The increasing aging population, rising use of mobile health (mHealth) technologies, growing prevalence of chronic illnesses, expanding demand for personalized healthcare, and growing demand for advanced medication adherence systems are the major factors that are driving the medication adherence industry growth. Owing to this, the global medication adherence market is projected to reach $11,226.3 million by 2030, growing with a CAGR of 15.5% during the forecast period (2020–2030).
The study includes the impact of the coronavirus (COVID-19) disease on the medication adherence market. The fear of contracting coronavirus is driving the adoption of medication adherence solutions. A study by researchers at the American Academy of Allergy, Asthma & Immunology (AAAAI) reported an increase of 14.5% in adherence in controller inhaler use between January and March 2020 in the U.S. An analysis of controller inhaler use by 7,578 patients using Propeller Health, a medication adherence product, reported that in the last seven days of March 2020, more than 53% of the surveyed patients achieved 75% or greater medication adherence, up by 14.9% from the first seven days of January.
Hardware Centric Products To Attain Faster Growth in Industry
On the basis of product, the medication adherence market is categorized into software-centric and hardware-centric products. Of these, hardware-centric products are expected to register the faster growth during the forecast period. This is substantiated by the fact that the major players in the market are focused on launching hardware-centric products, such as Smart Wireless Pill Bottles by AdhereTech Inc. and automated medication dispenser by Koninklijke Philips N.V., which improve and track adherence in real time.
Furthermore, on the basis of device, the hardware-centric medication adherence market is further categorized into automated dispensing systems, smart pill bottles, electronic trays, and others. Among these, automated dispensing systems held the largest share in the global hardware-centric medication adherence industry in 2019, and this category is also expected to witness the fastest growth during the forecast period. This growth can be attributed to the rising inclination of buyers toward automated dispensing systems, due to their precision, user-friendliness, inventory control, and contribution toward patient safety.
On the basis of medication, the medication adherence market is categorized into cardiovascular, central nervous system (CNS), diabetes, oncology, respiratory, gastrointestinal, rheumatology, and others. Among all these types of issues, medication adherence solutions were largely used for cardiovascular diseases during the historical period (2014–2019). Furthermore, the category is projected to witness the fastest growth during the forecast period, owing to the unhealthy lifestyle of the population, coupled with the increasing prevalence of cardiovascular disorders.
Geographically, Asia-Pacific (APAC) is projected to be the fastest-growing region in the medication adherence market. The increasing support from various government organizations for effectively implementing medication adherence strategies will enable the market to grow significantly in the region. For instance, the development of comprehensive resources, which provide detailed information with respect to the management of medicine adherence for cardiovascular diseases, has been initiated by the National Heart Foundation of Australia. The initiation of such programs results in the increasing acceptance and deployment of medication adherence solutions and software by patients, which is further expected to boost the market in the coming years.
Industry Players Are Forming Partnerships to Expand Their Customer Base
Players in the global medication adherence market are building partnerships with each other and receiving investments to enhance their market presence. For instance, in August 2020, SeamlessMD, a digital patient engagement platform provider, announced a $4 million series A financing round led by MEDTEQ+, which brought the company’s total funding to $7.4 million. The company stated that the investment will enable it to meet the growing customer product demand, expand its library of digital care plans, and further develop its machine learning platform for risk prediction and patient outcome optimization.
Additionally, in February 2020, Omnicell Inc., a provider of medication management solutions and adherence tools for health systems and pharmacies, announced its partnership with Geisinger Health, a health system serving Pennsylvania and New Jersey, to drive clinical and operational efficiency, increase medication safety, and reduce costs, ultimately enhancing patient care.
Similarly, in April 2019, SMRxT Inc., a medication adherence company, announced that the expansion of its strategic relationship with Diplomat Pharmacy Inc. Under this partnership, Diplomat Pharmacy Inc. started integrating data from SMRxT Inc.’s Nomi system into its end-to-end pharmacy operating system, for a more fully integrated approach to medication adherence and patient engagement.
Some of the major players operating in the medication adherence market include Koninklijke Philips N.V., Qualcomm Incorporated, AdhereTech Inc., McKesson Corporation, Omnicell Inc., SMRxT Inc., DrFirst.com Inc., Cardinal Health Inc., and Johnson & Johnson Services Inc.