The 2023 HIDA Laboratory Market Report

The 2023 HIDA Laboratory Market Report

Market-At-A-Glance
The U.S. laboratory market was valued at $93 billion in 2022, a 17% decrease from $112.1 billion in 2021 when COVID-19 testing drove market growth. Post-pandemic, the major factors impacting the laboratory market include increased demand for personalized medicine, the aging population, the high rate of chronic diseases, and laboratory innovations.

In 2022, there were 319,000 Clinical Laboratory Improvement Amendment (CLIA) certified labs in the U.S., including physician offices, nursing homes, and other non-acute settings.

Digital Transformation Is Enabling Lab Efficiency And Productivity
From investing in artificial intelligence (AI) and automation to adopting mobile-friendly tools, laboratories are taking steps toward modernization in 2023. Technological advancements are helping laboratories enable remote work, alleviate inventory management challenges, and cut waste to support sustainability goals.

Laboratory Job Vacancies Increasing Amid Skills Shortage
As retirement rates rose and laboratory staff hiring fell, the U.S. faced a shortage of 20,000 to 25,000 medical laboratory science professionals in 2022. The lack of candidates led to extended job vacancies as unsuitable pay and burnout drove down staff morale and increased employee turnover. Technology advancements and greater remote work flexibility for pathologists is expected to help lessen the burden of the labor shortage.

New Lab Tests Emerge As Demand For Convenient And Personalized Care Escalates
The global market for custom cancer treatments is projected to see double-digital growth in the coming years due largely to the research and development of new laboratory tests and diagnostic procedures. Genetic testing was the top direct-to-consumer (DTC) test type in 2022, as more than 3,000 genetic tests were introduced in the U.S. The Food and Drug Administration also issued an emergency-use authorization in 2022 for a new over-the-counter lab test that could detect and differentiate between COVID-19 and influenza, expanding accessible care options.

End Of Public Health Emergency Creates Future Laboratory Changes
The U.S. government ending the federal public health emergency (PHE) on May 11, 2023, impacted all healthcare markets including laboratories. For laboratories, the end of the PHE changes the expiration date on mandatory coverage of over-the-counter COVID-19 tests and ends the U.S. Department of Health and Human Services’ ability to require laboratories to report COVID-19 test results and immunization data.