As per our analysis report, the global telehealth market size is forecasted to reach USD 17.2 Billion by 2027, witnessing a compound annual growth rate (CAGR) of 24.1% from 2022 to 2027. In 2020, Companies such as Teladoc Health, American Well, and Doctor on Demand played a pivotal role in the global telehealth market.
American Hospital Association (AHA) study report found that approximately 67% of U.S. hospitals were connected remotely to doctors and patients via video and other communication technologies in 2016. The sudden global coronavirus outbreak is remote because these solutions help caregivers effectively communicate with patients and find better answers to their health concerns during pandemics, boosting medical use. Due to the social distances practiced in different countries worldwide, virtual care provision is an effective solution for safe and excellent communication. World Health Organization (WHO) mentioned telehealth as a critical service in the COVID-19 emergency policy response.
Impact of COVID-19 on the global telehealth market:
In the pandemic situation caused by Coronavirus, telehealth plays a vital role in reducing the virus's spread. Many health providers support telehealth in these challenging times to lower the direct contact between the patients and doctors. In March 2020, the cases rose 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 everyday practice before the coronavirus outbreak. During quarantine times, telehealth is also helpful in taking care of mental health-related issues such as depression, anxiety, and post-traumatic stress disorder. Telehealth is experiencing a strong positive response in these situations and benefits the patients through virtual assistance.
According to Forrester, telehealth is a boom in this pandemic situation, and its demand has steadily increased 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 show interest in video consultancy rather than going to hospitals. However, remote care demand may become 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 online.
MARKET DRIVERS:
Growing usage of the internet across the world, rising incidences of various chronic diseases, and the senior population, leading to a rise in the number of deaths worldwide, are primarily driving the global telehealth market growth.
Additionally, a shortage of healthcare professionals worldwide, telehealth benefits, and telecommunication infrastructure advancements further accelerate the global telehealth market. The increasing adoption rate of connected devices for managing chronic diseases and the growing requirement for affordable treatment options due to rising healthcare costs is projected to accelerate the global telehealth market growth. 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 global telehealth market growth.
Furthermore, ongoing research on developing new technologies favors ordinary people. Increasing medical tourism in emerging countries such as India, Singapore, Malaysia, Australia, and China further stimulates the telehealth market's growth.
MARKET RESTRAINTS:
Poor internet access in rural areas, lack of consumer knowledge, especially in undeveloped countries, and increased cost of installing telehealth solutions are significant restraints that significantly impact the telehealth market growth.
Payment constraints, misdiagnosis, less implementation, intense competition among vendors, and successful business strategy and human resources are the main challenges in the global telehealth market. In addition, reimbursement and coverage for telemedicine services comparable to in-person services are 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.
According to the United Nations (UN) data, 549.2 million people in the Asia-Pacific region were over 60 in 2017. Also, this number reaches 1,272 million by 2050. With the aging 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, increase healthcare opportunities, and reduce healthcare costs.
Healthcare providers, insurance companies, and governments reduce healthcare costs through remote patient monitoring, which collects information remotely using equipment and transfers it to a remote diagnostic test facility for interpretation. Therefore, these factors increase the Asia Pacific Telehealth market.
REPORT COVERAGE:
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REPORT METRIC |
DETAILS |
|
Market Size Available |
2021 to 2027 |
|
Base Year |
2021 |
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Forecast Period |
2022 to 2027 |
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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 has been segmented and sub-segmented based on component, delivery, end-users, and region.
Telehealth Market - By Component:
The services segment is estimated to dominate the global telehealth market during the forecast period based on the component. It is likely to grow rapidly due to technological developments in telecommunication, the increasing incidence of remote monitoring technologies by patients, and the introduction of ACA and similar legislations in the United States.
Due to rising telehealth adoption, the software segment is anticipated to showcase a promising CAGR during the forecast period. Companies operating in the market introduced their products with innovative technology services. In addition, the adoption of standalone software and integrated software helps to grow the Telehealth market globally.
The hardware segment is also estimated to do well during the forecast period due to its focus on monitoring devices such as wearable and stationary-type devices systems.
Telehealth Market - By Delivery:
Based on the delivery, the web and cloud-based mode delivery segments held the majority of the share in the global telehealth market in 2020 and are projected to escalate their dominance in the market. Besides, the On-premise segment is estimated to grow at a healthy CAGR during the forecast period due to hospital management availability.
Telehealth Market - By End Users:
In 2020, the provider's segment led the global telehealth market based on end-users. The increasing adaption of new technologies in the telehealth market, the aged population, and introduced advanced services for patients' reliability is the growing factor in the healthcare provider market segment.
Telehealth Market - By Region:
Geographically, the North American telehealth market dominated the global market with over 60% market share in 2020 and is expected to continue the dominating trend throughout the forecast period due to in surge of investments in telehealth and the increasing prevalence of chronic diseases. Within North America, the United States telehealth market is estimated to dominate, followed by Canada. In addition, growing awareness of telehealth among people, the emergence of smartphones, and advanced digital devices escalated the telehealth market's growth in North America.
The European Telehealth market is another potential region in the global market that is projected to display a healthy growth rate during the forecast period. This region union has begun to promote the usage of telemedicine for the improvisation of healthcare access while saving 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 market's growth in this country. The German telehealth market is expected to grow steadily during the period.
The Asia Pacific telehealth market contributed a significant share to the global market in 2020 and is expected to grow at the highest CAGR of 24.2% during the forecast period due to emerging economies of the developing countries. Populated countries like India and China are expected to showcase the market's enormous growth scope in the coming years. The Australian telehealth market is estimated to grow at a lucrative CAGR during the forecast period.
KEY MARKET PARTICIPANTS:
American Well, GlobalMed, Teladoc Health, Inc., Dictum Health Inc., InTouch Technologies, Inc., Doctor On Demand, Inc., MDLIVE Inc., Encounter Telehealth, HelloMD, and SnapMD, Inc are a few of the global telehealth market leaders profiled in this report.
RECENT MARKET DEVELOPMENTS:
FAQ's
The recent COVID-19 has helped significantly to the telehealth market and people across the world started taking healthcare services using telehealth. As per our research report, the global telehealth market is estimated to grow USD 17.2 billion by 2027.
The services segment dominated the market in 2021 and the same domination is expected to be continuing throughout the forecast period.
In 2021, the North American region led the telehealth market worldwide accounting for more than 50% of the share.
Companies playing a crucial role in the global telehealth market 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.
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