April 29, 2020

Behavioural Health Market Trends to Witness Widespread Expansion

The demand within the global behavioural health market is poised to increase in the times to follow. Behavioural health has emerged as an important area of study across neo-health. Several healthcare experts point to the importance of behavioural studies in individuals of all age groups. In the contemporary times, mental health has become an important area of study for medical researchers. A wide population of masses suffers from mental disorders, and this factor has emerged as an important dynamic of market growth. The healthcare industry has gathered the reins of growth and advancement in the domain of mental health. Therefore, the total volume of revenues in the global behavioural health market is projected to multiply.

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  • There is increasing relevance of treating stress and anxiety, especially amongst youngsters. The high rate of incidence for depression and chronic anxiety amongst the younger population has created new inlets for market maturity. Healthcare experts have played an integral role in educating people about the importance of mental health. This factor, in conjunction with the rising incidence of depression in the older population is an important dynamic of market growth. The healthcare industry has decoded the importance psychiatric and psychological treatments in managing mental disorders.
  • The rising levels of stress due to growing work load in corporate employees has given a thrust to market growth. Several research papers suggest the need to manage stress levels in the working population, and the medical experts are giving careful thought to this assertion. Students have also fallen trap to depression and stress, and this factor necessitates the development of stress management programs for students. Therefore, it is safe to expect that the global behavioural health market would tread along a lucrative growth track in the times to follow. The use of behavioural health theories in medicine has also given an impetus to market growth.

Behavioral Health Market: Emergence of Telepsychiatry and Technologically-advanced Tracking Measures to Augment Growth

Behavioral health diagnoses expanded over the past decade as a larger number of youngsters cope with mental health disorders and issues such as substance abuse. With the increasing burden of fast-paced lifestyles, along with increasing incidences of mental health issues, the burden and magnitude of behavioral health concerns continues to escalate. According to WHO, around 800,000 suicidal deaths are witnessed every year. Such scenarios are raising alarming concerns pertaining to public health, thereby driving the behavioral health market growth.

Some part of the rise in behavioral health diagnoses may stem from the growing access to mental health services witnessed, especially in developed countries. Such initiatives are becoming the need of the hour to administer improved behavioral healthcare and push the prospering behavioral health market even further. Transparency Market Research (TMR), in its recently presented study on the behavioral health market, unravels the essentials of the industry, closely emphasizing indications that showcase key developments in the market.

Behavioral Health Market: Mapping the Evolutionary Path

Mental health and substance abuse issues in adolescents have become a pivotal societal concern. While behavioral health has gained stronger footing in current times, its acceptance gained prominence in the 20th century. The origin of the mental hygiene movement led to the establishment of the National Commission of Mental Hygiene in 1909. From 1919 onwards, internationalization of the activities of this Commission directed the establishment of some national associations pertaining to mental hygiene. According to studies, suicide rates rose steadily from 1999 to 2014, and major depression gained prevalence from 2005 onwards.

Certain developments could be perceived along the evolutionary path after around half a century of mental health and a century of mental hygiene movements. Social stigma attached to mental illness appeared to stimulate efforts directed at social control. Behavioral health concerns are snowballing beyond imagination, in wake of which, the market is likely to generate a revenue of ~ US$ 200 Bn in 2019. Rising behavioral health issues coupled with increasing measures implemented to tackle the same are expected to manifest growth opportunities for behavioral health market players.

Impact of Undercurrents on Behavioral Health Market

Telepsychiatry Model to Help Address Behavioral Health Concerns

Expanded reach and the upward growth trajectory of telepsychiatry models remain sturdy. As telemedicine continues to offer new opportunities to access in healthcare, behavioral health has experienced the most positive impact. Telepsychiatry plays a vital role in enhancing the perspective on critical psychiatric professional shortages, and in aligning with the progressing demand of value-based care and changing consumer expectations.

Outcome Tracking to Emerge as a Pivotal Measure

Outcome tracking is enabling behavioral health professionals and service providers to better address the growing concerns of these diseases. Outcome tracking measures, including sobriety, service delivery, physical health, continuing care, and quality of life, could be used across the industry to aid treatment centers in validating their quality, thus emerging as a key factor influencing the market.

Growth of Technology-driven Care

Deep analytical dives are capable of revealing clinical opportunities for quality improvement, and the data would be integral to the seamless upcoming shift towards lower-cost outpatient care and value-based payment models. Technology-driven care includes the use of digital platforms and telehealth, helping healthcare teams expand in shortage areas to address the consumer need for convenience.

Although behavioral health is expected to witness rapid developments, the number of treatment and rehabilitation centers and the presence of healthcare providers is limited only to urban areas, despite the growing need in semi-urban and rural areas. Limited access to behavioral healthcare could impede market growth. Additionally, as individuals are reluctant to discuss behavioral health issues openly, it signifies the need for proper counselling.

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Behavioral Health Market: Strategies Driving Competitors on Success Path

Improve Access to Behavioral Healthcare

Although there is the high need and urgency for behavioral health services, patient adherence remains low. Increasing incidences of behavioral health issues require better and improved access to treatment and counselling. This has focused competitors’ attention towards collaborations and joint ventures to set up or acquire care facilities. Health systems are directing investments towards a variety of specialized emergency services, which include holding units, telepsychiatry, and behavioral health-specific emergency units.

Compete with Low-cost Service Providers

Skyrocketing healthcare costs continue to haunt individuals dealing with health challenges. The cost of behavioral healthcare provided by leading service providers continues to remain high. However, as there is an increasing preference for affordable care by individuals and patients, behavioral health market players aim to compete with low-cost service providers in a bid to capture a larger consumer base. Adopting a collaborative care model encompassing behavioral health services in primary care is likely to showcase positive financial return on investment, and is also supported by reimbursements.

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Expand Services in Developing Countries

Key players are engaged in the development of new facilities and expansion of services for behavioral health. Strategies such as acquisitions and collaborations to establish a presence in untapped markets and acquire facilities are being incorporated by leading behavioral health market competitors. A number of strategies put to action across developing countries, particularly in Asia Pacific economies, in a bid to improve the approach to address behavioral health issues, are likely to offer growth opportunities for competitors.

Analysis of the Competitive Landscape

In May 2018, Acadia Healthcare and Saint Thomas Health signed a joint venture agreement for the expansion and enhancement of access to behavioral healthcare in Tennessee. This partnership included the establishment of a new psychiatric inpatient hospital at Metro Center in Nashville, covering 36 geriatric psychiatric beds and 40 adult psychiatric beds.

In March 2019, BlueMountain Capital Management announced the launch of a new national behavioral health platform—Promises Behavioral Health, which would initially operate 12 programs and facilities across seven states to offer a comprehensive range of treatment options for sexual addiction, substance abuse, eating disorders, trauma, and other mental health disorders, along with programs for veterans.

The global behavioral health market is highly fragmented, with the presence of a number of large-scale organizations and individual service providers. Although there are organized key players operating in this market, a majority of the market is serviced by individual practitioners and small-scale regional players. Leading companies are also acquiring hospitals and similar healthcare facilities in an attempt to expand their consumer reach.

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