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Global Digital Transformation Market Expected to Increase at a CAGR 5.0% through 2015 to 2025
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On the basis of type, the market has been segmented into solutions and services. The solutions segment accounted for over 55% share of the global digital transformation market in healthcare in 2014, and is expected to register double-digit CAGR similar to that projected for the global digital transformation market in healthcare over the forecast period. The solutions segment is sub-segmented into connected electronic health record (EHR), connected billing, connected healthcare information system, CRM, ERP, collaboration tools and remote patient monitoring. Revenue contribution by connected healthcare information system sub-segment was 15.6% in 2014, and is projected to grow to 22.5% by the end of 2025, witnessing gain of 692 Basis Point Share and registering a double-digit CAGR of 16.1%.
The services segment is sub-segmented into customer service, business process outsourcing (BPO), consulting and integration service. Business process outsourcing sub-segment is anticipated to witness highest CAGR of 16.6% during the forecast period. In contrast, integration services sub-segment is projected to dominate the services segment with 39.7% market share by the end of 2025.
Growth of the global digital transformation market in healthcare is mainly driven by increasing demand for cloud-based services, increasing per capita healthcare spending, growing ageing population and introduction of e-Health initiatives such as incentive programs by government. Additionally, healthcare organizations are focused towards providing customized healthcare apps for wearable fitness devices, which in turn is increasing demand for customer application services. These applications enable patients to access healthcare information through mobile and wearable devices. In early 2015 for example, Stanford Health Care launched Myhealth mobile app for patients. This app allows patients to access their respective records on EHR.
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This report covers trends driving each segment and respective sub-segments and offers analysis and insights of the potential of the digital transformation market in healthcare in specific regions. By region, North America dominated the digital transformation market in healthcare with over 50% market share in 2014 and is anticipated to remain dominant by the end of 2025. This is attributed to advancements in digital technology and supportive government regulations and policies regarding digital transformation across the healthcare sector in the region. Healthcare organizations in major countries of North America such as the U.S. and Canada are focused towards adopting remote patient monitoring solutions, CRM solutions, healthcare information systems and other cloud-based solutions to enhance healthcare services. Western Europe and Asia Pacific Excluding Japan (APEJ) collectively accounted for over 34.6% of the overall digital transformation market in healthcare share in 2014. Among all the regions, APEJ is anticipated to register highest CAGR between 2015 and 2025, followed by Middle East & Africa, owing to proliferation of wearable and mobile devices and growing adoption of EHR within these region.
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Key players in the global digital transformation market in healthcare include IBM Corporation, Accenture PLC, AT&T Inc., CGI Group Inc., Syntel Inc. and Deloitte Consulting LLP. Strategic partnerships, collaborations and joint ventures are some of the major strategies followed by key players operating in the digital health market to outperform competitors.
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