Healthcare BPO Market Size (2024 - 2029)

Healthcare Business Process Outsourcing (BPO) Market Analysis

The Healthcare BPO Market size is estimated at USD 371.20 billion in 2024, and is expected to reach USD 592.99 billion by 2029, growing at a CAGR of 9.82% during the forecast period (2024-2029).

It is clear that the COVID-19 epidemic had a major effect on the analysed market.The expansion of the healthcare industry was stunted in the early stages of the epidemic. Research and development ceased as a result of the mandatory lockdowns and shutdowns. However, hospitals undoubtedly still suffer from the COVID-19 pandemic's effects, and they will continue to do so for some time. For instance, in July 2022, Quorum Health Resources, LLC published a report on the post-pandemic impact on hospital revenue cycle management which states that the system, as well as its inhabitants, entered a chronic, cumulative condition of overload as a result of the hardships of the last two years, which does not completely subside in the brief intervals between COVID-19 waves. Hence the demand for revenue cycle management, one of the provider services of Healthcare BPO suffered due to the cumulative overload of previous years and is expected to do the same over the coming period with a significant impact on the market.

Factors responsible for the market's growth include a rapid increase in clinical process outsourcing (CPO). Implementing the Patient Protection and Affordable Care Act (PPACA) compelled healthcare players to move toward outsourcing, and fewer errors in several non-critical functions, like finance and accounting, customer care services, etc.

Another major driving factor is the rising strategic activities such as product launches, partnerships, and others by major companies, which are anticipated to drive market growth over the forecast period. For instance, in December 2021, the company Teleperformance, a leading global group in digitally integrated business services, announced that it had acquired Senture, a significant business process outsourcing (BPO) operator for government services in the United States. In October 2021, the Competition Commission of India (CCI) approved Betaine B.V's acquisition of Hinduja Global Solutions' healthcare BPO services. These major developments are anticipated to drive market growth and thus owing to the above factors, the healthcare BPO market is anticipated to grow over the forecast period.

However, the stringent regulations and the hidden cost associated with outsourcing are anticipated to hamper the market growth slightly over the analysis period.

Healthcare Business Process Outsourcing (BPO) Industry Segmentation

As per the scope, business process outsourcing (BPO) is a process that enables healthcare providers to select the most suited third-party vendors for specific business processes. It allows hospitals and medical professionals to spend their valuable time on patient care over other mundane jobs in the office. The Healthcare BPO Market is Segmented by Payer Service (Human Resource Management, Claims Management, Customer Relationship Management (CRM), Operational/Administrative Management, Care Management, Provider Management, Other Payer Services), Provider Service (Patient Enrollment and Strategic Planning, Patient Care Service, Revenue Cycle Management), Pharmaceutical Service (Research and Development, Manufacturing, Non-clinical Service(Supply Chain Management and Logistics, Sales and Marketing Services, Other Non-clinical Services) and Geography (North America, Europe, Asia-Pacific, Middle East and Africa, and South America). The report also covers the estimated market sizes and trends for 17 different countries across major regions globally. The report offers the value (USD million) for the above segments.