by Real-world data (RWD) refers to data related to patient health status and/or delivery of healthcare routinely collected from a variety of sources. This type of data provides insights into the patient experience with a therapeutic intervention in real-world settings. RWD finds widespread utilization in applications such as tracking outcomes of patients for a specific disease, monitoring adverse effects of drugs, and understanding patterns of clinical practice. Pharmaceutical and biotechnology companies leverage RWD to expedite clinical trials, facilitate regulatory reviews and approvals, support payer negotiations, and optimize product launches.
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 Dynamics:
Increased adoption of precision medicine is expected to drive the global RWD market growth over the forecast period. Precision medicine is an emerging approach for disease treatment and prevention that takes into account individual variability in genes, environment, and lifestyle for each person. RWD serves as an important data source for precision medicine studies exploring the genetic basis of diseases and personalized therapies. Another factor fueling the market growth is rising demand for RWD from pharmaceutical companies to optimize drug development and commercialization efforts. RWD provides evidence for assessing drugs’ real-world effectiveness, safety, and economic value and helps pharmaceutical companies gain approvals more quickly.
Segment Analysis
The real-world data (RWD) market is dominated by the clinical research segment which captures about 60% market share. Clinical research being the biggest application of real-world data helps in understanding treatment patterns of diseases and validating clinical trial results post market launch. Other major segments include market access and reimbursement which holds around 25% share. Under this segment, RWD helps payers and providers evaluate the cost-effectiveness of therapies for coverage decisions. The remaining 15% share is captured by medical device and diagnostics segment where real-world data helps companies to monitor performance and safety of devices post approval.
PEST Analysis
Political: Government bodies across regions are laying stringent regulations and rules for data privacy and security which is influencing RWD collection practices. Changes in political landscape can impact regulations.
Economic: The Covid-19 pandemic has boosted healthcare spending globally which is driving increased investments in real-world data powered solutions for disease monitoring and management. Fluctuations in economic conditions can affect market funding.
Social: Growing acceptance of digitized healthcare services among patients has increased willingness to share health data. However, concerns around privacy continue to pose challenges.
Technological: Advancements in artificial intelligence, blockchain, analytics are enhancing capabilities of real-world data platforms. Integration of real-time data streams is further improving insights.
Key Takeaways
The Global Real-World Data (RWD) Market is expected to witness high growth over the forecast period supported by rising demand for real-world evidence in clinical research and healthcare decision making. North America dominates currently owing to the region’s early adoption of EHRs and data-driven approaches in the healthcare industry. However, Asia Pacific is anticipated to emerge as the fastest growing regional market led by China, Japan and India.
Regional analysis
Asia Pacific region is expected to offer lucrative growth opportunities for players operating in the RWD market. Countries like China, India, Japan and South Korea are witnessing increased digitization of their healthcare infrastructure in line with their aim of universal health coverage for citizens. This is enabling seamless real-time collection of patient health records. Additionally, these nations also have large patient pools providing a robust dataset to generate real-world evidence.
Key players
Key players operating in the real-world data market are IQVIA Holdings Inc., Optum, Inc., Cerner Corporation, IBM Corporation, Tempus Labs Inc., Syneos Health Inc. IQVIA being the market leader has a strong footprint across regions due to its expertise in data sciences, consulting and technology platforms for healthcare organizations and life sciences companies. Optum is another major player known for its broad range of RWD and analytics services driving better clinical and financial outcomes.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
