April 20, 2024
Real-world Data (RWD) Market

Leveraging Real-World Data Insights, Real-World Data (RWD) Market Driven By Personalized Healthcare

The real-world data (RWD) refers to data relating to patient health status and/or the delivery of healthcare routinely collected from a variety of sources. Such sources include electronic health records, claims and billing activities, product and disease registries, patient-generated health data including data from personal monitoring devices. The global RWD market has transformed clinical research and drug development through enabling the incorporation of real-world evidence and insights. RWD provides cost-effective and timely access to diverse patient populations and allows for improving patient outcomes through providing personalized healthcare approaches.

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 4.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

One of the major trends in the global RWD market is the rising adoption of RWD analytics by pharma companies to accelerate the development of precision medicines. RWD analytics enables pharma players to gain deeper patient insights, identify targeted patient populations, and track treatment patterns and outcomes in real-world settings. This helps streamline clinical trials and drug approvals. Further, growing investments by government and private players in building data sharing platforms are also boosting the RWD market growth. For instance, in 2021, Oracle announced plans to invest $28 billion to expand its data cloud division to help healthcare providers and life sciences companies leverage real-world data and accelerate research.

Porter’s Analysis

Threat of new entrants: Low due to high capital requirements for data collection, storage, management and analytics capabilities.
Bargaining power of buyers: Moderate as customers have options of in-house data collection and analytics teams or smaller specialized data firms.
Bargaining power of suppliers: Moderate as data suppliers largely include pharmaceutical and medical device companies and have few alternatives for monetizing their data assets at scale.
Threat of new substitutes: Moderate as alternative data types continue to emerge but RWD maintains advantages of scale, real-world settings and diversity.
Competitive rivalry: High among major data analytics firms due to increasing investments and strategic acquisitions driving further platform developments.

Key Takeaways

The Global Real-World Data (RWD) Market Demand is expected to witness high growth. 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 4.9% over the forecast period 2023 to 2030.

North America currently dominates the market owing to supportive regulatory environment and presence of major pharmaceutical companies. The region’s RWD market valuation is expected reach US$ 1 Bn by 2023 growing at a CAGR of 5.3% during the forecast period. Europe is the second largest regional market for RWD driven by initiatives like the Innovative Medicines Initiative promoting data sharing across the European Union. Asia Pacific is emerging as a high potential market led by increasing research capabilities in countries like China, Japan and India. Significant growth opportunities exist in utilizing real-world Asian data to address the healthcare needs of region’s large population.

Key players operating in the real-world data (RWD) market include IQVIA, IBM, Oracle, Evidation Health, SAS Institute, Optum and Ciox Health among others. Major players are focusing on partnerships and collaborations to expand network of data sources and analytics capabilities addressing therapy areas. Strategic acquisitions remain an important consolidation strategy to gain complementary capabilities and customer bases.

1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it