Transitional care management services market

Market Size and Trends

Global transitional care management services market is estimated to be valued at USD 230.26 Bn in 2024 and is expected to reach USD 618.87 Bn by 2031, exhibiting a compound annual growth rate (CAGR) of 15.2% from 2024 to 2031.

The market is expected to witness significant growth during the forecast period due to rising geriatric population globally and growing prevalence of chronic diseases.. With increase in aging population and life expectancy, the need for transitional care management services is expected to increase substantially. Various initiatives taken by government and private organizations to reduce hospital readmissions and shift toward value-based care will further drive the market growth over the next few years. However, lack of skilled workforce and high costs associated with these services may hinder the market growth to some extent during the forecast period.

Rising geriatric population

The global population is aging at an unprecedented rate. Transitional care management programs are aimed at supporting the unique needs of elderly patients. Thes aim to help with coordination of care as older adults transition between different care settings like from hospitals to home or to assisted living facilities. With individuals spending more years in their later lives, demand is surging for programs that can help vulnerable senior patients avoid unnecessary readmissions and complications after changes in care levels. Transitional care management looks to play a vital role in improving health outcomes and quality of life for the growing elderly demographic worldwide.

Market Concentration and Competitive Landscape

Rise of chronic conditions

Chronic conditions have become much more prevalent in recent decades. Diseases like heart disease, diabetes, cancer, and respiratory illnesses now account for most healthcare spending. Older adults in particular are dealing with multiple chronic conditions simultaneously. Managing complex chronic care regimens and preventing exacerbations that could lead to hospitalizations is challenging. Transitional care management programs work to ensure proper follow up, medication management, coordination with specialists, and lifestyle modifications take place as patients’ transition between care levels with chronic illnesses. This helps to reduce readmissions and assist patients and caregivers in better self-managing long-term conditions. As chronic disease prevalence continues increasing with an aging global population, demand is anticipated to grow for transitional care models that support complex chronic care needs during care changes.

Market Challenges: Lack of reimbursement for services

Global transitional care management services market faces several challenges. There is significant competition from traditional healthcare providers who offer similar services. Gaining acceptance from physicians and patients for a relatively new approach takes time and resources. Reimbursement rates for these services also remain uncertain. Insurance providers have not fully standardized how these will cover transitional care management. This variability adds financial risk for new entrants.

Market Opportunities: Novel solutions to streamline data storing and sharing

An aging population and emphasis on lowering readmission rates are increasing demand for transitional care services. Healthcare systems seek cost-effective ways to coordinate care across settings. New technology solutions can help streamline services and data sharing between providers. Entrepreneurial startups are exploring innovative business models to address underserved areas. With the right strategy, companies can differentiate themselves in this emerging space.

Insights, By Service Type: Aging Population and Chronic Disease Management Boosts Patient TCM Services

Service Type segment is sub-segmented into healthcare TCM services, patient TCM services, billing TCM services, and others. Patient TCM services segment is anticipated to hold 29.7% of the market share in 2024. As individuals age, one often suffer from multiple chronic health conditions that require continuous monitoring and management. Patient TCM services help coordinate care needs for the elderly and chronically ill across different healthcare settings. These ensure smooth transition of patients from one level of care to another, timely administration of medications, compliance with treatment plans, and effective communication between patients and care teams. This alleviates patient suffering and reduces healthcare costs associated with repeated hospital readmissions. With life expectancy rising in most countries and lifestyle diseases on the rise, the demand for patient-centric transitional care models will increase significantly.

Insights, By Disease Type: Rising Diabetes Burden

Disease Type segment is sub-segmented into diabetes, cardiovascular diseases, asthma, arthritis, neurological diseases, and others. Diabetes segment is estimated to contribute the highest share of the transitional care management services market and is projected to hold 27.8% of the market share in 2024. A healthy lifestyle and proper management are essential for diabetes patients to control blood sugar levels and prevent complications. However, shifting between different levels of care often disrupts treatment protocols and self-management routines. Transitional care services play a vital role in diabetes management by facilitating continuity of care, patient education, medication reconciliation and coordination with primary care providers. These promote adherence to diet and medications as well as screening and treatment of associated conditions like foot ulcers or eye problems. This helps lower the health, social and economic burden of diabetes on patients and healthcare systems. Hence, growing diabetes epidemic is a major driver for transitional care models focused on effective disease management.

Insights, By End User: Shift to Community-Based Care Boosts Transitional Services in community facilities

End User segment is sub-segmented into community settings and inpatient settings. Community settings segment is estimated to contribute the highest share of the transitional care management services market and is projected to hold 58.8% of the market share in 2024. Healthcare reforms worldwide are aimed at reducing over-reliance on expensive inpatient care through greater investments in primary, home-based and ambulatory transitional care programs. Coordinated care in community settings allows for timely follow-ups, check-ups and management of chronic conditions in a convenient, cost-effective manner close to patients' homes. It ensures seamless hand-offs between care providers, continuity of medical records, reconciliation of medications and streamlined care coordination. This improves health outcomes, patient satisfaction and lowers readmission rates.

Regional Insights

North America has dominated the transitional care management services market for several years owing to high healthcare expenditure and early adoption of advanced healthcare systems in countries like the U.S. The North America is anticipated to hold 43.9% of the market share in 2024. Well-established players, large patient pool requiring post-hospitalization care, and favorable regulatory scenario has ensured North America's leadership position.

The Asia Pacific region is forecasted to emerge as the fastest growing market in coming years. Countries like China, India and Japan are witnessing tremendous growth opportunities on the back of expanding medical tourism industry, rising geriatric population, growing incidences of chronic diseases and improving access to quality healthcare facilities. Rising incomes have made healthcare more affordable for common masses in the region. Furthermore, governments are focusing on development of modern healthcare infrastructure to meet the demands of their burgeoning patient population. It offers lowest treatment costs as compared to other major destinations and has seen massive investments by medical service providers in past decade. Select cities have emerged as medical hubs rivalling destinations in South-East Asia. The country with a young demographic and universal healthcare goal is well positioned to capture higher outsourcing from developed markets and become a key exporter of transitional care services.

Market Report Scope

Key Developments

• In July 2023, Curana Health, a provider of high-quality primary care, and 24 Our Care, a provider of value-based, non-face-to-face chronic care management (CCM) services, announced a collaboration to offer CCM services in Pennsylvania. Curana Health and Presbyterian Senior Living (PSL) will work together to provide CCM services to PSL residents throughout Pennsylvania. The collaboration will help the operator achieve its aims of holistically caring for the whole person and interacting with residents at all stages of life.
• In July 2023, ABOUT Healthcare, Inc., a leading provider of solutions for orchestrating patient access across the care continuum, and Panda Health, a digital health technology company, announced an exclusive partnership to elevate the role of care management and longitudinal care in health systems across the U.S.
• In April 2023, MedArrive, a mobile-integrated care management platform, announced USD 8 million in new funding backed by Cobalt Ventures, a wholly owned subsidiary of Blue Cross and Blue Shield of Kansas City (Blue KC). MedArrive serves both adult and pediatric populations, offering a white-label care management system that brings care into the home, typically for the most difficult-to-reach, disengaged, and vulnerable groups.
• In March 2023, PointClickCare Technologies, a leading healthcare technology platform, announced the acquisition of Patient Pattern, a leading value-based care EHR and integrated care management solution.

Definition: Transitional Care Management Services Market provides services to support patient care transitions from one healthcare setting to another, such as from a hospital to home or from a nursing home to home. These services help ensure patients understand any care changes, properly manage their medications, follow treatment plans, and have access to follow-up care with their provider post-discharge. Transitional care management services aim to prevent medical errors, reduce hospital readmissions, and improve patient health outcomes through coordinated care between different healthcare settings.

Market Segmentation

• Service Type Insights (Revenue, USD BN, 2019 - 2031)
  • Healthcare TCM Services
  • Patient TCM Services
  • Billing TCM Services
  • Others
•  Disease Type Insights (Revenue, USD BN, 2019 - 2031)
  • Diabetes
  • Cardiovascular Diseases
  • Asthma
  • Arthritis
  • Neurological Diseases
  • Others
•  End User Insights (Revenue, USD BN, 2019 - 2031)
  • Community Settings
  • Inpatient Settings
• Regional Insights (Revenue, USD BN, 2019 - 2031)
  • North America
    • U.S.
    • Canada
  • Latin America
    • Brazil
    • Argentina
    • Mexico
    • Rest of Latin America
  • Europe
    • Germany
    • U.K.
    • Spain
    • France
    • Italy
    • Russia
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • South Korea
    • ASEAN
    • Rest of Asia Pacific
  • Middle East
    • GCC Countries
    • Israel
    • Rest of Middle East
  • Africa
    • South Africa
    • North Africa
    • Central Africa
• Key Players Insights
  • PharMerica Corporation
  • Reliq Health Technologies, Inc.
  • WellSky
  • Humworld Inc.
  • Rijuven Corp.
  • CareVitality
  • ACT Health Solutions
  • Medsie
  • Nextgen Healthcare
  • Prohealth Select
  • Well Living Initiative (WLI)
  • BrightStar Care
  • VNA Health Group
  • Premier Home Health Care Services
  • CareCentrix
  • Aveanna Healthcare
  • Optum