US In Vitro Diagnostics Market to Grow to Nearly $8.6 Billion by 2017 PPACA and Rising Adoption of Molecular Diagnostics will Steadily Drive Market Expansion, According to Millennium Research Group
TORONTO, Feb. 13, 2013 /PRNewswire/ -- According to Millennium Research Group (MRG), the global authority on medical technology market intelligence, the introduction of the Patient Protection and Affordable Care Act (PPACA) in 2014 will significantly affect the United States in vitro diagnostics (IVD) market landscape. Most notably, the implementation of this Act will increase the percentage of people covered by insurance, which will drive test volumes, especially as the US population ages and the demand for IVD increases.
The PPACA will also lead to increased centralization of IVD testing as more laboratories, hospitals and care facilities consolidate in the wake of health care reform. Although the rise of centralized labs will leave manufacturers with fewer potential sites for capital sales, these facilities will see high testing volumes and ultimately have the resources to purchase a broader array of diagnostic tests.
High testing volumes at centralized sites will mean that these labs will look for vendors that can offer a broad range of instrumentation and automation equipment.
"As the trend of centralization continues, these high-throughput laboratories will look to purchase from large, cross-segment vendors that can equip them with a full array of instrumentation," said MRG Analyst Mickel Phung. "The labs will prefer to purchase all of their equipment from one vendor to improve workflow logistics and reduce costs."
As a result, the majority of market share is held by a few key multisegment players, including Siemens Healthcare, Roche and Abbott Laboratories. Large multinational companies will likely continue to dominate the market through 2017—especially those players with a finger in molecular diagnostics technologies. This market segment will grow rapidly through 2017, cannibalizing sales from more mature segments such as immunoassay and microbiology testing.
Although uncertainty surrounding the PPACA and health care reform in the US has caused many facilities to delay purchasing IVD capital equipment, the increase in test volumes will outweigh these negative effects, and the US IVD market will see steady growth.
Millennium Research Group's US Markets for In Vitro Diagnostics 2013 includes test volumes and revenue information, as well as market drivers and limiters and a competitive landscape for clinical chemistry, immunoassay, microbiology, hemostasis and molecular diagnostic tests in the United States.
Free Webinar: Mergers and Acquisitions in the Maturing US In Vitro Diagnostic Market
Mickel Phung will assess coming M&A activity in this market in a free webinar:
February 21, 2013
11 a.m. U.S. Eastern Time
To register for this webinar: http://mrg.net/marketing/webinars/In-Vitro-Diagnostic%20-Webinar_022113.html
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.
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SOURCE Millennium Research Group