The health economics & outcomes research (HEOR) services market is expected to develop substantially by 2028 on account of growing expenditure towards R&D activities around the world.

Rising number of clinical trials in view of the ongoing COVID-19 pandemic and growing need to measure economic value in healthcare and health has boosted industry expansion during the pandemic. Furthermore, market participants have been employing profitable strategies to tap into the emerging trends in the sector, thereby enhancing the overall business scenario.

For instance, in December 2021, Thermo Fisher Scientific Inc., a prominent supplier of scientific instrumentation, software services, and reagents and consumables, announced the acquisition of Pharmaceutical Product Development (PPD), a leading contract research organization. The deal enabled Thermo Fisher to strengthen its presence in the clinical research services industry and expand its services to biotech and pharma customers.

The health economics & outcomes research (HEOR) services market has been segregated on the basis of end-user, service, service provider, and region. With respect to service, the market has further been classified into market access solutions & reimbursement, economic modeling/ evaluation, clinical outcome, real-world data analysis & information systems, and others.

In 2021, the market access solutions & reimbursement sub-segment garnered a valuation of around USD 188 million and is projected to showcase a solid growth trajectory through the review period. This growth is attributed to increasing number of clinical trials and mounting awareness regarding HEOR services.

In terms of service provider, the health economics & outcomes research (HEOR) services market has been bifurcated into contract research organizations (CROs) and consultancy. The consultancy sub-segment accounted for a considerable market share of about 31% in 2021 and is slated to witness optimistic expansion over the forecast timeline. Burgeoning demand for secured services is likely to bolster segmental development over the following years.

From the end-user point of view, the market has been segmented into healthcare payers, government organizations, healthcare providers, biotech/pharma companies, and others. The health economics & outcomes research (HEOR) services market share from the government organizations sub-segment was worth more than USD 169 million in 2021 and is anticipated to grow at a notable CAGR through the study period. Rising number of government initiatives that promote the adoption of digital healthcare is set to fuel product uptake in the coming time period.

On the regional front, the Latin America health economics & outcomes research (HEOR) services market accounted for nearly 3% of the overall industry revenue in 2021 and is poised to progress at a sturdy pace over 2022-2028. Notable technological advancements in the regional healthcare industry are estimated to drive market expansion in LATAM.