Long-term Care Software Market Report Scope & Overview:

Long-term Care Software Market was valued at USD 4.65 billion in 2023 and is expected to reach USD 9.79 billion by 2032, growing at a CAGR of 8.67% from 2024-2032.

The long-term care software market is growing rapidly, driven by the increasing global aging population and the rising demand for long-term care services. In the U.S., about 66,630 regulated long-term care facilities exist to meet this demand, with 70% of adults aged 65 and older expected to require long-term care at some point. This demographic shift puts significant pressure on healthcare providers to find more efficient and effective solutions. In response, many facilities are turning to specialized software to streamline operations, enhance patient care, and improve data management. These technologies also help ensure compliance with regulations and address operational challenges. As the need for senior care continues to grow, the demand for scalable and adaptable software solutions is expected to rise.

The rising demand for long-term care software is fueled by the need to improve operational efficiency and reduce costs in an increasingly competitive market. These software solutions help automate administrative tasks like billing, scheduling, and record-keeping, allowing more resources to be dedicated to patient care. Additionally, real-time monitoring and personalized care features enhance the patient experience. With the number of online doctor consultations worldwide expected to reach 116.7 million by 2024, telemedicine and remote care are becoming increasingly integral to healthcare. These evolving technologies enable seamless, continuous care, underscoring the growing importance of long-term care software. Consequently, it is becoming essential in modernizing care management systems.

Looking ahead, the future of long-term care software is brimming with opportunities as technological advancements continue to reshape the industry. The integration of artificial intelligence and machine learning will enable predictive analytics, making patient care more proactive and outcome-focused. With over 1.3 billion people expected to use digital health in 2024, including fitness trackers, smartwatches, and online consultations, wearable technologies and IoT devices will provide deeper insights into patient health. This will significantly enhance chronic disease management and personalized care. As healthcare regulations around data privacy and security tighten, the demand for secure, compliant software solutions will rise, creating opportunities for innovation. These developments position long-term care software as a cornerstone of personalized, efficient, and cost-effective care delivery.

MARKET DYNAMICS

DRIVERS

• Aging Population and Growing Healthcare Needs Boost Demand for Advanced Long-Term Care Software

The aging population is leading to a surge in demand for long-term care (LTC) services, particularly as more individuals require ongoing care for chronic conditions like dementia and cardiovascular diseases. LTC facilities are increasingly turning to advanced software solutions to meet the growing needs of patients. These systems streamline patient management, improve care planning, and ensure regulatory compliance, allowing for better coordination among caregivers. They also enhance operational efficiency and optimize resource allocation, helping facilities manage complex patient needs. With the push for digitization in healthcare, the adoption of LTC software has become essential for facilities striving to deliver high-quality care and meet the challenges posed by an aging population.

• Consumer Demand for Quality Care A Key Driver for the Long-Term Care Software Market

As patients and families demand more personalized, patient-centric care, the long-term care software market is experiencing significant growth. With a focus on individualized care plans, real-time monitoring, and patient engagement, software solutions are becoming essential for improving care quality. These tools not only enhance communication between caregivers, patients, and families but also ensure better outcomes by streamlining processes and reducing errors. The increasing emphasis on care standards is pushing healthcare providers to adopt technologies that enable more precise, data-driven decisions. As a result, providers are investing in solutions that improve patient management, increase satisfaction, and meet the expectations of informed consumers. This demand for higher-quality care is accelerating the adoption of long-term care software, shaping the future of the industry.

RESTRAINTS

• High Implementation Costs A Barrier to Long-Term Care Software Adoption

The high upfront costs of implementing long-term care software present a significant barrier, especially for smaller care providers. Expenses such as purchasing software licenses, hardware, and integrating systems can be overwhelming, while additional costs for staff training further increase the financial burden. For smaller facilities with limited budgets, these initial investments can delay or prevent adoption of essential technologies that improve patient care and operational efficiency. This issue is compounded by the high costs of nursing home care, which can vary significantly across states. For example, Texas offers the least expensive nursing home care in a semiprivate room at $5,600 monthly, while Missouri's average for a private room is $6,481. In contrast, Alaska's nursing home costs are an outlier at $34,434 a month. The cost disparity between providers further hampers software adoption, limiting the market's growth potential.

SEGMENT ANALYSIS

BY END USE

In 2023, the Nursing Homes and Assisted Living Facilities segment dominated the long-term care software market with nearly 48% of the revenue share. This dominance stems from the rising demand for continuous care due to an aging population and the complexity of managing chronic conditions. Software solutions are crucial for streamlining operations, ensuring compliance, and improving care quality, making these facilities a primary market driver.

The Home Healthcare Agencies segment is expected to grow at the fastest CAGR of about 10.37% from 2024 to 2032. This growth is fueled by the increasing preference for in-home care, as families seek more personalized and cost-effective options. The adoption of telehealth, remote monitoring, and advanced software solutions further enhances patient care and operational efficiency, making home healthcare a rapidly expanding segment.

BY APPLICATION

The Electronic Health Records (EHR) segment dominated the long-term care software market in 2023, with 31% of the revenue share, and is expected to grow at the fastest CAGR of approximately 9.90% from 2024 to 2032. This dominance is driven by the increasing need for accurate, real-time patient data and seamless integration across healthcare systems. As regulatory requirements for digital records strengthen and the demand for improved care coordination grows, EHR solutions are essential for enhancing operational efficiency and ensuring compliance. Furthermore, the shift towards data-driven decision-making and advanced analytics is expected to fuel further adoption, making EHR solutions critical to the evolving landscape of long-term care.

BY MODE OF DELIVERY

The Cloud-Based segment dominated the long-term care software market in 2023, with 43% of the revenue share, and is projected to grow at the fastest CAGR of about 9.85% from 2024 to 2032. This dominance is attributed to the flexibility, scalability, and cost-effectiveness of cloud solutions, which enable long-term care facilities to manage large volumes of patient data securely and efficiently. As more providers adopt cloud technologies to reduce IT infrastructure costs and enhance accessibility, the demand for cloud-based solutions continues to rise. Additionally, the increasing need for real-time data access, remote care capabilities, and system integration further accelerates growth in this segment. The ongoing digital transformation within the healthcare sector ensures that cloud-based platforms will remain a key driver of innovation and expansion in the long-term care market.

REGIONAL ANALYSIS

In 2023, North America dominated the long-term care software market, holding approximately 51% of the revenue share. This dominance is driven by the region’s advanced healthcare infrastructure, high adoption of digital health technologies, and a large aging population requiring long-term care services. Additionally, the presence of key market players and the strong regulatory framework supporting healthcare digitization have further bolstered the region's leadership in the market.

Conversely, the Asia Pacific region is expected to grow at the fastest CAGR of about 11.15% from 2024 to 2032. This rapid growth is fueled by the increasing elderly population, rising healthcare awareness, and the growing demand for long-term care services. As healthcare systems in emerging markets improve and technology adoption accelerates, Asia Pacific is poised to become a major hub for long-term care software solutions, driving market expansion in the coming years.

KEY PLAYERS

• Veradigm LLC (Allscripts Healthcare, LLC) (Allscripts Sunrise Clinical Manager, Allscripts Care Management)

• Cerner Corporation (Oracle) (Cerner Millennium, Cerner PowerChart)

• Netsmart Technologies, Inc. (myUnity, Netsmart CareRecords)

• MatrixCare (ResMed Inc.) (MatrixCare EHR, MatrixCare Home Health)

• Yardi Systems, Inc. (Yardi Voyager, Yardi Senior Living Suite)

• VITALS SOFTWARE (ALINE) (Vitals EHR, ALINE Home Care)

• PointClickCare (PointClickCare EHR, PointClickCare CRM)

• Medtelligent, Inc. (AlayaCare, Medtelligent EHR)

• AL Advantage, LLC (AL Advantage EHR, AL Advantage Home Care)

• Genexod Technologies LLC (Genexod EHR, Genexod Care Management)

• Revver, Inc. (Revver EHR, Revver Care Management)

• Homecare Homebase, LLC. (Homecare Homebase EHR, Homecare Homebase Point-of-Care)

• eClinicalWorks (eClinicalWorks EHR, eClinicalWorks PM)

• Kareo, Inc. (Kareo EHR, Kareo Billing)

• McKesson Corporation (McKesson Enterprise Rx, McKesson Connect)

• CVS Health (Omnicare Inc.) (Omnicare Medication Management, Omnicare Clinical Services)

• Epic Systems Corporation (EpicCare EHR, Epic Cadence)

• Medtelligent Inc. (Medtelligent EHR, Medtelligent Care Management)

• Computer Programs and Systems Inc. (American HealthTech Inc.) (EHR by CPSI, AHT Point of Care)

• Eldermark (Eldermark EHR, Eldermark Medication Management)

• Sanvis Health LLC (Sanvis EHR, Sanvis Care Coordination)

​​​​​​​Recent Developement

• At LeadingAge 2024, Netsmart showcased MyUnity NX, a next-generation platform designed to enhance care delivery across home health and senior living communities.

• On November 7, 2024, Yardi EHR launched a care-enhancing interface with SafelyYou, integrating AI and advanced hardware to improve safety and care planning in senior living communities, optimizing outcomes for long-term care providers.​​​​​​​