Facing disruption, MedTechs need to transform now
July 29, 2021
July 29, 2021
The MedTech industry landscape is currently experiencing unprecedented disruption. Where and how care is delivered is dispersing and expanding beyond traditional acute care settings. The COVID-19 pandemic has directly affected MedTech sales and revenue as elective surgeries, preventative procedures, diagnosis, monitoring, checkups and rehab have been canceled or postponed. And patient expectations around pricing transparency and personalized at-home care are growing daily.
These rapid changes have created an unfamiliar environment that is demanding faster transformation and an onslaught of new MedTech disrupters. So, it’s imperative that traditional MedTech companies reassess their core business offerings and future products and services with an eye for where and how they will stake their claim.
For years, the MedTech industry has successfully brought new products to market through innovative science and engineering, with limited competition. That’s no longer the case. New players are entering the market unburdened by legacy offerings, cost structures and systems. As a result, we see three trends leading toward a transformation of the entire sector.
Players with legacy structures and operating models are currently not set up to respond quickly to innovative trends or compete with disrupters. Functions from R&D to sales will need to adapt. Here are some questions companies can ask to rethink current business models.
For MedTech companies looking to meet today’s disruption, we recommend:
A piecemeal or half-hearted approach will not ensure business success. With disruptors at the door, MedTech companies must purposely transform—by embracing the new connectivity and focusing on humanization, technology, and data & analytics.