Laboratory Information System (LIS) Market Overview
The global laboratory information system market is projected to generate revenue of $2.1 billion by 2020, progressing at a CAGR of 7.3% during the forecast period (2015–2020). Increasing demand for integrated information systems in the healthcare industry, high investments in technology by healthcare companies, and rising number of government initiatives to boost the use of advanced healthcare technologies are some of the key factors playing a pivotal role in the growth of the market.
Moreover, emerging economies are offering lucrative opportunities to the players operating in the laboratory information system market, considering the rising demand for advanced information technology systems in diagnostic and medical laboratories. Increasing investments by healthcare-based IT companies and rising awareness on the importance of LIS are some other factors supporting the market growth.
On the basis of component, the laboratory information system market is categorized into hardware, software, and services. Among these, software is the largest as well as the fastest-growing category in the market. This can primarily be attributed to the increasing demand for laboratory information management software in hospitals and diagnostic laboratories.
Based on the mode of delivery, the laboratory information system market is classified into web-based, cloud-based, and on-premises, of which web-based is the most preferred delivery mode in the healthcare information technology domain. However, during the forecast period, the market is expected to witness the fastest growth in the cloud-based category.
North America leads the laboratory information system market globally and is expected to hold over 50% share in the market by 2020. Increasing prevalence of chronic diseases and rising demand for advanced diagnostic and treatment technologies are some of the major factors driving the market in North America. The U.S. is expected to lead the North American LIS market during the forecast period.
Laboratory Information System Market Dynamics
Increasing adoption of advanced diagnostic devices is a key trend observed in the laboratory information system market, globally. Laboratory data analytics software is the most important component of advanced diagnostic tools, as it helps healthcare and medical organizations achieve accurate insights from laboratory test results. These insights further help medical practitioners to deal with a range of aspects that have a significant potential to improve healthcare outcomes. The software installed in these systems manages both logistical and analytical data. Moreover, such systems can work in conjunction with corporate reporting software, instruments, and a host of other software modules.
With the rising cases of cardiac disorders, human immunodeficiency virus (HIV) infection, and cancer globally, advanced diagnostic tests and tools are constantly being introduced to understand the complexity of diseases and related conditions.
Laboratory information software allows the users to obtain, store, manage, and recover laboratory data. It manages information regarding inventory supplies, test outputs, and timely maintenance of equipment. Also, the precision in test results provided by the software helps enhance treatment procedure. Such benefits of the software, coupled with the growing demand for automated equipment in medical laboratories, are positively impacting the laboratory information system market.
There is immense scope for the growth of the laboratory information system market in the field of remote patient monitoring. Remote patient monitoring systems allow patients to access laboratory test results at home, further saving their time and healthcare costs. Moreover, these systems significantly help minimize their hospital stays. Thus, remote patient monitoring is offering ample opportunities to the market players for product introduction and implementation and market share expansion.
Laboratory Information System Market Competitive Landscape
Collaborations among market players for product development are positively influencing the growth of the global laboratory information system market. Competition in the market is high, and market players are increasingly focusing on product development as their key strategy to sustain in the industry. McKesson Corporation, Sunquest Corporation, LabWare, LabVantage Inc., and STARLIMS Corporation are some of the leading companies offering laboratory information management solutions across the world.