GVR Report cover Telehealth Market Size, Share & Trends Report

Telehealth Market Size, Share & Trends Analysis Report By Product Type (Hardware, Software, Services), By Delivery Mode (On-premise, Web-based, Cloud-based), By End Use, By Region, And Segment Forecasts, 2023 - 2030

  • Report ID: GVR-4-68039-909-7
  • Number of Pages: 100
  • Format: Electronic (PDF)
  • Historical Range: 2017 - 2021
  • Industry: Healthcare

Report Overview

The global telehealth market size was valued at USD 83.5 billion in 2022 and is projected to expand at a compound annual growth rate (CAGR) of 24.0% from 2023 to 2030. The rising penetration of the internet and innovation in smartphones is enabling to address the gaps in the delivery and availing of telehealth services conveniently. Moreover, the demand for telehealth services witnessed tremendous growth over the past year due to the COVID-19 pandemic and the restrictions imposed in order to curb the infection. COVID-19 hindered the delivery of healthcare services which enabled most healthcare facilities to shift from traditional to virtual care methods. Further, the growing need to monitor health and wellness in order to manage chronic diseases virtually is driving the market growth.

U.S. Telehealth market size, by product type, 2020 - 2030 (USD Billion)

Introduction of web-based and cloud-based platforms which deliver virtual care to users are expected to boost the market growth. For instance, in August 2021, CVS and Teladoc partnered to launch CVS Health’s Aetna Virtual Primary Care. Through this partnership, CVS Health will utilize Teladoc’s physician network and providers to deliver virtual care services to patients remotely through video and telephonic consultations, which will reduce the dependency of the patients on in-person consultations and visits.

Increasing prevalence of cancer globally is expected to be a key contributor to the growth of the market. This increasing prevalence is anticipated to strain the healthcare systems, most of which are witnessing a shortage of healthcare professionals such as doctors and nurses; this is anticipated to drive the adoption of the services globally. According to WHO, healthcare facilities are projected to witness a shortage of 15 million healthcare professionals by 2030, this shortage of healthcare professionals is expected to drive the adoption of AI for the treatment and diagnosis of patients. Telehealth helps to deliver healthcare services digitally and virtually to patients at remote locations. The technology helps to deliver patient-centric care remotely to the patients thereby reducing the need for emergency department visits and reducing the rate of hospitalizations. Despite the advantages, concerns regarding cybersecurity, data privacy, and the high cost of implementation of the services are expected to restrain the growth of the market. Moreover, telehealth focuses on increasing the accessibility of basic healthcare services to patients with enhanced safety and quality.

Telehealth applications have been successful in delivering appropriate care to patients while reducing adverse events and preventing the symptoms to go unnoticed. Innovation in digital healthcare such as smart wearables, the internet of things, advanced healthcare analytics, better internet connectivity, and the rising penetration of smartphones globally are significantly shaping the growth of the industry. Furthermore, the integration of AI and ML algorithms are enhancing the personalization of healthcare services. For instance, Haldoc’s telehealth platform integrated with AI provides its physicians with feedback from the patients on their consultations and provides training programs that help in performance improvement.

Several insurance companies and healthcare providers have collaborated to develop strategies in order to increase the adoption of telehealth services and applications. Further, travel restrictions imposed due to COVID bolstered the demand for the services. For instance, in China, communication platforms such as TikTok and WeChat assisted the authorities and healthcare providers to deliver mental health services virtually during the pandemic. Likewise, Haldoc announced its active users in South Asia had increased ten-fold in 2020. Several initiatives are being undertaken by the key players globally which have significantly contributed to the market growth during COVID-19. Several market players reported exponential growth in revenue during the pandemic as compared to the previous year. For instance, Teladoc Health Inc. reported 63% year-on-year growth in the first two quarters of 2020 as compared to the first two quarters of 2019.

Shortage of healthcare professionals is expected to positively contribute to the growth of the market. WHO estimated a shortfall of 15 million healthcare professionals by 2030 in low- and middle-income countries. The developing countries have been struggling with healthcare professional shortages, the rural and remote healthcare settings are challenged with physician shortages. This shortage of healthcare professionals is increasing the adoption of telehealth services in order to improve the accessibility of healthcare services in remote locations and reduce healthcare expenses.

Rising funding and initiatives undertaken by governments globally is driving the adoption of telehealth services. For instance, in August 2021, Biden-Harris Administration announced an investment of approximately 19 million to improve healthcare delivery and address gaps in care faced in rural areas that have poor access to critical services. Moreover, the key players have been focusing on strategizing and focusing on collaborations and mergers & acquisitions in order to gain a competitive edge and expand their product portfolio and business footprint. For instance, in December 2020, PointClickCare Technologies, a senior care technology services provider acquired Collective Medical, a web-based telehealth platform that provides real-time continuum care coordination. Through this acquisition, PointClickCare Technologies will expand care services and offerings.

COVID-19 telehealth market impact: 44.9 % growth in revenue from 2019 to 2020

Pandemic Impact

Post COVID Outlook

The market increased by 44.9% from 2019 to 2020

The market is estimated to witness a y-o-y growth of 44% to 45% in the next 5 years

The pandemic exponentially drove the demand for telehealth services and applications owing to the rapid spread of the infection and government-imposed travel restrictions to curb infection rates and reduce in-person interaction in healthcare facilities

Growing government support and funding to promote the adoption of telehealth services and the emergence of market players with innovative services and applications integrated with advanced technologies is driving the adoption

Market giants began providing telehealth services on their platforms during the peak of the pandemic. For instance, the Japanese Ministry of Economy, Trade, and Industry (METI) provided teleconsultation services free of charge in collaboration with Line

Under the Coronavirus Aid, Relief, and Economic Security (CARES) Act appropriated by Congress, funding of USD 200 million has been provided to improve telehealth and virtual care services to patients in remote locations as a response to the COVID-19 pandemic. Similarly, the U.S. Department of Health and Human Services (HHS) announced USD 6 million in funding for rural telehealth services and connected care

 

The COVID-19 pandemic positively impacted the growth of the market. Government-implied restrictions and reduced in-person hospital visits and consultations increased the adoption of virtual care services and telehealth applications in order to reduce physical contact between patients and healthcare professionals and prevent the spread of the virus.

Product Type Insights

The services segment held the largest share of 47.2% in 2022. The need of telehealth application in real-time monitoring and chronic disease management contributed to the growth of the segment. Moreover, rapid advancements in digital infrastructure, hardware and software components, and increasing penetration of smartphones, and the internet globally further contributed to the segment growth. Further, the development of a range of platforms & applications to diagnose, monitor, track fitness & wellness, and prevent disease is boosting the growth of the segment. The continuously evolving digital space is also expected to positively support the growth of the services.

The software segment is anticipated to witness lucrative growth during the forecast period due to the rising demand for affordable and accessible healthcare services, efficient workflow management, and improved quality care. Rising healthcare costs combined with the growing need to monitor population health accurately and in real-time is increasing the adoption of the software. Moreover, several healthcare institutions in developed nations have shifted to value-based care models in order to improve patient outcome. Further several initiatives have been undertaken by the key players globally which is driving the segment growth.

Delivery Mode Insights

Based on delivery mode, the web-based delivery mode held the largest share 45.7% in 2022. Emergence of various virtual care and web-based telehealth applications and the growing adoption of web-based delivery to offer patients direct access to healthcare services are some of the factors that contributed to the segment growth. Growing internet penetration and innovations in the smartphone industry are further boosting the adoption of the web-based delivery segment. Moreover, the cost-effectiveness and seamless user interface offered by web-based applications are further increasing the adoption rate.

Global Telehealth market share, by delivery mode, 2022 (%)

The cloud-based delivery segment is anticipated to witness the fastest growth during the forecast period owing to the increasing adoption of cloud-based applications by healthcare providers and patients and the introduction of technologically advanced solutions. Moreover, seamless data storage and recovery, easy accessibility, high bandwidth, and enhanced security provided by cloud-based applications are further contributing to the growth of the segment. increasing instances of data breaches on the web-based and on-premise telehealth platforms have increased the demand for the cloud-based delivery segment. Cloud-based solutions enable patient monitoring and teleconsultation for individuals which require immediate medical assistance in rural and remote locations.

End-Use Insights

The provider segment accounted for the largest share of 53.0% in 2022 due to the increasing adoption of telehealth, teleconsultation, and telemedicine among healthcare professionals in order to reduce the burden on healthcare facilities. Moreover, increased convenience offered by these solutions to the healthcare providers in order to have quick and seamless access to patient health records, real-time quality reporting, improved data management, improved decision-making and eHealth solutions are expected to further increase the adoption of the services among the providers. Many healthcare facilities have witnessed considerable improvement in workflow management through the adoption of these services which is boosting its adoption.

The patient segment is anticipated to witness the fastest growth during the forecast period owing to high internet connectivity, growing smartphone users, and active subscribers on telehealth platforms. Moreover, the services are cost-effective and help to overcome communication gaps and care provision among the patients and the healthcare professionals which is expected to increase the adoption of the services among the patients.

Regional Insights

North America dominated the market in 2022 with a share of 47.1%. Higher healthcare IT expenditure, and higher penetration of internet and smartphone users in the region are some of the factors which contributed to the growth of the market in the region. Further, the increased burden of chronic conditions and high awareness about digital health and virtual care platforms among healthcare providers and patients is expected to drive the growth of the market. The presence of key players in the region combined with the emergence of start-ups is further contributing to the adoption of telehealth platforms in the region.

Telehealth Market Trends by Region

Asia Pacific is projected to witness the fastest growth during the forecast period. Factors such as the rising geriatric population in countries such as India and Japan, combined with the advancements in the field of digital health and research initiatives undertaken by the key players in the region are anticipated to contribute to the market growth. Favorable government initiatives to strengthen internet connectivity and growing demand for healthcare and medical assistance in rural regions is expected to positively impact the market growth. Furthermore, the shortage of healthcare professionals and increasing demand to curb the increasing healthcare costs are expected to boost the growth of the market in the region.

Key Companies & Market Share Insights

The key players in the market have been involved in mergers and acquisitions in order to increase their share in the market and provide innovative solutions to the users which is anticipated to boost the market growth during the forecast period. For instance, in August 2021, Philips announced launch of Philips Acute Care Telehealth which will provide flexible and configurable solution to help the healthcare systems provide virtual care. Some of the key players operating in the global telehealth market are:

  • Koninklijke Philips N.V

  • GE Healthcare

  • Cerner Corporation

  • Siemens Healthineers

  • Medtronic

  • Teladoc Health Inc

  • American Well

  • MD Live

  • Doctor On Demand

  • Global Med

Telehealth Market Report Scope

Report Attribute

Details

Market size value in 2023

USD 101.15 billion

Revenue forecast in 2030

USD 455.3 billion

Growth Rate

CAGR of 24.0% from 2023 to 2030

Base year for estimation

2022

Historical data

2016 - 2021

Forecast period

2023 - 2030

Quantitative units

Revenue in USD million and CAGR from 2023 to 2030

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Product type, delivery mode, end-use, region

Regional scope

North America; Europe; Asia Pacific, Latin America, MEA

Country scope

U.S.; Canada; U.K.; Germany; France; Spain; Italy; Russia; China; Japan; India; South Korea; Australia; Brazil; Mexico; Argentina; South Africa; UAE; Saudi Arabia

Key companies profiled

Koninklijke Philips N.V; Siemens Healthineers; Cerner Corp.; GE Healthcare; Medtronic PLC; Teladoc Health Inc; American Well; Doctor on Demand; GlobalMed; MDLive

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

 

Global Telehealth Market Segmentation

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2016 to 2030. For this study, Grand View Research has segmented the global telehealth market report based on product type, delivery mode, end-use, and region:

Global Telehealth Market Segmentation

  • Product Type Outlook (Revenue, USD Million, 2016 - 2030)

    • Hardware

      • Monitors

      • Medical Peripheral Devices

        • Blood Pressure Meters

        • Blood Glucose Meters

        • Weighing Scales

        • Pulse Oximeters

        • Peak Flow Meters

        • ECG Monitors

        • Others

    • Software

      • Standalone Software

      • Integrated Software

    • Services

      • Remote Patient Monitoring

      • Real-Time Interactions

      • Store and Forward

      • Others

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

    • On-premise

    • Web-based

    • Cloud-based

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

    • Payers

    • Providers

    • Patients

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

    • North America

      • U.S.

      • Canada

    • Europe

      • U.K.

      • Germany

      • France

      • Spain `          

      • Italy

      • Russia

    • Asia Pacific

      • China

      • Japan

      • India

      • South Korea

      • Australia

    • Latin America

      • Brazil

      • Mexico

      • Argentina

    • MEA

      • South Africa

      • Saudi Arabia

      • UAE

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