The Growing Adoption of SaaS in Healthcare Industry is the “Next” Big Revolution

The Growing Adoption of SaaS in Healthcare Industry is the “Next” Big Revolution

The healthcare sector is witnessing a significant shift from provider-centric to patient-centric. And digitalization is the reason why the industry is looking at accelerated growth. The pandemic shifted the focus of healthcare organizations towards creating solutions that would allow patients to keep up with their health status without having to come down to the clinic every single time. 

This is why the growth of digital platforms skyrocketed, especially during the pandemic. In fact, more than 49% of healthcare organizations are actively working towards digital transformation. While the goal for most organizations was to provide telehealth services, they have continued to use this option for:

  1. Improving clinical operations
  2. Modernizing data platforms
  3. Enhance triage and risk assessment capabilities
  4. Modernizing data platforms 
  5. Integration of disparate systems  

And with the options like ERP, CRM, and data analytics, the adoption of SaaS is growing more than anyone anticipated. In fact, many believe that it will become a $3.5Bn market with a CAGR of 45%. 

Here's what's happening!

The rise in the adoption of Vertical SaaS

This technology trend holds quite a high expectation. Since it can target specific industries and supply chains, they benefit the healthcare sector. The industry can leverage its KPIs and predefined metrics to address complex workflows. The fact that organizations can quickly access patient data and get actionable insights makes it even more advantageous since it will help them aid some transparency. 

The rise in the adoption of Micro-SaaS

Since one could use it as an add-on to the existing platform, one can use it to their advantage. It could become more profitable down the lane. It's like miniature SaaS offerings that can help improve the deliverables better than ever.

Artificial intelligence is revolutionizing the industry 

It is no longer a mystery that data is the heart of any successful business. And with the adoption of AI technologies, one can significantly improve SaaS applications. Using these technologies, the applications can facilitate learning management systems which are helpful with patient-doctor interaction and other collaborations.

Utilizing telemedicine to help with patient care

With SaaS, hospitals and healthcare organizations can leverage telemedicine technology and penetrate their services to rural areas where it is difficult to reach otherwise. And with the global telemedicine market about to touch $171 billion by 2026, it is convenient to say that SaaS in Healthcare isn't dying anytime soon. For the services to reach patients, it is an important prerequisite. 

Where does India stand in the middle of these changes?

It won't be wrong to say that digitization is increasing with the rising volumes of data. So the need for cloud-based solutions for operational efficiencies increased tremendously. There are many use cases that you can see amidst the growing concerns of a pandemic in India. 

The government's role

The most crucial innovation in this space was when the government introduced Digital Health Stack under the Ayushman Bharat Digital Mission. The idea is to connect people using digital means like Aadhar, UPI, and Jan Dhan Aadhar Mobile. 

With the Ayushman Bharat Digital Mission, you can expect to launch and expand healthcare through digital management. It will provide digital healthcare startups to build new products and services under ABDM. 

Another initiative, Ayushman Bharat Health Account, launched in 2021, allows patients to use their aadhar number to maintain their health record history. This decentralized network will enable them to benefit from public health programs and insurance schemes. This SaaS application allowed the government to connect doctors with patients through a digital platform which was never the case below. 

One more initiative, United Healthcare Interface, launched in 2022, where doctors offer services on a single platform. Here patients can choose options according to their budget or needs. It is helping doctors reach wider regions using telemedicine. 

Why is SaaS becoming an attractive healthcare feature?

Just like other industries, SaaS is an incredible option for the healthcare industry too. Since one can get offerings like EMR, telehealth, billing, patient feedback, and inpatient care administration. But why do you think it's attracting the healthcare industry? Here's why!

  1. It is scalable: 

Every technology comes with a drawback of limited scalability. But healthcare organizations need something that can help move up and down to make the transactions minimal. And with so much cost associated with scaling, systems don't make a probable solution. With SaaS, one can do it with minimal expenditure. 

  1. It is efficient: 

SaaS systems are pretty easy since they can communicate with existing systems. So, they ensure there is no lag in the informational flow. Thus, making it more seamless than any other existing system. It is helpful in EMR and cloud computing since it has real-time capabilities for updating information. 

Further, the same system allows the stakeholders to get a holistic view of their patient journeys. It helps healthcare providers to make informed decisions. 

  1. It is secure:

Healthcare SaaS solutions offer data security since continuous monitoring and maintenance are available by highly skilled professionals. So, the chances of data breach lower down to a minimum. They benefit from the safeguards in place, which are compliant with HIPAA and SaaS-based solutions. 

  1. Lower costs:

Since you get zero-capital models, the providers only have to pay for the service. Hence, it becomes quite easier in terms of implementation. You can justify the ROI of this investment since there are lower upfront IT costs.

But there are a few challenges to adopt this option.

  1. There is still a slow adoption of cloud. 
  2. The customized offerings and solutions
  3. Integration with other systems like legacy
  4. Lack of resources to manage cloud environment

 Final Takeaways: SaaS is the Future of Healthcare Industry

The SaaS model will play a significant role in the healthcare industry’s transformation. But to deliver it in its true potential, one needs to embrace this solution. One needs to understand that without experimentation it will be impossible to adopt these technological advancements for their benefit. So, are you using it yet? If not, let us help you search the market so that you make an informed decision.

Talk To Our Expert

Thank you for your interest in Pukka Partners

Fields marked with an asterisk (*) are required.


Monthly / Quarterly Sector Update

Fields marked with an asterisk (*) are required.


Careers @ Pukka Partners

Self-driven, committed, and motivated individual aiming to build and grow a career in a research and consulting start-up are most welcome.

Kindly send in your resume along with a cover letter to us at

Thank You!