Laboratory Information System Market Overview
The global laboratory information system (LIS) market size is predicted to reach $2.1 billion by 2020, growing at a CAGR of 7.3% during the forecast period. The laboratory information system market is driven by factors such as need for advanced techniques, growth in molecular diagnostics, cloud computing, rising government initiatives and increasing demand for laboratory efficiency.
In terms of applications, the laboratory information system market is segmented into clinical, drug discovery and industrial. The clinical laboratory information system segment accounted for the largest market share in the historical period and by 2020, it is projected to hold a market share of over 55%. The segment is also expected to witness the fastest growth during the forecast period.
In terms of components, the laboratory information system market is segmented into software, hardware and services. The software segmented accounted for the largest market share in the historical period and by 2020, it is projected to hold a market share of over 70%. The segment is also expected to witness the fastest growth during the forecast period.
Geographically, North America was the largest laboratory information system market during the historical period and by 2020, it is projected to hold a market share of more than 50%. Rising cases of fatal diseases and their diagnostic and treatment needs are some of the major factors driving the demand for laboratory information system in the region. Among the North American nations, the U.S. was the largest market for laboratory information system during the historical period and it is expected to maintain its dominance during the forecast period.
Laboratory Information System Market Dynamics
The usage of advanced diagnostics techniques and tools is a major trend in the laboratory information system market. Advanced diagnostic tools are a significant part of laboratory data analytics solutions, helping healthcare organizations achieve better and efficient insights from the laboratory results of patients collected from various tests. These insights help healthcare organizations deal with a range of areas that have significant potential to enhance operational success. The laboratory information system software allows a laboratory to manage both logistic and analytical data, along with having the ability to interface with corporate reporting software, instruments, and a host of other software modules.
With an increase in the rate of cardiac, HIV and cancer cases, new and advanced diagnostic tests and tools are constantly being introduced to further understand the complexity of disease, injury, and congenital or acquired abnormalities. These tools also provide healthcare organizations with improved understanding about patients. Thus, organizations in the healthcare sector have started applying predictive and content analytics to develop clinical and operational insights, for which an integrated laboratory information system is a must.
Remote patient monitoring presents significant opportunities for future growth in the laboratory information system market. Remote patient monitoring systems enable patients to access quality healthcare programs and access laboratory test results even at home, which results in much faster recovery, saving time and money spent on unnecessary trips to hospitals and laboratories for tests. Remote patient monitoring greatly minimizes hospital stays, resulting in reduction of cost for healthcare delivery. Thus, remote patient monitoring helps increase business opportunities for healthcare service providers, while integrating systems and providing necessary operational facilities.
Laboratory information systems are used for various purposes such as quick diagnostics, management of treatment data and making decisions regarding treatment. It allows users to obtain, store, manage, retrieve and record laboratory data. Also, the accuracy in diagnostic data provided by laboratory information system helps in improving the procedure followed for treatment. Demand for automated instruments is rising in laboratories, which is driving the laboratory information system market.
Laboratory information system provides information for managing testing outputs, supplies inventory and equipment maintenance. Timely delivery of these helps in efficient treatment of disease. Also, laboratory information systems help in better coordination between hospitals and laboratories, which can also be used to ensure that the most appropriate and cost-effective tests are selected. Improved care coordination and reduced duplicity in tests would drive the demand for laboratory information systems.
Laboratory Information System Market Competitive Landscape
The laboratory information system market is in the growing phase in most of the countries and there are few large vendors that hold significant market share. Healthcare IT players are investing in the market to grow organically. Many new players have also been entering the market, and the consolidation of small players with large players is shaping the competitive landscape.
Some of the other key players operating in the global laboratory information system market are Sunquest Corporation (Roper Industries), STARLIMS Corporation (Abbott Laboratories), LabWare and LabVantage Solutions Inc., Thermo Fisher Scientific Inc., and McKesson Corporation.