Pay-for-performance models encourage uptake of wound care technologies and enable wound care companies to integrate treatments in various care settings, finds Frost & Sullivan
MOUNTAIN VIEW, California, Sept. 17, 2015 /PRNewswire/ -- The U.S. advanced wound care technologies market expects a significant increase as clinically efficient and cost-effective innovations widen the application scope and help build a strong base of customers. Mergers, acquisitions and rebranding of companies from 2012 to 2015 have played an important role in pushing the market forward.
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Analysis from Frost & Sullivan, Analysis of the US Advanced Wound Care Technologies Market (https://www.frost.com/nc8e), finds the market earned revenues of $2.42 billion in 2014 and estimates this to reach $3.25 billion in 2019.
For complimentary access to more information on this research, please visit: http://bit.ly/1KjpqyY.
Although the top four major companies, Acelity, Smith and Nephew, Molnlycke and ConvaTec account for more than 70 percent of the advanced wound care market in the U.S., their primary focus does not surround wound care. Therefore, investors are shifting focus to smaller companies such as Derma Sciences, Inc., MiMedx Group, Inc. and Osiris Therapeutics Inc. whose strengths lie in innovations designed to address immediate market demands.
"New treatments have the potential to significantly reduce costs for complex and chronic wound care," said Frost & Sullivan Healthcare Research Analyst Swathi Allada. "Hyperbaric oxygen treatment, negative pressure wound treatment or vacuum-assisted closure devices, and bioelectrical stimulation therapy are examples of advanced energy-based healing technologies establishing clinical cases for greater utilization."
The heavy financial burden of handling hard-to-close wounds has paved the way for changes in reimbursement policies, providing hospitals with economic incentives to improve care. However, reimbursement cuts, pricing pressures and the initiation of competitive bidding models expect to temper revenue growth in the U.S.
A shift from pay-for-service to pay-for-performance model will incentivize physicians to use cost-effective wound care products over high-tech solutions. The rise of pay-for-performance and quality-of-care payment models will also enable wound care companies to better track and manage chronic wounds across various care settings. In addition, the availability of rental and portable models make negative pressure wound treatment and active therapy treatments affordable.
"Increasing brand loyalty by fostering a powerful relationship with end-users and deploying an effective marketing and sales force will be the motto for wound care companies looking to maintain an advantage," noted Allada. "Forging partnerships with distribution intermediaries, conducting educational events and garnering support from clinical specialists will solidify their position and propel advanced wound care technology providers towards success in the U.S. market."
Analysis of the US Advanced Wound Care Technologies Market is part of the Advanced Medical Technologies (http://www.medtech.frost.com) 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, and North American Cardiac Monitoring Products and Services Markets. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.
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Analysis of the US Advanced Wound Care Technologies Market
NC8E-54
Contact:
Kayla Belcher
Corporate Communications – North America
P: 210.247.2450
F: 210.348.1003
E: kayla.belcher@frost.com
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