Digital Healthcare Industry: Market Segmentation By Technology (Telehealthcare, mHealth, Health analytics), Digital Health Systems (e-Prescription, EHR), & End User

Global Digital Healthcare Industry Analysis, 2017-2025

Market Outlook

Artificial Intelligence in the healthcare market is anticipated to hit USD 6.15 billion by 2020 which tends to save USD 149.67 billion by 2025 for the healthcare industry. Nature of digital health market has high potential but slow uptake. Health insurer Cigna Corp. ponies up USD 250 million to invest in data, analytics and digital healthcare targeting promising startups and growth-stage companies that are unlocking new growth possibilities in healthcare. Recently, Egypt-based Vezeeta, a digital healthcare platform, has raised USD 12 million in Series C funding. Likewise, Northwell Health sees a USD 500,000 investment in a digital health startup to prevent more expensive and complicated patient engagement problems. 

Digital Health Market Segmentation

By Technology

• Telehealthcare (Telecare, Telehealth)
• mHealth (Wearables, Medical & Fitness Apps)
• Health analytics
• Digital Health Systems (e-Priscription, EHR)

 By Type of End User

• B2B Category
• B2C Category

Data Analysis and Forecast

Digital Healthcare Market size was valued over USD 65.23 billion in 2017 and the opportunity in this market is anticipated to rise at a CAGR of 30.0% in the forecast period (2018 to 2025). Currently, 90% of life sciences and 95% of technology companies are planning to increase their investment in digital healthcare while 57.5% of life sciences companies see partnering as the best way for entering and succeeding in digital healthcare. Also, 61.6% of technology and 52.1% of life sciences companies see Merger & Acquisition as an attractive route for entering and succeeding in digital healthcare, though 86.7% of them consider digital healthcare assets are overvalued. 

Market Dynamics

Challenges: The investment optimism is tempered by fuss over the continuing lack of awareness of available services among patients and consumers is one of the biggest obstacles to the broader use of digital healthcare services and devices. The second-highest obstacle is also related to consumers citing a lack of digital awareness among older patients.

Drivers: Powerful force pressing for these new technologies is coming from insurance companies using data collection to encourage people to adopt healthier lifestyles and subscribe to preventive healthcare packages. However, individuals won’t be covered by insurance unless they participate in preventive healthcare, this could become a very effective tool for promoting behavior change. mHealth market & eHealth market is still in the nascent stage but the anticipated increase in digital awareness &healthcare services convenience received by patients will lead to the growth of the digital healthcare market. Furthermore, the Telemedicine Market has led to the changing the landscape of doctor-patient consultation and has improved their relationships& patient diagnosis, which is impacting the expansion of digital healthcare market.

Digital Healthcare Trends: Video visits, wearable & mobile devices are quickly becoming a ubiquitous part of the healthcare system. Telemedicine use has risen to an adoption rate of 70.5%. mHealth is currently in its infancy, in a way it is still a “Wild West”, there are more than 2,50,000 health apps being used by the patients, worldwide.

Value Chain Analysis

Executives at top hospital systems consider supply chain as a top priority. Supply chain costs are the second largest expense i.e. around 30% for healthcare providers, after employee salaries and benefits i.e. around 50%. In managing inventory, annual waste is approximately USD 5 billion in expensive medical devices and equipment, therefore, by reducing supply chain waste, hospitals can reduce overall costs and deliver better quality of care for patients.

Digital Healthcare Companies Analyzed

Major players of global digital healthcare market are Allscripts Healthcare Solutions, AT & T, Athenahealth, Biotelemetry, Cerner, Cisco Systems, eClinicalWorks, iHealth Lab, Koninklijke Philips N.V., LifeWatch, McKesson, and Qualcomm. RightPatient and Caradigm entered into a partnership to provide their customers with a unique bundle of healthcare solutions for cloud-based biometric patient identification and single sign-on.

Regional Scenario-Major Market

Asia-Pacific region is expected to be a key region in the digital healthcare market. China’s market generated large growths in the overall global market, reaching USD 18.6 million in 2017 owing to the emergence of the digital health market which is expected to elevate the potential of big data and analytics and transform the patient specific healthcare market. In terms of spending on digital healthcare technology, North America dominated the digital healthcare market with over 52.5% share in 2017.

Following questions answer can be derived from this report:

• What are the major market drivers, challenges, trends and opportunities in the global digital healthcare market?
• How will each segment of the global digital healthcare market grow during the forecast period, and what will be the revenue generated by each of the segments by the end of 2025?
• What are the influencing factors that may affect the market share of the leading players?
• How will the industry evolve during the forecast period 2018- 2025?
• What are the key developments and strategies that are implemented by the key players to sustain in this market?
• What are the key application areas of the global digital healthcare market? How are digital healthcare employed in different areas of application?
• Who are the key players in the global digital healthcare market, and what are their contributions?
• What is the scope of expansion by the key players of the global digital healthcare market in Asia, Latin America, and the Middle East & Africa?