Medical Devices Market by Product, End-user and Geography - Forecast and Analysis 2023-2027

Medical Devices Market Analysis Report 2023-2027:

The medical devices market size is estimated to grow by USD 177.95 billion at a CAGR of 5.87% between 2022 and 2027. 

Early detection of diseases and medical conditions is increasing significantly. As a result, the number of patients requiring medical intervention and treatment has also increased. This has led to a higher demand for medical devices that assist in the diagnosis, management, and treatment of these conditions. Chronic diseases like diabetes, cardiovascular diseases, respiratory disorders, and cancer have been increasing globally, requiring continuous monitoring and management with medical devices like glucose monitors, blood pressure monitors, and respiratory therapy equipment. An aging population has also led to an increase in age-related diseases and conditions, which require medical devices such as joint replacements, hearing aids, and assistive devices, further driving the demand for medical devices. Exposure to environmental pollution and toxins can also have adverse effects on health, leading to various diseases like respiratory disorders and certain types of cancer. This increasing prevalence of diseases is expected to drive the growth of the medical devices market during the forecast period

Technavio has segmented the market into product, end-user, and geography

• The product  segment is classified into therapeutic and surgical, PMDMID, and others
• The end-user segment is classified into hospitals and ASCs, clinics, and others
• The geography segment includes key regions such as North America, Europe, Asia, and the Rest of the World (ROW)

It also includes an in-depth analysis of drivers, trends, and challenges. Our report examines historic data from 2017 to 2021, besides analyzing the current market scenario.

What will be the size of the Medical Devices Market During the Forecast Period?

To learn more about this report, Request Free Sample

Medical Devices Market Segmentation by Product, End-user and Geography Analysis

Product Analysis

Therapeutic and Surgical

The market share growth by the therapeutic and surgical segment will be significant during the forecast period. This segment encompasses various medical devices such as AIMD, NAIMD, Technical aids and assistive technology, regenerative therapy, as well as surgical and medical instruments.

Get a glance at the market contribution of various segments View a PDF Sample

The therapeutic and surgical segment was valued at USD 249.57 billion in 2017 and continued to grow until 2021. Medical devices can be classified into different categories based on their intended use. AIMD are devices that are surgically or medically introduced into the body of the patient and are meant to remain there after the procedure. NAIMD, on the other hand, is also introduced into the human body but does not require any external source of energy to function. Regenerative therapy is a medical field that focuses on developing methods to regrow, repair, or replace damaged or diseased cells, organs, or tissues. Surgical instruments are specialized tools or devices used during surgical procedures to carry out specific actions or achieve desired effects. Examples of surgical instruments include cardiac surgery devices, neurosurgery devices, orthopedic surgery devices, urology and nephrology devices, obstetrics and gynecology surgical devices, and dental therapy devices and laboratory equipment. Thus, such applications will drive the growth of the therapeutic and surgical segment of the global medical devices market during the forecast period.

End-user Analysis 

Hospitals and ASCs

The Hospitals and ASCs (Ambulatory Surgical Centers) segment is a significant and critical part of the medical devices market. Hospitals and ASCs are significant consumers of medical devices. Hospitals and ASCs require a variety of medical equipment and devices to properly diagnose, treat, and monitor patients. These devices can include imaging equipment, surgical instruments, diagnostic devices, and patient monitoring systems. The rise of medical tourism, where patients travel to other countries for medical treatment, also increases the demand for medical devices in hospitals and ASCs that cater to international patients seeking high-quality healthcare. Government initiatives aimed at improving healthcare infrastructure and accessibility also contribute to the growth of hospitals and ASCs, leading to an increased demand for medical devices in these facilities. Hospitals and ASCs often undergo expansion and modernization to accommodate the growing number of patients and offer advanced medical services, which further drives the need for up-to-date medical devices. The focus on providing high-quality patient care also leads to the adoption of innovative medical devices that contribute to positive patient experiences and outcomes. All of these factors are expected to drive the growth of the hospitals and ASCs segment of the medical devices market during the forecast period.

Clinics

Clinics are healthcare facilities that provide medical services and treatments on an outpatient basis. There are different types of clinics, varying in size and specialization, from smaller private ones to larger specialized ones. These clinics are a crucial part of the medical devices market and provide a wide range of devices, such as blood pressure monitors and ultrasound machines, for use in different clinical settings. Outpatient care is becoming increasingly popular as it is cost-effective, convenient, and supported by advancements in medical technology. Clinics offer outpatient services and are thus driving the demand for medical devices in these settings. The medical devices used in clinics are designed to be cost-effective and efficient, to help manage healthcare costs while ensuring quality care. The growing awareness about health and wellness has resulted in more frequent health check-ups and preventive healthcare measures, leading to an increased demand for diagnostic and monitoring devices in clinics. These factors are expected to fuel the growth of the clinic's segment of the medical devices market during the forecast period.

Regional Analysis

For more insights about the market share of various regions View PDF Sample now!

North America is estimated to contribute 39% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that will shape the market during the forecast period. North America's primary revenue contributor is the US, followed by Canada. The US is the world's leading market for medical devices and is expected to maintain its dominant position during the forecast period. Additionally, the US is the world's biggest consumer of medical devices, with the EU countries and Japan being the most extensive export markets for medical devices from the US. The medical devices market in the US has grown due to favorable reimbursement policies, increasing healthcare expenditures and initiatives, growing awareness among the general population about chronic diseases, and the rise in product approvals.

Moreover, the incidence of diseases and their related risk factors has been steadily increasing, resulting in high demand for advanced medical devices. The US has a competitive advantage in several industries that the medical devices industry relies on, such as microelectronics, instrumentation, biotechnology, and software development. Medical device companies in the US have collaborated with organizations operating in these industries, leading to the development of several recent advances, including neuro-stimulators, stent technologies, biomarkers, robotic assistance devices, and implantable electronic devices. Such factors are expected to drive the growth of the regional medical devices market during the forecast period.

In 2020, the North American medical devices market experienced a mixed impact from the COVID-19 outbreak. However, in 2021, mass vaccination drives improved the situation, leading to increased demand for medical devices as hospitals and healthcare facilities resumed elective surgeries and procedures. The pandemic has emphasized the importance of robust healthcare infrastructure, resulting in investments to upgrade medical facilities and purchase essential medical devices. These factors are expected to drive the growth of the regional medical devices market during the forecast period.

Buy Now Full Report and Discover More

Key Medical Devices Market Players 

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market. The report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:

Abbott Laboratories - The company offers medical devices such as Accent 3 CRT-D System, and Assurity MRI SureScan Pacemaker.

• B.Braun SE
• Baxter International Inc.
• Becton Dickinson and Co.
• Boston Scientific Corp.
• Canon Inc.
• Cardinal Health Inc.
• Danaher Corp.,
• F. Hoffmann La Roche Ltd.
• Fresenius SE and Co. KGaA
• General Electric Co.
• Johnson and Johnson
• Koninklijke Philips N.V.
• Medtronic Plc
• Nihon Kohden Corp.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Medical Devices Market: Key Drivers, Trends, Challenges, and Customer Landscape

There are multiple factors influencing market growth. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. 

Key Medical Devices Market Drivers

The increasing initiatives and awareness by public and private organizations driving market growth. Some of the major initiatives are to promote awareness about CVDs, initiatives for promoting awareness about neurological and neuromuscular disorders, initiatives for promoting dental services, and the initiatives for promoting awareness about hearing disabilities. In the US, February is observed as American Heart Month by the AHA to promote awareness of CVDs and their early diagnosis. This is a federally designated event. Additionally, the Heart Rhythm Society has designated October as Sudden Cardiac Arrest (SCA) Awareness Month. Through this initiative, they aim to increase awareness and educate the public about the diagnosis and treatment of SCA as part of the promotion of CVD awareness. WHO is working with partners and stakeholders to enhance healthcare accessibility for individuals with epilepsy and promote awareness about neurological and neuromuscular disorders.

Moreover, the initiative to improve treatments for these disorders is also gaining momentum, with the Brain Donor Project aiming to increase funding for scientific advancements in neurological, neuropsychiatric, and neurodevelopmental disorder treatments. Many countries offer free dental services, as stated by initiatives promoting dental health. The Organisation for Economic Co-operation and Development (OECD) reports that Austria, Mexico, Poland, Spain, and Turkey provide complete coverage for the costs of dental health services. Such initiatives by public and private organizations will increase the adoption of medical devices, which, in turn, is expected to drive the growth of the medical devices market during the forecast period.

Significant Medical Devices Market Trends

Increasing market penetration in emerging countries is an emerging trend shaping market growth. In developing countries, the medical device market is expanding quickly. Investors are attracted to the high operating margins in various industry subsectors, making them more appealing than similar businesses in developed economies. This is because the middle class in these countries is large, growing, and becoming more prosperous. They are willing to pay for top-notch medical services that governments have struggled to provide in the past. As the economies of China and India continue to grow, spending on medical devices is also expected to increase. This creates a huge opportunity for medical device manufacturers as these countries are likely to become major markets. China's government has already announced a comprehensive five-year plan called the National Planning Guideline for the Healthcare Service System during 2015-2020.

One of the goals of this plan is to increase the number of hospital beds in healthcare institutions and encourage the development of private senior care facilities and home care services. The government is also urging private investors to develop private hospitals in China. Similarly, the medical device manufacturers industry in India is becoming more attractive as the government is expected to increase public health funding and health insurance coverage in the coming years. This is encouraging vendors like Medtronic to expand their market reach to emerging economies. Such factors are expected to fuel the growth of the medical devices market during the forecast period.

Major Medical Devices Market Challenges 

Declining reimbursement and cost containment measures are significant challenges hindering market growth. In the US, Medicare and Medicaid, private healthcare insurance, and managed-care plans are adopting various cost-control strategies to lower healthcare expenses. These strategies involve capping payment for specific procedures or treatments, linking reimbursements to results, transitioning to population health management (PHM), and implementing new laws and regulations. An example is the Sunshine Act, now known as Open Payments, which was introduced by the US government. In various major markets, such as the EU and Japan, governments are implementing measures to control costs for medical device manufacturers. These measures include direct or indirect price controls, limiting access to or reimbursement for a company's products, and reducing the value of intellectual property protection.

Moreover, one of the major challenges for reimbursement is the mismatch between reimbursement rates and the value of medical technologies. Healthcare reform efforts are shifting the industry from a volume-based to a value-based model, linking reimbursement to quality, better care, and cost containment. Currently, medical device companies must provide more comprehensive evidence to support the real-world value and positive outcomes of their products. Efforts by government authorities, insurance companies, and other payers to reduce costs are resulting in more patients being denied payment from these third-party payers, which is significantly impacting the sales and profitability of medical device vendors. Therefore, cost containment measures may hinder the growth of the global medical devices market in the forecast period

Buy Now Full Report and Discover More

Key Medical Devices Market Customer Landscape

The market report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.

Global Medical Devices Market Customer Landscape

Segment Overview

The medical devices market report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027. 

• Product Outlook (USD Billion, 2017 - 2027)
  • Therapeutic and surgical
  • PMDMID
  • Others

• End-user Outlook (USD Billion, 2017 - 2027)
  • Hospitals and ASCs
  • Clinics
  • Others

• Region Outlook (USD Billion, 2017 - 2027)
  • North America
    • The U.S.
    • Canada
  • Europe
    • The U.K.
    • Germany
    • France
    • Rest of Europe
  • Asia
    • China
    • India
  • Rest of the World 
    • Brazil 
    • Argentina
    •  Australia

View Sample PDF at your Fingertips

What are the Key Data Covered in this Medical Devices Market Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the growth of the medical device market  between 2023 and 2027
• Precise estimation of the medical devices market size and its contribution to the market in focus on the parent market
• Detailed analysis of customer landscape covering Diver of price sensitivity, Adoption of the lifecycle, and key purchase criteria 
• Companies landscape comparing criticality of inputs and factors of differentiation
• Exclusive Matrix on the company's position and classification
• Accurate predictions about upcoming trends and changes in consumer behavior
• Growth of the market across North America, Europe, Asia, and the Rest of the World (ROW)
• A thorough analysis of the market’s competitive landscape and detailed information about companies
• Comprehensive analysis of factors that will challenge the growth of medical devices market companies

We can help! Our analysts can customize this market research report to meet your requirements. Get in touch