Healthcare in 2022 was more uncertain due to several economic developments, COVID-19, and various other factors such as the Russia and Ukraine war.
Major geopolitical changes directly affected the economies and healthcare by default was overblown, which increased new challenges and problems in healthcare such as the intensification in pharmacy costs.
Apart from that, there are many other changes that were noticed such as customer preference and healthcare technology.
We saw that shifting consumer preferences and behaviour increase the integration of life sciences and spiritual health by evolving digital health technologies.
And, today we are going to highlight those major healthcare movements and events of the year.
So, let’s start with the overall performance of the healthcare market in 2022…
How well does the healthcare market perform?: Highlights of the market 2022
To make it more meaningful, we will discuss all the aspects of the healthcare market individually. And how do they perform?
Pharmaceutical is the most critical element of the healthcare market, which fluctuates more, while the biggest pharmaceutical producer in the world is India.
The current pharmaceutical industry of India is valued at $50 billion. The Indian pharma sector serves more than 200+ countries which include 50% of African requirements, 40% of demand for generic drugs in the US, and 25% in the UK.
While the average growth rate year-on-year of the pharmaceutical market in India is 13.3%. But this year the market tends to decline its growth rate and stands out at 7.2%.
#2 Healthcare supply chain:
The ongoing COVID-19 continues to disrupt the global supply chain. It does not get a chance to recover due to the Russia-Ukraine war, which led to sanctions on many countries that surged in commodity prices, and also healthcare supply chain management.
Due to logistic provider capacity issues, shipping delays, reduction in technological adoption, and inflation, the supply chain is more challenging and difficult this year.
So far, the Healthcare supply chain market was estimated at USD 2,528.6 million in 2022. However, there are no statistics yet that disclose the accurate growth rate of the healthcare supply chain this year.
The biotech market performed well even in the worst seniors. The 2022 Biotech market grows with a compound annual growth rate (CAGR) of 15.6%, and the global market for biotechnology services increased from $129.14 billion in 2021 to $149.31 billion in 2022, as per the report.
However, the growth was still quite less as per the estimation, due to several factors it does not reach the expected growth rate ratio, While it still stands at a balanced level.
#4 Healthcare technology(Health IT)
The Healthcare technology market has always been a hot and trending discussion. The market focuses on adopting technologies and introducing new technology.
Around this year, major healthcare players have developed Health IT tools such as healthcare app development, telehealth, and telemedicine.
Furthermore, there is much big collaboration that takes place throughout the year. In February 2022, Accenture and League are focusing on creating new experiences and increasing access for patients, physicians, payers, and pharmacies.
Apart from that, in march 2022, Cognizant and Microsoft come together to develop a new digital solution to increase the remote monitoring of patients for adequate medical treatment.
As a result, more collaboration of giant players to advance medical technology is boosting the industry’s growth.
#5 Healthcare services:
Healthcare services tend to increase as COVID-19 is still highly active in many countries but due to less accessibility of healthcare, the services are not able to deliver as per the needs.
However, the global healthcare market performed well with $6,872.86 billion in 2021 to $7,451.75 billion in 2022 at a compound annual growth rate (CAGR) of 8.4%.
But the issue of accessibility still remains at a higher rate that is blocking the entire healthcare service market from growing.
#6 Healthcare workforce:
According to the recent jobs report from the U.S. Bureau of Labor Statistics, the number of employees in October was 52,600, in September 60,100, and in August 48,200 in the US.
Similarly, Physician offices added 9,600 positions in October, while nursing and residential care facilities added 11,100.
As a result, healthcare employment has increased overall this year by an average of 47,000 each month compared to last year’s monthly average of 9,000.
Startups took place in 2022: Investment that led those startups
Last year, healthcare startups were in the bubble zone. Around 70% of investors were repeat investors. In H1 2022, U.S digital health start-ups raised approx $10.3 billion across 329 deals with an average deal size of $ 31.2 million. Whereas Q3 and Q4 are the lowest quarters.
However, in healthcare this year, digital health start-ups are mainly focused on bringing well-being solutions to the table.
Because, after COVID-19 people have become more health-conscious and that led to an opportunity for digital health start-ups to come up with well-being solutions.
Healthcare Technology that is highly optimized in 2022
In 2022, a lot of healthcare events took place to address healthcare needs and solutions were in their healthcare experts talked about the digital revolution in healthcare.
There are many ground-level issues that are not solved yet in healthcare. One of the key issues is the accessibility of healthcare services. There are many rural areas where still no healthcare facilities are reached.
Patients have to struggle and decide on a mile journey to get proper treatment which costs them high. As it includes traveling expenses, consulting doctors, and pharmacy.
As a result, digital health solutions such as telemedicine, patient monitoring systems, and telehealth are the only answers to reduce those errors in order to make healthcare more reliable and accessible.
However, technological tools such as telemedicine were widely optimized in the year 2022.
What is a major healthcare shift expected by experts in 2023?
Well from the overall healthcare ecosystem, Most of the experts have suggested and believe that 2023 will be focused on the following aspects…
- Increasing patient engagement by increasing patient experience
- Transforming healthcare with different technology like AI, IoT, and cloud computing.
- Adopting robotics in healthcare
- Investing in Health-technology
- Monitoring health through wearable devices
- Increasing optimization of telemedicine
- Healthcare data security
- Increasing accessibility of healthcare services
- Better patient experience
To sum it up
Although, the global healthcare IT market is anticipated to grow at a CAGR of 20.3% from 2016 to 2026, reaching USD 821.1 billion.