Healthcare Consulting Services Market

Healthcare Consulting Services Market Outlook (2023 to 2033)

The global healthcare consulting services market is expected to be worth US$ 14,952 Million in the fiscal year 2023, up from US$ 14,000 Million in the fiscal year 2022. From 2023 to 2033, the market is expected to grow at a 6.80% CAGR, reaching a value of US$ 28,867.68 Million by the end of 2033.

The requirement to strengthen the deployable dynamics of the worldwide medical industry has bolstered the expansion of the worldwide market for healthcare consulting. The efficient handling and instruction of staff and professionals are crucial to the performance of the healthcare sector.

This component has also influenced the expansion of the Global Healthcare Consulting Services Market. As new models spring up at the frontline of the medical industry, the global market for Healthcare Consulting Services is anticipated to generate significant revenues.

The structure is now increasingly involved with the pricing, reliability, and preference of its patients. Adjustments to the Affordable Care Act (ACA), governing drug price increases, and the advent of innovative technologies and their market potential are all anticipated to require assistance from a variety of organizations.

Healthcare consulting services are being driven by the increasing world aging populations and continual technological breakthroughs in the healthcare field. Furthermore, the growth of healthcare consulting services that facilitate incorporated payer-provider allocation of risk, public-private collaborations, and other diagnostic integration contracts is rapidly increasing, which is fueling market expansion.

North America had the highest market revenue, followed by Europe. The region's prominence is attributed to the presence of top industry participants, competitive pressures in the region's pharmaceutical and healthcare sectors, and healthcare organizations' capability to pay for advisory services.

In contrast, East Asia is anticipated to expand at the fastest pace during the projected timeframe. This is the result of technological advancements, multinational drug manufacturers investing in the region, and a raise in rural consumption of remote care and telehealth.

Report Attributes	Details
Anticipated Base Year Value (2022)	US$ 14,000 Million
Expected Market Value (2023)	US$ 14,952 Million
Projected Forecast Value (2033)	US$ 28,867.68 Million
Global Growth Rate (2023 to 2033)	6.80%
Expected Growth Rate of the US Market (2023 to 2033)	6.40% CAGR
Anticipated Growth Rate of India Market (2023 to 2033)	7.60% CAGR
Prominent Players in The Global Market	Bain & Company; BearingPoint; Boston Consulting Group; BridgeSpan; Coeus Consulting; Deloitte; EY; FTI Consulting; KPMG International; L.E.K. Consulting; Mazars; Mercer; Nextcontinent; PA Consulting; Strategy&; Cognizant (US)

2018 to 2022 Healthcare Consulting Services Market Demand Analysis vs. Forecast 2023 to 2033

The COVID-19 pandemic has wreaked havoc on the population and economic growth. As a result, healthcare facilities were under intense pressure to establish a well-coordinated landscape in which all diagnostic and non-clinical activities are connected institutionally and the organization collaborated with other health institutions. The pandemic has had a major impact on impartial consulting, culminating in less work, lower profits, and production delays. Historically, the healthcare consulting services market grew at a CAGR of 5.8%.

The medical industry is intricate. It is necessary to adhere to various policies, rules, and laws, in addition to the daily advancements in diagnosis and therapy; for such reasons, medical organizations must keep a record of all related pursuits expertly and extensively, which is critical for their success. These variables are predicted to propel the market at a 6.8% CAGR during the forecast period.

Prominent Growth Drivers Influencing Healthcare Consulting Services market

Rising adoption of digital healthcare services drives market expansion

Healthcare consulting services are in high demand owing to the increasing demand for effective realistic solutions. Healthcare procurement is in great supply around the globe to its applications across a wide range of fields of study within the healthcare industry.

Moreover, as a consequence of favorable government policies in both industrialized and developing economies, opportunities for medical IT consulting are broadening. The capacity of medical consultants to enhance the corporate strategic activities of healthcare organizations is expected to contribute to the expansion of the healthcare consulting services industry over the forecast period.

Mounting pressure to lessen rising healthcare costs to drive market growth

Cost savings are a significant aspect of consulting since by using these services, businesses can save finances on a variety of aspects such as resource management, functions, human resources, and space. The emergence of health insurance exchanges in some nations has added to the strain on the healthcare payer periphery.

Healthcare reform has compelled hospitals and certain other care professionals to restructure their operations in order to cater to millions of uninsured patients and meet new regulatory standards. Hospitals are beginning to recognize the value of implementing appropriate communication and technology alternatives. The requirement to modify existing technology in order to boost productivity and reduce costs is cruising the growth of the healthcare consulting services.

What Could Possibly Hinder Healthcare Consulting Services Market Demand?

An increasing number of multi-sourcing strategies to limit market growth

Instead of employing a one-size-fits-all approach, a growing number of companies are breaking down wider consulting agreements into smaller chunks and employing the assistance of various manufacturers to accomplish work.

Healthcare organizations are progressively embracing the multi-sourcing framework since consulting firms do not essentially have expertise in every practice area. Healthcare providers, funders, and government entities are all pressuring for collaboration among consulting firms on productions.

Category-wise Insights

What would be the outlook of the End-User segment during the forecast period?

The healthcare providers will gain a significant share of this market

Because of the increasing patient population during the analysis period, the healthcare providers segment is expected to be the fastest-growing of all end-user segments.

The healthcare providers segment is expected to account for 35% of the market in 2023. Furthermore, the segment is anticipated to have a market value of US$ 4,900 Million in 2023.

Which Financial Consulting segment is forecast to gain the dominant market share?

Financial consulting segment to generate largest market value

Among all service segments, the financial consulting segment is predicted to have the largest market share and market value of 31% and US$ 4,340 Million respectively.

Because consultants in this sector have worked as financiers, commercial bankers, financial planners, and rating analysts, their diversified experience includes regimen financial advisory services as well as event-driven special circumstances to assist customers. As a result, these factors are expected to influence the segment's growth.

Region-wise Analysis

What is the outlook of the North American Healthcare Consulting Services market?

Increasing medical facilities with the top technologies and services to expand growth prospects

In 2023, North America is accounting for the largest market share at 36%. This is due to the extensive acceptance of digital solutions by healthcare organizations such as governmental entities, the pharmaceutical industry, biotechnology enterprises' hospitals, and other establishments.

Furthermore, North America has a robust regulatory framework in place to remain up with evolving regulatory requirements; there is a huge market for supervisory consulting services throughout the region among healthcare organizations, in addition to assisting the region's market growth. Over the forthcoming years, the North American market is predicted to expand at a CAGR of 6.2%.

Healthcare consulting job applicants may profit from a remarkable population demographic change, which will retain the sector in the growing market. According to the United States Census, the number of Americans aged 65 and up could nearly double to over 98 million by 2060.

The healthcare system will remain a complex challenge since older Americans necessitate more treatment, medications, and lengthy care than other age demographics. Healthcare facilities will require advisors to assist them in developing complex solutions. As a result, this component is expected to propel the market in this region.

What can be expected from the European Market for Healthcare Consulting Services?

Prominent players and advanced management facilities will accelerate the demand

Healthcare consulting has emerged as a broad administrative field that has altered the operational dynamics of the medical system in Europe. The treatment and management of patients are the main priorities of the healthcare sector. One healthcare system for all countries is one of the most effective approaches deployed by the European Union for optimizing the entire healthcare procedure in Europe.

The European market is expected to account for a global market share of 22% in 2023 and is expected to grow sharply at a CAGR of 6.7% over the forecast period. Europe’s top consulting services companies in the healthcare industry are Bain & Company, BearingPoint, KPMG, McKinsey & Company, Nextcontinent, Cordence Worldwide, Curzon Consulting, dss+. Therefore, these factors are anticipated to drive the market over the forecast period.

Start-up Scenario

Notable start-ups t to fortify their market presence by introducing novel and unique product lines, and the aforementioned start-ups have left no stone unturned.

Some concrete examples of significant Healthcare Consulting Services market start-ups are as follows :

• Unico Solution (US) was established in 2009. Unico Solution (US) was acquired by Huron Consulting Group (US) in February 2021 to solidify Huron's data administration and governance functionalities, allowing clients to better maintain their data to optimize operations and drive implementation.
• In 2013, Tao Leadership Limited was established. EY acquired Tao Leadership Limited (Tao) in November 2021. This acquisition is anticipated to boost EY People Advisory Services' expansion by strengthening the firm's already well-known tech-enabled transformational management and culture shift abilities.

Competitive Landscape

The existence of a large number of international companies characterizes the global market. Most of these businesses rely heavily on partnerships, collaborations, and mergers and acquisitions.

Some of the latest developments by key players are mentioned below :

• Deloitte acquired Entrago, a consulting firm headquartered in the United States, in May 2022 to broaden its consulting functionality in healthcare, accounting, and public utilities.
• Cognizant (US) procured Servian, an enterprise transformation consultancy, in April 2021 to widen Cognizant's incorporated, end-to-end digitization capabilities in Australia and New Zealand and assist clients with cloud migration, digital product, and service development, data value unlocking, enterprise application modernization, and operational effectiveness.

Key Segments Covered in the Healthcare Consulting Services Market Report

• By Services:

  • Digital Consulting
  • IT Consulting
  • Financial Consulting
  • Operation Consulting
  • Strategy Consulting
  • HR & Talent Consulting

• By End Use Industry:

  • Pharmaceuticals
  • Medical Technology
  • Healthcare Payers
  • Healthcare Providers
  • Government Bodies

• By Region:

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia and Oceania
  • Middle East & Africa