Global Population Health Management (PHM) Market – Industry Trends and Forecast to 2031

Population Health Management (PHM) Market Analysis and Size

In the population health management (PHM) market, risk stratification and patient segmentation are crucial applications aimed at optimizing care delivery and resource allocation. This involves using data analytics to identify individuals within a population who are at higher risk for adverse health outcomes or in need of specific interventions. PHM platforms utilize predictive modeling and algorithms to stratify patients based on factors such as demographics, medical history, and social determinants of health. Segmenting the population into distinct risk groups, healthcare providers can tailor interventions and care plans to meet the unique needs of each group, ultimately improving outcomes, reducing costs, and enhancing the overall quality of care.

Global population health management (PHM) market size was valued at USD 35.86 billion in 2023 and is projected to reach USD 154.17 billion by 2031, with a CAGR of 20% during the forecast period of 2024 to 2031. In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include depth expert analysis, patient epidemiology, pipeline analysis, pricing analysis, and regulatory framework.

Report Scope and Market Segmentation       

Market Definition

Population health management (PHM) is a proactive approach to healthcare that focuses on improving the health outcomes of a defined group of individuals. It involves analyzing data to identify health needs, implementing interventions to address those needs, and evaluating the effectiveness of those interventions. It integrates healthcare services, community resources, and social determinants of health to enhance overall well-being and reduce healthcare costs.

Population Health Management (PHM) Market Dynamics

Drivers

• Escalating Burden of Chronic Diseases Results in Rising Demand for PHM Solutions

Factors such as aging populations, sedentary lifestyles, and dietary changes contribute to the increasing prevalence of conditions such as diabetes, heart disease, and hypertension. PHM solutions offer proactive approaches to managing chronic diseases by leveraging data analytics to identify at-risk individuals, personalize care plans, and facilitate early interventions. Healthcare providers are increasingly turning to PHM tools to optimize chronic disease management, improve patient outcomes, and contain healthcare costs associated with preventable complications and hospitalizations. As the chronic disease burden continues to rise, the demand for effective PHM solutions is expected to grow, driving market expansion and innovation in healthcare delivery.

• Increasing Collaborations between Market Players foster Continuous Improvement in PHM Solutions

The partnership between Morris Heights Health Center (MHHC) and Garage, a population health management technology company, exemplifies the increasing investments in research and development (R&D) associated with population health management (PHM). Leveraging Garage's innovative platform, MHHC aims to enhance care delivery and outcomes for its 50,000 patients in the Bronx community. This collaboration signifies a commitment to advancing PHM capabilities through technology-driven solutions, aligning with the broader trend of healthcare organizations investing in R&D to improve population health initiatives. Through such partnerships, healthcare providers can harness the power of data analytics, predictive modeling, and decision support tools to tailor interventions, optimize resource allocation, and ultimately improve the overall health of the population they serve.

Opportunities

• Growing Advancements in Healthcare Technology Increases the Adoption of PHM Solutions

Innovations such as electronic health records (EHRs), telehealth platforms, wearable devices, and sophisticated data analytics tools provide the infrastructure and capabilities necessary for effective PHM implementation. These technologies enable seamless collection, integration, and analysis of vast amounts of healthcare data, facilitating risk stratification, patient segmentation, and personalized interventions. Healthcare technology advancements empower healthcare organizations to leverage data-driven insights and digital tools to optimize care delivery, improve outcomes, and reduce costs, driving the adoption of PHM solutions in the market.

• Expanding Government Initiatives Drive Implementation of PHM Solutions in Healthcare Organizations

Government Initiatives such as the affordable care act (ACA) in the U.S. and similar reforms globally prioritize population health improvement and value-based care delivery. Regulations often mandate healthcare organizations to meet specific quality metrics and demonstrate population health outcomes, driving the need for PHM tools to track and manage patient populations effectively. Government funding and incentives for healthcare organizations to implement PHM solutions further accelerate market growth by providing financial support and resources for adoption and innovation in population health management strategies.

For instance, In July 2022, the UK Parliament passed the Health and Care Bill, granting legal responsibilities and statutory footings to Integrated Care Systems (ICSs). This legislation reflects a government initiative to drive population health management (PHM) by fostering collaborative, integrated approaches to healthcare delivery. It incentivizes healthcare organizations to adopt PHM solutions to meet the requirements of value-based care models mandated by the legislation.

Restraints/Challenges

• Increased Financial Barriers Limits the Implementation of PHM Initiatives

The upfront investment required for PHM infrastructure, technology, and staff training can be substantial, particularly for smaller healthcare organizations or those with limited resources. Ongoing costs associated with data analytics, interoperability, and care coordination further strain budgets. Without sufficient financial resources, healthcare providers may struggle to deploy PHM solutions effectively, hindering their ability to improve outcomes and reduce costs.

• Interoperability Challenges Limits Adoption of PHM Solutions

The inability of healthcare systems and technologies to seamlessly exchange data across platforms inhibits the comprehensive and real-time analysis necessary for effective PHM. Siloed data sources and disparate standards for data exchange hinder care coordination and population health analytics, leading to fragmented patient records and suboptimal decision-making. Healthcare organizations face barriers in integrating data from electronic health records (EHRs), health information exchanges (HIEs), wearables, and other sources, limiting their ability to derive actionable insights and deliver personalized care at scale.

This market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Recent Developments

• In 2023, Gainwell Technologies secured a substantial USD 600 million contract from the California Department of Health Care Services as part of the CalAIM initiative. This contract underscores Gainwell's pivotal role in providing population health management services aimed at enhancing healthcare delivery and outcomes in California
• In 2022, MEDITECH launched Expanse Population Insight, a cutting-edge population health management product. Built on the Innovaccer Data Platform, it offers comprehensive data aggregation, curation, care delivery, and data analytics capabilities, empowering healthcare organizations to better understand and address population health needs
• In 2021, Phillips Healthcare forged a strategic collaboration with openDoctor to introduce an integrated radiology patient engagement platform. Leveraging Phillips' Patient Management Solution and openDoctor's technology, the platform facilitates seamless contactless registration, patient radiology scheduling, and automated communications and education, all accessible via mobile devices
• In 2020, Manorama Infosolutions collaborated with Allscripts to integrate the Allscripts interoperability platform, dbMotion Solution, with Manorama's Lifeline Suite of solutions. This collaboration enables enhanced interoperability and expands Manorama's footprint into regions such as India, fostering improved healthcare delivery and connectivity across diverse healthcare ecosystems

Population Health Management (PHM) Market Scope

The market is segmented on the basis of platform, component and end user. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Platform

• Cloud-Based
• On-Premise

Component

• Software
• Services
  • Post-Sale and Maintenance Services
  • Consulting Services
  • Training and Education Service
  • Implementation Services

End User

• Healthcare Providers
• Hospitals and Physician Groups
• Healthcare Payers
  • Public
  • Private
• Others

Population Health Management (PHM) Market Regional Analysis/Insights

The market is analyzed and market size insights and trends are provided by platform, component and end user as referenced above.

The countries covered in the market report are U.S., Canada, and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

North America dominates the market due to rising instances of chronic illnesses. Additionally, escalating healthcare expenses and expanding healthcare investment amplify the growth trajectory of this region's market. These factors converge to bolster North America's dominance in PHM as the region grapples with the challenges of managing population health amid increasing healthcare demands and costs.

The Asia-Pacific is expected for substantial growth, driven by rising healthcare spending and the demand for advanced disease management solutions. With a focus on reducing medical expenses and the integration of information technology into healthcare, the industry is experiencing a surge. This trend reflects a shift towards more efficient and effective healthcare delivery, promising significant opportunities for market expansion in the region.

The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points such as down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.

Healthcare Infrastructure Growth Installed base and New Technology Penetration

The market also provides you with detailed market analysis for every country growth in healthcare expenditure for capital equipment, installed base of different kind of products for market, impact of technology using life line curves and changes in healthcare regulatory scenarios and their impact on the market. The data is available for historic period 2016-2021.

Competitive Landscape and Population Health Management (PHM) Market Analysis

The market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to market.

Some of the major players operating in the population health management (PHM) market are:

• MCKESSON CORPORATION (U.S.)
• Verisk Analytics, Inc (U.S.)
• Health Catalyst (U.S.)
• athenahealth, Inc. (U.S.)
• Medecision (U.S.)
• Xerox Corporation (U.S.)
• Fonemed (U.S.)
• General Electric (U.S.)
• NXGN Management, LLC (U.S.)
• Optum Inc. (U.S.)
• Conifer Health Solutions, LLC (U.S.)
• IBM (U.S.)
• Koninklijke Philips N.V. (Netherlands)
• Siemens Healthcare GmbH (Germany)

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