Surrogacy industry within the US market. This section provides insights into current conditions, strategic interactions, and future growth potential.

Strengths

Industry Infrastructure and Resources: The surrogacy industry benefits from a well-established network of fertility clinics, legal services, and surrogacy agencies that facilitate the process for intended parents and surrogates. This strong infrastructure supports efficient operations and enhances the ability to provide comprehensive services, ensuring a smoother experience for all parties involved.

Technological Capabilities: Advancements in reproductive technologies, such as in vitro fertilization (IVF) and genetic screening, provide significant advantages to the industry. The moderate level of innovation allows for improved success rates in surrogacy arrangements, ensuring that intended parents have access to the latest medical advancements that enhance the likelihood of a successful pregnancy.

Market Position: The surrogacy industry holds a strong position within the broader assisted reproductive technology market, characterized by increasing demand from individuals and couples facing fertility challenges. Brand recognition and the reputation of established agencies contribute to its competitive strength, although there is ongoing pressure from alternative family-building options.

Financial Health: Financial performance across the surrogacy industry is generally strong, with many agencies and clinics reporting healthy profit margins due to the high demand for services. The financial health is supported by a growing acceptance of surrogacy as a viable option for family building, although fluctuations in demand can impact revenue stability.

Supply Chain Advantages: The industry enjoys robust relationships with medical professionals, legal experts, and support services that facilitate the surrogacy process. These strong connections enhance operational efficiency, allowing agencies to provide timely and comprehensive services to intended parents and surrogates, ultimately improving client satisfaction.

Workforce Expertise: The labor force in this industry is skilled and knowledgeable, with professionals specializing in reproductive medicine, law, and counseling. This expertise contributes to high standards of care and support for all parties involved, although there is a need for ongoing training to keep pace with evolving legal and medical practices.

Weaknesses

Structural Inefficiencies: Some agencies face structural inefficiencies due to outdated operational practices or inadequate technology systems, leading to increased administrative costs and delays in service delivery. These inefficiencies can hinder competitiveness, particularly when compared to more modernized operations that leverage technology for better client management.

Cost Structures: The industry grapples with rising costs associated with medical procedures, legal fees, and compensation for surrogates. These cost pressures can squeeze profit margins, necessitating careful management of pricing strategies and operational efficiencies to remain competitive.

Technology Gaps: While some agencies are technologically advanced, others lag in adopting new management systems and client communication tools. This gap can result in lower productivity and higher operational costs, impacting overall competitiveness in the market.

Resource Limitations: The industry is vulnerable to fluctuations in the availability of qualified surrogates and medical professionals, particularly in regions with strict regulations. These resource limitations can disrupt service delivery and impact the ability to meet client demand.

Regulatory Compliance Issues: Navigating the complex landscape of surrogacy laws and regulations poses challenges for many agencies. Compliance costs can be significant, and failure to meet legal standards can lead to penalties and reputational damage, affecting client trust.

Market Access Barriers: Entering new markets can be challenging due to established competition and varying state regulations regarding surrogacy. Agencies may face difficulties in gaining traction in regions with restrictive laws, limiting growth opportunities.

Opportunities

Market Growth Potential: There is significant potential for market growth driven by increasing societal acceptance of surrogacy and rising infertility rates. The trend towards diverse family structures presents opportunities for agencies to expand their offerings and capture new client segments.

Emerging Technologies: Advancements in reproductive technologies, such as improved IVF techniques and genetic testing, offer opportunities for enhancing success rates in surrogacy arrangements. These technologies can lead to increased efficiency and better outcomes for intended parents.

Economic Trends: Favorable economic conditions, including rising disposable incomes and increased awareness of reproductive options, support growth in the surrogacy market. As more individuals prioritize family building, demand for surrogacy services is expected to rise.

Regulatory Changes: Potential regulatory changes aimed at standardizing surrogacy laws across states could benefit the industry by reducing legal complexities. Agencies that adapt to these changes may gain a competitive edge in navigating the legal landscape.

Consumer Behavior Shifts: Shifts in consumer preferences towards personalized family-building options create opportunities for growth. Agencies that align their services with these trends can attract a broader customer base and enhance client loyalty.

Threats

Competitive Pressures: Intense competition from both domestic and international surrogacy agencies poses a significant threat to market share. Agencies must continuously innovate and differentiate their services to maintain a competitive edge in a crowded marketplace.

Economic Uncertainties: Economic fluctuations, including changes in disposable income and healthcare costs, can impact demand for surrogacy services. Agencies must remain agile to adapt to these uncertainties and mitigate potential impacts on client engagement.

Regulatory Challenges: The potential for stricter regulations regarding surrogacy practices can pose challenges for the industry. Agencies must invest in compliance measures to avoid penalties and ensure ethical practices.

Technological Disruption: Emerging technologies in alternative family-building methods, such as embryo adoption or co-parenting arrangements, could disrupt the market for traditional surrogacy services. Agencies need to monitor these trends closely and innovate to stay relevant.

Environmental Concerns: Increasing scrutiny on environmental sustainability practices poses challenges for the industry. Agencies must adopt sustainable practices to meet consumer expectations and regulatory requirements, particularly in the context of medical waste management.

SWOT Summary

Strategic Position: The surrogacy industry currently enjoys a strong market position, bolstered by increasing demand for family-building options. However, challenges such as rising costs and competitive pressures necessitate strategic innovation and adaptation to maintain growth. The future trajectory appears promising, with opportunities for expansion into new markets and service offerings, provided that agencies can navigate the complexities of regulatory compliance and client management.

Key Interactions

Growth Potential: The growth prospects for the surrogacy industry are robust, driven by increasing societal acceptance and rising infertility rates. Key growth drivers include advancements in reproductive technologies, favorable economic conditions, and evolving consumer preferences. Market expansion opportunities exist in both domestic and international markets, particularly as more individuals seek personalized family-building solutions. However, challenges such as regulatory compliance and resource limitations must be addressed to fully realize this potential. The timeline for growth realization is projected over the next five to ten years, contingent on successful adaptation to market trends and client needs.

Risk Assessment: The overall risk level for the surrogacy industry is moderate, with key risk factors including economic uncertainties, competitive pressures, and regulatory challenges. Industry players must be vigilant in monitoring external threats, such as changes in consumer behavior and legal landscapes. Effective risk management strategies, including diversification of services and investment in technology, can mitigate potential impacts. Long-term risk management approaches should focus on sustainability and adaptability to changing market conditions. The timeline for risk evolution is ongoing, necessitating proactive measures to safeguard against emerging threats.

Strategic Recommendations

An exploration of how geographic and site-specific factors impact the operations of the Surrogacy industry in the US, focusing on location, topography, climate, vegetation, zoning, infrastructure, and cultural context.

Location: The operations thrive in urban areas with access to fertility clinics and legal resources, such as California and New York, where surrogacy laws are favorable. These regions provide a supportive environment for intended parents and surrogates, facilitating easier communication and coordination. Proximity to healthcare facilities and legal experts enhances operational efficiency, while regions with established surrogacy agencies offer a network of support that is crucial for successful arrangements.

Topography: The industry operates effectively in flat, urban environments where clinics and agencies can be easily accessed. Urban settings allow for the establishment of specialized medical facilities that cater to surrogacy needs, including fertility treatments and prenatal care. In contrast, rural areas may present challenges due to limited access to necessary medical services and support networks, impacting the overall efficiency of operations and the experience of surrogates and intended parents.

Climate: Climate conditions have minimal direct impact on the operations of this industry; however, regions with extreme weather may affect the scheduling of medical appointments and the comfort of surrogates. For instance, areas with harsh winters may require additional considerations for travel and healthcare access. Overall, a temperate climate is preferable, as it allows for consistent access to medical facilities and reduces the likelihood of weather-related disruptions during pregnancy.

Vegetation: The presence of urban vegetation can enhance the environment for surrogacy operations, providing a pleasant atmosphere for clinics and agencies. However, there are no significant direct impacts of local ecosystems on the industry. Compliance with environmental regulations may be necessary for facilities, particularly in areas with strict zoning laws. Facilities often maintain landscaped areas that contribute to a welcoming environment for clients and surrogates, promoting a positive experience during their interactions.

Zoning and Land Use: Zoning regulations in urban areas typically support the establishment of medical and service-oriented businesses, allowing for the operation of fertility clinics and surrogacy agencies. Specific permits may be required for medical facilities, particularly those offering reproductive services. Variations in local laws can affect operational capabilities, with some regions having more stringent requirements that may impact the establishment and expansion of surrogacy-related services.

Infrastructure: Reliable healthcare infrastructure is critical for the operations of this industry, including access to fertility clinics, hospitals, and legal services. Transportation infrastructure is also important, as intended parents and surrogates often need to travel for medical appointments and legal consultations. Communication infrastructure must support the coordination between all parties involved, ensuring that information is shared efficiently and securely throughout the surrogacy process.

Cultural and Historical: The community response to surrogacy varies significantly by region, with some areas embracing it as a viable family-building option while others may have cultural reservations. Historical acceptance of assisted reproductive technologies in states like California has fostered a supportive environment for surrogacy operations. Social considerations, including the stigma surrounding surrogacy, can influence the experiences of surrogates and intended parents, making community outreach and education essential for fostering acceptance.

A detailed overview of the Surrogacy industry’s market dynamics, competitive landscape, and operational conditions, highlighting the unique factors influencing its day-to-day activities.

Market Overview

Market Size: Medium

Description: This industry encompasses the services provided by surrogate mothers who carry pregnancies for individuals or couples unable to conceive. It includes the coordination of medical, legal, and emotional support services through agencies and fertility clinics.

Market Stage: Growth. The industry is experiencing growth as societal acceptance of surrogacy increases, alongside advancements in reproductive technologies and legal frameworks that support surrogacy arrangements.

Geographic Distribution: National. Surrogacy services are available across the United States, with higher concentrations in urban areas where fertility clinics and surrogacy agencies are more prevalent.

Characteristics

Market Structure

Market Concentration: Fragmented. The market is characterized by a variety of small to medium-sized agencies operating independently, with a few larger firms dominating in specific regions.

Segments

Distribution Channels

Success Factors

Demand Analysis

Demand Drivers

Competitive Landscape

Entry Barriers

Business Models

Operating Environment