Market Trends of Global Healthcare Cloud Based Analytics Industry
This section covers the major market trends shaping the Healthcare Cloud Based Analytics Market according to our research experts:
Predictive Analytics Segment is Expected to Hold a Significant Market Share in Healthcare Cloud Based Analytics Market
Predictive analytics is the second stage of analytics in healthcare and organizations that are convinced that they have a complete and accurate descriptive analytics program move to the next stage of analytics. Predictive analytics uses data mining, machine learning, predictive modeling and statistical techniques, and other advanced computing techniques, to determine the probable future, based on the available descriptive data. Predictive analytics can be instrumental in reducing costs at multiple fronts through proper management which can help in reducing hospital readmissions, eliminating unnecessary diagnostic tests and treatment procedures, and reducing unnecessary emergency room visits.
For instance, as per the research article published in March 2020 titled 'Big Data Analytics in Healthcare: A Systematic Literature Review', suggested that data analytics can help in resource allocation in hospitals, doctors in patient profiling, and nurses in providing disease-specific patient facilitation. Hence, the adoption of predictive analytics solutions is expected to increase which is expected to boost the market growth.
The increasing healthcare expenditure across the globe is expected to be the major driving factor for the growth of the predictive analytics segment as these solutions can significantly reduce healthcare costs. For instance, the healthcare expenditure of Germany is increasing with the rising burden of chronic diseases in the country, and it stood at an estimated EUR 465.8 billion in 2021 as compared to EUR 440.6 billion in 2020, as per the 2022 update of the Destatis.
Further, the new investment in the development and launch of new predictive analytics tools is expected to have a positive impact on the studied segment. For instance, in March 2021, Health Catalyst, Inc. launched Healthcare.AI which is designed to address healthcare business opportunities and challenges across revenue, cost, and quality. Hence, owing to the aforementioned factors, the predictive analytics segment is expected to hold a significant share in the studied market over the forecast period.
North America Region is Expected to Occupy a Significant Market Share Over the Forecast Period
The North American region is expected to hold a significant share in the healthcare cloud-based analytics market due to the high healthcare expenditure owing to the high burden of diseases, high adoption of digital solutions like electronic health records (EHRs), and the presence of some of the key market players in the region. For example, a Canadian startup, BlueDot Inc. was one of the first to send a cautionary advisory regarding the outbreak of the pandemic in Wuhan, China, and the company was able to do with its expertise in infectious diseases, big data analytics, and digital technologies. Further, the healthcare expenditure of countries in the region is increasing which is further expected to propel the adoption of the cloud-based healthcare analytics platform to streamline the healthcare sector and cut unnecessary costs. For instance, according to the National Health Expenditure Trend 2021 report from the Canadian Institute of Health Information, Canadian health expenditure increased to USD 308.1 billion in 2021 as compared to USD 301.5 billion in 2020. Hence, it is expected that with the increasing healthcare cost and the increasing role of big data analytics in healthcare, the adoption of analytics tools is expected to increase in the region, and the market is anticipated to grow over the forecast period.
In the North American region, the United States is expected to be the major market for healthcare cloud-based analytics market as the healthcare facilities in the United States are one of the most digitalized ones, with growing investment in healthcare information technology, high healthcare expenditure, and launch of new products in the market by the companies present in the region. For instance, according to the research study published in December 2020, titled 'Assessment of Electronic Health Record Use Between the US and Non-US Health Systems', when compared to their peers from other countries, clinicians from the United States used the EHR actively for a great deal more clinical tasks and as EHRs tends to generate a huge chunk of medical data, hence, the demand for cloud-based healthcare analytics tools is expected to increase in the country, driving growth in the studied market.
In addition to this, the presence of some key market players in the country and business expansion initiatives like product launches, mergers and acquisitions, and collaborations among others are expected to further boost the market growth. For instance, in June 2022, WTW launched a new risk and analytics tool for clients in the healthcare industry, focused particularly on risks associated with hospital professional liability, called 'HPL Quantified' that provides clients with a unique set of assessment options to optimize their risk transfer, focused on Hospital Professional Liability (HPL). Therefore, due to the above-mentioned factors, the North American region is expected to hold a significant share in the studied market over the forecast period, with the United States being the major market in the region.
