Laboratory Information System /LIS Market - Industry Analysis, Market Size, Share, Trends, Growth and Forecast 2021 - 2026

Report Code: HCR 0494 Report Format: PDF + Excel

Laboratory Information System /LIS Market Overview

The Laboratory Information System /LIS market size is estimated to reach $2.24 billion by 2026, growing at a CAGR of 9.3% during the forecast period 2021-2026. Laboratory Information System, also known as a laboratory management system is software that processes, stores and manages data from all stages of medical processes and tests. The data collected are then stored in a secure database for future reference. Rapid innovation in this sector has resulted in advancements in overall features that can be provided by LIS. They have progressed from simple tracking to an enterprise resource planning tool that has the ability to monitor various parts of laboratory informatics. The increase in the adoption of IT systems in healthcare is anticipated to drive the market during the forecast period. However, the high costs associated with the software and services act as a challenge for the growth of the Laboratory Information System /LIS industry.

Laboratory Information System /LIS Market Report Coverage

The report: “Laboratory Information System /LIS Market Forecast (2021-2026)”, by Industry ARC, covers an in-depth analysis of the following segments of the Laboratory Information System /LIS Market.

  • By Product Type: Standalone and Integrated
  • By Component: Software and Services
  • By Delivery Mode: Web-based, On-premise, and Cloud-based
  • By End User: Hospital Laboratories, Physician Laboratories, Independent Laboratories, and Others
  • By Geography: North America (U.S., Canada, and Mexico), Europe (Germany, UK, France, Italy, Spain, Russia, and Rest of Europe), Asia-Pacific (China, India, Japan, South Korea, Australia & New Zealand, and Rest of Asia-Pacific), South America (Brazil, Argentina, and Rest of South America) and Rest of World (the Middle East and Africa).

Key Takeaways

  • Geographically, the North American Laboratory Information System /LIS market accounted for the largest share in 2020 owing to the presence of well-developed healthcare infrastructure in the region.
  • An increase in the number of medical procedures and tests is driving the demand for LIS. However, the risk of data breaches and cyber-attacks on the LIS databases is a major challenge that can hamper growth.
  • Detailed analysis on the Strength, Weaknesses, and Opportunities of the prominent players operating in the market will be provided in the Laboratory Information System /LIS Market Report.

Laboratory Information System /LIS Market Share, By Geography, 2020(%)

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Laboratory Information System /LIS Market Segment Analysis - By Product Type

Based on Product Type, the Laboratory Information System /LIS Market is segmented into Standalone and Integrated. The Integrated segment is anticipated to have the largest share of the market in 2020 and is poised to dominate the market during the forecast period 2021-2026. Moreover, this segment is also projected to grow the fastest at a CAGR of 9.7% during the forecast period. The rapid growth can be attributed to their various crucial benefits such as automated laboratory administration, reduced risk of errors, integration of instruments and equipment, and higher overall efficiency. Moreover, integrated LIS removes the need for manual order entry, which eliminates any risk of human errors and saves time. The system makes use of barcode technology with an interface to LIS for order entry and tracking.

Laboratory Information System /LIS Market Segment Analysis - By Delivery Mode

The Laboratory Information System /LIS Market based on Delivery Mode can be further segmented into Web-based, On-premise, and Cloud-based. The On-premise segment accounted for the largest share of the market in 2020. On-Premise software requires the laboratories to have a license of the software. As this licensed copy stays within the laboratory, it can provide much higher data protection than Cloud-based delivery. This is essential as the patient data being stored is highly sensitive and protected by law. However, the Cloud-based delivery mode segment is also anticipated to witness significant growth at a CAGR of 10.3% during the forecast period owing to their significantly lower costs. On-Premise solution requires in-house server hardware, software licenses, integration capabilities, and IT employees in order to function properly. However, in Cloud-based, a third-party host will provide the services.

Laboratory Information System /LIS Market Segment Analysis - By Geography

The Laboratory Information System /LIS Market based on Geography can be segmented into North America, Europe, Asia-Pacific, South America, and the Rest of the World. The North American segment is projected to dominate the Laboratory Information System /LIS market during the forecast period 2021-2026 with a market share of 37% owing to the presence of highly developed healthcare infrastructure, high healthcare expenditure, and increasing penetration of IT in the healthcare sector. Moreover, the rapid rise in the prevalence of chronic diseases such as cancer, diabetes, and heart disease in the region is increasing the demand for laboratory services. However, the Asia Pacific region is predicted to register the fastest growth during the forecast period owing to the increase in disposable income, rising geriatric population, and growth in public healthcare funding in major emerging economies like China and India.

Laboratory Information System /LIS Market Drivers

  • Increase in Healthcare Expenditure is Projected to Drive Market Growth.

An increase in the healthcare expenditure of developed and major developing countries is driving the demand for LIS systems as rising expenditure increases the purchasing power of healthcare facilities promotes the adoption of LIS. For instance, the annual healthcare expenditure in the US is projected to grow at a rate of 5.4% between 2019 and 2028. The healthcare expenditure was around $4 trillion in 2020 and is poised to reach $6.19 trillion by 2028. India only spent around 1.2% of its GDP on healthcare in 2021. However, this is projected to reach 3% by 2022. Furthermore, the Indian government is planning to introduce a credit incentive program worth $6.8 billion to boost the country’s healthcare infrastructure.

  • The rise in Lifestyle disorders is Anticipated to Boost Demand.

Owing to the growth in global disposable income and urbanization, more people are following a sedentary lifestyle. This is causing an increase in lifestyle diseases such as obesity, hypertension, cancers, and diabetes. Around 39% of the global adult population is overweight and 9.8% suffer from diabetes. Furthermore, 26% of the population suffers from hypertension and this is projected to reach 29% by 2025. According to the International Agency for Research on Cancer (IARC), more than 19.3 million people were diagnosed with cancer in 2020 and the disease was responsible for around 10 million deaths worldwide. Around 20% of the global population will be diagnosed with the disease at some point during their lifetime, and 1 in 8 men and 1 in 11 women die from cancer. This will increase the demand for advanced diagnostic and laboratory services for early detection.

Laboratory Information System /LIS Market Challenges

  • The Low Awareness of LIS is Anticipated to Hamper Market Growth.

The low awareness regarding the benefits of integrating IT in healthcare in low and middle-income countries act as a major threat for demand generation. This is attributed to the low public and private healthcare expenditure, which is leading to the lower purchasing capacity of the majority of small-scale public and private hospitals in these regions. For Instance, according to the World Health Organization (WHO) database, the annual per capita healthcare expenditure in South Africa and Bangladesh were only $525.9 and $41.9 respectively. This is extremely low compared to developed countries such as the US who spent around $10623.8 per capita. This means that the laboratories in these countries lack the capital to invest in LIS software and therefore, continue using physical records for their activities.

  • Risk of Data Breach is Projected to Limit Growth Opportunities

The growing concern regarding the leak of confidential patient information from healthcare facilities owing to cyber-attacks is a major challenge that can hamper the market growth. For instance, on average, more than 3.34 million healthcare records were breached every month in the US between July 2020 and June 2021 by ransomware and other cyberattacks. The leaked information includes patient names, addresses, diagnosis information, contact details, and insurance information. The American health service provider UHS lost around $67 million in 2020 owing to network shutdowns caused by ransomware attacks. These records can be sold for up to $1,000 per record in order to be used for illegal activities such as forging passports and insurance fraud.

Laboratory Information System /LIS Market Industry Outlook:

Product launches, mergers and acquisitions, joint ventures, and geographical expansions are key strategies adopted by players in the Laboratory Information System /LIS Market. The top 10 companies of the industry include:

  1. Orchard Software Corporation
  2. Sunquest Information Systems Inc
  3. Cerner Corporation
  4. Computer Programs and Systems
  5. CompuGroup Medical AG
  6. Meditech
  7. Comps Pro Med
  8. LabWare
  9. LabSoft
  10. Clin lab

Partnerships/Product Launches:

  • In May 2021, Orchard Software has announced the acquisition of Corwen, LLC in order to enhance the company’s molecular capabilities and continue its commitment to providing the most comprehensive, integrated LIS solution on the market. Corwen’s molecular solution will work alongside Orchard’s broader LIS and point-of-care testing solutions.
  • In December 2020, CompuGroup Medical acquired Schuyler House and its successful laboratory information system called SchuyLab. The LIS has been one of the most sustainably successful systems in the physician office lab and reference lab markets. The acquisition enables CompuGroup to increase its presence in the US market.

Relevant Links:

Medical Laboratories Market – Forecast (2021 - 2026)

Report Code: HCR 0145

Electronic Health Records Market – Forecast (2021 – 2026)

Report Code: HCR 73305

For more Lifesciences and Healthcare Market reports, please click here

1. Laboratory Information System /LIS Market - Overview
    1.1 Definitions and Scope
2. Laboratory Information System /LIS Market - Executive Summary
    2.1 Market Revenue and Key Trends by Company
    2.2 Key trends by Product Type
    2.3 Key trends by End User
    2.4 Key trends by Geography
3. Laboratory Information System /LIS Market – Comparative Analysis
    3.1 Company Benchmarking – Key Companies
    3.2 Financial Analysis – Key Companies
    3.3 Market Value Split by Key Companies
    3.4 Patent Analysis
    3.5 Pricing Analysis – Average Selling Price
4. Laboratory Information System /LIS Market - Startup Companies Scenario Premium
    4.1 Key Startup Company Analysis by
        4.1.1 Investment
        4.1.2 Revenue
        4.1.3 Venture Capital and Funding Scenario
5. Laboratory Information System /LIS Market – Industry Market Entry Scenario Premium Premium
    5.1 Regulatory Framework Overview
    5.2 New Business and Ease of Doing business index
    5.3 Case Studies of Successful Ventures
6. Laboratory Information System /LIS Market - Forces
    6.1 Market Drivers
    6.2 Market Constraints/Challenges
    6.3 Porters five force model
        6.3.1 Bargaining power of suppliers
        6.3.2 Bargaining powers of customers
        6.3.3 Threat of new entrants
        6.3.4 Rivalry among existing players
        6.3.5 Threat of substitutes
7. Laboratory Information System /LIS Market – Strategic Analysis
    7.1 Value Chain Analysis
    7.2 Opportunities Analysis
    7.3 Market Life Cycle
8. Laboratory Information System /LIS Market – By Product Type (Market Size –$Million/$Billion)
    8.1 Standalone
    8.2 Integrated
9. Laboratory Information System /LIS Market – By Component (Market Size –$Million/$Billion)
    9.1 Software
    9.2 Services
10. Laboratory Information System /LIS Market – By Delivery Mode (Market Size –$Million/$Billion)
    10.1 Web-based
    10.2 On-premise
    10.3 Cloud-based
11. Laboratory Information System /LIS Market - By End User (Market Size –$Million/$Billion)
    11.1 Hospital Laboratories
    11.2 Physician Laboratories
    11.3 Independent Laboratories
    11.4 Others
12. Laboratory Information System /LIS Market - By Geography (Market Size –$Million/$Billion)
    12.1 North America
        12.1.1 U.S.
        12.1.2 Mexico
        12.1.3 Canada
    12.2 Europe
        12.2.1 U.K.
        12.2.2 France
        12.2.3 Germany
        12.2.4 Italy
        12.2.5 Spain
        12.2.6 Russia
        12.2.7 Rest of Europe
    12.3 Asia Pacific
        12.3.1 China
        12.3.2 India
        12.3.3 Japan
        12.3.4 South Korea
        12.3.5 Australia & New Zealand
        12.3.6 Rest of Asia Pacific
    12.4 South America
        12.4.1 Brazil
        12.4.2 Argentina
        12.4.3 Rest of South America
    12.5 Rest of the World
        12.5.1 Middle East
        12.5.2 Africa
13. Laboratory Information System /LIS Market - Entropy
14. Laboratory Information System /LIS Market – Industry/Segment Competition Landscape Premium
    14.1 Market Share Analysis
        14.1.1 Global Market Share – Key Companies
        14.1.2 Market Share by Region – Key companies
        14.1.3 Market Share by Countries – Key Companies
        14.1.4 Competition Matrix
        14.1.5 Best Practices for Companies
15. Laboratory Information System /LIS Market – Key Company List by Country Premium Premium
16. Laboratory Information System /LIS Market Company Analysis
    16.1 Company 1
    16.2 Company 2
    16.3 Company 3
    16.4 Company 4
    16.5 Company 5
    16.6 Company 6
    16.7 Company 7
    16.8 Company 8
    16.9 Company 9
    16.10 Company 10
"*Financials for private companies would be provided on a best-efforts basis”.