The global real world evidence solutions market size was valued at USD 2.45 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 8.2% from 2023 to 2030. Support from regulatory bodies for using Real World Evidence Solutions (RWE) and an increase in R&D spending are anticipated to boost market growth. Furthermore, the shift from volume to value-based care is also expected to fuel the growth. Due to the COVID-19 pandemic, many market players began to experience general business disruptions, which impeded normal business activities.
For instance, IQVIA reported that it was unable to perform on-site monitoring and deliver offerings that relied on in-person gatherings or face-to-face interactions. However, the company accelerated and expanded a variety of cost containment actions for reducing the impact on profitability.
It also activated business continuity plans, including remote delivery capabilities in technology and analytics, remote monitoring & virtual trials in research & development solutions, and virtual commercial activity with clients wherever possible. Organizations, like the National Patient-Centered Clinical Research Network (PCORnet), National Institutes of Health (NIH) Collaboratory, and FDA’s Sentinel Initiative have collaborated to use the RWE data for improving clinical trial efficiency and drug safety monitoring.
The uncertainty brought on by the pandemic has significantly shifted how and when patients choose to seek medical care. In addition, a shift in healthcare treatment and provision during the pandemic has altered the discovery & reporting of some outcomes in data and the treated populace. This indicates that disease trends may lead to inaccurate interpretations when RWE and Real-world Data (RWD) do not border in the framework of the COVID-19 pandemic and long-term COVID-19 therapy, disease, and lifestyle changes.
Pandemic Impact |
Post COVID Outlook |
The earlier projections depicting approximately 6.2% YoY growth were countered by the pandemic resulting in a decline of 5.88% in the year-on-year growth rate from 2019 to 2020 |
The market is anticipated to recover post-COVID, with a year-on-year growth rate of 6.07% from 2020 to 2021
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Companies such as IBM and Syneos Health reported a decline of 4.6% and 5.6%, respectively in their annual revenue from 2019 to 2020 |
Many companies started to deploy many remote services during the pandemic, which is expected to help in portfolio expansion for these companies |
Market players also diverted their operations towards providing solutions for curbing the spread of the COVID-19 pandemic, which also negatively hampered the market growth. |
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The European Medicines Agency has also issued guidelines for RWE studies, requiring risk-benefit data in addition to post-authorization safety studies. Therefore, favorable government initiatives are expected to boost market growth. Furthermore, an industry coalition to innovate and expand the application of RWE promotes market growth.
For instance, in May 2021, five corporations-Aetion, IQVIA, Flatiron Health, Tempus, and Syapse-collaborated to expand the use of data derived from EHRs, claims, and other sources beyond clinical trials. The coalition will also work together with pharma companies, medical device manufacturers, patient groups, and other key stakeholders to support broader efforts around the usage of RWE, which members say supports developers, regulators, and providers in having a greater understanding of medical product safety & efficacy. Thus, such kind of innovations will support the market to enable faster access to new treatment options, which, in turn, will impel growth.
As there is continuous growth in data variety, volume, and speed, and there is a need for quick delivery of insights derived from that data, the need for integrating the right technologies for the implementation of the RWE program is growing. Many life sciences companies are adopting cloud technologies owing to the speed, flexibility, security, and scalability they provide.
Cloud technology can provide various benefits to RWE solutions. These include speed through which cloud-based analytics can be scale-up quickly, which helps as the data volume grows; and security, which helps in protecting patient-level data even in a de-identified format.
The services segment accounted for the maximum revenue share of over 57% in 2022. The growth is attributed to the high adoption of real-world services by pharmaceutical & biotechnology companies as well as healthcare providers. The segment is also anticipated to witness the fastest CAGR during the forecast period.
IQVIA, Syneos Health, and ICON plc are currently offering endwise real world evidence solutions and late-phase services, including research planning, protocol preparation, clinical study management, & reporting. Increased need for complete evidence services throughout the product lifecycle is likely to create opportunities for real world evidence solutions vendors to boost their investments throughout the drug development cycle.
The data sets segment consists of clinical settings data, claims data, pharmacy data, and patient-powered data. The segment is anticipated to witness growth owing to the growth in the volume of data generated in healthcare facilities and growing attention for additional insights into epidemiology.
The drug development and approvals segment accounted for the highest revenue share of over 28.0% in 2022. Real world evidence solutions services allow pharmaceutical companies and healthcare providers as well as payers for efficient management of operations and accelerate the process of drug development and its approval. This fuels market growth.
Top healthcare corporations had the desire to increase the use of RWE beyond traditional safety-related applications because of the need and urgency to develop vaccines and medicines during the COVID-19 pandemic. Thus, in March 2021, a CDC study used RWE to find that mRNA COVID-19 vaccines successfully prevented SARS-CoV-2 infections among the first responders, healthcare personnel, and other essential workers who received the shot in the first vaccine rollout.
The reimbursement/coverage and regulatory decision-making segment are expected to grow at the fastest rate of 8.5% owing to the rising focus on clinical value evidence for making decisions to provide coverage and the rising therapy costs. The post-market safety & adverse event monitoring segment is also anticipated to grow at a significant rate.
The healthcare companies segment accounted for the maximum revenue share of over 32.0% in 2022. The growth is attributed to the rising importance of RWE studies in the drug approval process, assessing drug performance in real-world settings, and preventing drug recalls.
RWE can support and advance a variety of processes such as identifying which cohort of patients can benefit most from an intervention, informing regulatory approvals & complementing data from randomized controlled trials, and supporting reimbursement efforts & increasing indications of use. Besides, in August 2020, the Medical Device Innovation Consortium (MDIC) announced the launch of its RWE Framework for regulatory decision-making for in vitro diagnostics
The healthcare payers segment is expected to grow at the fastest CAGR of 8.6% over the forecast period, owing to the increasing awareness among the payers regarding the importance of medical device/drug safety & their adverse effects and favorable reimbursement scenario, especially in developed countries.
North America accounted for the largest revenue share of over 43.0% in 2022. The large share of the North American region is credited to the presence of key players in the U.S. Rising number of RWE service providers and favorable government regulations in the region is also expected to contribute to the market growth.
Furthermore, the shift from volume to value-based care is expected to fuel market growth. Moreover, the rising geriatric population and the subsequent increase in the prevalence of chronic diseases is a key factor driving the growth of this market. In addition, the high share of the region can be attributed to the presence of key players in the U.S. and Canada. Favorable government regulations and an increasing number of RWE service providers in the region are anticipated to drive the market further.
Asia Pacific region is expected to grow at the fastest CAGR of 11.1% owing to the rising government initiatives for the adoption of RWE studies and the presence of many contract research and manufacturing organizations in countries, such as China and India. Rising demand for better healthcare services is also estimated to fuel market growth.
The global market is highly competitive and fragmented. Market players implement strategic initiatives, such as product development & launches, expansion of distribution network, and global footprint through subsidiaries and partnerships. Key players are also involved in portfolio diversification and mergers & acquisition. For instance, in August 2021, Syneos Health partnered with Aetion, to provide a real-world evidence solution and offers analytical-driven data and regulatory grade data. Some prominent players in the global Real World Evidence (RWE) solutions market include:
IQVIA
IBM
PPD, Inc. (acquired by Thermo Fisher Scientific Inc.)
Parexel International Corporation
PerkinElmer Inc.
Icon Plc
Oracle
Syneos Health
Cegedim Health Data
Medpace
Report Attribute |
Details |
Market size value in 2023 |
USD 2.62 billion |
Revenue forecast in 2030 |
USD 4.55 billion |
Growth rate |
CAGR of 8.2% from 2023 to 2030 |
Base year for estimation |
2022 |
Historical data |
2018 - 2021 |
Forecast period |
2023 - 2030 |
Quantitative units |
Revenue in USD million/billion and CAGR from 2023 to 2030 |
Report coverage |
Revenue forecast, company ranking, competitive landscape, growth factors, and trends |
Segments covered |
Component, application, therapeutic area, end-use, region |
Regions covered |
North America; Europe; Asia Pacific; Latin America; MEA |
Country Scope |
U.S.; Canada; U.K.; Germany; Italy; France; Spain; Denmark; Sweden; Norway; Japan; China; India; Australia; South Korea; Thailand; Brazil; Mexico; Argentina; South Africa; Saudi Arabia; Israel; UAE; Kuwait |
Key companies profiled |
IQVIA; IBM; PPD, Inc. (acquired by Thermo Fisher Scientific Inc.); Parexel International Corporation; PerkinElmer Inc.; Icon Plc; Oracle; Syneos Health; Cegedim Health Data; Medpace |
Customization scope |
Free report customization (equivalent up to 8 analysts’ working days) with purchase. Addition or alteration to country, regional & segment scope |
Pricing and purchase options |
Avail customized purchase options to meet your exact research needs. Explore purchase options |
This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this report, Grand View Research has segmented the global Real World Evidence (RWE) solutions market report based on component, application, end-use, therapeutic area, and region:
Component Outlook (Revenue, USD Million, 2018 - 2030)
Services
Data Sets
Clinical Settings Data
Claims Data
Pharmacy Data
Patient-Powered Data
Application Outlook (Revenue, USD Million, 2018 - 2030)
Drug Development & Approvals
Medical Device Development & Approvals
Reimbursement/Coverage & Regulatory Decision Making
Post Market Safety & Adverse Events Monitoring
End-user Outlook (Revenue, USD Million, 2018 - 2030)
Healthcare Companies (Pharmaceutical, Biopharmaceutical, Medical Device)
Clinical research
Commercial (inclusive of marketing, etc.)
HEOR
Others (market access, etc.)
Healthcare Payers
Healthcare Providers
Others
Therapeutic Area Outlook (Revenue, USD Million, 2018 - 2030)
Oncology
Cardiology
Neurology
Diabetes
Psychiatry
Respiratory
Other therapeutic areas (Immunology, Gastroenterology, etc.)
Regional Outlook (Revenue, USD Million, 2018 - 2030)
North America
U.S.
Canada
Europe
Germany
U.K.
France
Italy
Spain
Denmark
Sweden
Norway
Asia Pacific
China
India
Japan
Australia
South Korea
Thailand
Latin America
Brazil
Mexico
Argentina
MEA
South Africa
Saudi Arabia
Israel
UAE
Kuwait
b. The global real world evidence solutions market size was estimated at USD 2.45 billion in 2022 and is expected to reach USD 2.62 billion in 2023.
b. The global real world evidence solutions market is expected to grow at a compound annual growth rate of 8.2% from 2023 to 2030 to reach USD 4.55 billion by 2030.
b. North America dominated the RWE solutions market with a share of over 43.0% in 2022. This is attributable to the rising number of RWE service providers and favorable government regulations in the region.
b. Some key players operating in the real world evidence solutions market include IQVIA, IBM, PPD Inc., Parexel International Corporation, PerkinElmer Inc., Icon Plc, Oracle, Syneos Health, Cegedim Health Data, and Medpace, among others.
b. Key factors that are driving the real world evidence solutions market growth include support from regulatory bodies for using RWE solutions, the shift from volume to value-based care, and an increase in R&D spending.
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