Healthcare Electronic Data Interchange (EDI) Market Research Report – Global Forecast till 2027

Healthcare Electronic Data Interchange (EDI) Market Information by Component (Software and Services), by Delivery Mode (Web and Cloud-based, EDI VAN), by Transaction (Claims & Encounters), end user - Global Forecast Till 2027

ID: MRFR/HC/5869-HCR | February 2021 | Region: Global | 90 pages

Healthcare Electronic Data Interchange Market Scenario


Healthcare electronic data interchange (EDI) market size is expected to grow significantly over the forecast period. It is anticipated that the market held a valuation of USD 2674 million in 2017 and is projected to grow at a CAGR of 8.8% over the forecast period.


In any healthcare organization enormous number of documents, such as, health insurance reimbursements, patient records, and others, are processed. Using paper forms can be cumbersome and inefficient while retrieving or searching for data. So, electronic data interchange (EDI) in healthcare allows the exchange of computer-processable healthcare data in a standardized format among healthcare professionals, institutions, and patients.


Rising adoption of EDI for operational intelligence and performance management is one of the key factors driving the healthcare EDI market. EDI healthcare transactions helps in the elimination of all paper trails and digitize all transactions which results in lower handling costs of processing healthcare documents. Based on the Workgroup for Electronic Data Interchange (WEDI) estimations, healthcare players can generate significant savings of USD 1 per claim for health plans, USD 1.49 for physicians, USD 0.86 for hospitals, and USD 0.83 for others, with EDI. Various other factors such as rising government support for healthcare IT projects, increasing demand to curtail healthcare costs, rising awareness about the benefits associated with EDI software, increasing adoption of EDI software by pharmaceutical companies, and implementation of favourable funding policies are also expected to propel the growth of the healthcare EDI market.


However, the high implementation cost of EDI software, data security, hesitancy to switch from conventional methods can hinder the market growth over the forecast period.


Segmentation


healthcare electronic data interchange market has been segmented into component, delivery mode, transaction, and end user.


The market, on the basis of component, has been segmented into software, and services.


The market, by delivery mode, has been segmented into web and cloud-based EDI, EDI value added network (VAN), direct (Point-to-Point) EDI, and mobile EDI.


The market, by transaction, has been segmented into claims & encounters and payment & remittance advance, eligibility inquiry and response, claim attachments, claim status and response, enrollments, and referral certification and authorization.


Healthcare EDI market, by end user, has been segmented into healthcare payers, healthcare providers, pharmaceutical & medical device industries, and others. The healthcare payers segment is anticipated to hold the largest market share owing to the increasing adoption of EDI for financial management by physicians and clinicians. The pharmaceutical & medical device industries are expected to grow at the highest CAGR owing to the growing demand for insurance plans.


Healthcare EDI market has been segmented, by region, into the Americas, Europe, Asia-Pacific, and the Middle East & Africa. The healthcare electronic data interchange (EDI) market in the Americas has further been segmented into North America and South America, with the North American market divided into the US and Canada.


The European healthcare electronic data interchange (EDI) market has been segmented into Western Europe and Eastern Europe. Western Europe has been classified as Germany, France, the UK, Italy, Spain, and the rest of Western Europe. 


Healthcare electronic data interchange market in Asia-Pacific has been segmented into Japan, China, India, South Korea, Australia, and the rest of Asia-Pacific. The healthcare electronic data interchange market in the Middle East & Africa has been segmented into the Middle East and Africa.


Regional Market Summary


Global Healthcare Electronic Data Interchange (EDI) Market Share (%), by Region, 2017


Healthcare Electronic Data Interchange


Source: Centers for Disease Control and Prevention (CDC), Eurostat, White Papers, Company Presentations, Annual Reports


Source: Centers for Disease Control and Prevention (CDC), Eurostat, White Papers, Company Presentations, Annual Reports


Geographically, the Americas is anticipated to dominate the global healthcare electronic data interchange market owing to rising healthcare expenditure, increasing participation of market players and technological advancements in EDI software. For instance, in 2016, PLEXIS Healthcare Systems announced the expansion of its EDI services with the formal launch of Ignite EDI. The Ignite EDI hub is powered by four smart, foundational building blocks i.e. the EDI gateway, the Atlas engine, portal technologies, and EDI exploration services.


Europe is expected to hold the second largest position in the global healthcare electronic data interchange market. The market growth in this region is attributed to the government funding and favourable policy implementation.


Healthcare EDI market in Asia-Pacific region consists of countries namely China, Japan, Republic of Korea, India, Australia and Rest of Asia-Pacific. The Asia-Pacific region is expected to be fastest growing region owing to the rising spending on information technology in the Asia-Pacific region. According to the data suggested by the India Brand Equity Foundation (IBEF), spending on information technology in India is expected to grow over 9 per cent to reach USD 87.1 billion in 2018.


The Middle East & Africa are expected to hold the least share of the market. The market growth in this region is expected to be driven by rising awareness about healthcare electronic data interchange software.


Healthcare electronic data interchange (EDI) market, by Component



  • Software

  • Services


Healthcare electronic data interchange (EDI) market, by Delivery Mode



  • Web and Cloud-based EDI

  • EDI Value Added Network (VAN)

  • Direct (Point-to-Point) EDI

  • Mobile EDI


 Healthcare electronic data interchange (EDI) market, by Transaction



  • Claims & Encounters

  • Payment & Remittance Advance

  • Eligibility Inquiry and Response

  • Claim Attachments

  • Claim Status and Response

  • Enrollments

  • Referral Certification and Authorization


Healthcare electronic data interchange (EDI) market, by End User



  • Healthcare Payers

  • Healthcare Providers

  • Pharmaceutical & Medical Device Industries

  • Others


 Healthcare electronic data interchange (EDI) market, by Region



  • Americas


    • North America


      • US

      • Canada


    • South America


  • Europe


    • Western Europe


      • Germany

      • France

      • Italy

      • Spain

      • UK

      • Rest of Western Europe

      • Eastern Europe



  • Asia-Pacific


    • Japan

    • China

    • India

    • Australia

    • South Korea

    • Rest of Asia-Pacific


  • The Middle East & Africa


    • Middle East

    • Africa



Healthcare electronic data interchange (EDI) market, by Key Players



  • GE Healthcare

  • McKesson Corporation

  • Cognizant

  • Allscripts Healthcare Solutions Inc.

  • Siemens Healthineers

  • Optum, Inc.

  • The SSI Group, LLC

  • Schreiner Group

  • ZirMed Inc.

  • Experian Information Solutions, Inc.

  • Emdeon Inc.

  • Passport Health Communications

  • HealthFusion


 Intended Audience



  • Research and Development Organization

  • Diagnostic Laboratories

  • Healthcare Organizations

  • Academics and Research Institutes

  • Pharmaceutical & Biopharmaceutical companies

  • Market Research and Consulting Service Providers



Report Scope:
Report Attribute/Metric Details
  Market Size   2027: Significant Value
  CAGR   8.8% (2018-2023)
  Base Year   2019
  Forecast Period   2020-2027
  Historical Data   2018
  Forecast Units   Value (USD Million)
  Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
  Segments Covered   Component, Delivery Mode, Transaction and end user
  Geographies Covered   North America, Europe, Asia-Pacific, and Rest of the World (RoW)
  Key Vendors   GE Healthcare, McKesson Corporation, Cognizant, Allscripts Healthcare Solutions Inc., Siemens Healthineers, Optum, Inc., The SSI Group, LLC, Schreiner Group, ZirMed Inc., Experian Information Solutions, Inc., Emdeon Inc., Passport Health Communications, HealthFusion
  Key Market Opportunities   Rising awareness about the benefits associated with EDI software
  Key Market Drivers   Rising adoption of EDI for operational intelligence and performance management


Frequently Asked Questions (FAQ) :


Global healthcare electronic data interchange market was valued at more than USD 2.6 billion in 2017.

Global Healthcare Electronic Data Interchange (EDI) Market is expected to exhibit a solid 8.8% CAGR over the forecast period from 2018 to 2023.

The major driver for the healthcare electronic data interchange market is the increasing demand for higher operational intelligence and performance management in the healthcare sector, which has driven the demand for digital healthcare solutions.

The high costs of electronic data interchange systems and the threat of data theft are the key restraints on the global healthcare electronic data interchange market.

Leading players in the global healthcare electronic data interchange market include GE Healthcare, McKesson Corporation, Cognizant, Siemens, Optum Inc., ZirMed Inc., and Emdeon, among others.



This table of content is tentative and subject to change as the research progresses.

Please Note:  Financial details of company cannot be provided if the information of the company is not available in public domain and or reliable source.