Healthcare Predictive Analytics Market

According to Stratistics MRC, the Global Healthcare Predictive Analytics Market is accounted for $14.32 billion in 2023 and is expected to reach $58.94 billion by 2030 growing at a CAGR of 22.4% during the forecast period. Predictive analytics is a subset of advanced analytics that is used to forecast unknowable future events. Healthcare predictive analytics is used to extract data from already-existing clinical and financial data sets in order to identify trends that could be used to predict potential treatments and help deliver appropriate care. Predictive analytics assists insurance companies in offering their clients better and more suitable health insurance policies in addition to forecasting potential medical outcomes for the patients.

According to the data published by the World Health Organization (WHO), in 2021, 59,964 clinical studies were registered worldwide.



Market Dynamics:

Driver:

Growing relevance of predictive analytics in healthcare

Healthcare analytics is expected to benefit from the growing market for predictive healthcare analytics. Using predictive analytics, healthcare professionals can quickly identify potential health problems and take preventive action. Healthcare providers can provide specialized and individualized patient care with the aid of data from medical sensors, clinical laboratories, pharmacy information systems, and other sources. The healthcare provider can forecast future health trends using predictive analytics, identify patients who are at risk, and create effective intervention plans.

Restraint:

Inadequate healthcare infrastructure

The growth of the market is anticipated to be constrained by the absence of a strong healthcare infrastructure. The need for more precise and reliable prediction models is growing along with the lack of reliable infrastructure and the expanding need for renewal investments. Effective operations and project scalability depend on a strong infrastructure. This is currently proving to be a key market constraint.

Opportunity:

Rising use of electronic health records

The use of Electronic Health Records (EHRs) for patient data has increased in recent years. In the US, office-based physicians adopted EHRs at a rate of nearly 86% in 2017, up from 42% in 2008. The best course of action for any medical procedure or medication is provided by healthcare predictive analytics using EHRs. This not only significantly lowers the costs for patients but also produces better results. The use of analytics tools, AI, and electronic health systems is expected to drive the market's expansion.

Threat:

Data privacy issues

The lower adoption of digital health solutions is primarily due to recent data breaches and patient privacy concerns. Healthcare institutions keep thorough patient records that include the patient's name, date of birth, address, social security number, and payment account information, making them targets for cyberattacks. The patients are reluctant to give their medical records to online services and programs. Therefore, the adoption of digital health solutions, such as healthcare predictive analytics, is expected to be hampered in the near future by the rising frequency of healthcare data breaches.

Covid-19 Impact

The COVID-19 pandemic resulted in massive costs for the industry. Predictive analytics has played a major role in combating issues related to COVID-19, reducing the number of poor outcomes for patients, and addressing the management of resources during the crisis. The enormous amount of patient data generated during the pandemic not only provided analytics companies and the healthcare industry with data to correctly analyze the spread of disease but also helped in the correct allocation of resources. Additionally, growing investments in digital health and new uses for healthcare predictive analytics in clinical research and drug development helped the market grow during the pandemic.

The financial segment is expected to be the largest during the forecast period

During the forecast period, the financial segment is anticipated to hold the largest market share. The demand for the financial analytics segment is anticipated to be driven during the forecast period by the rising incidence of financial fraud in the healthcare sector and the rising demand for financial analytics solutions in healthcare facilities. The median loss for healthcare fraud offenses in the U.S. in 2021, for example, was more than USD 1.0 million, according to Etactics, Inc. As healthcare fraud cases across the globe rise, there is a growing need for financial analytical solutions.

The payers segment is expected to have the highest CAGR during the forecast period

Over the forecast period, the provider segment is anticipated to grow at the highest CAGR. The rise in hospitals and the adoption of healthcare analytic software in healthcare facilities are credited with driving the segment's growth. For instance, the European Hospital Register estimates that there will be over 19,000 hospitals in Europe by the year 2020. As a result, the growth of the segment is being further fueled by the opening of new hospitals and the expanding use of healthcare analytics software.

Region with largest share:

Due to the presence of significant competitors in the region, North America held the largest share of the global healthcare predictive analytics market in 2022 and is anticipated to continue dominating during the forecast period. Healthcare organizations are also becoming aware of the fact that social determinants of health have a greater positive impact on a patient's wellbeing than do medical problems. Moreover, the developed healthcare system, the accessibility of trained personnel for predictive analysis, and the accessibility of funding for staff training in the use of these analytics tools have all aided in the market's growth.

Region with highest CAGR:

During the forecast period, Asia-Pacific is anticipated to have the highest CAGR. This region is expanding as a result of the expansion of e-health initiatives in nations like China and India as well as the rising demand for healthcare analytics in healthcare facilities to manage a large amount of patient data. In the near future, it is anticipated that this, along with an increase in EHR-related product launches, will drive the adoption of healthcare predictive analytics solutions in this Asia-Pacific region.



Key players in the market

Some of the key players profiled in the Healthcare Predictive Analytics Market include Allscripts Healthcare Solutions, Inc., Cerner Corporation, Health Catalyst, IBM Corporation, Information Builders Inc., Inovalon , Linguamatics, Mckesson Corporation, Medeanalytics, Inc, Optum Inc, Oracle Corporation, SAS Institute Inc., SCIO Health Analytics, Verisk Analytics, Inc., VitreosHealth and Wipro Limited.

Key Developments:

In June 2023, The National Association of Boards of Pharmacy® (NABP®) and IBM Consulting are pleased to announce their collaboration to build Pulse by NABP™, a new digital platform that is intended to bring visibility to the drug supply chain and help protect patients from counterfeit or substandard prescription medications.

In July 2023, Veradigm Inc. announced the signing of two multi-year healthcare provider agreements during the second quarter. One of Veradigm’s largest Veradigm EHR clients, State of Franklin Healthcare Associates (SOFHA), a physician-owned and led primary care and multi-specialty healthcare system in upper East Tennessee and Southwest Virginia, expanded its agreement with Veradigm to include Veradigm Revenue Cycle Services.

In May 2022, IBM announced the expansion of its roadmap for achieving large-scale, practical quantum computing. This roadmap details plans for new modular architectures and networking that will allow IBM quantum systems to have larger qubit-counts – up to hundreds of thousands of qubits.

Components Covered:
• Hardware
• Services
• Software

Delivery Models Covered:
• Stand Alone
• Integrated

Applications Covered:
• Financial
• Population Health
• Clinical
• Operational and Administrative

End Users Covered:
• Payers
• Providers

Regions Covered:
• North America
o US
o Canada
o Mexico
• Europe
o Germany
o UK
o Italy
o France
o Spain
o Rest of Europe
• Asia Pacific
o Japan
o China
o India
o Australia
o New Zealand
o South Korea
o Rest of Asia Pacific
• South America
o Argentina
o Brazil
o Chile
o Rest of South America
• Middle East & Africa
o Saudi Arabia
o UAE
o Qatar
o South Africa
o Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2021, 2022, 2023, 2026 and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
o Comprehensive profiling of additional market players (up to 3)
o SWOT Analysis of key players (up to 3)
• Regional Segmentation
o Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
o Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances