Connect with us

Hi, what are you looking for?

Jewish Business News

StartUps

MedTech Companies Require Differentiation as Clients Focus on Costs

MedTech

Price is becoming the main thing healthcare buyers look at when purchasing medtech products, according to a survey by EY Global. Buyers in the U.S. Germany, Spain and the UK, 162 in total, said that the cost of items was often the overriding consideration in recent years, over brand, quality and design. Glenn Giovannetti, EY’s Global Life Sciences, as reported by PRNewswire said, “As purchasing decisions become increasingly centralized and influence shifts from physicians to hospital administrators and managers, the historical value drivers for purchasing a device–brand, quality and design–will lessen, leaving price as a main consideration. To achieve meaningful differentiation in their offerings, firms will need to design and market their products in ways that demonstrably improve patient outcomes while also lowering costs.”

The threat will be increasing commoditization of the medtech industry, as 77% of respondents in the poll identified price as the main factor in purchasing and technology decisions. However, many of these buyers believe that cost-cutting measures are short-term and envision that, down the road, price will not be the most important criterion. However, physicians are expected to have less crucial roles in these decisions. When asked the three most important factors in medical device purchasing decisions, 55% said physicians, but only 27% expected physicians to be as crucial in deciding on which medtech products to buy.

Newsletter



Advertisement

You May Also Like

World News

In the 15th Nov 2015 edition of Israel’s good news, the highlights include:   ·         A new Israeli treatment brings hope to relapsed leukemia...

Entertainment

The Movie The Professional is what made Natalie Portman a Lolita.

Travel

After two decades without a rating system in Israel, at the end of 2012 an international tender for hotel rating was published.  Invited to place bids...

VC, Investments

You may not become a millionaire, but there is a lot to learn from George Soros.

Advertisement