The ****** Life Science Analytics Market size is expected to reach USD 14.1 billion by 2028, according to a new report by Grand View Research, Inc. The market is expected to expand at a CAGR of 7.8% from 2021 to 2028. The growing need to improve patient outcomes and reduce healthcare costs is contributing to the growing demand for life science analytical solutions. The growing demand for personalized medicine and the rising impact of social media and the internet on shaping the healthcare industry are boosting growth. Furthermore, the growing adoption of analytical solutions and the emergence of advanced analytics for the life science industry is further driving the market during the forecast period.
The ongoing Covid-19 pandemic has burdened healthcare systems across the globe and is anticipated to drive the demand for analytics in the life science industry. Technological advancements during the pandemic have enabled healthcare systems to develop solutions to overcome physical limitations of capital and labor and open up new sources of value and growth. For instance, Moderna and IBM utilized artificial intelligence, cloud computing, and blockchain solutions to support Covid-19 vaccine management.
Based on component, the services segment accounted for the largest revenue share in 2020 owing to the increasing trend of outsourcing these services since healthcare and life science companies lack resources and capabilities to deploy analytical software and services. Additionally, the services segment is expected to exhibit the fastest growth during the forecast period owing to multi-package services offered by these outsourced companies.
In 2020, the descriptive type segment accounted for the largest revenue share owing to the growing demand for descriptive and quantifiable analysis using historic data. The growing need of understanding past behavior of consumers and serviceable audience to predict future market dynamics using data mining techniques are contributing to the growth of the descriptive type segment. On the other hand, the predictive type segment is anticipated to register the fastest-growing during the forecast period owing to the increasing adoption of advanced analytics to predict possible future outcomes and aids stakeholders in designing strategies and devise appropriate tactics to sustain and improve performance.
Based on the application, the sales and marketing support segment accounted for the largest revenue share in 2020 owing to the increasing adoption of big data analytics in the sales and marketing vertical of life science companies to attain higher consumer responsiveness and gain consumer insight to enhance sales productivity. On the other hand, the research and development segment is expected to exhibit the fastest growth during the forecast period owing to the growing pipeline of pharmaceutical and medical device companies. In addition, the segment is expected to experience an increase in demand for licensing products and technologies and would eventually contribute to the growth and development of the market.
In 2020, the on-premise delivery segment accounted for the highest revenue share owing to the ease of access from remote locations with minimized costs and maintenance. On the other hand, the on-demand delivery segment is anticipated to grow fast during the forecast period owing to the increasing adoption of cloud computing solutions. In addition, increased usage of the internet and web-based services and its enhanced accessibility from the most remote locations are contributing to segment growth.
Based on end-user, pharmaceutical companies accounted for the largest revenue share in 2020 owing to the rising adoption of analytical software solutions to enhance the efficiency of clinical trials and increase drug utilization. On the other hand, the biotechnology segment is anticipated to grow fast during the forecast period owing to the increasing adoption of analytics in genome analysis and sequencing to curb expenditure. In addition, the availability of personalized data analytic solutions is increasing the growth and development of the segment.
In 2020, North America dominated the market and accounted for the largest revenue share. This can be attributed to the rise in adoption of advanced analytics, growing geriatric population and increasing prevalence of non-communicable diseases, high economic development, and presence of well-equipped infrastructure and facilities. On the other hand, Asia Pacific is expected to be the fastest-growing region during the forecast period owing to infrastructure investments, regional expansion, economic development, and low-cost and highly skilled workforce is boosting the growth of the market in Asia Pacific.
Life Science Analytics Market Report Highlights
- The market is anticipated to witness significant growth over the forecast period owing to the increasing adoption of analytics and the emergence of advanced analytics in the life science industry
- The services component segment dominated the market in 2020, owing to the growing trend of outsourcing these services
- The descriptive type segment dominated the market in 2020, owing to the growing demand for descriptive and quantifiable analysis to understand business scenarios
- The sales and marketing support application segment dominated the market in 2020, owing to the increasing adoption of analytical solutions to enhance sales productivity
- The on-premise delivery mode segment dominated the market in 2020 owing to the easy accessibility of these solutions from remote locations
- The pharmaceutical companies segment dominated the market in 2020 owing to the growing pipeline and need of enhancing clinical trial efficiency and rising demand for personalized medicine
- North America dominated the market in 2020 owing to technological advancements in well-equipped facilities