Chatbots for Mental Health and Therapy Market Size, Share & Trends Analysis Report By Technology (Machine learning and Deep learning, Natural Language Processing, Others), By Application (Conversational Interfaces, Behavioral Pattern Recognition, Others), By Component (Saas, Others), By Region, And by Segment Forecasts, 2024-2032

Market Segmentation

Segmentation of Chatbots For Mental Health And Therapy Market

Chatbots For Mental Health And Therapy Market By Technology

• Machine learning and Deep learning.
• Natural Language Processing
• Others

Chatbots For Mental Health And Therapy Market By Application

• Conversational Interfaces
• Behavioral Pattern Recognition
• Others

Chatbots For Mental Health And Therapy Market By Component

• SaaS
• Others

Chatbots For Mental Health And Therapy Market By Region-

North America

• The US
• Canada
• Mexico

Europe

• Germany
• The UK
• France
• Italy
• Spain
• Rest of Europe

Asia-Pacific

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

Latin America

• Brazil
• Argentina
• Rest of Latin America

Middle East & Africa

• GCC Countries
• South Africa
• Rest of Middle East and Africa

Major Contributors to the Market

Conversational Interfaces Segment

The conversational interfaces segment is expected to hold a major share in the global chatbots for mental health and therapy market in 2022. Conversational agents or chatbots use AI and machine learning to mimic human behavior, providing a task-oriented framework that can engage in conversations. Examples include Siri on Apple devices and Google Assistant on Android smartphones. These interfaces use natural language processing to give users the impression they are speaking with a real person in real time.

SaaS Segment Growth

The SaaS category is projected to grow rapidly in the global chatbots for mental health and therapy market due to the extensive use of AI-based software. Chatbot software can provide subjective, objective assessment and planning (SOAP), enabling users to arrange treatment appointments and support patient data management. The increasing number of chatbot users necessitates managing and organizing large databases to deliver appropriate services and solutions, driving the segment’s expansion.

Chatbots for Mental Health and Therapy Market Dynamics

Driver

According to data from the World Health Organization (WHO), for every 100,000 people globally, there are 13 mental health professionals. In high-income countries compared to low-income ones, the number of mental health professionals working is more than 40 times higher. 53 million new cases of depression and 76 million new cases of anxiety disorders were brought on by the pandemic globally. The demand for these mental health services and therapies—which frequently don’t require in-person visits to a clinic—rose during the pandemic. The lack of mental health resources around the world is leaving a gap that therapy bots are quickly filling, and this factor is expected to fuel the market’s expansion in the years to come.

Restraint

For a variety of reasons, chatbots used for mental health solutions and therapies may be false diagnoses; as a result, users’ adoption of these chatbots is observed to be restricted, which poses a significant barrier to the market.

Artificial intelligence and other generative technologies are used in chatbots for these kinds of services; however, their limitations may provide people with pseudo-results. For numerous questions, these technologies frequently provide generic and average results. For a small number of people who need individualized care or tailored solutions for mental illness, such average results might not be accurate. People may develop misconceptions as a result of incorrect diagnoses or treatments.

Opportunity

Information that might be stigmatizing is avoided by people. One area where concealing truthful information can have detrimental effects is mental health. People are reluctant to disclose signs of mental health disorders because these ailments are stigmatized. It has been observed that the use of sophisticated chatbots reduces the stigma associated with mental health. Multiple advancements in chatbots such as penetration of voice recognition systems, image recognition, and video analyzing systems are observed to boost the adoption of such bots by making it easy to use for everyone. These developments will encourage the use of chatbots for therapy and mental health while providing numerous chances for the market to expand.

Competitive Landscape

Some Major Key Players In The Chatbots For Mental Health and Therapy Market:

• Wysa Ltd
• Ginger
• Woebot Health
• Marigold Health
• Bark Technologies
• Mindstrong Health
• BioBeats
• Lyra Health
• Cognoa
• MeQuilibrium

Recent Developments

• In August 2021, Ginger and Headspace signed a binding agreement to merge, forming a new company called Headspace Health. Valued at $3 billion, this merger resulted in over 2,700 enterprise and health plan customers for Headspace Health. By the end of 2021, these customers had made bookings totaling about $300 million. The merged organization now possesses the world’s largest collection of mental health data, which will be used to provide highly personalized care.

Key Takeaways

• In 2024, the machine learning and deep learning segment dominated the market with a significant market share of 58.7%, primarily due to technological advancements.
• Because of the growing need for mental healthcare services, the Soft-as-a-Service segment held a significant market revenue share of 74.3% based on component.
• The conversational interface segment retained a substantial market share of 63.7% based on applications.
• With a staggering 41.6% market share in 2024, North America dominates the global chatbot market for mental health and therapy.

Regional Analysis

North America

The North American chatbots for mental health and therapy market is expected to hold the highest market share. The increasing demand for accessible mental health support and technological advancements has driven the adoption of chatbots in this region. Companies and organizations have developed chatbots and virtual assistants to provide emotional support, psychoeducation, and resources to individuals seeking mental health assistance.

Asia Pacific

The Asia Pacific region is projected to grow rapidly in the global chatbots for mental health and therapy market. As mental health awareness increases in Asia, chatbots are expected to play a significant role in providing accessible and scalable mental health support. However, addressing cultural and regional diversity is crucial to ensure chatbots are effective and relevant in different contexts. Ensuring data privacy and ethical considerations remains essential as these technologies expand.

Key Industry Insights & Findings from the Report

• Healthcare Spending & Infrastructure Upgrades: The industry is primarily driven by increasing consumer spending on healthcare and significant infrastructure improvements, especially in developing nations.
• Rising Demand for Mental Healthcare Chatbots: The need for accessible and user-friendly mental healthcare services is fueling the growth of the chatbot sector dedicated to mental health and therapy.
• North America’s Market Dominance: In 2023, North America led the market, accounting for the largest share of global revenue.
• Regulatory Challenges for Mental Health Chatbots: To avoid legal issues, market participants must navigate and comply with regulatory systems related to privacy, data protection, and healthcare. This includes potential regulatory checks and balances for chatbots providing mental health support.