Global Value-based Healthcare Services Industry Predicted to Rise at 21.1% CAGR by 2033, Driven by Proactive Care | FMI

Value-based Healthcare Services Industry
Value-based Healthcare Services Industry

According to FMI’s analysis, the Value-Based Healthcare Services Industry would expand at a CAGR of 21.1% during the forecast period. The value of the sector is projected to rise from US$ 3 billion in 2023 to US$ 20.5 billion by the end of 2033.

Rising healthcare costs and increasing pricing for healthcare services are what are driving the demand for value-based healthcare services. The demand for preventive therapies, such as value-based healthcare services, is being driven by the growing demand for better healthcare outcomes and reduced costs. The possibility for the implementation of a value-based healthcare system is also being increased by the growing demand for patient-centric and disorganised therapy.

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The demand for value-based health care is being catalyzed by the increasing chronic diseases. Additionally, the rising rate of fatalities is also contributing towards market expansion. For instance, in 2018, nearly 2,50,000 fatalities were witnessed in the U.S. As per the statistics, medical mistakes were the 3rd largest cause of mortality in the country, following heart ailment and cancer. In addition to this, since significant amount of healthcare budget is squandered on avoidable medical issues or needless treatments, the demand for value-based healthcare services is growing.

Key Takeaways from the Value-based Healthcare Services Industry

  • The United States value-based healthcare services market is projected to lead the global market. By 2033, the market is forecast to generate the largest revenue of US$ 3.1 Bn, growing at a CAGR of 19.1%.
  • The United Kingdom is forecast to emerge as the fastest growing value-based healthcare services market, growing at a CAGR of 25% over the forecast period. The market is predicted to attain US$ 1.4 Bn by 2033 end.
  • In the APAC region, China is projected to lead the regional market, attaining market valuation of US$ 1.7 Bn by 2033. The market is projected to grow at a CAGR of 22% over the forecast period.
  • Under the model category, accountable care organization segment is projected to dominate the global market. The segment is forecast to exhibit a CAGR of 20.2% between 2023-2033.
  • By deployment type, on-premise is estimated to witness largest growth. Over the stipulated time-frame, the segment is projected to grow at a CAGR of 21.2%, up from 20% CAGR witnessed in the past period.

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News Featuring Market Developments by Companies Providing Value-based Healthcare Services:

  • In October 2021, a holding company by the name of Walgreens Boots Alliance, invested in VillageMD for a total US$ 5.2 Bn. With this partnership, both the companies would substantially increase the access for primary care in underserved rural as well as urban regions.
  • In June 2021, Humana announced that it is acquiring One Homecare Solutions from WayPoint Capital Partners. With this acquisition, the former company would better the value-based care in the category of in-home healthcare services.
  • In June 2021, Humana also acquired League, which is a digital health company. The acquisition was aimed at creating a new digital platform for specialty insurance members as well as Humana employer group.

Collaboration Among Key Players to Strengthen Value-based Healthcare Services Industry:

  • Siemens Healthcare GmbH
  • NextStep Solutions
  • McKesson Corporation
  • NextGen Healthcare
  • Genpact Limited
  • Athena Healthcare
  • Boston Consulting Group
  • Change Healthcare
  • Baker Tilly, US, LLC
  • ForeSee Medical

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Value-based Healthcare Services Industry by Category:

Model:

  • Accountable Care Organization (ACO)
  • Patient-centered Medical Home (PCMH)
  • Pay For Performance (P4P)
  • Bundled Payments

Deployment:

  • On-premise
  • Cloud

End User:

  • Hospitals
  • Clinics
  • Insurance Companies
  • Government
  • Others

Region:

  • North America
  • Latin America
  • Europe
  • South Asia and the Pacific
  • East Asia
  • Middle East & Africa (MEA)

About Future Market Insights (FMI)

Future Market Insights, Inc. (ESOMAR certified, recipient of the Stevie Award, and a member of the Greater New York Chamber of Commerce) offers profound insights into the driving factors that are boosting demand in the market. FMI stands as the leading global provider of market intelligence, advisory services, consulting, and events for the Packaging, Food and Beverage, Consumer Technology, Healthcare, Industrial, and Chemicals markets. With a vast team of over 5000 analysts worldwide, FMI provides global, regional, and local expertise on diverse domains and industry trends across more than 110 countries.

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About the Author

Ronak Shah

Associate Vice President at Future Market Insights is deeply committed to uncovering actionable insights for consumer and food and beverage players. She brings a unique blend of analysis, industry trends, and consumer behavior to put data into perspective.

What she makes out of data becomes a delight to read. She has authored many opinions, including for publications like Process Industry Informer and Spinal Surgery News, as she understands the market pulse and consumers' shifting preferences.

She likes to bring experts to a roundtable to weigh the impact of a trend on an industry. Catch up with her discussion on the impact of AI in packaging.

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