The revenue cycle management market was valued at USD 65.96 billion in 2019 and is projected to reach US$ 135.12 billion by 2027, growing at a CAGR of 12.2% from 2020 to 2027.
Growing demand for cloud-based revenue cycle management solutions paired with loss of revenue due to billing mistakes are emerged as major driving factors for the growth of revenue cycle managements (RCM) market in near future. Revenue cycle management is the backbone of the healthcare sector and operates at the well-designed core of a healthcare association ranging from small practice to huge hospital.
Moreover, significant growth on healthcare spending in emerging countries and growing demand for advanced healthcare systems is estimated to support the growth of global revenue cycle management market in years to come. However, IT infrastructural limitations in developing countries coupled along with shortage of skilled information technology professionals may adversely impact the global revenue cycle management in forecast period.
Favorable regulatory compliance, increasing need of process improvements in healthcare sectors and rising spending on healthcare are the major factor estimated to drive the global revenue cycle management market in years to come. Standalone type segment is expected to lose it revenue share in coming years owing to increasing adoption of integrated type revenue cycle management system by healthcare professional and hospitals.
Software and services are offering the segment of global revenue cycle management (RCM) market. Software segment accounted for largest revenue share in 2019. Availability of software as per customer need is expected to shape the global revenue cycle management market in coming years.
Service offering segment is estimated to fastest growing segment in analysis period and projected to grow at a CAGR of 15.9%, owing to growing trend of outsourcing revenue cycle management services. Healthcare organization is facing a lack of resources and skill sets essential for the deployment of revenue cycle management. Henceforth, they are entirely or partly outsourcing services, where the outsourced company manages the RCM activities.
Based on type the market is segmented into standalone and integrated. Integrated type segment held the largest revenue share in 2019 and also predicted to grow with highest CAGR amongst type segment.
The Integrated type segment accounted for 71.7% of revenue share in past year. The growth of this segment is mainly driven by growing acceptance of value-based payment systems and rising demand for cost-effective data management solutions.
End User Insights
On the basis of end user, the global revenue cycle management market has been segmented into physician offices, hospitals, diagnostic laboratories and others. Physician offices held the 39.6% of revenue share in 2019 owing to increasing demand to manage the clinical documentation improvement and billing services in their clinics. Mounting adoption of integrated practice management systems is also predicted to show noticeable growth in years to come.
North America emerged as a dominant region for global revenue cycle management market in past year and held for over 41.1% of the global revenue share. Presence of key market participant, well developed healthcare infrastructure, favorable regulations and growing geriatric population are the major driving factors for the growth of the region.
Asia Pacific is expected to fastest growing market for revenue cycle management market in years to come and is predicted to grow at a CAGR of 15.8%. China, India and Japan is estimated to contribute the major revenue in Asia Pacific region. Favorable government initiatives, growing patient population/base suffering from various chronic diseases and need for process improvements in healthcare sector are the major factors expected to favor the growth of revenue cycle management in Asia Pacific region in near future,
Key Companies & Market Share Insights
Market participant operating in revenue cycle management market are adopting various business strategies such as partnerships, strategic collaborations, acquisition to sustain and acquire the higher market share in global revenue cycle management marketplace. Furthermore, continuous launching of new product according to client specific requirement and cost effective solution will be the key strategy of market participant.
Some of the recent activities by revenue cycle management market players are as-
Major players operating in the global revenue cycle management (RCM) market include:
Segments Covered in the Report
This research study comprises comprehensive assessment of the marketplace revenue with the help of prevalent quantitative and qualitative acumens, and forecasts of the market. This report presents breakdown of market into major and niche segments. Furthermore, this research study gauges market revenue growth and its drift at global, regional, and country from 2016 to 2027. This report includes market division and its revenue assessment by categorizing it depending on product type, type, deployment, end user and region:
By End User
By Regional Outlook
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