Patient Engagement Solutions Market in North America to Generate Revenue Worth $9.4 Billion by 2023

  • Published: July 2018

The North American patient engagement solutions market was valued at $3.9 billion in 2017, which is projected to reach $9.4 billion by 2023, at a CAGR of 15.8% during the forecast period (2018–2023). The software component dominated the market during the historical period (2013–2017), and it is expected to maintain its dominance in the coming years. Integrated software is likely to witness faster growth, among the different types of software, mainly due to the increasing demand for integrated software solutions to curb the rising healthcare cost in the region.

Increasing Adoption of Cloud-Based Models is a Key Trend in the Market

The cloud-based system is trending in the North American patient engagement solutions market, as it offers mobility of records, quickness in transferring information, reduction of healthcare cost, and security and privacy of patients’ data, which has led to the increasing adoption of technologically advanced patient engagement solutions. Additionally, the market players are engaged in mergers and acquisitions, in order to expand their cloud-based technology platform. For instance, in May 2018, Allscripts Healthcare Solutions Inc. acquired HealthGrid Holding Company, to connect consumers with healthcare providers. Moreover, Allscripts integrated the capabilities of HealthGrid into its cloud-based FollowMyHealth platform, with the aim to leverage existing patients’ contact information and offer better patient outreach and engagement solutions.

Growing Use of Patient Engagement Solutions by the Aging Population to Drive the Market in the Region

The increasing geriatric population has led to the rising adoption of technologically advanced medical and healthcare solutions, as the elderly are more susceptible to chronic diseases and sometimes unable to travel, to seek treatment. Cloud-based patient engagement solutions have enabled them to stay connected with their healthcare provider, at any point of time. According to a report, World Aging Population 2017, published by the United Nations Department of Economic and Social Affairs, the U.S. population, aged 60 years or above, was 69.7 million in 2017. Furthermore, this figure is expected to reach 108.4 million by 2050, thereby driving the North American patient engagement solutions market advance.

Segmentation Analysis of North America Patient Engagement Solutions Market

North America Patient Engagement Solutions Market

  • The services component is expected to be the fastest growing market, mainly be due to the rising government initiatives to support the adoption of patient engagement solutions in the region.
  • Web-based delivery mode is expected to be the largest category in the North American patient engagement solutions market in 2023. The market growth in this category is ascribed to the fact that web-based delivery can be assessed both online and offline, unlike cloud-based delivery mode which majorly relies on high-speed internet.
  • Home health management would be the fastest-growing application of patient engagement solutions, experiencing a CAGR of 16.5% during the forecast period. This is mainly because patients with chronic diseases, who are unable to visit hospitals for treatment, can still stay connected to their healthcare provider, at home, via such solutions.
  • Chronic diseases were the largest category, in terms of therapeutic area, in the patient engagement solutions market of North America, with a 40.7% share in 2017, owing to the increasing prevalence of cardiovascular diseases.
  • Providers are the largest end users of patient engagement solutions, mainly due to the increasing number of patients with chronic diseases, which leads to rising number of patient visits in healthcare facilities.

Geographical Analysis of North America Patient Engagement Solutions Market

The U.S. dominated the North American patient engagement solutions market in 2017, and it is further expected to retain its position in the coming years. The market growth in the country is ascribed to the presence of advanced healthcare infrastructure, growing presence of a large number of healthcare IT solution providers, and increasing prevalence of chronic diseases.

Competitive Landscape of North America Patient Engagement Solutions Market

The patient engagement solutions market of North America is consolidated in nature, with the presence of players such as Allscripts Healthcare Solutions Inc., McKesson Corporation, athenahealth Inc., International Business Machines Corporation (IBM), Cerner Corporation, and Lincor Inc.

The players in the North American patient engagement solutions market are adopting several strategic measures, such as mergers and acquisitions, to maintain their position. For instance, In January 2018, Allscripts Healthcare Solutions Inc. announced a definitive agreement to acquire Practice Fusion, for a cash consideration of $100 million. Allscripts expects to expand its big data insights and analytics, data sharing technologies, and clinical trial solutions, to enable life sciences organizations to bring enhanced therapies in the market. This strategic acquisition is expected to further to offer health information technology and solutions.

Similarly, in October 2017, Allscripts Healthcare Solutions Inc. closed the acquisition of McKesson Corporation’s hospital and health system IT business, the Enterprise Information Solutions (EIS). The transaction significantly expands Allscripts’ client base in U.S. hospitals and health systems, along with its solutions portfolio. Allscripts purchased the EIS business for $185 million in cash, subject to an adjustment for net working capital and net debt.