Number of pages: 100 | Report Format: PDF | Published date: March 24, 2023
Historical Years – 2021 | Base Year – 2022 | Forecasted Years – 2023-2031
Report Attribute |
Details |
Market Size Value in 2022 |
US$ 14.69 billion |
Revenue Forecast in 2031 |
US$ 40.73 billion |
CAGR |
11.5% |
Base Year for Estimation |
2022 |
Forecast Period |
2023-2031 |
Historical Year |
2021 |
Segments Covered |
Product Type, End User, and Region |
Regional Scope |
North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa |
According to the deep-dive market assessment study by Growth Plus Reports, the global refurbished medical equipment market was valued at US$ 14.69 billion in 2022 and is expected to register a revenue CAGR of 11.5% to reach US$ 40.73 billion by 2031.
Refurbished Medical Equipment Market Fundamentals
Refurbished medical equipment refers to medical devices or equipment that have been previously used but have undergone a process of inspection, testing, repair, and cleaning to ensure they meet the same quality standards and safety regulations as new equipment. The method of refurbishing typically involves restoring the equipment to its original specifications, including replacing worn or damaged parts, updating software, and performing any necessary maintenance. The equipment is then evaluated to ensure it functions properly and meets all safety standards. Refurbished medical equipment can be a cost-effective alternative to purchasing new equipment, as it is often available at a lower price point.
However, it is important to ensure that a reputable vendor has properly refurbished the equipment and has undergone rigorous testing to ensure its safety and efficacy. Some manufacturers may not provide warranties or support for refurbished equipment, so it is important to research the specific equipment and manufacturer before making a purchase decision. The market for refurbished medical equipment has grown in recent years as healthcare providers look for ways to reduce costs without compromising the quality of patient care. Refurbished equipment can provide significant cost savings compared to buying new equipment, particularly for smaller healthcare facilities and organizations with limited budgets. The market for refurbished medical equipment is expected to grow in the coming years, driven by factors such as the increasing demand for cost-effective healthcare solutions, the growing prevalence of chronic diseases, and the rising number of healthcare facilities in developing countries. However, healthcare providers need to ensure that the refurbished equipment they purchase meets safety and quality standards to ensure patient safety.
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Refurbished Medical Equipment Market Dynamics
The global refurbished medical equipment market has been experiencing steady revenue growth over the past few years. Refurbished medical equipment is significantly less expensive than new equipment, making it an attractive option for healthcare facilities operating on tight budgets. Many hospitals utilize used medical equipment to reduce capital expenditure and provide patients with reasonably priced healthcare services. Furthermore, the need for reconditioned medical equipment is substantially greater in low- and middle-income nations, with restricted access to healthcare resources and the health infrastructure being underdeveloped among the main causes. Hence, the factors like affordability and the rise in the number of healthcare service providers are projected to fuel market expansion throughout the projection period. The refurbished medical equipment market is experiencing global growth due to the cost-effectiveness of such equipment. With the rapid pace of technological advancements in the medical industry, many healthcare facilities are looking to upgrade their equipment more frequently. This has led to an increase in the supply of refurbished medical equipment still in good working condition. There is a growing awareness of the environmental impact of medical waste, including the disposal of old medical equipment. Refurbishing and reusing equipment reduces waste and helps to conserve resources. As the global population ages, there is a greater demand for healthcare services. Refurbished medical equipment can help healthcare facilities meet this demand while controlling costs. Many governments actively promote refurbished medical equipment to reduce healthcare costs and improve access to healthcare services. Over time, the stigma associated with using refurbished medical equipment has diminished as healthcare providers have come to appreciate the benefits of this approach. Overall, the revenue growth of the refurbished medical equipment market is driven by economic, technological, environmental, and social factors. As these trends continue, we expect to see continued revenue growth in this important healthcare industry.
However, end-user concerns about the quality of refurbished medical equipment and healthcare providers’ hesitation to buy refurbished medical equipment are projected to restrain the market revenue growth.
Refurbished Medical Equipment Market Ecosystem
The global refurbished medical equipment market has been analyzed from three perspectives: product type, end user, and region.
Refurbished Medical Equipment Market by Product
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Based on product, the global refurbished medical equipment market has been segmented into operating room and surgical equipment, medical imaging equipment, and patient monitors.
The medical imaging equipment segment accounts for the largest revenue share in the global refurbished medical equipment market. Technologies used to image the human body to detect, track, or treat medical disorders are referred to as medical imaging. Each technology provides precise details about a certain bodily part. The revenue growth in the segment is expected to be fueled by the high cost of medical imaging equipment and the availability of a large number of vendors. For instance, a class A medical imaging device like a PET/MRI system has an initial purchase cost of more than US$ 4 million, according to a 2022 NCBI article.
Since MRI systems are typically expensive, healthcare facilities must invest in them. The cost of MRI machines varies based on the magnetic strength because they are available in various sizes. For instance, the typical sales price for MRI systems with a magnetic force of 1.5T or less is nearly US$ 1.5 million. Comparable to low-field (1T) MRI systems, high-field (3T) MRI systems range from US$ 2.5 to US$ 5 million. Medical imaging tools aid in creating a database of the typical anatomy and physiology of internal organs so that any abnormality can be picked up on immediately. Hence, the overall cost of the devices rises along with their technological sophistication. Thus, the high price of medical imaging devices is projected to accelerate market revenue growth. Moreover, a rise in the number of suppliers is expected to drive segment revenue growth. For instance, Summus Medical Solutions, a Philips retail partner, sells refurbished medical equipment from Philips, including the BV Pulsera, BV Endura, Philips Veradius, and Philips BV Libra. Thus, the availability of such technologically advanced systems at lower prices is expected to fuel market revenue growth.
Refurbished Medical Equipment Market by End User
Based on end user, the global refurbished medical equipment market has been segmented into hospitals, ambulatory surgical centers, diagnostic centers, and others.
The hospitals segment accounts for the largest revenue share in the global refurbished medical equipment market. These facilities are often the primary customers for refurbished medical equipment. They may purchase refurbished equipment to replace outdated or malfunctioning equipment or to expand their inventory without the high cost of purchasing new equipment.
Refurbished medical equipment can also be used in veterinary clinics, which can help provide high-quality care to animals at a lower cost. Ambulatory surgical centers purchase refurbished equipment to reduce costs and provide quality care to patients. Thus, these segments account for a very small revenue share in the global refurbished medical equipment market.
Refurbished Medical Equipment Market by Region
Based on region, the global refurbished medical equipment market has been segmented into North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.
North America accounts for the largest revenue share in the global refurbished medical equipment market. The market includes a wide range of equipment, including imaging systems, operating room equipment, patient monitors, and laboratory equipment. The market’s revenue growth can be attributed to several factors, including the rising demand for cost-effective medical equipment, the increasing prevalence of chronic diseases, and the growing focus on sustainable healthcare practices. The COVID-19 pandemic has also fueled the demand for refurbished medical equipment as healthcare providers faced critical equipment shortages during the crisis. Some key players in the North America refurbished medical equipment market include GE Healthcare, Siemens Healthineers, Philips Healthcare, Block Imaging, Agito Medical, and Avante Health Solutions. These companies offer a wide range of refurbished equipment and services, including installation, maintenance, and training, to meet the needs of healthcare providers across the region.
The Asia Pacific region is projected to record a high revenue CAGR in the refurbished medical equipment market. Due to the pandemic, the adoption and usage of refurbished medical devices, including patient monitoring devices, are anticipated to rise in the region. For instance, the India Brand Equity Foundation stated in August 2022 that imports from nations including the United States, China, and Germany account for 75%–80% of the growth of the Indian medical device sector. The acquisition of refurbished medical equipment is projected to increase to reduce the nation’s capital investment due to the greater cost of new medical devices and rising currency exchange rates. Furthermore, the launch of reputable businesses in this region is expected to assist in market expansion. For instance, one of the top businesses in India that deal with refurbished medical imaging equipment is SANRAD Medical Systems. It primarily sells products related to computed tomography and magnetic resonance.
The refurbished medical equipment market in Latin America is a growing industry with significant revenue growth in recent years. This market is driven by factors such as the increasing demand for affordable healthcare, rising government initiatives to promote the use of refurbished medical equipment, and the growing number of private healthcare providers in the region.
Refurbished Medical Equipment Market Competitive Landscape
The prominent players operating in the global refurbished medical equipment market are:
Refurbished Medical Equipment Market Strategic Developments
The global refurbished medical equipment market is expected to register growth at a revenue CAGR of 11.5% during the forecast period.
Koninklijke Philips N.V., GE Healthcare, Siemens Healthineers, Soma Technology, and Avante Health Solutions are among the key players in the global refurbished medical equipment market.
The rising focus of various hospitals on cost-cutting and reducing medical waste is driving revenue growth in the global refurbished medical equipment market.
Asia Pacific is expected to register the highest revenue growth in the global refurbished medical equipment market during the forecast period.
The global refurbished medical equipment market was valued at US$ 14.69 billion in 2022.
*Insights on financial performance are subject to the availability of information in the public domain