Market Trends of Global Practice Management System Industry
This section covers the major market trends shaping the Practice Management System Market according to our research experts:
The Cloud-Based Sub-segment in Mode of Delivery Segment is Expected to Witness a Healthy Growth Over the Forecast period
Modernization of operations and approaches in medical practice, by utilization of technological solutions, such as medical practice management software, has improved healthcare organizations. Cloud-based software systems help in storing the data on external servers, making it accessible via the web, as it requires only a computer with an internet connection to access the data. Cloud-based delivery in medical practice management helps healthcare providers to automate day-to-day medical tasks. The installation cost for Cloud-based systems is lower than the on-premises systems and this software eradicates the need for in-house maintenance, which is expected to be the prime factor driving their increasing demand.
Cloud-based medical practice management is particularly useful for small- to medium-sized practices since there are no large hardware expenditures, and the software expense is consistent with a low subscription rate. The cloud-based delivery model makes the software extremely flexible, regarding scalability (pay-as-you-go storage utilization). It simplifies and consolidates storage resources to reduce costs and enhance workflow, by eliminating departmental silos of clinical information. The storage and server power for the organization are hosted off-premise. The cloud vendor provides all the off-premise system support resources. The cloud infrastructure also guarantees true disaster recovery and business continuity solutions, to support the quality of patient care. Hence, cloud-based services are expected to continue to witness a significant demand.
Additionally, in August 2020, the Urology cloud, an Electronic Health Record, was launched by WRS Health, which enables Urologists to manage their practice and maximize their workflows efficiently and profitably. Moreover, in July 2021, Practice EHR, a leading provider of cost-effective, cloud-based medical practice solutions, announced the launch of its enterprise practice management solution, Practice EHR Enterprise. The software solution provides robust functionality that streamlines the medical billing workflow and improves financial performance and productivity for hospitals, medical practices, and medical billing companies.
Cloud-based medical practice management is cost and time-effective and improves patient satisfaction, as it is accessible to medical professionals. Hence, with an increasing need for efficient medical practices and institutions, the market studied is expected to witness significant growth during the forecast period.
North America Holds the Major Share and is Expected to Dominate the Market Over the Forecast Period
North America is expected to dominate the market owing to the presence of better healthcare infrastructure and a rising geriatric population. Medical practice management in the United States helps in every aspect of healthcare accounts, billing, appointments, and insurance details of the patients. In the United States, most of medical practice management software systems are designed for small to medium-sized medical facilities. Some of the medical practice management software is used by third-party medical billing companies for healthcare facilities. Medical practice management software is often used for administrative and financial matters of medical care facilities and providers. Government funding is likely to speed up the adoption of medical practice management by healthcare providers and change the way players operate, across the sector. Hence, the increasing adoption of a patient-centric approach by healthcare payers, the need to increase the efficiency of current medical practices and institutions, time and resource saving in the long run, and high return on investments are the major factors driving the market studied during the forecast period in the North American region.
Additionally, government funding is likely to speed up the adoption of medical practice management by healthcare providers and change the way players operate across the sector. Medical practice management adoption is widespread across most hospitals and at the state level. Brevium, a SaaS company in the healthcare technology sector, announced that it extended the integration of its software with one of the premier electronic practice management systems in the United States, Nextech, on January 2021.
Furthermore, the rising healthcare investment and the surge in adoption of big data analytics among end-users in the healthcare industry will also be expected to boost the market growth in the region. According to the United States Centers for Medicare & Medicaid Services National Health Expenditure Data 2020, the healthcare expenditure grew by up to 9.7% to USD 4.1 trillion in 2020 and accounted for around 19.7% of the gross domestic product. The expenditure is projected to reach USD 6.2 trillion by 2028. Thus, the aforementioned factors are expected to drive the market growth in the region over the forecast period.
