• E-mail
• Print
• Comment
• Font Size
• Digg
• del.icio.us
• Discuss article

Changing Customer Priorities to Boost IV Therapy and Enteral Nutrition Device Markets

Posted on: Monday, 12 September 2005, 06:00 CDT

LONDON, September 12 /PRNewswire/ -- As the mature European IV therapy and enteral nutrition device markets near saturation, replacement demand from hospitals will play a key role in ensuring stability. At the same time, evolving customer priorities and the growing popularity of homecare combined with the continued importance given to nutrition and support therapy as an integral part of treatment from the earliest stages, are set to support steady revenue generation.

The growing importance of patient mobility, greater patient comfort and treatments suited to ambulatory conditions are promoting the concept of homecare. With increasing preference for the comfort, security and flexibility that home care affords and with minimally invasive surgery reducing the lengths of hospital stays, homecare and ambulatory devices are gaining in appeal.

Customers are also prioritising safety, efficiency and delivery. As a result, the increased adoption of premium-priced, safety IV devices is set to spur market expansion. At the same time, computer-assisted monitoring of infusion therapies will effect improved coordination and delivery. The development of new drugs suitable for intravenous administration and technologically advanced infusion devices that enable more accurate drug delivery are also poised to address customer demands for better efficiency and delivery.

An ongoing challenge for traditional forms of administration, including the IV therapy market, is the availability of alternative drug delivery devices and the emphasis on safety and reduction of trauma. "One way of meeting this challenge is to have a diversified portfolio that includes new generation products and successive innovations such as needle-free systems," remarks Kavitha Ravikumar, Research Analyst at Frost & Sullivan (http://frost.healthcare.com/).

"Raising awareness of the need for nutrition and IV therapy early in the treatment process, strengthening homecare segments and offering a wide gamut of services are other strategies that could help participants maintain a strong market presence," she adds.

In 2004, the European IV therapy market was valued at USD 490.0 million. While the market will grow in small increments, it faces a major challenge from healthcare reforms and budgetary constraints.

For instance, the adoption of the diagnostic related groups (DRG) system in Germany (currently, the largest regional market for IV) and the spill over of certain aspects of this healthcare system to other EU countries is forecast to squeeze prices. Price pressures will be further exacerbated by the growing use of tenders for public procurement procedures, with hospitals and healthcare purchasers increasingly dictating lower product prices.

The USD 250.0 million European enteral market faces another distinct set of challenges. Here, brand loyalty and a high degree of consolidation are creating barriers to market penetration by participants, especially new entrants or small companies. "To combat this, companies should aim to offer a wider range of complementary products and services, improve after-sales support and focus on enhanced delivery and supply chain management," notes Ms. Ravikumar.

In a market characterised by a high degree of fragmentation, numerous smaller and specialist participants are vulnerable to product bundling. Larger companies are catering to customer demands for one-stop solutions by offering to sell a whole package of complementary products with enteral feeds and devices often bundled together.

With consolidation among leading industry participants creating further competitive challenges, market participants need to build their strengths in deliverables and also focus on developing niche markets. At the same time, they need to leverage home market advantage while simultaneously trying to widen their geographic penetration through alliances and subsidiaries.

Despite such challenges, however, the enteral nutrition device market is set to grow faster than IV therapy. Among the factors expected to support an estimated compound annual growth rate of three per cent between 2004-2009 is an increasing trend towards replacement. With several potential patient groups as yet untapped, the market is expected to experience higher growth after 2009.

The preference for earlier administration, apparent advantages and the lesser trauma inflicted on patients are also likely to promote the uptake of enteral nutrition devices. Moreover, the relatively higher cost of parenteral feeding will boost market prospects further.

If you are interested in a research, which provides manufacturers, end-users and other industry participants with an introduction into the latest analysis of the European IV Therapy and Enteral Nutrition Device Markets (B486-54) - then send an e-mail to Katja Feick - Corporate Communications at Katja.feick@frost.com with the following information: your full name, company name, title, telephone number, e-mail address, city, state and country. We will send you the information via e-mail upon receipt of the above information.

European IV Therapy and Enteral Nutrition Device Markets (B486-54) Background

Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community, by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics.

Media Contacts: Europe: Katja Feick Corporate Communications P: +44-(0)-20-7915-7856 F: +44-(0)-20-7730-3343 E: katja.feick@frost.com Americas: Melina Trevino Corporate Communications P: +1-210-247-2440 F: +1-210-348-1003 E: melina.trevino@frost.com APAC: Radhika Menon Theodore Corporate Communications P: +91-44-24314263 Ext: 312 E: rmtheodore@frost.com India: Surbhi Dedhia Corporate Communications P: +91-22-2832-4705 Ext: 131 E: sdedhia@frost.com Australia: Sharmin Jassal Corporate Communications P: +61-2-8247-8900 F: + 61-2-9252-8066 E: sjassal@frost.com

List of Key Industry Participants: Medline Industries, Inc., Arrow International, Inc, C.R. Bard, Inc, Abbott Laboratories, Baxter Healthcare Corporation, ALARIS Medical Systems, Inc, Kimberly-Clark Worldwide, Inc., Fresenius Kabi AG, B. Braun Melsungen AG, Becton, Dickinson and Company, CODAN Medizinische Gerate GmbH & Co KG, Novartis AG, Royal Numico NV, Rusch (Teleflex Medical), VIASYS Healthcare Inc., Vygon Family of Companies, Tyco Healthcare Group LP, Cook Group Incorporated, Terumo Corporation, Smiths Medical family of companies

Frost & Sullivan

CONTACT: Europe: Katja Feick, Corporate Communications, P:+44-(0)20-7915-7856, F: +44-(0)20-7730-3343, E:katja.feick@frost.com, Americas: Melina Trevino, CorporateCommunications, P: +1-210-247-2440, F: +1-210-348-1003, E:melina.trevino@frost.com. APAC: Radhika Menon Theodore,Corporate Communications, P: +910-44-24314263 Ext: 312, E:rmtheodore@frost.com. India: Surbhi Dedhia, CorporateCommunications, P: +91-22-2832-4705 Ext: 131, E:sdedhia@frost.com. Australia: Sharmin Jassal, CorporateCommunications, P: +61-2-8247-8900, F: + 61-2-9252-8066, E:sjassal@frost.com

Source: PRNewswire

More News in this Category