Telehealth Market Size, Growth (2019 to 2025)
As per our report, the global telehealth market size to reach USD 17.2 Billion by 2025, witnessing a CAGR of 24.1% from 2020 to 2025. Leading telehealth companies like Teladoc Health, American Well, and Doctor on Demand are occupying the majority of the market shares.
Providing health-related solutions and data via communication technology is called telehealth. The term is simply because two medical professionals discuss a specific case over the phone when robotizing between health centres in different parts of the world. Some other factors leading the market are rising healthcare costs, technological innovation, increased telemonitoring of patients, and increased burden of chronic illness.
American Hospital Association (AHA) study report found that approximately 67% of U.S. hospitals are connected remotely to doctors and patients via video and other communication technologies in 2016. The sudden global outbreak of coronavirus is remote because these solutions help caregivers effectively communicate with patients and find better answers to their health concerns during pandemics; this is boosting the medical use. Due to the social distances practised in different countries around the world, the provision of virtual care is an effective solution for safe and excellent communication. World Health Organization (WHO) mentioned telehealth as one of the critical services in the COVID-19 emergency policy response.
Impact of COVID-19 on Telehealth
The pandemic situation caused by Coronavirus, telehealth plays a vital role in reducing the spread of the virus. In these challenging times, many health providers are supporting telehealth to lower the direct contact between the patients and doctors.
In March 2020, the cases have risen across the globe, and the front-liners like doctors and physicians faced many challenges like lack of personal protection kits and others. While researchers are in the process of developing a new vaccine, the authorities are promoting telehealth services.
In the U.S, health and Human Services has approved new guidelines for healthcare services to use telehealth. Many companies are adopting different software applications to provide quality treatment services. Of course, the charge through telehealth is also the same as in-patient medical services. For the patients suffering from chronic diseases, artificial intelligence systems are helping in assisting the patients.
Though telehealth is familiar in some parts of the world, it is in everyday practise before the coronavirus outbreak. In quarantine times, telehealth is also useful to take care of mental health-related issues such as depression, anxiety and post-traumatic stress disorder. Telehealth is experiencing strong positive response in these situations and setting up benefits to the patients through virtual assistance.
According to Forrester, telehealth is a boom in this pandemic situation, and the demand for it goes on steadily for several years. In the U.S, approximately 24% of the hospitals have already adopted virtual care programs from January 2020. It is explosive growth for the telehealth market where people are showing interest in video consultancy rather than going to hospitals. However, the demand for remote care may get into a routine once the pandemic situation comes into control.
As per the IDC report, 83.9% of patients were new to the telehealth platform, and the health providers are offering excellent care through online.
MARKET DRIVERS
Growing usage of internet across the world, rising incidences of various chronic diseases and the geriatric population, which is leading to a rise in the number of deaths across the globe are primarily driving the global telehealth market growth.
Additionally, shortage of healthcare professionals worldwide, benefits of telehealth and advancements in telecommunication infrastructure are further accelerating the telehealth market growth. The increasing adoption rate of connected devices for the management of chronic diseases and growing requirement for affordable treatment options owing to rising healthcare costs projected to escalate the market demand.
R & D organizations and academic institutions are focusing on developing innovative products with advanced technology to enhance the efficiency of healthcare services, the growing rate of chronic diseases among people and a rising number of HCIT programs to drive the growth for the global telehealth market.
Furthermore, on-going research on the development of new technologies in favour of ordinary people and increasing medical tourism in emerging countries like India, Singapore, Malaysia, Australia, and China if further stimulating the growth of the telehealth market.
MARKET RESTRAINTS
Poor internet in rural areas, lack of consumer knowledge, especially in undeveloped countries and increased cost of installation of telehealth solutions are some of the major restraints showing significant impact on the market.
Payment constraints, misdiagnosis, less implementation, intense competition among vendors and the requirement of successful usage of business strategy and human resources are the main challenges in the global telehealth market. Reimbursement and coverage for telemedicine services comparable to those of in-person services is a big challenge for the telehealth market.
Telehealth Market in the Asia Pacific
Asia Pacific Telehealth market is likely to experience the fastest growth. Factors driving market development in the region include improved healthcare infrastructure, increased chronic illness, increased demand for technologically advanced healthcare facilities, and a growing elderly population.
A total of 549.2 million people in the Asia-Pacific region were over 60 in 2017, according to the United Nations (UN) data. Also, this number to reach 1,272 million by 2050. With the ageing population and the prevalence of chronic illness in the APAC Telehealth Market, there is a growing need to find new ways to improve medical outcomes and increase healthcare opportunities and reduce healthcare costs.
Healthcare providers, insurance companies, and governments reduce healthcare costs through the use of remote patient monitoring, which collects information remotely using equipment and transfers it to a remote diagnostic test facility for interpretation. Therefore, these factors to increase the Asia Pacific Telehealth market.
REPORT COVERAGE:
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REPORT METRIC |
DETAILS |
|
Market Size Available |
2019 to 2025 |
|
Base Year |
2019 |
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Forecast Period |
2020 to 2025 |
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Segments Covered |
By Component, Delivery, End Users and Region |
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Various Analyses Covered |
Global, Regional & Country Level Analysis, Segment-Level Analysis, Drivers, Challenges, Opportunities, Challenges, PESTLE Analysis, Porter's Five Forces Analysis, Competitive Landscape, Analyst Overview on Investment Opportunities |
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Regions Covered |
North America, Europe, Asia Pacific, Latin America, Middle East & Africa |
This research report on the Global Telehealth Market segmented and sub-segmented based on component, delivery, end-users and region.
Telehealth Market - By Component
Based on the component, the services segment is contributing a significant share of revenues to the global market. It is likely to grow at a high pace during the forecast period owing to factors such as the technological developments in telecommunication, increasing incidence of remote monitoring technologies by patients, and introduction of ACA and similar legislations in the U.S.
The software segment is increasing among end-users and witnessing the growth at a high rate during the forecast period owing to rising adoptions of telehealth. Companies operating in the market introduced their products with innovative technology services. The adoption of standalone software and integrated software helps to growth the Telehealth global market.
The hardware segment is estimated to grow at a robust CAGR during the forecast period due to the company’s focus on development in monitoring devices such as wearable and stationary type devices system.
Telehealth Market - By Delivery
Based on the delivery, the web and cloud-based mode delivery segments held majority market shares in the telehealth market in the year 2019. They projected to escalate their dominance in the market. Besides, the On-premise segment is estimated to grow at a healthy CAGR in the coming years due to the availability of hospital management.
Telehealth Market - By End Users
Based on end-users, in 2019, the provider's segment held the majority of the shares in the global telehealth market. Increasing adaption of new technologies in the telehealth market, aged population, and introduced advanced services for the reliability of patients is the growing factor in healthcare provider market segment.
Telehealth Market - By Region
North American telehealth market is dominating with over 60% of the shares in the market, and continuing the trend during the forecast period due to in surge of investments for telehealth, increasing prevalence of chronic diseases. Within North America, the United States telehealth market is leading market followed by Canada. Increasing awareness of telehealth among people, the emergence of smartphones and advanced digital devices are to escalate the growth of telehealth market in North America.
The Europe Telehealth market is leading the market next to North America. This region union has begun to promote the usage of the products of telemedicine for the improvisation of healthcare access while saving the resources. The U.K. telehealth market is one of the largest markets in the European region with a large number of the population who are privately insured. Increasing disposable income in urban areas is also a factor promoting the growth of the market in this country. Germany to grow steadily during the period.
Asia Pacific telehealth market was contributing a significant share to the global market and expected to grow at the highest CAGR of 24.2% during the forecast period owing to emerging economies of the developing countries. Populated countries like India and China are expected to showcase enormous growth scope to the market to grow in the coming years.
Telehealth market share insights
Companies playing a promising role in the global telehealth industry are American Well, GlobalMed, Teladoc Health, Inc., Dictum Health Inc., InTouch Technologies, Inc. Doctor On Demand, Inc., MDLIVE Inc., Encounter Telehealth, HelloMD and SnapMD, Inc.
RECENT MARKET DEVELOPMENTS
In April 2018, American Well completed the acquisition of Avizia Limited to expand its product portfolio regarding the telehealth industry.
InTouch has developed a virtual platform for providing enhanced healthcare solutions called 'solo', which has services such as direct-to-customer, direct-to-patient and improved emergency care solutions. InTouch has launched the product in 2019, which is contributing to the growth of the telehealth market.
Nutrimedy is a new type of telemedicine that provides patient evidence-based clinical nutrition management directly at home. With this solution, companies can create personalized patient programs offered by clinical professionals, in combination with customized interventions to proactively support the patient population that thing makes this company unique. The Top Telehealth Company Nutrimedy is an early start-up company that improves clinical nutrition care models through telemedical web and mobile platforms. A clinical dietitian can provide personalized care outside the walls of the hospital in over 50 conditions.
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