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The product design development services market size is estimated to grow by USD 6.40 billion at a CAGR of 9.7% between 2023 and 2028. The market is set for significant growth, driven by various factors. Advancements in healthcare technology are revolutionizing product design and development processes, enhancing the quality and efficiency of medical devices. Moreover, the increasing prevalence of diseases is fueling demand for innovative healthcare solutions in smart healthcare, further fuelling market expansion. The market growth is supported further by several key trends and drivers. Technological advancements, particularly in healthcare, are driving the development of innovative medical devices, diagnostic tools, and surgical equipment. The demand for customized solutions to meet specific healthcare needs, coupled with the rise in healthcare costs and the aging population, is pushing manufacturers to invest in advanced design services. Digitalization and AI-powered tools are also transforming product development, enabling more personalized and efficient solutions across various industries. Moreover, compliance with stringent regulatory requirements remains a significant driver, shaping the development of high-quality, market-ready products.
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The growth of the market is driven by various factors, including the increasing demand for new technologies and software, rising market demand, and the need for monitoring and tracking purposes. Medical device manufacturers, patients, and providers seek customized procedure trays and small, portable products that meet their end-user needs and application requirements. With specifications becoming more stringent and competition on the rise, manufacturers are focusing on meeting regulatory compliance and delivering high-quality products. However, associated costs, strict regulations, and rising healthcare costs pose challenges to market growth. Nonetheless, advancements in medical technology, such as wireless capabilities and mobile apps, offer opportunities for innovation and collaboration among technology companies and manufacturers of medical devices.
The product design development services market report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in USD Billion for the period 2024 to 2028, as well as historical data from 2018 to 2022 for the following segments.
The market share growth by the surgical instruments segment will be significant during the forecast period. The surgical instruments segment dominated the market share, with the highest market share. Over the forecast period, the segment is anticipated to dominate. The primary objective of surgical instruments is to ensure patient safety during surgical procedures. They ensure that instruments are safe and effective, reducing the risk of injury or complications during surgery. Surgical instruments must be designed to reduce the physical strain on the surgeon during prolonged procedures. A well-designed instrument will be easy to use, reducing the likelihood of errors and minimizing surgeon fatigue.
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The surgical instruments segment was valued at USD 2.23 billion in 2018. In this segment, advanced design and development methods are needed to provide unique biomedical technologies for surgical equipment. The creation of surgical tools should be modified and controlled for their quality, safety, performance, feasibility, and manufacturing costs because the surgical instruments are very technologically oriented, price-sensitive, and quality competitive. The high demand for surgical instruments will boost product design development services market growth during the forecast period. This comprehensive market research report provides insights into key drivers, emerging trends, and challenges, offering valuable perspectives for stakeholders in the healthcare industry. Furthermore, this market report includes historic market data from 2018 to 2022.
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Asia is estimated to contribute 47% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. The region is home to many developing economies, such as China and India, experiencing significant growth in various industries, including manufacturing, healthcare, and technology. The market in APAC is driven by the increasing demand for innovative and high-quality products and the need to reduce costs and improve efficiency. The growth of the market has also led to the emergence of specialized design and development firms that focus on specific industries, such as medical devices, which is expected to boost global product design development services market growth during the forecast period.
The market is witnessing significant growth driven by advancements in new technologies & software in healthcare analytics, catering to monitoring & tracking purposes in the healthcare sector. The market is also witnessing significant growth due to the increasing market demand for medical devices and rising healthcare costs. Medical device firms and technology companies are investing in advanced design services to meet strict regulations and cater to the geriatric population's health concerns. Associated costs for manufacturing process development, detailed design creation, and concept generation are driving the market growth. Cutting-edge technology, such as composite materials, is being used to create innovative designs for diagnostic, therapeutic, surgical instruments, clinical laboratory equipment, and biological storage.
Concept & requirements development, design verification, process validation, production & commercial support, and other design services are essential to bring medical devices from the concept stage to commercialization. The product design development services market is expected to continue its growth trajectory, driven by the increasing demand for medical devices and the need for innovative designs to meet evolving healthcare needs. Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, challenges, and market share. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
Advancements in healthcare technology are the key factor driving the growth of the global market. smart wearable healthcare devices such as fitness trackers and smartwatches are growing in popularity. These devices can track health metrics such as heart rate, sleep patterns, and physical activity, helping users to monitor and manage their health. Demand is increasing as companies seek to develop new and innovative wearable devices that can provide even more advanced health monitoring capabilities.
Artificial intelligence (AI) has the potential to revolutionize healthcare by analyzing large amounts of data and providing insights into patient care. AI-powered tools can help healthcare providers make more informed decisions about diagnosis and treatment and help patients better manage their health. The demand for these services has increased as companies seek to create new AI-powered healthcare products that can improve patient outcomes. Thus, technological advances drive the demand for these services, which will positively impact product design development services market growth during the forecast period.
Digitalization in the healthcare industry is the primary trend shaping the global market growth. Digitization has revolutionized the healthcare industry, transforming the way healthcare services are delivered and consumed. With the increasing adoption of digital technologies such as telemedicine, wearables, and IoT devices, the demand for these services, as well as healthcare and development services, is growing. Digitization has made it possible to personalize healthcare products and services to meet the unique needs of patients. This has led to a demand for these services to create customized patient solutions.
Moreover, digitalization has generated vast amounts of health data, which can be leveraged to improve healthcare outcomes. These services are needed to create solutions that can analyze and interpret this data to provide insights that can improve patient outcomes. Thus, digitalization has created significant opportunities for the market during the forecast period.
Stringent regulations on medical device manufacturing are major challenges impeding the growth of the global market. Healthcare products must comply with various regulations to ensure patient safety, which is complex and time-consuming. Our designers and developers are familiar with regulations such as FDA, HIPAA, and GDPR to ensure your products meet the required standards. The global regulatory environment for medical devices is becoming increasingly stringent and unpredictable for manufacturers. The US FDA and other regulatory agencies require medical device manufacturers to perform extensive compliance oversight.
These agencies closely review the design and manufacturing practices, such as labeling, and maintain records of manufacturers' reports on adverse events to identify potential problems with marketed medical devices. The manufacturers are also subjected to periodic inspections for compliance with applicable quality system regulations, which govern the designing, manufacturing, and servicing of finished medical devices intended for use on humans. Thus, stringent regulations in medical device design and manufacturing may negatively impact product design development services market growth during the forecast period.
This product design development services market growth and trends 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 product design development services market forecasting report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Global Market Customer Landscape
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.
Aran Biomedical: The company offers design risk analysis. They also offer expert design, development, and manufacturing solutions for implantable medical devices.
This product design development services market report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:
Qualitative and quantitative analysis of vendors 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 vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.
Product Design Development Services in the medical device industry are crucial in creating devices that cater to the needs of the growing geriatric population while adhering to strict regulations. Associated costs for medical device firms increase due to rising healthcare costs and the demand for advanced, consumer-driven models. Technology companies are at the forefront of innovation, integrating cutting-edge technology into medical devices, such as wireless capabilities, mobile apps, connected devices, wearable sensors, inhalers, home healthcare, and advanced portable devices. The integration of new technologies, such as software solutions, connected devices, wearable sensors, inhalers, and advanced portable devices, has revolutionized home healthcare and drug development plans.
Furthermore, the market demand for next-generation diagnostic tools and combination products continues to rise. Precision and versatility are essential elements in product design, with a focus on compact design, customized wearable devices, and electronic patient records. Technology advancements include wireless internet-linked systems, personal informatics movement, data journaling, health quantification, and digital health technologies. Novel biomaterials and digital health technologies, such as accelerometers and sensors, are used in sleep monitoring, heat flux, and galvanic skin response devices. Personalized medicine and advanced devices employing complexity and connectivity are becoming increasingly important. The product design development process signifies the importance of adhering to regulations while creating devices that cater to health concerns and meet the needs of the consumer.
The product design development services market is evolving rapidly, driven by the demand for quality products and increasing complexity of product design in the medical devices manufacturing industry. This consumer-driven model focuses on advanced drug delivery systems and tracking and recording information like heart, pulse rate, blood oxygen, and respiration. Companies are integrating good laboratory practices, good clinical practices, and good manufacturing practices into their drug development plans. Expansion strategies include 3D printing and the development of the consumables and accessories segment. Detailed design and process development, along with engineering design and analysis, play key roles in the medical devices industry segment. Design validation and the use of productivity management software further enhance efficiency, enabling the production of consumables that meet the high standards of the medical industry.
Market Scope |
|
Report Coverage |
Details |
Base year |
2023 |
Historic period |
2018 - 2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 9.7% |
Market growth 2024-2028 |
USD 6.40 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
8.61 |
Regional analysis |
Asia, North America, Europe, and Rest of World (ROW) |
Performing market contribution |
Asia at 47% |
Key countries |
US, China, Japan, Germany, and Canada |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Aran Biomedical, Biomerics LLC, Cambridge Design Partnership Ltd., Celestica Inc., Delve, DeviceLab Inc., Flex Ltd., Freudenberg and Co. KG, IndiaCADworks, Integrated Computer Solutions Inc., Jabil Inc., KKR BOSE DESIGN SERVICES Pvt. Ltd., Nordson Corp., Nuova Donatella, Planet Innovation Holdings, Plexus Corp., RA Global Tech Solutions LLP, StarFish Product Engineering Inc., Steripack Group Ltd., and Veranex |
Market dynamics |
Parent market analysis, Market Forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, Market growth and Forecasting, COVID 19 impact and recovery analysis and future consumer dynamics, Market condition analysis for market forecast period |
Customization purview |
If our product design development services market forecast report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Market Segmentation by End-user
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Opportunity/Restraints
11 Competitive Landscape
12 Competitive Analysis
13 Appendix
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