Laboratory Information Management System Market (By Product: Web hosted, Cloud based, On premise; By Product: Web hosted, Cloud based, On premise; By Component: Software, Services; By Type: Broads Based LIMS, Industry Specific LIMS; By End User; Life Sciences, Petrochemical refineries, Food and beverages, Chemical industry, Agricultural industry, CRO, Environmental testing laboratory, Other industries)- Global Industry Analysis, Share, Growth, Regional Outlook and Forecasts, 2022-2030

The global Laboratory Information Management System market size was estimated at USD 1.92 billion in 2021 and is expected to surpass around USD 3.8 billion by 2030 and poised to grow at a compound annual growth rate (CAGR) of 7.88% during the forecast period 2022 to 2030.

Key Takeaways:

• By product, the cloud-based segment has accounted revenue share of around 43.5% of the global revenue. However, the on-premise segment is growing faster between 2022 to 2030.
• By components, the services segment has reached at 58% revenue share in 2021.
• By end uses, the life sciences segment held highest revenue share 41% in 2021.
• The North America region hit revenue share 45.5% in 2021.

Technological advancements pertinent to pharmaceutical laboratories and the rising demand for lab automation are expected to fuel the demand for these systems in the years to come. Advancements in R&D labs, especially in pharmaceutical and biotechnological laboratories, are expected to enable positive industry growth for laboratory information management systems. In addition, low cost of implementation, efficient time management, and compliance with GDP, GCP & GMP are other major factors driving the growth of the Laboratory Information Management System (LIMS) Market

Factors contributing to this growth include growing demand for laboratory automation, investments in the life sciences industry, demand for outsourcing services, and technological advancements. To help in tackling the effect of the COVID-19 pandemic, market players aimed at launching novel lab automation solutions in the market. For instance, LabVantage launched the COVID-19 LIMS, which helps manage the unprecedented acceleration of the laboratory workflow and volume due to the pandemic.

Likewise, in March 2020, Ovation, a U.S.-based startup, started an initiative, which was centered around its cloud-based LIMS and was aimed at enabling independent laboratories to broaden their capabilities and effectively doubling the testing capacity throughout the country. Increasing investment in R&D sectors by pharma and biotechnological companies is another factor propelling the market growth. A rise in demand for laboratory automation is expected to fuel market growth. Significant growth potential in emerging markets presents a huge opportunity for LIMS solutions. China, Singapore, India, Brazil, and several Middle Eastern countries are the major upcoming markets for LIMS.

North America accounted for the largest revenue share in 2021 on account of the favorable government initiatives, demand for genomic studies, and increased investments in R&D by the regional government. Asia Pacific is anticipated to witness the fastest CAGR from 2022 to 2030 owing to the rising demand for outsourcing services and increasing expenditure in the R&D sector. Moreover, several biopharma players are shifting their manufacturing plants in the Asia Pacific region for low-cost production. However, the COVID-19 pandemic had pressured stakeholders from developed markets, such as the U.S. and Europe, to reduce their heavy dependence on Asian countries and shift back to in-house operations.

Report Scope of the Laboratory Information Management System Market

Product Insights

On the basis of products, the global market has been segmented into on-premise, web-hosted, and cloud-based. Technical considerations are of utmost importance while purchasing any laboratory informatics solution. Organizations assess the requirements of the solution as well as their IT infrastructure. This enables an organization to choose between on-premise, web-based, and cloud-based solutions. The cloud-based product segment dominated the market in 2021 and accounted for a share of more than 43.5% of the global revenue. The segment is estimated to retain its leading position growing at the fastest CAGR over the forecast period. The data can be accessed from multiple locations, multiple systems, and multiple branches and these are the key factors attributing to the dominance of the cloud-based products segment.

In addition, reduced IT manpower, cost-effective data management, and easy deployability are some other factors driving the segment growth. The web-hosted segment accounted for the second-largest revenue share owing to the high adoption of web-hosted LIMS among the customers. These LIMS are suitable for a wide range of laboratories, including R&D departments, manufacturing companies, public utilities, and environmental, chemical, contract, and QC labs. The on-premise segment is also expected to grow at a significant CAGR from 2022 to 2030 as it is more customized and reliable as compared to other LIMS services and, thus, expected to gain more popularity over the coming years.

Component Insights

On the basis of components, the market has been bifurcated into software and services. The services segment dominated the market and accounted for more than 58% share of the global revenue in 2021. This is due to the increased need for LIMS implementation, integration, maintenance, validation, and support. Moreover, the high demand for LIMS outsourcing solutions is expected to drive the segment growth. Large pharmaceutical research labs lack resources and skills required for the deployment of analytics, thus, these services are outsourced. This outsourcing can be short term, project-based, or a long-term contract.

These services are offered in packages, and these packages include compliance pertaining to promotional spend, social media analytics, predictive analytics for medical devices failure, benchmarking services, and others. The software segment is expected to show steady growth over the forecast period due to the advancement of a software system from SaaS to more advanced PaaS, CaaS, and community networks. The market players are constantly adopting differnert strategies  and promoting market growth. In September 2020, IDBS publicized a combination between the E-WorkBook electronic laboratory notebook and SCIEX Analyst Software. Thus it helps in expanding the company’s present family of integrations.

End-use Insights

On the basis of end uses, the market has been divided into life sciences, Contract Research Organizations (CROs), petrochemical refineries and oil & gas industry, chemical industry, food & beverage & agriculture industries, environmental testing laboratories, and other industries including forensic, metal & mining laboratories. The life sciences end-use segment accounted for the largest share of more than 40% of the global revenue in 2021. This is owing to the high adoption of LIMS in pharmaceutical laboratories. Lack of in-house qualified resources, higher productivity, cost efficiency, increasing demand for biobanks and biorepositories are also expected to bolster the growth of this segment.

The Contract Research Organizations (CROs) segment is expected to register the fastest growth rate from 2022 to 2030. This rapid growth can be attributed to the increasing demand for outsourcing by pharmaceutical and biotechnological companies. In addition, various associated advantages, such as cost efficiency, focus on major competencies, and mutual benefits to both contractor &client, are anticipated to drive the growth of this segment over the forecast period.

Regional Insights

The North America regional market accounted for the maximum share of more than 45.5% of the global revenue in 2021. The dominance is owing to the supportive policies facilitating laboratory automation adoption, such as EHR programs. In addition, the presence of advanced infrastructure, increasing demand for genomic studies, and rising government funding are some other factors responsible for the region's high share. AsiaPacific is expected to be the fastest-growing regional market over the forecast period on account of the increasing number of LIMS-providing CROs in this region. According to the Global Services Location Index (GSLI) rating, in 2016, India ranked first among 55 analyzed countries in outsourcing for web-enabled services.

Moreover, several biopharma players are shifting their manufacturing plants in Asia Pacific for low-cost production. This is creating significant demand for LIMS in Asian countries. Nevertheless, the COVID-19 pandemic had pressured stakeholders from developed markets, such as the U.S. and Europe, to reduce their heavy dependence on Asian countries and shift back to in-house operations. China, Singapore, India, Brazil, Japan, and Middle Eastern countries are the major upcoming markets for LIMS. These markets lack government regulations and proper standards, thus, providing immense potential for vendors that are unable to meet the standards implemented in developed countries, such as the U.S.

Some of the prominent players in the Laboratory Information Management System Market include:

• LabVantage Solutions Inc.
• LabWare
• Thermo Fisher Scientific
• Siemens
• PerkinElmer Inc.
• Abbott Laboratories
• Labworks
• LabLynx, Inc.
• Autoscribe Informatics
• Illumina, Inc.
• Computing Solutions, Inc.
• CloudLIMS.com
• AssayNet
• Ovation
• LABTRACK

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Nova one advisor, Inc. has segmented the global Laboratory Information Management System market

By Product

• Web hosted
• Cloud based
• On premise

By Component

• Software
• Services

By Type

• Broads Based LIMS
• Industry Specific LIMS

By End User

• Life Sciences
• Petrochemical refineries
• Food and beverages
• Chemical industry
• Agricultural industry
• CRO
• Environmental testing laboratory
• Other industries

By Geography

North America

• U.S.
• Canada

Europe

• Germany
• France
• United Kingdom
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• Southeast Asia
• Rest of Asia Pacific

Latin America

• Brazil
• Rest of Latin America

Middle East & Africa (MEA)

• GCC
• North Africa
• South Africa
• Rest of Middle East & Africa

Key Points Covered in Laboratory Information Management System Market Study:

• Growth of Laboratory Information Management System in 2022
• Market Estimates and Forecasts (2017-2030)
•  Brand Share and Market Share Analysis
•  Key Drivers and Restraints Shaping Market Growth
•  Segment-wise, Country-wise, and Region-wise Analysis
•  Competition Mapping and Benchmarking
•  Recommendation on Key Winning Strategies
•  COVID-19 Impact on Demand for Laboratory Information Management System and How to Navigate
•  Key Product Innovations and Regulatory Climate
•  Laboratory Information Management System Consumption Analysis
•  Laboratory Information Management System Production Analysis
•  Laboratory Information Management System and Management