Clinical Laboratory Services Market Size, Share & Trends Analysis Report By Service Provider (Hospital-based, Stand-alone), By Test Type (Medical Microbiology & Cytology, Clinical Chemistry), And Segment Forecasts, 2019 - 2025

Industry Insights

The global clinical laboratory services market size was estimated at USD 212.18 billion in 2018 and is projected to grow at a CAGR of 6.4% during the forecast period. Such services help deliver effective care in the current complex healthcare system. Quality clinical lab services encompass numerous aspects including the complete testing process and derivation of the results that are to be communicated to the concerned physician.

These services also ensure that the correct test is being performed at the apt moment; further yielding accurate test results. This also boosts the market growth. The introduction of novel solutions offers clinicians with the maximum efficiency and minimum risk of errors, which has driven the uptake of services in the market. Clinical labs look forward to adhering to international standards, which provide opportunities for interoperability and automation.

Implementation of automated solutions in clinical workflows enables the processing of larger samples per unit of time, which further enhances productivity while minimizing human errors and labor costs. The integration of automated data management solutions enables seamless operations, thereby driving the market growth. The advent of accurate and technologically advanced products, such as biochips and microarrays, and advanced diagnostic modes, such as companion diagnostics, has bolstered the demand for early disease detection.

Also, rising healthcare expenditure and the prevalence of chronic diseases supplement the demand for these services. The growing geriatric population base will also have a positive impact on market development. According to World Population Prospects by the United Nations, the global geriatric population is expected to double by 2050, rising from 962 million in 2017 to 2.1 billion in 2050.

Test Type Insights

The clinical chemistry test segment accounted for the major revenue share owing to the wide usage of tests related to urine, plasma, serum, and other body fluids for disease screening. Improvement in the tests through the introduction of novel markers and applications for the existing markers is likely to boost the segment growth. The medical microbiology & cytology segment is projected to witness the highest CAGR during the forecast period.

This can be attributed to the rising cases of nosocomial, viral, fungal, and parasitic bacterial infections. Furthermore, development and subsequent decline in the costs of sequencing technology have accelerated the microbe’s investigation a step further, thereby driving the market. Next-Generation Sequencing (NGS) technology helps microbiologists in procuring information about the role of particular microbes in disease pathogenesis, thereby streamlining the lab services portfolio.

Service Provider Insights

Based on the service provider, the market has been divided into hospital-, clinics-based, and stand-alone labs. With the gradual acceptance of digital pathology, stand-alone laboratories are expected to serve as a lucrative source of revenue in the forecast period. Integration of digital workflows that enables handling of large volumes of diagnostic tests at expedited rate offers economies of scale to the service provider.

Moreover, the growing trend of retail clinics in disease monitoring is anticipated to positively influence segment development. Capabilities of hospitals to acquire novel technologies and hire trained personnel in their disease testing units have contributed to the highest revenue generation of hospital-based lab services segment. Besides, the fact that clinical labs are a critical unit in any hospital also contributed to the segment growth.

Regional Insights

North America is the largest regional market on account of higher healthcare expenditure, particularly in the U.S. Furthermore, supportive regulatory infrastructure for the development and approval of new diagnostic products contributes to the growth of this region. The Asia Pacific is projected to be the fastest-growing region over the forecast period. Emerging countries in APAC have adopted strategic measures to increase their revenue share in the market. These measures are targeted towards expanding the business footprints of major service providers in the region and provide patients with access to robust healthcare systems. This is expected to serve as the high impact rendering factor for the APAC market growth.

Clinical Laboratory Services Market Insights

Over the years, the market has witnessed a substantial number of consolidations. For example, in December 2017, Siemens Healthineers acquired Luxembourg-based Fast Track Diagnostics, a global supplier of infectious diagnostics tests. Similarly, in September 2018, Quest Diagnostics acquired U.S. Laboratory Services operations of Oxford Immunotec. Some of the key service providers in the market include Laboratory Corporation of America Holdings (LabCorp); Siemens AG, Abbott Laboratories; Quest Diagnostics; Sonic Healthcare; OPKO Health, Inc.; Neogenomics Laboratories, Inc.; Charles River Laboratories; and ARUP Laboratories.

Report Scope

Segments Covered in the Report

This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2014 to 2025. For this study, Grand View Research has segmented the global clinical laboratory services market report based on test type, service provider, and region:

• Test Type Outlook (Revenue, USD Billion, 2014 - 2025)

  • Clinical Chemistry

  • Human & Tumor Genetics

  • Medical Microbiology & Cytology

  • Other Esoteric Tests

• Service Provider Outlook (Revenue, USD Billion, 2014 - 2025)

  • Hospital-based Laboratories

  • Stand-alone Laboratories

  • Clinics-based Laboratories

• Regional Outlook (Revenue, USD Billion, 2014 - 2025)

  • North America

    • The U.S.

    • Canada

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • Japan

    • China

    • India

  • Latin America

    • Brazil

  • Middle East & Africa

    • South Africa