– Strong competition in the replacement segment calls for product innovation and new strategies, finds Frost & Sullivan
LONDON, March 24, 2015 /PRNewswire/ — For a decade now, the volume of endoscopic procedures in Western Europe has been rising steadily. This has increased the demand for automated endoscope reprocessors (AERs), which facilitate high-level disinfection of endoscopes. Endoscopy units and small clinics have been installing AERs to maintain throughput, enhance efficiency, and avoid the transportation delays arising from reprocessing in a central sterile supply department.
New analysis from Frost & Sullivan, Automated Endoscope Reprocessor Market Trends in Western Europe, finds that the market earned revenues of $133.3 million in 2014 and estimates this to reach $154.6 million in 2019. The study covers pass through and single door AERs.
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Currently, the replacement of existing AERs, along with a limited number of new installations, is driving sales in Western Europe. With the improvement in AER technology, however, the replacement market, which has been primarily responsible for revenue growth, is witnessing competition that is redefining the products used in the region.
"Having undergone a sea change due to technological developments, the Western European AER market is seeing reduced brand loyalty, which is affecting players’ share of the installed base," said Frost & Sullivan Healthcare Research Manager Sowmya Rajagopalan. "To retain and gain market share in this replacement-driven market, AER original equipment manufacturers (OEMs) need to invest their time and resources in product innovation."
Although market share dynamics might continue to change, demand for AERs is unlikely to be hampered as expenditure to control hospital-acquired infections is rising drastically in Western Europe. Despite the market nearing saturation, the uptake of AER remains promising due to the increase in clinics and endoscopy units in hospitals.
The market has not reached its true potential as AERs are used for a longer period than the prescribed product lifecycle. Faced with the residual effects of the economic downturn, end users have shown a tendency to use old AERs rather than invest in new, costly products.
"On the upside, with the move to conduct endoscopic procedures outside the hospital setting, new business opportunities and changing demand patterns from the clinical community are emerging," noted Rajagopalan. "As a result, AER OEMs are altering their marketing strategies and product positioning to suit these trends. Going forward, partnerships between endoscope manufacturers and AER suppliers could become a market standard to sell into hospitals."
Automated Endoscope Reprocessor Market Trends in Western Europe is part of the Advanced Medical Technologies Growth Partnership Service program. Frost & Sullivan’s related studies include: Western and Eastern European Custom Procedure Trays and Packs (CPTP) Market, Western European Percutaneous Coronary Intervention (PCI) Devices Market, Western European Infant Care Solutions Market, and Global Orthopaedic Implant Market. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.
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