Behavioral & Mental Health Software Market Size

Behavioral & Mental Health Software Market Size

Behavioral & Mental Health Software Market size accounted for USD 4,504.1 million in 2021 and is estimated to grow at a CAGR of 17.3% between 2022 and 2030 owing to the increasing focus of medical professionals on offering quality care to patients suffering from mental illness. Furthermore, market players are focusing new service and launches as well as partnerships to propel the overall market growth.

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For instance, in February 2021, Battery Ventures, a global investment firm, launched a new technology platform to help behavioral health and human services providers. This platform aimed to improve operational efficiencies. Such initiatives taken by the market players is anticipated to accelerate the market size.
 

Behavioral & mental health software can be used by any counsellors and mental health specialists to understand the behavioral and mental patterns of the patient and help them to suggest personalized treatment plan. Further, the behavioral & mental health software is used to record and manage the cognitive and behavioral data of patients.
 

The software also accomplishes billing, appointments, and bed management, which helps the organization run smoothly. Moreover, the Behavioral & mental health software is generally designed to manage clinical, administrative, and financial tasks associated with the practices of clinics and hospitals.
 

Furthermore, owing to the COVID-19 pandemic, the cases of stress, depression, paranoia, and anxiety among others has increased. Thus, there was a rapid rise in the incidence of mental health conditions. Therefore, as a result of growing number of mental illness cases, the usage and demand for behavioral & mental health software increased significantly during the COVID-19 outbreak. Moreover, collaboration to launch new services to cater the growing demand during the pandemic has also boosted the market statistics.
 

For instance, in July 2020, The UNC School of Medicine (SOM) and UNC Health launched the Heroes Health Initiative to support the mental health of first responders and healthcare workers during the COVID-19 outbreak. Thus, such collaboration among the market players along with growing cases of mental disorders has significantly contributed to the behavioral & mental health software market share in 2020.
 

Increasing mental illness will drive the market statistics

Most of the behavioral & mental health software is used to provide cognitive behavior therapy (CBT) which is an efficient treatment for various psychological issues such as anxiety disorder and mood disorders, among others. Thus, increasing number of psychological issues along with rising behavioral mental health spending across the globe is anticipated to foster the market share.
 

For instance, according to the STAT report, in 2020, there were about 3,153 total cases of major depressive disorder per 100,000 people and 4,802 total cases of anxiety disorders per 100,000 worldwide. Similarly, as per the Castlight Workforce Health Index, from 2019 to 2020, spend on behavioral health services grew 18.7%. Thus, increasing prevalence of mental illness such as anxiety and depression and growing spending on behavioral health will spur the behavioral & mental health software market revenue.
 

Data security concern may slow the market demand

Data privacy invasion is one of the biggest threats of behavioral & mental health software industry. The providers are restricted to share the details of patients to any outsiders owing to confidentiality. Therefore, the U.S. Congress created the HIPAA rule to protect the patients medical histories and other health information. However, there is increase in the cases of data infringement across globe that may hinder the market growth during the analysis period.
 

For instance, according to the HIPAA Journal report, in 2021, there were 714 healthcare data breaches in U.S. Among those breaches, 500 or more records have already been reported to the HHS Office for Civil Rights. Thus, raising data breaches and data infringement may slow down the market growth of behavioral & mental health software.