Teledermatology Market Analysis

Global Teledermatology Market Overview

Teledermatology Market Size was valued at USD 15.87 Billion in 2023. The Global Teledermatology industry is projected to grow from USD 18.93 Billion in 2024 to USD 79.71 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 19.69% during the forecast period (2024 - 2032).

Teledermatology is a subspecialty field of dermatology and one of the most imperative applications of e-health and telemedicine. In this field, telecommunication technologies are used to transfer medical information over varying distances through audio, visual, and data communication. It provides several benefits for managing skin conditions, such as consultation, diagnosis, treatment, and even education.   The factors driving the market rising adoption of teledermatology, integration of artificial intelligence and machine learning, and increasing incidence of skin conditions. In addition, technological advancements projected to create lucrative growth opportunities. However, unavailability of the proper network in underdeveloped or developing countries and lack of awareness about teledermatology among physicians and patients are restraining the growth of the market.

COVID-19 Analysis

COVID-19 has impacted positively on the teledermatology market, and the market demonstrated robust growth during the COVID-19 period. Factors played an imperative role in increasing the acceptance of teledermatology during the pandemic such as maintaining social distance and lockdowns. As per the study, the market has been accelerating since 2020 due to the plummet in inpatient visits and direct consultations. For instance, in 2020, the American Association of Dermatology surveyed and found that 43% of weekly patient visits had been reduced during the lockdown period.

Besides, in July 2020, the German Society of Dermatology began a survey based in India and the US, which revealed that approximately 80% of the people surveyed were in support of teledermatology. This demonstrated the strong demand by consumers for teledermatology. Moreover, the ratio of dermatologists related to telehealth consultations in the US has tripled during the lockdown period. Hence, the aforementioned drivers fueled the growth of the market during the pandemic.

Teledermatology Market Trends

Drivers

• Rising adoption of teledermatology
  
  
  
  • Several commercial consulting companies are making efforts to provide teledermatology across globe. For instance, TeleDerm (US) provides a cost-efficient teledermatology service to physicians and health organizations. Moreover, technological advancements have enabled the spread of teledermatology and have made it more accessible and feasible.
  
  
  • Besides, government initiatives to support the adoption of teledermatology are playing an imperative role. For instance, at the beginning of 2021, the Canadian government announced that it would bring high-speed internet in order to provide teledermatology in rural and remote areas. Hence, technological advancements and government initiatives are assisting in the adoption of teledermatology, which further fuels market growth.
  
  
  
  


• Integration of artificial intelligence and machine learning 


• Increasing incidence of skin conditions

Market Opportunities

• Technological advancements create opportunities
  
  
  
  • Innovative solutions in information technology (IT) are creating market opportunities. The development of technology has empowered clinicians to monitor patient health and well-being. Furthermore, a diverse set of mobile applications and rapid advancements in smartphone technology are propelling the market forward. In upcoming years, novel technologies will create opportunities for the growth of teledermatology due to the advancements in cloud-based electronic medical records (EMRs) and the use of service as a software (SaaS). The researchers reported the noteworthy point that approximately 40% of the patients in America can take advantage of teledermatology without a face-to-face consultation.
  
  
  
  

Market Restraints

• Unavailability of the proper network in underdeveloped or developing countries 
  
  
  
  • The unavailability of the proper network in developing countries in underserved and marginalized communities impedes the market's growth. Countries such as Bangladesh, Africa, Afghanistan, and others are facing internet issues due to unreliable and low-bandwidth internet. Additionally, there has to be secure internet services to ensure the safeguarding of valuable patient data, hence retarding market growth.
  
  
  
  


• Lack of awareness about teledermatology among physicians and patients

Value Chain Analysis

The global teledermatology market is estimated to exhibit significant growth during the forecast period due to factors such as the high prevalence of skin diseases, the incorporation of artificial intelligence and machine learning, and the high infrastructural of telehealth. The value chain analysis for the market comprises five major components, which start with R&D, followed by the manufacturing of the solutions, distribution & sales, and ends with post-marketing surveillance.

Teledermatology Market Segment Insights

Teledermatology Type Insights

• Product

The product segment has been segmented into software and hardware. Software demands advanced systems to run properly, which increases patient flow and care. Some software is integrated with cloud-based technology to ensure a wider and greater reach. Furthermore, drivers such as the rapid adoption of hospital automation solutions and real-time health systems fuel segment growth. Hardware, such as telemedicine carts, consoles, desktops, webcams, microphones, laptops, and others, is a key component of teledermatology. Hence, the rise in demand for efficient hardware due to the high demand for teledermatology gives rise to the growth of the segment.

• Service

The service segment has been segmented into tele-consulting, telemonitoring, tele-education, and others. Tele-consulting in dermatology involves the diagnosis of skin diseases at a distance. In order to complete the dermatology process, tele-consulting builds relationships with three stakeholders, including providers, payers, and fulfilment centers. Telemonitoring is the self-monitoring of skin between appointments via virtual consultation, which allows patients to identify skin diseases. Skin diseases such as rosacea, psoriasis, eczema, and others can be monitored through manual full-body photography, mole mapping, multi-dimensional face tracking, and wide-area skin photography. Tele-education includes communication, physical examination, technology literacy, and professionalism, which are required for proper skin monitoring. Others, including teledermatopathology & telecytology and teledermoscopy, due to feasibility and effectiveness are also fueling service segment growth.

Teledermatology Modality Insights

• Store & Forward

Store & Forward is used in teledermatology for the transmission of electronic medical data such as digital images, documents, and pre-recorded videos. This platform is secure to collect and store the physiological data of the patient and then send it via email or message based on the system technology. It also plays a key role in the diagnosis of skin diseases enabling providers to access patient data conveniently. Further, the rising incidences of skin diseases demand accurate diagnosis aids in the segment's growth.

• Real Time

Real-time teledermatology, also known as interactive teledermatology or live teledermatology, makes it easy to do a doctor-patient visit anytime and anywhere. It includes any two-way communications (video conferencing and phone consultations) that help providers and patients communicate in real-time. It allows for the verification of medical history and immediate advice.

Teledermatology End User Insights

• Payers

Payers in the healthcare industry are companies that set service fees, collect money, manage claims, and pay providers' claims. Teledermatology has numerous benefits for payers, including improved quality scores, increased utilization, and lower costs, as well as increased member satisfaction and loyalty.

• Providers

Teledermatology also benefits health care providers such as practitioners, doctors, and hospital personnel. It enables health care providers to improve continuity of care, provide video or phone appointments, extend access to care beyond normal business hours, reduce patient and provider travel burden, and support patients managing chronic skin conditions.

• Patients

Teledermatology allows patients to communicate with healthcare providers via phone or video. During the COVID-19 pandemic, it became more popular and practical across the globe. Changes in insurance reimbursement rules and technological advancements have assisted in the acceptance of teledermatology across the globe.

Teledermatology Market Regional Insights

The teledermatology market based on region has been segmented into North America, Europe, Asia-Pacific, and the Rest of the World.

North America

• The increase in teleconsultation, strong government support, and the presence of major players are propelling the growth of the North American teledermatology market.

The factors influencing the North American region are favorable government support and the rising requirement for teleconsultation since COVID-19. Furthermore, market participants are adopting a variety of organic and inorganic strategies to expand their regional presence, such as contractual agreements, mergers, and acquisitions, raising investments, releasing new products, and partnering with other companies. For instance, in May 2020, DermTech (US) launched a telemedicine service based on patch testing for non-invasive melanoma detection. The product pigment lesion assay test is remotely based, which completes the patch test process and helps use by clinicians and their patients via telemedicine. Therefore, government support and strategic alliances in order to fulfil customers' demands to provide services fuel market growth.

Asia-Pacific

• Surging investments and campaigning to spread telemedicine services are expected to drive the growth of the market in the region.

The Asia-Pacific region is estimated to witness the fastest growth during the forecast period. The factors which propel the market's growth are the rise in consumer expenditure, the presence of prominent players, and awareness regarding teleconsultation in urban areas. For instance, in April 2020, free skin care treatments were conducted with the support of teledermatology by an Indian clinic, "Sakhiya Skin." Hence, awareness associated with teledermatology is fueling the region's growth. Furthermore, advancements in mobile technology and expansion in mobile network coverage are bolstering the growth of the market in the region.

Teledermatology Market Competitive Landscape

The industry's major players are expected to implement a variety of business strategies in order to increase their market presence. They are collaborating with the country's key players to surpass the set targets. Moreover, the market's giant players are adopting several strategic initiatives such as new product launches, contractual agreements, mergers, and acquisitions, increasing investments, and partnering with other players to expand their global footprint.

DermTech (US) is one of the leading market players, founded in 2015. It is specializing in services such as melanoma treatment, gene expression testing, non-invasive skin biopsy, dermatology, and pigmented lesions. In December 2021, DermTech (US) entered into an agreement with BioIQ, Inc. (US) to increase its patient access to precision genomics. The DermTech Melanoma Test is included in BioIQ's lineup of testing options for employee and member health programs.

List of companies covered in this report:

• DermTech (US)


• OnlineDoctor (Switzerland)


• Hims & Hers (US)


• Digital Diagnostics (US)


• MetaOptima (Canada)


• MDLIVE Inc. (US)


• CureSkin (India)


• Miiskin PRO (Denmark)


• FirstDerm (US)


• 3Gen (US)

Recent Developments

• In March 2022, Miiskin PRO (Denmark) announced that it offers free access to its skincare app for academic and scientific research in Europe. Free access for skin diseases such as wound care, skin cancer, and a plethora of conditions, including eczema, psoriasis, rosacea, and acne.


• In February 2022, OnlineDoctor (Switzerland), acquired German-based startup "A.S.S.I.S.T" (Automated Scientific Skin Infection Search Technology), is a developer of artificial intelligence (AI) for dermatology.


• In June 2021, Hims & Hers (US) acquired Apostrophe (US), to complement the company's scale in dermatology fulfilment capabilities with a fully owned pharmacy.


• In August 2020, Digital Diagnostics (US) acquired dermatology-focused startup 3Derm (US) in order to expand its reach into the dermatology space.


• In July 2018, MetaOptima (Canada) raised USD 6.5 million to expand its advanced dermatology and skin cancer imaging and management software "DermEngine" globally. Furthermore, this helps in a key advancement of screening, detecting, and managing skin cancer.

Report Overview

The study covers the existing short-term and long-term market effects. It helps decision-makers to draw up short-term and long-term business plans by region. The report covers major regions in North America, Europe, Asia-Pacific, and the rest of the world. The report analyses market drivers, restraints, opportunities, challenges, Porter's five forces, value chain, and the impact of COVID-19 on the market.

Study Objectives

• To provide a detailed analysis of the market structure and forecast for the next eight years of the various segments and sub-segments of the teledermatology market.


• To provide insights about factors affecting the market's growth.


• To analyze the teledermatology market based on numerous factors such as price analysis, supply chain analysis, Porter's five force analysis, etc.


• To provide historically and forecast revenues of the market segments and sub-segments with respect to four main geographies and their countries: North America, Europe, Asia-Pacific, and the Rest of the World.


• To provide a country-level market analysis in terms of current market size and future prospects.


• To provide a country-level market analysis for market segments based on type, modality, and end user.


• to provide strategic profiling of key players in the market, comprehensively analyze their core competencies, and draw a competitive market landscape.


• To track and analyze competitive developments such as joint ventures, strategic alliances, mergers & acquisitions, new product developments, and R&D in the global teledermatology market.

Teledermatology Market Segmentation:

Teledermatology Type Outlook

• Product
  
  
  
  • Software
  
  
  • Hardware
  
  
  
  


• Service
  
  
  
  • Tele-consulting
  
  
  • Tele-monitoring
  
  
  • Tele-education
  
  
  • Others
  
  
  
  

Teledermatology Modality Outlook

• Store & Forward


• Real Time

Teledermatology End User Outlook

• Payers


• Providers


• Patients

Teledermatology Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America
  
  
  
  

Intended Audience

• Teledermatology solutions providers


• Research and Development (R&D) Companies


• Government & Independent Research Laboratories


• Government and Independent Regulatory Authorities


• Market Research and Consulting Service Providers


• Academic Institutes and Universities