Though there will be significant downward pressure on average selling prices, the adoption of premium-priced devices, such as plates and screws and intramedullary nails, will support revenues. Growth in anatomic locking plate systems will be particularly strong through the forecasted period. Anatomic plates are thinner than standard plates and provide greater fixation for fractures at the distal and proximal ends of bones, while locking plates offer greater stabilization and reduced plate compression of bone, which is beneficial for individuals with comminuted fractures or poor bone stock. The versatility and applicability of premium-priced anatomic locking plate and screw systems to the extremities will drive their adoption. Synthes has a significant share of this market while the remaining share is split among DePuy (a Johnson & Johnson company), Stryker, Zimmer and Smith & Nephew, and niche specialty firms like Acumed, Wright Medical and Tornier.
"Large companies wishing to increase market share are focusing on lateral expansion through the acquisition of smaller competitors in the US trauma device market," said MRG Analyst Daniel Brown. "For example, Johnson & Johnsons expected acquisition of Synthes in 2012 will reinforce the disparity between competitors in the market. Additionally, Zimmer recently acquired ExtraOrtho, a competitor specializing in external fixation devices. Smaller competitors in the market will face difficulties in increasing market share due in part to larger companies offering device discounts through bulk purchases and relationships with GPOs, preventing smaller competitors who operate on a less flexible profit margin from contesting on price."
Millennium Research Groups US Markets for Trauma Devices 2012 report includes procedure, unit, average selling price and revenue information, along with market drivers and limiters and competitive landscape for plates and screws, intramedullary (IM) nails, cannulated screws, conventional hip screws, ancillary trauma devices, external fixation devices, and long-bone growth stimulation devices in the United States.
About Millennium Research Group
Millennium Research Group (www.MRG.net), a Decision Resources Group company (www.DecisionResourcesGroup.com), is the global authority on medical technology market intelligence and the leading provider of strategic information to the healthcare sector. The company provides specialized industry expertise through multiclient market research, ongoing Marketrack™ projects, customer loyalty tracking, facility-level procedure forecasting, and customized solutions.
About Decision Resources Group
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Posted by Sean Fenske, Editor-in-Chief, MDT