Behavioural Health Market

Increasing Number of People Suffering from Mental Illnesses Drives Behavioural Health Market

The Behavioural Health Market is valued at USD 136.1  Bn in 2026 and is projected to reach USD 173.5  Bn,  growing at a CAGR of 4% by 2033.Behavioural health is as important as physical health. Behavioural health plays an influential role in our physical and mental well-being. Human behaviours are a subset of our health, which is why building good habits are essential for a healthy lifestyle. On the other side, it is equally important to identify behaviours that negatively affect our health. It can be as simple as bad eating or drinking habits, like stress-eating or binge drinking. However, it can also comprise severe issues, like smoking, drugs/substance abuse, and detrimental eating. The rise in the number of adults, children, and the elderly suffering from serious mental illness has increased the demand for behavioural health treatment. This is expected to fuel the growth of global behavioural health market.

According to the WHO, over 264 million people of all ages were depressed in 2020. Depression is a leading cause of disability worldwide as well as a significant contributor to the global disease burden. Most of the behavioural and mental health software are used to deliver cognitive behavioural therapy (CBT), which is an effective treatment for a variety of psychological concerns such as anxiety disorders, and mood disorders. As a result, the growing number of psychological issues, as well as rising behavioural mental health spending around the world, are expected to boost behavioural health market.

For instance, according to the STAT report, there were approximately 3,153 total cases of major depressive disorder per 100,000 people worldwide in 2020, and 4,802 total cases of anxiety disorders per 100,000. Similarly, according to the Castlight Workforce Health Index, spending on behavioural health services increased 18.7% between 2019 and 2020. Thus, the rising prevalence of mental illnesses such as anxiety and depression, as well as increased spending on behavioural health, will drive the behavioural and mental health software market revenue. Moreover, rising depression cases are leading to an increase in the number of suicides. Suicide is usually triggered by depression. It is estimated that nearly 60% of people who commit suicide have a mood disorder. The rising consumption of alcohol and the prevalence of substance abuse is increasing the number of cases of mental health disorders worldwide. Every year, more than 700,000 people commit suicide, as per the World Health Organization. As a result, rising rates of depression and suicide are propelling the global behavioural health market forward.

Anxiety & Depression Disorder Segment to Lead the Global Behavioural Health Market

Anxiety and depression disorder led the market in 2021, accounting for the largest share, and this trend is expected to continue throughout the forecast period. According to the World Health Organization, depression affects about 5% of the global adult population and 5.7% of the senior population. As a result, the growing geriatric population is predicted to contribute to market growth, as senior persons are more likely to suffer from depression. Furthermore, physical, and mental health are inextricably linked. Physical health issues can exacerbate mental health issues. As an outcome, it is expected that the increased prevalence of various chronic diseases will have a beneficial impact on the expansion of the depression segment. Anxiety is a type of behavioural condition characterized by a high level of anxiety, fear, and worry. As per a recent survey, the number of anxiety patients has risen dramatically in recent decades. Panic attacks, OCD (obsessive thoughts), and post-traumatic illnesses have also been present in these patients.

Growing Cases of Substance Abuse Disorder to Fuel Growth of North American Behavioural Health Market

In 2021, North America dominated the behavioural health market. The rising cases of substance abuse in North America are contributing exponentially to the market growth. According to the Substance Abuse and Mental Health Services Administration (SAMHSA), 1 out of every 4 people in the United States suffers from a substance abuse problem. Additionally, according to the National Canter for Drug Abuse Statistics, approximately 31.9 million individuals in the United States use illegal substances, with 8.1 million having a drug use disorder. The rising number of drug users in the country is mostly due to substantial segmental growth, which has resulted in a large need for substance misuse services. The National Institute on Drug Abuse (NIDA) estimates that the annual cost of drug abuse in the United States, which include illegal drugs, alcohol, and tobacco, is more than USD 740 billion and expanding.

The presence of developed healthcare infrastructure in the region, increased awareness about mental health, enhanced access to mental health services, higher healthcare expenditure, and an increasing geriatric population are also some of the major factors driving the behavioural health market in North America. The rising prevalence of various mental health conditions in the United States has resulted in North America's dominance in the global mental health market. From 2000 to 2020, the suicide rate grew by around 35%, as per the National Center for Health Statistics. Suicide is the tenth leading cause of mortality in the United States, and it is caused by depression, and anxiety.

Furthermore, the rapid growth of the behavioural health market in Europe can be ascribed to the increasing behavioural health reforms coupled with the accessibility of government funding. The growing geriatric population in Europe is also viewed as a key concern that fosters the emergence of mental diseases. Mental health illnesses are more common in countries such as the U.K., France, Sweden, and Germany. As a result, there has been an upsurge in the conversation about mental health and getting professional help. The governments in this region are also taking more steps to improve people's mental health.

Companies in the market are launching new products alongside initiation collaborations, alliances, and partnership agreements. For instance, in February 2021, CloudMD Software & Services Inc., a Canadian Health technology company, expanded its mental health services into the U.S. with the launch of its patented technology app ‘Snapclarity’. On the other hand, in August 2021, American Well completed the acquisition of SilverCloud Health and Conversa Health, the largest provider of digital mental health platforms. The acquisition aimed to improve and strengthen the integration of physical and virtual care, thereby strengthening its market position.

A few of the players in the behavioural health market include 

• Acadia Healthcare
• Universal Health Services, Inc.
• Magellan Health, Inc.
• Behavioral Health Group
• Spring Health
• Lyra Health
• Talkspace, Inc.
• BetterHelp
• Teladoc Health, Inc.
• Headspace Health
• Quartet Health
• Cerebral Inc.
• Mindstrong Health
• LifeStance Health Group, Inc.
• Brightline, Inc.

By Service Type

• Outpatient Counselling
• Inpatient Hospital Treatment
• Home-based Treatment Services
• Emergency Mental Health Services
• Telehealth Services
• Rehabilitation Services
• Others

By Treatment Type

• Counselling & Therapy
• Medication Management
• Behavioural Therapy
• Cognitive Behavioural Therapy
• Psychotherapy
• Support Groups
• Others

By End User

• Hospitals & Clinics
• Community Mental Health Centers
• Rehabilitation Centers
• Homecare Settings
• Others

By Age Group

• Children & Adolescents
• Adults
• Geriatric Population

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa