Value-Based Healthcare Market

Market Overview

Value-based care represents a revamped healthcare approach centred on providing value directly to the patient. value-based healthcare prioritizes the patient's needs above all else in designing and implementing healthcare delivery systems. The essence of creating value for patients lies in structuring healthcare delivery systems around their specific medical conditions, evaluating health outcomes relevant to patients, and monitoring the costs necessary to attain those outcomes. The objective is to enhance care quality and lower healthcare expenses. Drivers such as escalating healthcare costs, increased emphasis on patient-centred care, the prevalence of chronic illnesses, and government efforts to encourage quality and effective care delivery are stimulating the global demand for value-based healthcare solutions. Moreover, the integration of cutting-edge technologies such as big data analytics, artificial intelligence (AI), and blockchain is facilitating providers in transitioning from a volume-focused approach to one centred on value. Also, the rising usage of social tools, mobile apps, and real-time analytics is expected to drive the global healthcare information system market over the forecast period.

Value-Based Healthcare Market Size

Report	Details
Market Size Value	USD 3.60 Billion in 2023
Market Size Value	USD 13.34 Billion by 2030
CAGR	7.04%
Forecast Period	2023-2030
Base Year	2023
Historic Data	2020

Top Key players in Value-Based Healthcare market are such as Change Healthcare, Humana, Baker Tilly US, Curation Health, United Health Group, McKesson Corporation, NXGN Management, LLC, LLP, Athena Healthcare, Deloitte, Signify Healthcare, Siemens Medical Solutions USA, and Others.

Transitioning from a fee-for-service model to a value-based payment structure:

Transitioning from a fee-for-service model to a value-based payment structure signifies a substantial transformation in healthcare reimbursement methods. The conventional fee-for-service system compensates providers based on the quantity of services they render, potentially resulting in excessive service utilization and disjointed care. Conversely, value-based payment models correlate reimbursement with care quality and outcomes, encouraging providers to prioritize preventive measures, coordinated care, and patient satisfaction. This shift is driven by the imperative to enhance care quality, manage escalating healthcare costs, and elevate patient-centric care delivery. Government initiatives, such as accountable care organizations and bundled payments, play a crucial role in fostering the adoption of value-based payment models, urging healthcare systems to prioritize effective, efficient, and patient-centered care practices.

Market Dynamics:

Drives:

• Transitioning from a fee-for-service model to a value-based payment structure
• Government initiatives
• Advanced Technologies
• Others

Opportunity:

• Increase in the prevalence of chronic diseases
• Increased IT healthcare expenditure

Increased IT healthcare expenditure:

The substantial uptick in healthcare IT spending signifies a transformative phase marked by deep integration of digital solutions into the healthcare sector. This financial commitment extends across various areas, including electronic health records (EHR), telehealth platforms, health data exchange mechanisms, advanced analytics tools, robust cybersecurity protocols, and other cutting-edge technologies. These investments are geared towards amplifying patient care quality, optimizing operational processes, facilitating seamless remote healthcare services, empowering data-driven decision-making, and fortifying the protection and confidentiality of patient data. The escalating IT expenditure in healthcare underscores a resolute dedication to harnessing technological innovations to drive positive outcomes, streamline workflows, and effectively cater to the evolving demands of patients and healthcare providers within a swiftly evolving digital landscape.

North America Dominates The Value-Based Healthcare Market:

North America's holds the largest share in the value-based healthcare market is evident in its advanced technological solutions and healthcare infrastructure. The region's adoption of electronic health records, data analytics, telemedicine, and other innovative technologies has facilitated the transition to value-based care models. Additionally, regulatory initiatives like the Affordable Care Act (ACA) in the United States have incentivized healthcare providers to prioritize quality outcomes and cost-effectiveness. This regulatory support, coupled with significant investments from public and private sectors, has propelled North America to the forefront of value-based healthcare delivery, driving continuous improvements in patient care and healthcare efficiency.

Asia-Pacific region is anticipated to witness significant growth in the forecast period, driven by factors such as population demographics, rising awareness, and advancements in healthcare infrastructure.

The Accountable Care Organization Segment Is Anticipated To Hold The Largest Market Share:

Among various models in the value-based healthcare market, the Accountable Care Organization (ACO) holds highest market share in 2023. The primary objective of an Accountable Care Organization (ACO) is to enhance patient outcomes while simultaneously ensuring efficient cost management. Within an ACO, providers are motivated to collaborate closely to deliver care that is both effective and resource-efficient. They bear responsibility for the quality, cost, and overall care experience of their patients. A defining characteristic of ACOs is their emphasis on value-based care, prioritizing the quality of care provided over the sheer volume of services rendered. ACOs frequently leverage data analytics and coordinated care approaches to pinpoint and rectify care gaps, decrease unnecessary hospitalizations or visits to the emergency department, and advocate for preventive healthcare and wellness initiatives. Through aligning incentives and fostering collaboration among providers, ACOs strive to enhance patient health outcomes and achieve long-term reductions in healthcare expenses.

Major market segments:

• By Model:

• Patient-Centred Medical Home
• Accountable care organization
• Pay for Performance
• Others

• By Deployment:

• Solutions
• Services
• Others

• By Platform:

• Standalone
• Integrated
• Others

• By Application:

• Hospitals & Clinics
• Insurance Companies
• Government agencies
• Others

• By Region
  • North America
    • U.S.
    • Canada
  • Latin America
    • Brazil
    • Mexico
    • Argentina
    • Colombia
    • Chile
    • Peru
    • Rest of Latin America
  • Europe
    • Germany
    • France
    • Italy
    • Spain
    • U.K.
    • BENELUX
    • CIS & Russia
    • Nordics
    • Austria
    • Poland
    • Rest of Europe
  • Asia Pacific

• • China
  • Japan
  • South Korea
  • India
  • Thailand
  • Indonesia
  • Malaysia
  • Vietnam
  • Australia & New Zealand
  • Rest of Asia Pacific

• • Middle East & Africa

• • Saudi Arabia
  • UAE
  • South Africa
  • Nigeria
  • Egypt
  • Israel
  • Turkey
  • Rest of MEA

Recent Developments:

• In October 2022, Sound Physicians, a national healthcare organization providing services across the acute episode of care, and Quality Medical Consultants, a leading hospital-based physician network in Florida, launched a value-based care partnership.

Answers to Following Key Questions:

• What will be the value-based healthcare market’s trends & growth rate? What analysis has been done of the prices, sales, and volume of the top producers in the value-based healthcare market?
• What are the main forces behind worldwide value-based healthcare market? Which companies dominate value-based healthcare market?
• Which companies dominate value-based healthcare market? Which business possibilities, dangers, and tactics did they embrace in the market?
• What are the global insight engines industry's suppliers' opportunities and dangers in value-based healthcare market?
• What is the insight engines industry's regional sales, income, and pricing analysis? In the value-based healthcare market, who are the distributors, traders, and resellers?
• What are the main geographic areas for various trades that are anticipated to have astounding expansion over the value-based healthcare market?
• What are the main geographical areas for various industries that are anticipated to observe astounding expansion for value-based healthcare market?
• What are the dominant revenue-generating regions for value-based healthcare market, as well as regional growth trends?
• By the end of the forecast period, what will the market size and growth rate be?
• What are the main value-based healthcare market trends that are influencing the market's expansion?
• Which key product categories dominate value-based healthcare market? What is value-based healthcare market’s main applications?
• In the coming years, which value-based healthcare market technology will dominate the market?