July 22, 2024
Refurbished Medical Equipment Market

The growing demand for affordable healthcare options is anticipated to openup the new avanue for Refurbished Medical Equipment Market

Market Overview:

Refurbished medical equipment refer to pre-owned medical devices that have been cleaned, sanitized, checked for functionality, and certified for reuse. This includes devices such as x-ray machines, CT scanners, MRI machines, ultrasound equipment, and wheelchairs. Refurbished equipment offers a cost-effective solution for hospitals and clinics in developing countries and rural areas that are unable to procure high-end new medical devices due to budget constraints. They provide quality medical imaging and diagnosis at a significantly lower cost compared to new devices.

Market Dynamics:

Growing demand for affordable healthcare infrastructure, particularly in developing regions, is a major driver for the refurbished medical equipment market. Setting up entire departments with new medical equipment requires huge capital investments which most small and medium hospitals cannot afford. Refurbished equipment, on the other hand, offers a more viable solution. Moreover, increasing awareness about refurbishment services and certification standards is also fueling the adoption of refurbished medical devices. Strict regulations regarding disposal of used medical equipment and need for sustainable waste management practices are further propelling the sales of refurbished equipment.

Segment Analysis

The Refurbished Medical Equipment Market Demand is dominated by the diagnostic imaging equipment segment, which accounts for over 30% share of the overall market. This is because diagnostic imaging equipment such as MRI machines, CT scanners, ultrasound systems and X-ray machines have high acquisition and maintenance costs, making refurbished equipment a cost-effective alternative for hospitals and diagnostic centers. Within diagnostic imaging equipment, the refurbished MRI segment holds the largest share due to massive installed base and technological advancements making them substitutable with refurbished systems.

PEST Analysis

Political: Regulations regarding sale of refurbished medical devices help promote buyer confidence and demand. Various countries have established regulating authorities to oversee refurbishing standards and certification.
Economic: Falling price of refurbished systems compared to new ones enables hospitals especially in emerging economies to replace outdated equipment and offer affordable care. Growth in healthcare expenditure is also supporting market growth.
Social: Increasing preference for affordable healthcare is driving demand for refurbished equipment from small clinics and hospitals. Awareness regarding equipment recertification is also growing.
Technological: Advancements in refurbishing technologies help restore devices to near-new quality standards while reducing downtime. Use of digital servicing techniques ensures safety and optimized performance of refurbished devices.

Key Takeaways

The global Refurbished Medical Equipment Market is expected to witness high growth at a CAGR of 11% over the forecast period of 2023 to 2030, reaching a market size of US$ 25.42 Bn by 2030 due to increasing preference for affordable healthcare infrastructure especially in emerging countries.

Regional analysis: North America holds the largest refurbished medical equipment market share currently owing to well-established regulations and healthcare infrastructure. However, Asia Pacific is expected to witness fastest growth during the forecast period with China and India emerging as high potential markets. This is attributed to rising medical tourism, healthcare sector investments and expansion of rural healthcare programs in the region.

Key players: Key players operating in the refurbished medical equipment market are Everx Pvt Ltd., Siemens AG, General Electric Company, Koninklijke Philips N.V., Block Imaging and Soma Technology. These players are focusing on strategic collaborations to expand their service footprint and offer specialized refurbishing programs to enhance customer experience. For instance, Everx partnered with Philips to be their authorized refurbisher in India to strengthen aftermarket services.

Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it