Fastest Growth Areas are Wellness Monitoring and e-Health Services
Revenue from digital-home health services in the U.S. will quadruple over the next five years to exceed $2.1 billion in 2010, according to Delivering Quality Healthcare to the Digital Home, a new report from Parks Associates. The two fastest growing areas, wellness monitoring services and e-health services, will both achieve a compound annual growth rate (CAGR) of over 50% over the next five years, while geriatric care monitoring services will achieve a CAGR of 22% and acute care monitoring services a CAGR of 35% over the same time period.
“Due to the aging population in the U.S. and the gradual change in the healthcare service model from clinical intervention to preventive care, home-based healthcare services demonstrate strong long-term growth potential,” said Harry Wang, research analyst at Parks Associates.
Delivering Quality Healthcare to the Digital Home is less bullish on the industry’s near-term growth potential, however, which is inhibited by several factors, including a lack of documentation on the clinical efficacy and financial benefits of home care services. As a result, payors in both private and government sectors are less likely now and in the next two years to proactively reimburse care providers for these types of services.
“This industry will start to grow rapidly around 2008-2010, when enough clinical data and cost-saving evidence exist to influence payors’ attitudes towards home-based care services,” Wang said. “Meanwhile, services that are easily comprehensible to consumers and subject to less stringent clinical standards, such as e-health services and wellness monitoring, will see faster adoption by consumers, service providers, and payors.”
Delivering Quality Healthcare to the Digital Home is a comprehensive industry report analyzing the emerging technologies and their applications in the healthcare industry. Using data from Parks Associates’ recent survey Bundled Services & Residential Gateways: 2005, it focuses on products and services that help consumers manage their chronic disease states at home through advanced communication tools, self-diagnostic devices, and home-monitoring appliances. The report also examines incentives, regulatory and reimbursement issues, and the drivers and barriers for the implementation of home-based care services. Finally, the report profiles emerging players and offers a future roadmap for this industry.
For additional information on Delivering Quality Healthcare to the Digital Home or Bundled Services & Residential Gateways: 2005, visit www.parksassociates.com or contact 972-490-1113 or sales@parksassociates.com.
About Parks Associates: Parks Associates is a market research and consulting firm focused on all product and service segments that are “digital” or provide connectivity within the home. The company’s expertise includes home networks, digital entertainment, consumer electronics, broadband and Internet services, and home systems.
Founded in 1986, Parks Associates creates research capital for companies ranging from Fortune 500 to small start-ups through market reports, multiclient studies, consumer research, workshops, and custom-tailored client solutions. Parks Associates also hosts Fall Focus and co-hosts CONNECTIONS (in partnership with the Consumer Electronics Association) each year. www.parksassociates.com.
