Telemedicine Market Size Worth Around US$ 186.7 Bn by 2027
Introduction to technology and mounting adoption of smartphones, mobile applications and tablets in the modern healthcare has instigated the need for instant access to information regarding health among people, which is rightfully considered as telemedicine. Several advanced mobile apps help patients schedule their doctor’s appointments, manage health insurance as well as save money on prescriptions. These services also allow healthcare professionals to providing quality care during their interaction with their patients. Considering these factors, telemedicine market is expected to grow significantly over the foreseeable future.
According to a recent report by Global Market Insights, Inc., telemedicine market size is projected to surpass USD 186.7 billion by 2027.
Another vital factor favoring the business growth is continuous technological advancements introduced by the key market players. For instance, in 2020, athenahealth, Inc., announced the launch of novel embedded telemedicine solution- athenaTelehealth to empower healthcare providers to conduct telemedicine visits easily with their patients.
Telemedicine is largely available in the form of telehospitals and telehomes. Telehospital segment, however, holds the dominant position as it had captured around 65.8% of market share in 2020. This can be credited to the heightened demand for efficient healthcare services at lower cost and increasing number of smart phone user base. Besides, various government initiatives are further favoring the segmental growth. Quoting an instance, in 2021, Government of Canada announced investing $3.5 million in virtual healthcare services for the residents in Prince Edward Island during the COVID pandemic.
Speaking of the type of telemedicine service, tele-education/training segment is estimated to register a robust CAGR of 19.9% through 2027. These services enhance standards of nursing, enable the nurses to carry out multiple functioning, saves time, are cost-effective and offers safe and secured access in emergency times. It is useful in providing emergency treatment to individuals based in remote areas. In addition, introduction to information and communication technology in the health care sector is further favoring the segmental growth.
In terms of specialty, the dermatology segment is observing higher adoption of telemedicine due to growing need for proper visualization of dermatological disorder. Telemedicine is largely used in this segment to consult patients in peripheral locations, medical support in home care settings and nursing homes. It also allows patients to promptly visit dermatologist at a relatively lower cost. On account of the increasing adoption, dermatology segment had recorded an appreciable valuation of around USD 14.6 billion in 2020.
Telemedicine services are majorly delivered through web/mobile and call centers. However, web/mobile is the most preferred delivery mode due to the associated advantages like user-friendly customization and ease of integration. It also offers ease of accessibility and usage. The web/mobile segment is further divided into telephonic and visualized delivery mode. Of these, telephonic mode is gaining a wide prominence as it facilitates efficient management of chronic diseases, lesser travel time to access healthcare services, reduced hospital stays and cost-effectivity. In light of such advantages, web/mobile segment is anticipated to observe robust CAGR of 18.5% through 2027.
With regards to the regional outlook, Asia Pacific stands tall as a prominent hub for telemedicine market on account of increasing government initiatives and rising adoption of smartphones in the region. In addition, rising cases of lifestyle disorders like hypertension, diabetes and obstructive sleep apnea in the region is creating the need for technologically advanced platforms to prevent and treat these ailments. These factors will potentially increase the demand for telemedicine services in the regional countries. With the elevating demand, telemedicine market in Asia Pacific is expected to observe a substantial CAGR of 20.9% through 2027.
