Physical Therapy Software Market

Market Overview

The global physical therapy software market size was valued at USD 1.25 billion in 2023, growing at a CAGR of 9.8% over the forecast period (2024-2032).

Physical therapy software is used to deliver seamless treatment to the patients suffering from accidents, osteoporosis, and post-surgery treatment, among others. The software offers umpteen services, which include customer relationship management, scheduling, online assistance, eliminating billing errors, centralized database of patient information, enhanced record keeping, automation of tasks, and better quality control.

Market Dynamics

Administrative Fallacies to Drive the Need for Physical Therapy Software

Technological advancement has transformed the healthcare sector in the last few years; for instance, the integration of software applications with in-built tools aids in managing patient data. The ‘Administrative Errors: Technical Series on Safer Primary Care, 2016’ report published by the World Health Organization (WHO) estimated that about 5%–50% of medical errors in primary care were caused due to administrative fallacies, which further increases the need for physical therapy software.

Rising Incidences of Home-Accidents

The geriatric population is highly susceptible to home-accidents and bone-related diseases such as osteoporosis, further increasing the need for physiotherapy treatments to build strength and stamina. As per the Asecurelife Statistics, in the U.S., about 300,000 geriatrics are hospitalized for hip fracture cases every year. As per the CDC, around 36,338 people die due to unintentional falls every year. In Japan, approximately 27% of the population is above the age of 65 years, followed by Italy with 23%. The market players are channelizing efforts to develop software that offers umpteen services in the comfort of home. Recently, Meditab developed software “Physical Therapy EHR Software” that comprises integrated exercise routines, easy operability, scheduling, and outcome tracking.

Regional Analysis

Rising Sports Injuries and Government Initiatives to Drive North America’s Market

North America dominates the physical therapy software market and will continue the same during the forecast period. The region houses one of the highest numbers of athletes, susceptible to sports-related injuries. As per the National Safety Council, in 2017, approximately 526,000 injuries were caused in personal exercises; about 500,000 injuries were basketball-related injuries; around 457,000 injuries were caused due to bicycling, and about 341,000 injuries were football-related injuries. The anterior cruciate ligament tear (ACL) is the most prevalent sports injuries, and about 250,000 ruptures are caused in the U.S. every year, as per the CDC.

North America is also backed by the presence of leading players that are offering advanced integration software with high technical expertise. In the U.S. and Mexico, the government is actively working to provide fitness programs to encourage people to adopt a healthy lifestyle. On June 25, 2019, the government of Mexico organized a fitness and wellness program for the state government workers to facilitate work and life balance. On June 25, 2018, the U.S. government passed the Personal Health Investment Today (PHIT) Act enabling the population to use tax-free accounts to pay for club memberships, qualified fitness experts, youth sports fees, and sports safety equipment.

Rising Prevalence of Osteoporosis in Asia-Pacific to Drive the Market Growth

Asia-Pacific is projected to witness the fastest growth on account of government initiatives, rising incidences of osteoporosis, and growing geriatric population. In China, the government has launched a strategic plan to push people towards physical fitness and a healthy lifestyle trend. On August 29, 2019, the government of India launched the Fit India movement to encourage people to stay fit, exercise, and follow a proper nutritional diet. Apart from this, technological advancement in the medical industry has reduced the mortality rate. In China, osteoporosis affects almost 70 million people over the age of 50, further driving the demand for physical therapy software in the region.

Segmental Analysis

By Deployment Type

Cloud-based

In 2023, the cloud-based segment accounted for the largest share, which was 60.33%. It is anticipated that the escalating adoption and increasing popularity of cloud-based solutions in healthcare will result in its retention of the largest market share and significant growth. One of the primary reasons for the preference of cloud-based systems is that they provide a more cost-effective deployment option than their server-based counterparts and eliminate the necessity for internal maintenance. Furthermore, their preference is primarily due to internal maintenance. Furthermore, the cloud deployment method promotes market expansion by offering increased flexibility. Spry, a comprehensive SaaS platform for physical therapists, announced in June 2022 that it had secured new funding, surpassing USD 10 million. The objective of this investment is to further its vision for the future of rehab practice management. The round was initiated by Eight Roads Ventures, with contributions from Together Fund and F-Prime Capital.

By Interface

Mobile & tablets

In 2023, mobile and tablet devices dominated the market, accounting for a share of 58.05%. It is anticipated that this segment will experience a substantial compound annual growth rate (CAGR) throughout the forecast period. The efficiency of hospital procedures is enhanced by the use of mobile health app software, which provides patients with substantial value. Numerous healthcare facilities have already implemented personalized mobile applications that are customized to their specific requirements. The market growth is supported by the increase in hospitals and clinics, which is a result of the shift toward mobile devices. This has enabled healthcare providers to carry a portable device during consultations and home visits.

It is anticipated that the desktop and laptop segment will experience substantial growth during the forecast period. Management software that is intended for desktop and laptop use is designed to function within a single computer. This software model now supports remote access through mobile technology, as a result of the development of mobile and cloud technologies.

By Application

Hospital

The physical therapy software is segmented into hospitals, specialty clinics, and other types of facilities based on the application. The expansion of the market has been facilitated by the rapidly growing number of administrative mistakes that are occurring in hospitals and clinics. The administrative errors include, among other things, errors in the patient records, errors in the investigation requests and results, errors in the follow-up system, errors in communications, and errors in the identification of patients. According to the report titled "Administrative Errors: Technical Series on Safer Primary Care, 2016" that was published by the World Health Organization (WHO), it was estimated that system errors were responsible for nearly 65 percent of the diagnostic errors that occurred. According to the Health IT Dashboard, which is maintained by the United States Government, more than 95% of hospitals have an electronic health record (EHR) technology that has been certified. This includes 99% of large hospitals. The electronic health record (EHR) is seamlessly connected with the physical therapy software that is utilized in hospitals. This allows the software to meet the complex requirements of managing the various departments, which in turn helps to reduce the number of errors that occur. At the same time, specialty clinics make extensive use of physical therapy software in order to improve the quality of their document keeping and to make patient management more straightforward.

Impact of covid-19

The pandemic has compelled the governments across the globe to enforce a lockdown, including specialty clinics and wellness centers. However, the physical therapy software market is witnessing a considerable surge due to shifting patient preference towards online therapy. In line with this, companies have started developing numerous applications and online services to increase their customer base.

For instance, Meditab enabled free televisit services for symptomatic COVID-19 patients. Similarly, IMS Patient App & Patient Care Portal enables the patients to access their health profiles and consult doctors online. 

Recent Developments

• In August 2019, PT Practice Pro collaborated with Kno2 to connect with occupational therapy practices and deliver interoperability.
• In June 2014, Net Health acquired The Rehab Documentation Company. The latter company is one of the leaders in physical, occupational, and speech therapy software.
• In February, 2020, Net Health launched a Private Practice Solution that works on the companies xfit platform that will aid the clinics that are trying to scale their operations for complex processes.
• In April 2013, Meditab offered its cloud-based solutions to the Allergy EHRShot lab thus transforming the paer based management to an electronic format.
• According to the Health IT Dashboard, U.S. Government, in 2008, only 42% of the office-based physicians used the EHR while in 2017 85.9% of the physicians used the EHR thus observing a two-fold rise is noticed in the EHR adoption rate.