Patient Referral Management Software Market

The global market for patient referral management software was valued at USD 6.98 billion in 2023 and is projected to grow at a CAGR of 17.6% from 2023 to 2030. Patient referral software integrates various structured and unstructured patient information to track and manage referrals throughout the course of treatment. Healthcare professionals are increasingly opting for referral management systems to enhance communication between healthcare providers and patients, as well as to facilitate tracking of patient treatments.

The market is driven by the aging population and government initiatives aimed at promoting the adoption of healthcare IT solutions, which are anticipated to increase market demand. In December 2019, Eceptionist launched an updated version of their telehealth and referral management software, introducing "eConsult" services.

During the initial phases of the COVID-19 pandemic, medical practices of all sizes were impacted due to the disruption of care provision to a large number of patients. The rising number of COVID-19 cases created an increased demand for precise diagnosis and treatment. The need for virtual care has grown in order to maintain social distance between doctors and patients, leading to a greater reliance on telehealth and referral management tools and services.

Numerous healthcare providers are adopting referral management solutions to enhance their daily operations. For example, Village Health Partners (VHP), a provider of healthcare tools, utilized patient referral software from BlockitNow, Inc. to improve patient interactions while practicing social distancing among patients and lab technicians. Additionally, supportive government initiatives worldwide are expected to drive the adoption of relevant IT solutions to enhance the healthcare scenario. In India, the Karnataka government launched the online referral system under Ayushman Bharat-Arogya in June 2022, which is likely to increase the demand for patient referral software solutions and improve patient healthcare needs at minimal costs.

Type Insights
In 2022, the inbound segment dominated the market with a revenue share exceeding 75.0% and is expected to exhibit the highest compound annual growth rate (CAGR) during the forecast period. Inbound referrals are received from various channels such as fax, emails, phone, and walk-ins, all in a single attempt. For example, Referral MD software offers features like incoming referrals, patient engagement tools, and direct patient scheduling. The accompanying analytical tools provide metrics on the patient's progress and historical data, which can be utilized to effectively manage patients, enhance their satisfaction, and attract new clients.

The increasing demand for reduced referral processing time, improved communication among healthcare providers, and digitalization is driving the adoption of inbound referrals. Attracting new patients consistently is crucial for boosting the revenue of medical practices. Establishing a reliable referral network is an effective strategy for attracting new clients, in addition to advertising and networking with insurance companies. Referral patients tend to be more satisfied and financially beneficial compared to regular patients. This highlights the importance of including a referral program in the marketing plan toolkit of any medical practice. A significant advantage of a physician referral scheme is its ability to generate a steady flow of new patients.

Report Coverage & Deliverables
PDF report & online dashboard will help you understand:
• Competitive benchmarking
• Historical data & forecasts
• Company revenue shares
• Regional opportunities
• Latest trends & dynamics

Deployment Mode Insights:

The market was predominantly led by the cloud and web-based segment in 2021, accounting for over 70.0% of the revenue share. This segment is expected to experience the highest growth rate during the forecast period due to its flexible deployment options and cost reduction benefits related to IT infrastructure. Referral marketing software utilizes phone applications and social communication tools that seamlessly integrate with cloud systems. Furthermore, the increasing availability of cloud solutions is projected to drive the growth of the cloud and web-based segment in the market.

Cloud-based solutions offer on-demand self-service capabilities, require minimal upfront capital investment for hardware, and provide exceptional capacity flexibility, among other advantages. This sector has witnessed rapid expansion, with cloud databases facilitating real-time data synchronization to all connected clients. Adopting a cloud-based referral platform enables efficient two-way communication between healthcare practitioners and the healthcare community. In August 2019, Moorfields Eye Hospital collaborated with Big Picture to develop a cloud-based solution that assesses the need for patient referrals to hospitals.

End-use Insights:

In 2021, the providers segment accounted for the largest share, surpassing 50.0%, primarily due to the increasing burden of patient referrals. Healthcare providers serve as the initial point of consultation for a wide range of general and specialized health issues, thereby handling a significant number of patients who need to be referred to different hospitals and specialties. In July 2020, ReferralMD partnered with the Athena health marketplace initiative program to offer referral management and patient access platforms. This collaboration allows ReferralMD to easily engage with patients within Athena's health network of healthcare providers.

The patients segment is projected to exhibit the fastest compound annual growth rate (CAGR) of 20.4% over the forecast period. The growing elderly population and the rising prevalence of chronic illnesses are driving the utilization of patient referral systems. Healthcare providers evaluate patients based on diagnostic requirements and refer them to specialists according to their care needs.

Regional Insights:

North America emerged as the dominant market in 2021, capturing a share of over 55.0%. This can be attributed to the increasing advancements in healthcare IT and the growing adoption of patient referral software systems in the region. The COVID-19 pandemic has spurred advancements in cloud computing and patient monitoring. For example, in April 2020, GE Healthcare introduced an innovative cloud-based remote monitoring solution designed to assist doctors in managing COVID-19 patients. Additionally, in June 2022, Think Research Corporation, a Canada-based provider of healthcare software solutions, announced the expansion of its Ontario eReferral Program with Caredove, aiming to connect clinical users with over 100 community support services and homes through eReferral interoperability.

Asia Pacific is expected to exhibit the fastest growth rate of 20.3% during the forecast period. This growth is driven by factors such as a rapidly aging population, increasing demand for affordable healthcare, and a rise in the prevalence of chronic diseases in the region. The pandemic has further fueled the demand for enhanced patient management. Supportive government initiatives to promote the adoption of healthcare IT solutions are likely to fuel market growth. The implementation of referral systems will contribute to improving patient demands and developing the healthcare IT infrastructure in the region.

Key Companies & Market Share Insights:

Companies operating in the patient referral management software market are focusing on strategic partnerships, collaborations with other organizations, and innovative solutions. They are also implementing strategies such as acquisitions, new product launches, joint ventures, agreements, and expansion into new regions to expand their market reach. In June 2022, Athena Health, a provider of healthcare IT software, introduced a voice-automated and mobile-integrated digital assistant that accelerates information retrieval and enables healthcare providers to utilize Athena Health's electronic health records (EHR) solution. This enables clinicians to spend less time on computers and more time engaging with patients through voice recognition capabilities.
• Allscripts Healthcare Solutions, Inc.
• Athena Health
• Cerner Corporation
• Eceptionist, Inc.
• Ehealth Technologies
• Insync Healthcare

Global Patient Referral Management Software 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 2017 to 2030. For this study, Grand View Research has segmented the global patient referral management software market report based on type, deployment mode, end-use, and region:
 

Type Outlook (Revenue, USD Million, 2023 - 2030)
• Inbound
• Outbound

Deployment Mode Outlook (Revenue, USD Million, 2023 - 2030)
• Cloud & Web-based
• On-premise

End-use Outlook (Revenue, USD Million, 2023 - 2030)
• Providers
• Payers
• Patients
• Others
Regional Outlook (Revenue, USD Million, 2023 - 2030)
• North America
o U.S.
o Canada
• Europe
o U.K.
o Germany
o France
o Italy
o Spain
o Russia
• Asia Pacific
o Japan
o China
o India
o Australia
o South Korea
o Singapore
• Latin America
o Brazil
o Mexico
o Argentina
• Middle East & Africa
o South Africa
o Saudi Arabia
o UAE