July 25, 2024

Growing Demand for Integrated Laboratory Operations to Boost the Growth of Laboratory Information Systems Market

Laboratory information system (LIS) is software which records, manages, stores and transmits information related to clinical laboratory testing. It helps to streamline workflow in the clinical laboratories by offering tools for patient registration, order entry, result entry and retrieval, workflow management and resource utilization. LIS is widely used in various end users such as hospital laboratories, independent clinical laboratories and physician office laboratories.

The global Laboratory Information Systems market is estimated to be valued at US$ 2.4 Bn in 2023 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
One of the key trends in the laboratory information systems market is growing adoption of cloud-based LIS. Cloud-based LIS offers various advantages such as easy accessibility, cost-effectiveness, flexibility and scalability. It enables users to access data on any internet enabled device. Moreover, cloud-based model eliminates upfront capital expenditure on hardware, solutions and services. This reduces operational costs and enables laboratories to focus more on core operations. Growing popularity of Software as Service (SaaS) model among end users is expected to drive the demand for cloud-based LIS over the forecast period.

Porter’s Analysis

Threat of new entrants: The laboratory information systems market requires high initial investments for R&D, acquisition of licenses etc. This poses significant entry barriers for new players.

Bargaining power of buyers: In the laboratory information systems market, buyers have moderate bargaining power as there are several established players providing similar software. However, switching costs are also high which offsets some bargaining power.

Bargaining power of suppliers: A few major suppliers dominate the laboratory information systems market. However, the requirement of their components is generic which gives buyers higher bargaining power.

Threat of new substitutes: There is limited threat from substitutes as laboratory information systems offer integrated solutions tailored for the industry with no close substitutes.

Competitive rivalry: The laboratory information systems market is highly fragmented with the presence of several international and regional players. However, major players have strong focus on product innovation and service differentiation.

Key Takeaways

The global Laboratory Information Systems market is expected to witness high growth, exhibiting a CAGR of 10% over the forecast period, due to increasing investments by hospitals and diagnostic laboratories to enhance operational efficiency.

Regional analysis: North America dominates the global laboratory information systems market currently. This is attributed to well-established healthcare industry and early adoption of advanced technologies. Asia Pacific is expected to be the fastest growing market stimulated by rising medical tourism and government focus on digitization in the healthcare sector.

Key players analysis: Key players operating in the laboratory information systems market are Orchard Software Corporation (US), Clinisys (US), Oracle Corporation (US), Computer Programs and Systems, Inc. (US), and CompuGroup Medical (Germany) among others. The major players are focusing on new product launches and partnerships to strengthen their market share.

*Note:

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