Sales Increase in the Brazilian Medical Device Market

       Brazilian medical device sector is optimistic this year and companies expect sales to increase due to a growing demand boosted by the construction of new hospitals and labs, also because of the renovation of existing infrastructure.

      Regarding foreign firms, the Swedish manufacturer Sectra plans to replace the imports by a local production until 2016, by building its own factory or through a strategic partnership with a Brazilian manufacturer. The US-based Stryker, although it has no intention to produce medical equipment in Brazil yet, has an aggressive sales increase plan by exploiting other market segments with products made in the USA and Turkey. The company’s main concern is to recover the imports, which in 2013 fell by 15% because of the unfavorable exchange rate and inflation effects.

        As for the Brazilian companies, the expectation is optimistic as well. The surgical table-manufacturer Mecsul registers a sales increase of 20% each semester. 25% of Olsen’s production, medical and dental equipment manufacturer, is meant to the foreign market. Its medical line, for example, is sold in 50 countries. Over the past few years, Olsen’s foreign sales declined due to the competition with Chinese products, but the company expects this scenario to change.

References: http://www.abimo.org.br/modules/news/article.php?article_id=514

Crowdfunding: How to Raise Money Online

When it is time to raise capital, crowdfunding is not a usual way chosen by medtech companies. Especially because investors want to finance opportunities less risky which can bring faster return, like softwares, than some complex device that might take years to be approved by the FDA.

However, when a medtech company choses crowdfunding to raise money, it is important to know what can increase chances of success. GoGetFunding, a company that has helped people from all over the world to raise millions, names the best practices of raising money from online donors, for example, updating a company's Facebook status as daily marketing activity might ensure the crowdfunding. 

Some statistics are shown below:

 * Campaigns with day-to-day marketing plans raise 180% more;

 * Projects with an average word count of between 300 and 500 words raise the most money. Explain who, what and why;

 * Campaigns that have a personal video raise 105% more than those that don't. If a picture is worth a thousand words, than a video is worth a million.   

     Finally, GoGetFunding suggests 10 steps to use their statistics and raise money online:

1. Nurture relationships with your inner-circle of friends, family and extended networks,

       2. Evaluate how much you need to raise,

       3. Set a realistic deadline,

       4. Gather a small fundraising team,

       5. Have a marketing plan,

       6. Create an awesome, personal fundraising page,

       7. Launch!

       8. Reach out to your inner circle and then extended networks,

       9. Engage, update and thank,

       10. Success!

References:

http://www.mddionline.com/article/crowdfunding-best-practices-how-get-funded-

online-infographic 

A Role Model for the Medical Device Industry

Germany has more to proud of than the World Cup championship. While the European Union is suffering from an economic crisis, Germany has maintained a growing healthcare industry, showing impressive strength in all areas ranging from R&D and medtech startups to regulation and market growth.

The medical device sector is the largest employer in Germany, according to BVmed 2011/2012 industry report. With 5.4 million employees, almost one in seven jobs in Germany can be found in the healthcare industry. Germany represents 14.6% of medical device global share (second only to the United States) and exports 65% of medical technologies made in the country. To fight against the effects of an ageing population, Germany has implemented a series of major healthcare reforms over the past 20 years.

It seems like the medical device industry has a lot to learn from Europe’s strongest country.

References: http://www.mddionline.com/blog/devicetalk/whats-germany-better-soccer-medtech-140714

http://www.mddionline.com/article/what-germany%E2%80%99s-secret-how-world-can-learn-thriving-medtech-industry

http://www.emdt.co.uk/article/western-europe%E2%80%99s-medical-device-market-under-increasing-pressure

Brazil’s Medical Device Market: Opportunities and Challenges

As an important emerging market that has captured the attention of foreign medical device manufacturers, Brazil currently imports 60% of its medical equipment, amounting to US$1.9 billion. With 200 million inhabitants, an Unified Health System (SUS) and an estimated 36 million Brazilians ascended into the middle class within the past four years, public and private partnerships are necessary to increase the access to a better standard of care demanded by the Brazilian people.

However, this attractive market also shows some challenges. This is especially true when it comes to registration and certificates system, audits processes, administrative and import obstacles. ANVISA is Brazil’s National Health Surveillance Agency that suffers from processes delays and lack of professionals. Some initiatives have already happened in order to facilitate registration processes and market access, as  the Memorandum of Understanding that was signed by U.S., Canadian and Australian Notified Bodies with their Brazilian counterparts in 2012.

References: http://www.emdt.co.uk/daily-buzz/opportunities-abound-brazil-medical-device-market-expect-delays?cid=nl.emdt03

MedTech at the 2014 World Cup

        On June 12, Brazil and Croatia match launched the beginning of the 2014 World Cup. At the opening ceremony, however, the healthcare industry was cheering for something else besides football. The first kick was given by a paralysed teenager. This remarkable feat was possible thanks to an exo-skeleton controlled by the teenager’s brain.

  "The Walk Again Project is headed by Duke University's Center for Neuroengineering in collaboration with the Technical University of Munich and a number of other universities and research groups worldwide. Together they are designing the exo-skeleton and a 3D printed helmet that contains a series of electrodes capable of capturing brain waves. This brain activity will then initiate the suit's movements.”

   During this year of 2014, medtech breakthroughs have been more connected to sport events. Aired at the 2014 Super Bowl, Microsoft commercial shows how technology in general, and medical technology specifically, has improved the lives of countless people around the world. Another amazing video of Duracell, an American football player tells the story of how, despite being deaf, he managed to become a professional NFL player.

References: http://medtechviews.eu/article/value-medtech-world-cup-and-super-bowl

Reconsider Outsourcing Strategies in China

In the last couple of decades, China has attracted manufacturers from all over the world because of low labor costs and excellent export infrastructure. By outsourcing their production, China was a way to cut costs when producing big quantities. The medical device sector was no different than that.

However, this trend may be about to change. Chinese wages and the value of Chinese currency are rising. The government mandate to raise the minimum wage, so it could bring labor cost increases of 15–20% per year in Chinese factories. Meanwhile, freight and other costs associated with offshore manufacturing are continuing to rise. There are other risks when outsourcing in China, such as intellectual property protection and quality control.

So manufacturers are rethinking their strategies of outsourcing in China. Some US-based are returning their production back to the United States. This is particularly good when the product is meant for the American market. This reduces shipping costs and challenges, gives OEMs a higher quality control and allows them to take advantages of improving efficiencies in U.S.-based manufacturing.

References: http://www.mddionline.com/article/could-onshoring-be-next-medtech-outsourcing-trend

Hospitalar 2014: Brazilian Healthcare Fair

This year edition of Hospitalar, International Fair of Products, Equipment, Services and Technology for Hospitals, Laboratories, Pharmacies and Clinics, took place in Sao Paulo between May 20-23.

As an effort to reverse the healthcare sector trade deficit, Brazilian Health Devices (ABIMO’s project, developed in partnership with Apex-Brasil) organized an international business round at Hospitalar 2014. It reached US$ 1 million in sales and it is expected US$ 13 million for the next 12 months. The business round aimed to promote Brazilian exports, connecting Brazilian and foreign companies.

During the fair, there were purchasers from 18 countries, including interesting markets for the Brazilian industry: South Africa, Bolivia, Chile, Colombia, Costa Rica, Iran, Jordan, Kuwait, Lebanon, Mexico, Morocco, Nigeria, Panama, Peru, Kenya, Russia, Turkey and Tunisia.

           

References: http://www.abimo.org.br/modules/news/article.php?article_id=511