Healthcare Business Intelligence Market Size, Share & Trends Analysis Report By Component (Software, Services), By Mode of Delivery (On-premise, Cloud-based, Hybrid), By Application, By End Use, By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global healthcare business intelligence market size was valued at USD 6.9 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 13.5% from 2022 to 2030. The healthcare BI industry offers benefits such as improved patient safety, minimized costs, and increased revenue earning which enhances financial and operations outcomes. Also, it ensures better clinical performance and better patient outcomes. The healthcare industry is moving into the data-driven world, thereby, increasing the demand for BI tools. The increased adoption of cloud-based BI tools, such as Customer Relationship Management (CRM) applications by renowned market players, patient engagement CRM owing to their properties such as agility and accessibility is propelling the growth.

The adoption of cloud-based software allows hospitals, health providers, payers, and life sciences manufacturers to convert their data into insightful dashboards and graphs, thereby impelling the market growth. In March 2020, the Australian Department of Health launched the Coronavirus Australia App using Google Cloud to deliver real-time information about the virus spread patterns, lockdowns and restrictions, and Covid-19 specific healthcare information. The interactive graphs and dashboard allow the end-user to directly manage revenues, patient care status, service rate comparisons, patient admission trends, and easy access to patient data without going through multiple data siloes. The BI-enabled analytics graphs allow end-user efficiently data-supported decisions to reduce operating costs, improvise service, and propel market growth. Moreover, the introduction of a mobile-friendly BI solution for staying updated is another vital factor driving revenue growth.

COVID-19 healthcare business intelligence market impact: 18.5% increase in revenue growth from 2019 to 2020

The major benefit of BI also includes improved risk management. Predictive analytics enables healthcare institutions to prevent potential medical challenges patients would face and helps to take timely precautionary measures to mitigate the impact. Also, it is useful in operational management, epidemiology. These BI tools provide critical information in a simplified manner that can be easily interpreted by the users. Also, it supports large-scale data distribution, wherein large volumes of personalized BI content can be efficiently shared with multiple end-users. Thus, owing to the valuable new data insights offered by healthcare BI, the demand for software solutions and services is anticipated to rise at a steady pace over the forecast period. Moreover, the government regulations in countries like the U.S. and Europe allow boosting the uptake of healthcare BI solutions.

Component Insights

The software segment held the largest market share of 69.6% in 2021 owing to its wide usage in the healthcare industry. The business intelligence software allows administrators to track key performance that analyzes, manages, and helps organizations adapt their performance based on accurate data and analytics-based insights. The continuous evolvement of these applications and focus on enhancing patient outcomes along with real-time sharing of patients’ data is contributing to the segment growth. Also, it helps to identify financial patterns and provides insight that assists with decision making.

The increased adoption of software such as SaaS that offers next-generation cloud computing applications such as revenue cycle management, supply chain management, enterprise performance management, enterprise resource planning, and business process management are the factors boosting the growth of the healthcare business intelligence market . Moreover, the SaaS applications allow medical institutions to access multiple security features to keep the patient data secure and the healthcare institutes can ensure that they have accurate information at all times, as it facilitates real-time updates. Moreover, the strategies adopted by key players boost the segment growth. In June 2021, salesforce.com, inc. and amazon web series completed a partnership to deploy an advanced business application that accelerates digital transformation.

The services segment is expected to emerge at a steady growth rate over the forecast period. The services enable structured data-driven decision-making by extracting data from the core system and organizing it into a high-performance data warehouse. The increasing advancements in BI software and the demand for the services such as modernizing data infrastructure are expected to increase over the forecast period. Also, the development of next-gen customized solutions such as intuitive data modeling, robust database design for all the enterprise systems, and smart data visualizations, is a key factor boosting the growth of the services segment.

Mode of Delivery Insights

The cloud-based delivery mode segment held the largest market share of 47.5% in 2021. Cloud computing enables all big data operations through the provision of large storage and processing power. The increased adoption of cloud-based business intelligence tools due to the properties such as agility and accessibility various cloud-based tools adopted by the organizations are Customer Relationship Management (CRM) applications by salesforce, patient engagement CRM, analytics cloud for HR.

The increasing demand for cost-effective, user-friendly technology and higher acceptance rate are the key factors contributing to the high share of the segment. Increasing penetration of cloud computing among healthcare providers to manage the revenue cycle and enhance patient care is further boosting the market growth. Cloud computing enables all big data operations through the provision of large storage and processing power. The rising awareness of telehealth among healthcare providers and the adoption of the telecloud is expected to raise the market.

On-premises deployment is anticipated to witness steady growth over the forecast period. These solutions enable the customizations as per the requirement of an organization. However, distinct challenges such as ineffective implementation and governance, staff recruitment, training, policy and process challenges along with high upfront infrastructure and set up costs, are a few key factors responsible for lower adoption of the on-premise mode of delivery. In addition, due to the risk of security breaches interrupted network performance, majority of the healthcare organizations are shifting towards cloud-based deployments.

Application Insights

Financial analysis is the largest application segment and held a revenue share of 37.0% in 2021. It offers multiple functionalities, such as cost management, cash flow management, claims management, and sales and profitability management. The increased adoption of financial analytic software among the providers for the management of revenue cycle, risk assessment, and claims processing is propelling market growth. According to a study published by McKinsey Global Institute, In the U.S., it is estimated that healthcare organizations opting for business intelligence and big data are capable of collectively saving between USD 300 to USD 450 billion annually.

However, revenue share in the patient care segment is expected to register the fastest CAGR over the forecast period as healthcare organizations are focused on providing advanced patient and clinical care, decreasing readmissions, improving personnel distribution, and managing patient expenses. Thus, they require business intelligence tools in the life science industry to offer enhanced patient care as well-analyzed data offer better insights.

End-use Insights

In 2021, healthcare payers accounted for the largest revenue share of 39.0% in 2021. The increased need for optimizing provider networks, and adoption of various healthcare BI tools to efficiently reduce the operational costs and increasing competition among the payers is propelling the market growth. Moreover, the increasing healthcare costs coupled with the rising need to increase memberships and reduce fraudulent claims are some of the factors impelling the adoption of healthcare business intelligence solutions among the payers.

The healthcare manufacturers segment is expected to expand at a significant growth rate over the forecast period. The presence of a large number of pharmaceutical and medical device manufacturers in the developed as well as emerging economies is a major factor responsible for the rapid revenue generation in the segment. Increasing adoption of Software as a Service (SaaS) software by healthcare manufacturers have enabled them to reduce maintenance and development cost, thus expected to boost the segment growth.

Furthermore, customer analytics tools including direct marketing and Customer Relationship Management (CRM) dashboards help the providers such as hospitals, government agencies, employers and private exchangers, and others to maximize their efficiency, improve revenue, and save costs. This, in turn, is further expected to encourage the adoption of business intelligence tools among providers.

Regional Insights

North America accounted for the largest revenue share of 47.0% in 2021 owing to the increased implementation of BI solutions and services in healthcare to offer enhanced patient care. The reduced expenses coupled with the presence of large manufacturing hubs are among the key factors driving regional growth. Moreover, the constant upgrading of healthcare and IT infrastructure along with increased adoption of cloud computing is contributing to the growth. U.S. accounted for the highest revenue share in the North American market in 2018 owing to the high adoption of advanced BI technology coupled with changing analytics protocols easy availability of BI infrastructure and professional BIG data crowd.

However, Asia Pacific is anticipated to be the most lucrative regional market over the forecast period owing to the rising awareness about BI tools among healthcare providers and organizations due to increasing government initiatives. Moreover, the increased penetration of mobile-based solutions and increased implementation of technologically advanced BI solutions in the countries including India, China, and Japan is propelling the regional market growth.

Key Companies & Market Share Insights

Key players operating in the market are Oracle Corporation; SAP; Microsoft; Salesforce; Tableau Software; TIBCO Software Inc.; Sisense Inc.; Domo, Inc.; Looker Data Sciences Inc.; and Infor Inc. The global footprint of key players, extensive product portfolios, and increased focus on advancements in healthcare business intelligence solutions is impacting the market growth. Moreover, the development of mobile-based business intelligence applications by key vendors that allow users to access high-quality analytic services remotely is a key factor driving revenue growth. Some of the prominent players in the global healthcare business intelligence market include:

• Microsoft

• Oracle Corporation

• SAP

• Tableau Software Inc.

• Perficient Inc.

• Tibco Software Inc.

• Infor Inc.

• Domo Inc.

• Sisense Inc.

• Panorama Software Inc

Healthcare Business Intelligence Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country-level and provides an analysis of the latest industry trends in each of the subsegments from 2016 to 2030. For this study, Grand View Research, Inc. has segmented the global healthcare business intelligence market report based on component, mode of delivery, application, end use, and region:

• Component Outlook (Revenue, USD Million, 2016 - 2030)

  • Software

  • Services

• Mode of Delivery Outlook (Revenue, USD Million, 2016 - 2030)

  • On-premise

  • Cloud-based

  • Hybrid

• Application Outlook (Revenue, USD Million, 2016 - 2030)

  • Financial Analysis

    • Claims Processing

    • Revenue Cycle Management

    • Payment Integrity and Fraud, Waste, & Abuse (FWA)

    • Risk Adjustment and Risk Assessment

  • Operational Analysis

    • Supply Chain Analysis

    • Workforce Analysis

    • Strategic Analysis

  • Clinical Analysis

    • Quality Improvement and Clinical Benchmarking

    • Clinical Decision Support

    • Regulatory Reporting and Compliance

    • Comparative Analytics/Effectiveness

    • Precision Health

  • Patient Care

• End-use Outlook (Revenue, USD Million, 2016 - 2030)

  • Payers

  • Healthcare Providers

  • Healthcare Manufacturers

• Regional Outlook (Revenue, USD Million, 2016 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • U.K.

    • Spain

    • Italy

    • France

    • Russia

  • Asia Pacific

    • Japan

    • China

    • India

    • Singapore

    • Australia

    • South Korea

  • Latin America

    • Brazil

    • Mexico

    • Argentina

  • MEA

    • South Africa

    • Saudi Arabia

    • UAE