Healthcare Analytics Market

The Global Healthcare Analytics Market Size Was Worth USD 37.73 Billion In 2022 and is Estimated to Grow to USD 160.11 Billion By 2030, With a CAGR of Approximately 19.8 % Over the Forecast Period From 2023 To 2030.

Healthcare Analytics Market Overview

Healthcare personnel can use analytics to identify opportunities to enhance workflow, patient engagement, care delivery, and clinical results. Real-time and historical data are combined in healthcare data analytics to identify patterns, provide actionable insights, progress medicine, and stimulate long-term growth. Additionally, healthcare analytics systems require enormous amounts of acquired data to give enterprises useful insights. The market for healthcare analytics is expanding due to the increased use of big data in healthcare organizations and the increase in government programs to encourage healthcare organizations’ adoption of electronic health records (EHRs). Additionally, the demand for healthcare organizations to reduce wasteful spending favors the market’s expansion. However, issues, including high implementation costs and a shortage of experienced workforce, are anticipated to restrain the growth of the healthcare analytics market.

COVID-19 Impact

The COVID-19 pandemic significantly affected both the global population and the healthcare sector. Due to the epidemic, big data’s significance in the healthcare sector has increased. The development of prediction models for predicting the appearance of following waves of COVID-19 infection uses predictive and prescriptive analytics. Operational analytics is very helpful in managing patient data and COVID-19 bed allocation in ICU units.

Market Drivers

The market is expanding due to the increased use of big data in healthcare organizations to address various risks associated with chronic diseases. Additionally, increasing telemedicine solution usage across multiple businesses to save operating costs and boost service quality contributes to the market’s expansion. Big data also assists in storing patient-sensitive data that may be used to enhance the clinical outcomes of organizations. It makes better use of labor costs and boosts organizational productivity, which contributes to market expansion. Growing investment in workforce management tools, electronic health records, and practice solutions by various healthcare solutions promotes the market’s growth.

Restraints

The healthcare analytics sector is going through a significant upheaval. The healthcare sector’s current problem is to organize and analyze the data gathered from various sources. According to a survey, insiders who abuse and misuse patient records pose the highest threat to healthcare organizations. Data breaches involving protected health information account for 58% of all incidents in the healthcare sector, according to Verizon’s 2018 Protected Health Information Data Breach report. Additionally, as opposed to 2018, more than 25 million patient records were compromised in 2019 according to the Protenus Breach Barometer. As more and more data breaches occur in the healthcare sector without setting off any security alerts, this poses a concern. It is therefore expected to limit market expansion.

Healthcare Analytics Market: Segmentation

The global healthcare analytics market is segregated based on type, application, component, deployment mode, and end-user.

• Based on type, the market is divided into descriptive analytics, predictive analytics, prescriptive analytics, and cognitive analytics. Among these, the descriptive analytics category led the market in 2022 and is expected to maintain its dominance throughout the forecast period. This market’s growth has been significantly influenced by the widespread use of descriptive analytics to examine historical data and patient histories during the pandemic. Descriptive analytics has proven to be a useful tool for comprehending what occurred by gaining access to historical data and transforming it into useful insights. By identifying abnormalities and inaccuracies in the claims, hospitals also use it to track the performance of insurance claims. Many businesses are using descriptive analysis methods to boost market growth potential.
• Based on end-user, the market is divided into payers, providers and ACOs, HIEs, MCOs, and TPAs. The provider’s category dominated the market in 2022. The burden of providing improved patient management and cost-effective treatment during and after the pandemic has been enormous on hospitals and healthcare professionals, leading to the expansion of this end-user category. Maintaining patient information, keeping track of diseases, and providing patients with cost-effective care have all played a significant role in the widespread adoption of healthcare analytics and are expected to continue to do so.

Healthcare Analytics Market: Regional Landscape

• In 2022, North America dominated the market for healthcare analytics. The adoption of these platforms and improved technical accessibility have contributed to North America’s significant market share and the region’s cutting-edge healthcare facilities. Analytics tools are required for hospitals and other organizations to use due to the increased burden of chronic illnesses and the growing elderly population. Prominent competitors in the market have also influenced the significant revenue share. Microsoft unveiled Microsoft Cloud for Healthcare, enabling improved patient care insights by fostering communication between patients and clinicians.

Healthcare Analytics Market: Competitive Landscape

Some of the main competitors dominating the global healthcare analytics market include

• IBM
• Oracle
• Allscripts Healthcare Solutions, Inc.
• SAS Institute, Inc.
• McKesson Corporation
• IQVIA
• Verisk Analytics, Inc.
• Elsevier
• Optum
• Medeanalytics, Inc.
• Truven Health Analytics, Inc.
• Cerner Corporation
• Health Catalyst

Recent Developments

• April 2021: The acquisition of Kantar Health was disclosed by Cerner Corporation. This acquisition aimed to combine data and research knowledge to develop and market innovative life science products.
• January 2021: UnitedHealth Group (NYSE: UNH), a leader in healthcare technology, and Change Healthcare, a diversified health services company, have entered into a merger agreement for Optum, Inc. Optum Insight and Change Healthcare will work together to produce software and data analytics, technology-enabled services, research, consultancy, and revenue cycle management technologies to enhance the way healthcare is provided to all people.

Global Healthcare Analytics Market is segmented as follows:

Healthcare Analytics Market by Type Outlook (Revenue, USD Million, 2017 – 2030)

1. Descriptive Analytics
2. Predictive Analytics
3. Prescriptive Analytics
4. Cognitive Analytics

Healthcare Analytics Market by Application Outlook (Revenue, USD Million, 2017 – 2030)

1. Clinical Analytics
2. Financial Analytics
3. Operational & Administrative Analytics
4. Population Health Analytics

Healthcare Analytics Market by Component Outlook (Revenue, USD Million, 2017 – 2030)

1. Services
2. Hardware
3. Software

Healthcare Analytics Market by Deployment Mode Outlook (Revenue, USD Million, 2017 – 2030)

1. On-premise
2. Web-hosted
3. Cloud-based

Healthcare Analytics Market by End User Outlook (Revenue, USD Million, 2017 – 2030)

1. Healthcare Payers
2. Healthcare Providers
3. ACOs, HIEs, MCOs, and TPAs

Healthcare Analytics Market by Region Outlook (Revenue, USD Million, 2017 – 2030)

1. North America
   • The U.S.
   • Canada
   • Mexico
2. Europe
   • France
   • The UK
   • Spain
   • Germany
   • Italy
   • Rest of Europe
3. Asia Pacific
   • China
   • Japan
   • India
   • New Zealand
   • Australia
   • South Korea
   • Southeast Asia
   • Rest of Southeast Asia
4. The Middle East & Africa
   • Saudi Arabia
   • UAE
   • Egypt
   • Kuwait
   • South Africa
   • Rest of the Middle East & Africa
5. Latin America
   • Brazil
   • Argentina
   • Rest of Latin America