The market size of the global value-based healthcare services market in 2021 is valued at 5.14 billion and is predicted to reach 26.74 billion by the year 2030 at an 20.36% CAGR during the forecast period.
Value-based healthcare refers to a business model in which service providers, including hospitals, are paid according to their patients' effectiveness, efficiency, cost, and health outcomes. Intense supplier competition and growing pressure to lower costs and enhance treatment have shifted from volume-based to value-based healthcare. Value-based healthcare benefits everyone more, including patients, providers, payers, suppliers, and society. It focuses on assisting patients in promptly recovering and preventing chronic diseases from improving health at lower costs. High patient satisfaction benefits suppliers in the form of more effective care. There have been many quick advancements in the healthcare sector since the advent of digital technology, which supports the growth of the market for value-based healthcare services. Due to increased investment by corporate and governmental organizations, there have been several quick improvements in healthcare following the introduction of digital technology. These changes have led to the market for value-based healthcare services expanding.
Furthermore, market participants have more attractive opportunities as chronic diseases like diabetes and cancer become increasingly widespread in developing countries. However, balancing two payment methods and two types of reimbursement is expected to limit the market growth. But it's projected that the lack of Internet access and essential healthcare facilities in some parts of emerging countries will limit the global market for value-based healthcare services throughout the projection period.
The value-based healthcare services market is segmented by model, deployment type, platform and industry vertical. Based on the model, the market is segmented into accountable care organizations, patient-centred medical homes, pay for performance and bundled payments. Based on the deployment type, the market is segmented into cloud and on-premises. Based on the platform, the market is segmented into standalone and integrated. Based on the industry vertical, the market is segmented into providers (hospitals, clinics, others) and payers (insurance companies, government, others).
Based on the model, the patient-centred medical home category is accounted as a significant contributor to the value-based healthcare services market.
The patient-centred medical home category dominated the market in 2021. Cost transparency is one of the critical developments that will improve the market for value-based healthcare services. By exposing their pricing structure, healthcare systems are assisting patients in better understanding what they are paying for, fostering more patient-health system trust. Patients will grasp the financial implications if they are informed of invoices before they get them. By giving patients clear information about costs, healthcare systems may gain their trust and become more motivated to provide affordable, high-quality care. Through cost transparency, patients can compare options and select the healthcare system that is most appropriate for them. Among the models now on the market, the patient-centred medical home (PCMH) will see a little larger demand.
The cloud category witnessed growth at a rapid rate.
The cloud category dominated the market in 2021. Medical professionals and patients can instantly and easily access clinical data using cloud and wireless technologies in the healthcare IT industry. Given that they are practical and affordable communication channels between healthcare providers and patients, wireless and cloud technologies are predicted to expand quickly in the healthcare industry.
The North American value-based healthcare services market holds a signification revenue share.
The North American value-based healthcare services market is expected to register the highest market share due to increased patient demand for more easily accessible, functional, and affordable care. The established healthcare infrastructure and hub for significant industry players in the region significantly impact the market for value-based healthcare services. Because clinicians understand how early disease identification can lead to high patient satisfaction and enhanced treatment efficiency, value-based healthcare services are commonly used in the United States. In addition, Asia Pacific is projected to increase in the global value-based healthcare services market due to the region's improved healthcare infrastructure, increased awareness, and improved population perspective. The rise in the commercial need for providers to satisfy those three patient requests contributes to the expansion. Additionally, the market in the Asia Pacific is projected to grow because of a rise in artificial intelligence and machine learning technologies that support telemedicine capabilities in the region.
Key players in the value-based healthcare services market are Deloitte Touche Tohmatsu Limited, Siemens Healthcare GmbH, Veritas Technologies LLC, Genpact, McKesson Corporation, NXGN Management LLC, 3M and Koninklijke Philips N.V.