Top Healthcare trends 2023

Although the US economy is showing signs of a slowdown, a true recession may or may not happen in 2023 according to experts.  Overall, less investment funding is expected for healthcare this year. However, the Covid-19 pandemic had already inspired plenty of innovation which pushed the healthcare transformation forward by a decade.  

The biggest changes in healthcare have come in adapting new technology and the digitization of healthcare for both patients and providers.  These innovations will supercharge new initiatives that will change the healthcare landscape this year and beyond.  

Here is our take on what will be the Top US healthcare trends 2023.

Key Points

• Technologies such as telehealth, artificial intelligence (AI), robotics and wearable devices will play an even bigger role in the future of healthcare.
• The health and wellness field is exploding with new approaches in self-care that support mental, behavioral and physical health. 
•  New solutions are needed to close the gap in mental health needs, manage medical staff shortages, and address healthcare inequalities in the US.  

Important Trends

1. Expansion in Remote Healthcare – We saw a significant increase in remote healthcare because of the Covid-19 pandemic.  Even though we are back to in-person visits, many patients and providers are choosing telehealth for routine appointments. Telehealth, sometimes called telemedicine, lets your health care provider care for you without an in-person office visit. Telehealth care can help patients track health goals, and manage chronic conditions like diabetes, and high blood pressure.  Recently, it has been expanded to include prescription management, physical therapy, and even online mental health treatment.  In 2023, we will see an increase in remote healthcare that goes beyond video-based appointments to remote patient monitoring (RPM) and decentralized clinical trials.  RPM requires a complex network of medical and mobile devices connected through a cloud platform.   Compatible technology development is key to the growth and sustainability of this trend. 

2. Growth in Retail Healthcare – In recent months, large retailers such as Walmart, Walgreens, and Dollar General created their own clinics.  These retail clinics are expected to double their share of the primary care market during 2023.  Retail clinics provide low-cost, basic healthcare including vaccines and physicals at convenient locations, often without an appointment. Patients can receive these services while shopping for groceries or picking up a prescription.  These clinics are also less affected by the shortages of trained clinical staff.  

3. Wearable Medical Devices – In 2023, wearable devices will be increasingly used by individuals to track their own health and exercise activity.  However, many of these devices are not accurate enough to be used by clinicians to monitor patients remotely.  Medical grade devices are needed for progress in this area along with the right technology and software to handle data transmission.   There is strong interest in this area from both patients and providers.  As an example, a recent study showed that physical indicators such as activity levels, sleep patterns, and heart rate could be used to detect if someone may be at risk of depression. Today, 6 in 10 Americans live with at least one chronic disease and we believe that up to 25% of the US adult population will be treated with Remote Patient Monitoring (RPM) tools for chronic conditions over the next few years. The global RPM market is projected to increase from $53.6 billion in 2022 to $175.2 billion by 2027.  

4. Robotics in healthcare – In 2023, robotics is expected to become more commonplace in a variety of healthcare settings.  Robots can be used in assisted-living situations with the intent to reduce turnover in long-term care workers.  In Japan, robots are helping nurses and healthcare workers in reception areas or to guide patients to specific rooms within the hospital. Drones are transforming and improving healthcare such as transportation of blood, organs, and medicine and possibly home deliveries.

5. Investment in mental health – Mental health continues to be one of the biggest healthcare concerns.  This critical area became evident during the COVID-19 pandemic when large numbers of people suddenly experienced isolated living situations or loss of a job. Investment in digital mental health solutions is on the rise. In 2023, we will see a huge growth in mental health services.

6. Artificial intelligence (AI) – AI is booming in the healthcare industry.  Based on a recent survey, many healthcare executives (up to 60%) believe that AI improves clinical outcomes and boosts operational efficiency.  Because of its ability to crunch a vast amount of data much faster than humans, AI can improve more insight to providers and streamline diagnoses. This becomes even more powerful when paired with other technologies, such as robotics and wearable devices.  At the same time, AI and machine learning can improve healthcare workflows, such as scheduling, inventory, and billing.  The biggest challenge is to keep healthcare AI human-centered, with the needs and privacy of patients and personnel being a top priority.  The global healthcare Artificial Intelligence market size was valued at USD 7.9 Billion in 2021 and is estimated to achieve a market size of USD 201.3 Billion by 2030.

7. Personalized Healthcare – During 2023, patients will have more opportunities to receive healthcare delivery that is personalized specifically to them. This includes the pharmacogenomics where drugs and other treatments are specifically tailored to a group of patients.  Pharmacogenomics is an important example of the field of precision medicine, which aims to tailor medical treatment to each person or to a group of people. Pharmacogenomics looks at how your DNA affects the way you respond to drugs. AI algorithms are sometimes used to assist with these predictions. 

8. Hospital Bankruptcies  – In a recent report,  Ronald Winters, a principal at Gibbins Advisors, stated, “The hospital sector was particularly insulated from financial distress during the pandemic; however those protections have ended, and we are now seeing a lot of struggling hospitals, particularly rural and community hospitals.  Financial distress will persist if not worsen in 2023 as financial buffers wear thin.”  

Rural hospitals are especially at risk with more than 30% at immediate risk of closure due to low financial reserves or reliance on government aid. In 2020, the loss of employer insurance and the shift from private to public insurance cost hospitals an estimated $95 billion annually and an additional $33 billion due to consumer behavior avoiding going to a hospital.   

The health and wellness industry is always changing and adapting.  The overall trends in healthcare support individual journeys that are personalized, easy to navigate, secure and affordable. 

Further Reading: 

1. 10 healthcare technology trends for 2023
2. 4 Healthcare Trends for 2023 and How They Will Impact U.S. Employers

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