Real-world data (RWD) generated from a variety of healthcare settings is increasingly being utilized to evaluate and improve healthcare decisions. RWD encompasses a wide range of data sources including electronic health records (EHR), claims and billing activities, product and disease registries, patient-generated data including mobile devices, and data gathered from other external sources. This data provides insights into patient outcomes associated with various treatment registries outside the context of traditional clinical trials. Insights from RWD are supporting healthcare providers and life sciences companies to better understand treatment effectiveness, assess risks and benefits of therapies, support regulatory and reimbursement decision making, and improve clinical outcomes.
The global Real-world Data (RWD) Market is estimated to be valued at US$ 1.59 Bn in 2023 and is expected to exhibit a CAGR of 14.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Increased use of AI and machine learning techniques to generate meaningful insights from RWD is a key trend expected to drive market growth over the forecast period. Significant amounts of RWD captured through various sources have created a massive trove of data that requires advanced analytical capabilities to extract meaningful insights. AI and machine learning algorithms are playing a crucial role in analyzing real-world data sets, identifying patterns, and generating actionable intelligence for improved clinical and commercial decision making. Leading companies are making significant investments in AI capabilities to maximize value from RWD.
Threat of new entrants: The real-world data market poses moderate threat of new entrants due to the need for significant investment in data collection infrastructure and database management.
Bargaining power of buyers: Individual buyers have moderate bargaining power as there are many vendors offering real-world data services. However, larger players may negotiate better pricing and contracts.
Bargaining power of suppliers: Data suppliers such as hospitals, insurance companies etc have moderate bargaining power due to limited availability of high-quality real-world data sources.
Threat of new substitutes: There exist low threat of substitutes to real-world data as it provides important insights that cannot be derived from other sources such as clinical trial data.
Competitive rivalry: The market is highly competitive with focus on expanding data assets and partnerships.
The Global Real-World Data (RWD) Market is expected to witness high growth over the forecast period supported by increasing investments from pharma companies.
Regional analysis: North America is currently the largest and fastest growing market for RWD attributed to early adoption and significant data collection efforts in the US. The Asia Pacific region is expected to showcase high growth on account of rising healthcare expenditure in countries like China and India.
Key players: Key players operating in the real-world data (RWD) market include IQVIA Holdings Inc., Optum, Inc., Cerner Corporation, Flatiron Health, Inc., IBM Corporation, and Tempus Labs Inc. Companies are focusing on expanding their real-world datasets through strategic partnerships to enhance their service offerings.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it