[166 Pages Report] The global digital therapeutics market is projected to reach USD 6.9 billion by 2025 from USD 2.1 billion in 2020, at a CAGR of 26.7% during the forecast period (2020�2025). The growth of the digital therapeutics market is primarily driven by factors such as government initiatives for preventive healthcare, technological advancements in mobile healthcare, a significant increase in venture capital investments, and the benefits of digital therapeutics, such as the ability to induce behavioral change (an important challenge in healthcare), user-friendliness, patient convenience, and improved drug compliance. On the other hand, a lack of awareness and access to digital therapeutics programs in developing countries, patient data privacy concerns, unstable payment models, and resistance from traditional healthcare providers are challenging the growth of this market to a certain extent.

B2B segment is expected to grow at the highest CAGR during the forecast period

Based on the sales channel, the digital therapeutics market is segmented into business-to-customer (B2C) and business-to-business (B2B). In 2019, the B2B segment accounted for the largest market share; it is also expected to grow at the highest CAGR of the digital therapeutics market. There is growing awareness among providers, payers, and employers about the benefits provided by digital therapeutics and the healthcare cost reductions achieved by their use. Additionally, there is a growing inclination of pharmaceutical companies to integrate digital therapeutics with their drug product to offer adherence services along with the product. These are some factors responsible for the high share of this market segment.

Caregivers segment is expected to dominate the market

Based on the type of buyer, the B2C sales channel market is further segmented into patients and caregivers. The caregivers segment is expected to dominate the market and register the highest CAGR during the forecast period. The high growth of this segment is attributed to company initiatives for the development of products specifically for caregivers and the fact that digital therapeutics help caregivers in better managing their patients.

The treatment/care-related applications segment accounted for the largest share of the digital therapeutics market in 2019.

Based on the application, the digital therapeutics market is segmented into preventive and treatment/care-related applications. One of the key factors driving the growth of this segment is the rise in treatment and healthcare costs, especially due to chronic conditions. Rising healthcare costs, the growing prevalence of chronic diseases, and the ability of digital therapeutics to provide cost-effective solutions are some factors responsible for driving the market for treatment/care-related digital therapeutics applications.

North America accounted for the largest share of the digital therapeutics market in 2019.

The global digital therapeutics market is segmented into North America, Europe, the Asia Pacific, and the RoW. In 2019, North America (US and Canada) held the largest share of the market, followed by Europe. The major factors supporting market growth include the increasing investments in digital therapeutics, the influx of new start-ups, improvements in the reimbursement structure for digital therapeutics, and government initiatives to support technological advancements.

Key players in the digital therapeutics market

The digital therapeutics market is fragmented in nature, with a large number of players, including tier 1 and mid-tier companies competing for market shares. The prominent players in the global digital therapeutics market include Noom (US), Livongo Health (US), Omada Health (US), WellDoc (US), Pear Therapeutics (US), Proteus Digital Health (US), Propeller Health (US), Akili Interactive Labs (US), Better Therapeutics (US), Happify (US), Kaia Health (Germany), Mango Health (US), Click Therapeutics (US), Canary Health (US), Wellthy Therapeutics (India), Cognoa (US), Ayogo Health (Canada), Mindstrong Health (US), 2Morrow (US), and Ginger (US).

Omada (US): Omada Health is a pioneer in the field of digital therapeutics. The company has attracted significant investments to enhance its solutions, particularly its digital prediabetes program �Prevent.� In June 2019, the company secured USD 73 million from its investors for the development of digital care health programs focusing on preventable chronic conditions. To support its organic growth, the company focuses on R&D to continuously improve and upgrade its products. In this regard, in February 2016, Omada launched a new version of its Prevent program with additional features designed to meet the growing needs of its customers. In addition, the company is focusing on broadening its product offerings beyond diabetes�in January 2019, the company launched a mental health program, mHealth Platform, for anxiety and depression. The company is also working in partnership with many employers, payers, healthcare systems, and pharma companies.

Scope of the Report

Report Metric Details Market Size Available for Years 2018�2025 Base Year Considered 2019 Forecast Period 2020�2025 Forecast Units Value (USD) Segments Covered Sales Channel, Application, and Region Geographies Covered North America (US and Canada), Europe (Germany, UK, France, Spain, Italy, and the RoE), Asia Pacific (Japan, China, India, and the RoAPAC), and the Rest of the World Companies Covered Noom (US), Livongo Health (US), Omada Health (US), WellDoc (US), Pear Therapeutics (US), Proteus Digital Health (US), Propeller Health (US), Akili Interactive Labs (US), Better Therapeutics (US), Happify (US), Kaia Health (Germany), Mango Health (US), Click Therapeutics (US), Canary Health (US), Wellthy Therapeutics (India), Cognoa (US), Ayogo Health (Canada), Mindstrong Health (US), 2Morrow (US), and Ginger (US)

The research report categorizes the digital therapeutics market into the following segments and subsegments:

Digital Therapeutics Market, by Sales Channel

B2C Patients Caregivers

B2B Providers Payers Employers Pharmaceutical Companies Other Buyers



Digital Therapeutics Market, by Application

Preventive Applications Prediabetes Obesity Nutrition Lifestyle Management Other Preventive Applications

Treatment/Care-related Applications Diabetes CNS Disorders Chronic Respiratory Disorders Musculoskeletal Disorders Cardiovascular Diseases Smoking Cessation Medication Adherence Gastrointestinal Disorders Substance Use & Addiction Management Rehabilitation & Patient Care Other Treatment/Care-related Applications



Digital Therapeutics Market, by Region

North America US Canada

Europe UK Germany France Spain Italy Rest of Europe (RoE)

APAC Japan China India Rest of the APAC

Rest of the World (RoW)

Key Questions Addressed by the Report

Where will these developments take the industry in the mid to long-term?

What types of annual and multi-year partnerships are companies in the digital therapeutics market exploring?

Who are the key players in the market, and how intense is the competition?

What are the recent contracts and agreements that key players have signed?

What are the recent trends affecting digital therapeutics market players?

Frequently Asked Questions (FAQ):

Which application segment dominates the digital therapeutics market? On the basis of application, the digital therapeutics market is segmented into preventive and treatment/care-related applications. The treatment/care-related applications segment held the largest share of this market in 2019. The large share of this segment is attributed to the growing incidences of chronic diseases, rising economic burden of treatment of these conditions, and increasing investment in digital therapeutics to encourage the development of cost-effective and scalable treatment platforms for these conditions. Who is the major buyer of DTx solutions? DTx solutions can be bought or sold in two ways i.e. by business-to-consumer (B2C) and business-to-business (B2B) channels. Through the B2C channel, digital therapeutics providers sell products directly to users or their caregivers, whereas in the B2B channel, digital therapeutics providers sell their products to providers, payers, pharmaceutical companies, and employers. The B2B channel accounted for the largest share of the market in 2019. Who are the key players operating in the global DTx market? Prominent players in the global digital therapeutics market include Noom (US), Livongo Health (US), Omada Health (US), WellDoc (US), Pear Therapeutics (US), Proteus Digital Health (US), Propeller Health (US), Akili Interactive Labs (US), Better Therapeutics (US), Happify (US), Kaia Health (Germany), Mango Health (US), Click Therapeutics (US), Canary Health (US), Wellthy Therapeutics (India), Cognoa (US), Ayogo Health (Canada), CogniFit (US), Mindstrong Health (US), 2Morrow (US) and Ginger (US). Which geographical region is dominating the global DTX Market? Geographically, the digital therapeutics market is segmented into North America, Europe, the Asia Pacific, and the RoW. In 2019, North America held the largest share of the market, followed by Europe. The market in North America is also expected to grow at the highest CAGR during the forecast period. Factors such as the influx of new startups, increasing investments in digital therapeutics, improvements in the reimbursement structure for digital therapeutics, and government initiatives to support technological advancements are driving market growth in this region.

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