Investors invest in medical devices that have the potential to achieve commercialization success in the identified current and future target markets. A medical device market is defined in terms of disease incidence and prevalence, procedure volume, and comprehensive medical technology target market evaluation. Research and analysis of primary sources, market share reports, published literature review, statistics, and other secondary sources provide data for the U.S. and global medical device market analysis. Medical device market analysis defines markets and opportunities through scope and drivers, revenue-driving market trends, and customer profiles identification. A medical device consulting firm also analyzes the competitive technologies’ advantages and limitations. This analysis identifies and explains barriers to market adoption. Consulting firms also determine medical device market drivers that can drive clinical adoption.
Following are the key medical device market drivers:
Operational Efficiency and Profitability
Medical device developers and investors invest in emerging technology to secure the highest possible return on investment. Clinical adopters expect devices that deliver accurate and effective patient outcomes at reduced costs. Medical device consulting firms help in reducing costs and developing efficient technologies with market analysis, competitive analysis, medical device value analysis and other strategic medical device consulting services. Portfolio analysis directs resources and research and development efforts to prioritized projects having the potential to drive more revenue. Reducing development and production cost gives the company a competitive advantage.
Unique Product Identifier
Unique Product Identifier by the FDA is a key driver for change in the industry. Medical device adopters know that Unique Product Identifiers can help in driving supply and inventory efficiencies. Healthcare settings can secure more savings with UDI system Implementation.
Cloud-Based Software Solutions
The medical device industry is also using the cloud technologies. Medical device manufacturers can reap the following two benefits of cloud-based software solutions:
Operational/Cost Efficiency
Cloud-based solutions can achieve process optimization and operational and cost efficiency at reduced deployment and maintenance costs.
The IoT
Infusion and insulin pumps, wireless vital monitors and several other medical devices use IoT. The industry has its own term IoMT (Internet of Medical Things)
Medical device developers collect and share data across the development network. The developer requires a system allowing to accept and process feedback before and during medical device development. That system has to be a cloud-based collaboration and data sharing system.
GS1 Regulation
Each medical device company attempts to enter the global market. Other countries also provide opportunities to secure more revenue. The medical device company has to follow different regulations in different target markets. GS1 regulation is standard in Russia, Australia, Thailand, India, France, UK, Canada and US. GS1 regulations offer more opportunities and drive more revenue in markets outside the US.
Diversified Support Base
There is a diverse range of stakeholders supporting supply chain and manufacturing.
- Medical device startups are securing more funding to cash in on the growing industry.
- Incumbent players are making partnerships and acquisitions with startups.
- The industry leaders are attempting to expand their offering by partnering with tech suppliers.
This means the following two things for a manufacturer:
- The industry is highly profitable
- Healthcare manufacturing cost is reduced.