Asia Pacific Reprocessed Medical Devices Market

Reprocessed Medical Devices Market: Cardiology Devices Segment Slated to Dominate the Regional Market Through 2027: Asia Pacific Industry Analysis and Opportunity Assessment, 2017-2027

Cardiology devices segment is anticipated to reach the highest market value during the projected period

The Cardiology Devices segment is likely to create absolute $ opportunity of a little more than US$ 15 Mn in 2018 over 2017. By the end of 2027, Cardiology Devices segment is projected to reach a market valuation close to US$ 700 Mn, expanding at a CAGR of 18.4% over the forecast period. The Cardiology Devices segment dominated the Asia Pacific reprocessed medical devices market in terms of revenue in 2016, and the trend is projected to grow throughout the forecast period. Cardiology Devices segment is anticipated to be the most attractive segment, recording an attractiveness index of 4.3 over the period of assessment.

Alternative product deployment and external partnerships are encouraging manufacturers to increase production focus on cardiology devices

There has been an increasing healthcare spending by the governments of some of the developing countries such as Australia, India and China owing to a growing geriatric population and growing awareness among the population regarding health-related issues. However, despite increased healthcare spending in the Asia Pacific region, the growth rate is slow, which creates a requirement for healthcare facilities to focus on cost cutting in order to stay in tune with the universal healthcare system. Increasing healthcare spending in response to growing healthcare problems is the driving factor for the cardiology devices segment.

Most of the prestigious hospitals in Asia Pacific are focussing on reducing the cost of medical devices for better results with the smarter use of their resources. Many hospitals are using cardiology devices as a supply chain cost reduction strategy. This fuels the growth of the cardiology devices segment in the Asia Pacific reprocessed medical devices market. Stringent regulations by various local regulatory bodies provides assurance to hospitals and practitioners regarding the quality of cardiology devices. The need to maintain quality, safety, manufacturing standards and effectiveness as specified by regulatory bodies is estimated to invoke trust in healthcare facilities and practitioners. For instance, in Australia, SUDs are considered as new distinct medical devices. The reprocessing companies are responsible for all conformity assessments, safety, efficacy standards and all the legal liabilities of the remanufactured product.

Growing awareness regarding the use of reprocessed medical devices particularly cardiology devices and growing concerns regarding safety and efficacy is driving the growth of the cardiology devices segment. Due to regulatory hurdles regarding in-house reprocessing, hospitals are focussing on entering into agreements with companies for reprocessing of their medical devices. This is driving growth in the third party cardiology devices segment. Increasing awareness about cardiology devices helps save healthcare expenses each year. Reprocessed medical devices such as cardiology devices are sold at approximately half the price of a new product. Availability of cardiology devices at less prices is propelling the demand in the cardiology devices segment.

asia pacific reprocessed medical devices market

Cardiology devices segment in India is anticipated to expand at an attractive CAGR of 23% over the period of forecast

The cardiology devices segment is estimated to account for more than 50% revenue share of the Australia reprocessed medical devices market by 2017 end and is predicted to gain more than 1000 BPS in its market share by 2027 over 2017. Cardiology devices segment is likely to create absolute $ opportunity of more than US$ 1 Mn in 2018 over 2017 in the country. By the end of 2027, cardiology devices segment is projected to reach more than US$ 70 Mn, expanding at a CAGR of 18% over the calculated period. In New Zealand, the cardiology devices segment is projected to reach close to US$ 16 Mn by the end of 2027, expanding at a CAGR of 16% over the forecast period. In China, revenue from the cardiology devices segment is anticipated to register a CAGR of 24.8% over 2017–2027, to reach more than US$ 180 Mn by 2027. The cardiology devices segment in the India reprocessed medical devices market is estimated to create absolute $ opportunity of close to US$ 2 Mn in 2018 over 2017.

The expert analysts of Future Market Insights have examined the Asia Pacific reprocessed medical devices market in a new report titled “Reprocessed Medical Devices Market: Asia Pacific Industry Analysis and Opportunity Assessment, 2017–2027” for a period of 10 years. The report focusses on the reprocessed medical devices market in the Asia Pacific region where manufacturers are concentrating on the development of quality and cost-effective products. Our analysts have observed that the hospitals end user segment accounts for maximum revenue share in the overall Asia Pacific reprocessed medical devices market, followed by diagnostic centres. They have further noticed that cardiology devices are expected to hold a majority share in the Asia Pacific reprocessed medical devices market over the forecast period. While differentiating key player strategies we have found that reprocessed medical devices companies are more focussed towards innovation and commitment to R&D, enhancing their product portfolio and enhancing physician loyalty to expand their global presence through existing channels. As a result, global players are adopting mergers and acquisitions as the key development strategy to penetrate into the local market.

In terms of countries, Japan represents the most lucrative market, followed by China and South East Asia. The reprocessed medical devices market in Asia Pacific is expected to witness significant growth due to increasing awareness and an increasing shift towards a value-based healthcare model. Our analysts have studied the Asia Pacific reprocessed medical devices market and have come to a conclusion that distribution of reprocessed medical devices is done either through direct selling or through distributors. Detailed analysis of the value chain has been done where sorting of reprocessed medical devices takes place for isolated type of devices based on classification and reprocessing procedure. Reprocessing in this market is done by third party reprocessing companies, non-compliant reprocessors and in-house reprocessing facilities. 

Porter’s Five Forces model is the uniqueness of our report

Porter’s five forces model is based on the bargaining power of suppliers and buyers, the threat of substitutes and new entrants and competitive rivalry. We have leveraged this model to study and analyse the Asia Pacific reprocessed medical devices market extensively.

  • Suppliers of used, undamaged and expired medical devices that are used for reprocessing include hospitals and healthcare facilities

  • Buyers include surgical centres, orthopaedic centres, hospitals and other healthcare facilities that procure reprocessed medical devices from reprocessors

  • Original medical devices with reduced pricing could act as internal substitutes in the near future. Thus, the threat of substitutes is expected to be from low to medium during the forecast period

  • Requirement of steady supply of used medical devices, approved remanufacturing facilities and strong distribution network are the key challenges for new entrants

  • Large number of companies with similar market share are dominating the reprocessed medical devices market in the Asia Pacific region

Apart from Porter’s Five Forces model, the report comprises key trends, drivers, restraints, opportunities and macroeconomic factors influencing the growth of the Asia Pacific reprocessed medical devices market. This report offers insights into the market dynamics that can influence the growth of the Asia Pacific reprocessed medical devices market over the forecast period. In the final section of the report, a competitive landscape has been included to provide a dashboard view of key companies operating in the Asia Pacific reprocessed medical devices market. This section is primarily designed to provide clients with an objective and detailed comparative assessment of key providers specific to a market segment in the reprocessed medical devices market and potential players. This section also includes market strategies and SWOT analysis of the main players operational in the Asia Pacific reprocessed medical devices market.

The key segments in this market are as follows:

By Country

By Product Type

By Classification

By Reprocessing Method

By End User

  • Australia
  • New Zealand
  • China
  • India
  • South East Asia
  • Japan
  • Rest of Asia Pacific
  • Gastroenterology Devices
  • Cardiology Devices
  • Laparoscopy Devices
  • Orthopaedic/Arthroscopic Devices
  • ENT Devices
  • Others
    • Pulse Oximetry Sensors
    • Ultrasound Catheters
  • Critical
  • Semi-Critical
  • Non-Critical
  • In-House
  • Third Party Assisted
  • Non-Compliant Reprocessors
  • Hospitals
  • Diagnostic Centres
  • Ambulatory Surgical Centres

Research Methodology

We have considered Year-on-Year (Y-o-Y) growth to understand the predictability of the Asia Pacific reprocessed medical devices market and to identify growth opportunities for companies operating in the Asia Pacific reprocessed medical devices market. Another key feature of our report is the analysis of key segments in terms of absolute dollar opportunity. This is usually overlooked while forecasting the market. However, absolute dollar opportunity is critical for assessing the level of opportunity that a provider can look to achieve, as well as to identify potential resources from a sales and delivery perspective for services offered in the Asia Pacific reprocessed medical devices market. To understand key segments in terms of their growth and performance in the Asia Pacific reprocessed medical devices market, Future Market Insights has developed a unique market attractiveness index to help providers identify existing market opportunities.