Technavio Research reports: By 2023, the global refurbished medical device market will grow by 10%

It is learned that Technavio Research recently released a report on the global market for refurbished medical devices. The report shows that by 2023, the compound annual growth rate of the refurbished medical device market will exceed 10%.

As the privatization of the healthcare industry increases, so does the demand for refurbished medical devices. The privatization of the healthcare industry is rapidly increasing due to the inability of many governments to effectively invest in the healthcare industry and the high demand for quality medical service innovation and technology. For example, in February 2018, Saudi Arabia launched a health care privatization program.

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Due to financial constraints, refurbishment and used medical devices are increasingly used in many countries.

Many suppliers have lower profit margins due to huge expenditures on drugs and employee salaries, which has led to a reduction in spending on key products such as medical devices. Due to the high cost of new medical devices, the adoption rate of second-hand medical devices has increased, which has driven the growth of the globally refurbished medical device market.

However, the sales prospects of refurbished medical devices are not optimistic. Due to the negative perception of these devices, most healthcare providers do not bear the risk of purchasing refurbished medical devices. In addition, with the use of refurbished medical devices, the possibility of refurbishing medical device warranty and service related issues will increase, which will reduce the need for and replacement of refurbished medical devices.

The retreading medical device market seems to be more and more concentrated, and with the emergence of a few leading companies such as Canon and General Electric, the competitive environment will be very intense. Due to financial constraints and the increasing privatization of the healthcare industry, more and more refurbished and used medical devices will be used, which will provide considerable growth opportunities for refurbished medical device manufacturers.

Canon, General Electric, Block Imaging, Koninklijke Philips and Siemens Healthineers are some of the major companies involved in the report released by Technavio Research.

One factor affecting this market is the increase in the degree of privatization in the healthcare industry. The privatization trend in the healthcare industry is rapidly increasing due to the inability of many governments to effectively invest in the healthcare industry and the high demand for quality healthcare innovation and technology.

According to the report, one of the drivers of this market is the increasing use of refurbished and used medical devices due to financial constraints. In recent years, the medical industry has reduced its budget for basic products and systems, including medical devices, due to huge expenditures on drugs and employee salaries.

In addition, the report pointed out that another factor affecting this market is the negative prospects of refurbished medical device sales. Due to the negative perception of these devices, most healthcare providers are reluctant to take the risk of purchasing refurbished medical devices.