The U.S. genetic testing market is rapidly evolving, driven by increasing awareness of personalized medicine, technological advancements, and growing demand for early disease detection. Valued at USD 4.11 billion in 2019, the market experienced a temporary slowdown in 2020 due to the COVID-19 pandemic, growing only by 6.7% that year. However, the long-term outlook remains strong. The market is projected to reach USD 10.29 billion by 2027, expanding at a compound annual growth rate (CAGR) of 13.0% during the forecast period (2020–2027). In 2025, major industry players are expanding their portfolio through partnerships, acquisitions, and innovative product launches, setting the stage for continued disruption in the healthcare landscape.
Introduction
Genetic testing is transforming the U.S. healthcare industry, enabling early detection of diseases, targeted treatment, and personalized health planning. The market’s strong growth is fueled by advancements in genomics, rising consumer awareness, and increasing adoption of direct-to-consumer (DTC) genetic tests.
Market Size & Growth Analysis
The U.S. genetic testing market showed a temporary decline in growth rate during 2020 (6.7%) due to pandemic-related disruptions, including delayed elective procedures and reduced patient visits. However, this was a short-term deviation from the consistent 2016–2019 average growth.
From 2021 onwards, growth rebounded as the demand for genetic insights in oncology, prenatal testing, pharmacogenomics, and ancestry services surged.
Key Market Drivers
The increasing focus on personalized treatment plans is a significant driver. Genetic testing helps tailor medical treatment to the individual characteristics of each patient, enhancing treatment efficacy and reducing side effects.
Next-generation sequencing (NGS), CRISPR, and AI-powered genomic analytics are revolutionizing genetic diagnostics, making tests faster, more affordable, and more accessible.
The rise in health-consciousness and proactive healthcare behavior, especially among millennials and Gen Z, is boosting the adoption of direct-to-consumer genetic tests like ancestry and wellness panels.
There is a growing reliance on genetic testing in oncology and rare disease diagnostics. Tests like BRCA1/BRCA2 for breast cancer and carrier screening for inherited disorders are becoming standard clinical practice.
Market Segmentation