Shifting healthcare priorities and business models, increasing healthcare costs, and the emergence of big data analytics are helping to drive the population health management (PHM) market forward, according to a new report from Tractica. For purposes of Tractica’s analysis, PHM refers to software and services deployed with the goal of improving patient care, while reducing costs. Payers, providers, and employers alike are recognizing the benefits of identifying at-risk patients and the value that can be gained from both a cost and patient health perspective by intervening and engaging patients.
Tractica forecasts that the global market for PHM software and services will more than double in size during the next 5 years, increasing from $14.0 billion in 2015 to $31.9 billion by 2020. The market intelligence firm forecasts that approximately two-thirds of the revenue opportunity in the PHM market consists of professional services, with software representing one-third of the market.
“As the healthcare system, particularly in the United States, transitions from one based on fee-for-service and volume of patients served, to one based on value, improvements in patient health, and associated decreases in healthcare costs, more organizations will deploy PHM or expand their existing PHM programs,” says principal analyst Charul Vyas.
Tractica’s report, “Population Health Management Software and Services”, examines the global market opportunity for PHM, including revenue forecasts for the period from 2015 through 2020. The report focuses on PHM software applications, including care coordination and patient interaction, care plan development and management, analytics, and data management, along with PHM services. An Executive Summary of the report is available for free download on the firm’s website.