The MedTech Mindset : A new Monthly Column from MedWorld Advisors in Today's Medical Developmen
Published in Today's Medical Developments Magazine
We are happy to report that we will be featured as regular contributor in Today's Medical Developments Magazine. Our Column is called "The MedTech Mindset" .
By Dave Sheppard & Florence Joffroy-Black (http://www.medworldadvisors.com)
The new year is here:
Are you ready for success?
Do your teams know their goals?
Are they specific, measurable, attainable, relevant, timely (SMART)? Do they include stretch targets and realistic objectives?
What is your medtech mindset for this year?
More importantly, what is your team’s medtech mindset?
Is your organization ready to take advantage of the coming medtech growth worldwide?
The forecast (below) indicates continued rapid growth in medtech globally during the next few years. Winning, however, means being prepared to take advantage of opportunity, and being prepared begins with mindset. To start the year, you need to think globally and, relative to mindset, you must challenge your team.
Are you ready for the ramifications of the medical device tax if it isn’t suspended or repealed? Are you prepared for the changing reimbursement dynamics of proving economic outcomes to be successful with new products?
It’s no longer good enough to win with a better bandage or surgical suture – reimbursement drives success. Reimbursement requires you prove equivalent efficacy (for FDA approval) and demonstrate economic savings to gain payor approvals. Are you confident of your ability to provide evidence of your economic value to your customer?
Are you ready for the changes in the regulatory process for medical products approval that will lengthen your time to market? Do you know that your EU marketing approach is not “EU”? Do you know which countries to target first?
The EU is comprised of 28 countries (27 after Brexit) that demand specific marketing approaches on a country-by-country basis. Many companies formerly started the process of launching medical products in the EU as the regulatory burden was less than the U.S. FDA. Unfortunately, that has shifted, and many companies will now start in the U.S. Have you defined your regulatory strategy for success?
Have you considered the changing demographics and impacts of the shrinking population and hospital budgets (and increasing home health expenses)?
The Japanese market is slowing due to a declining population, but that doesn’t mean it isn’t a good market. Japan still remains one of the Top 5 markets globally, however changing dynamics mean that Japan needs to reduce healthcare costs. The current initiative is to achieve this through more care in home health and nursing homes – making these growing market segments. Have you put together your growth plan for this segment?
As China continues to explode with growth, have you identified your path to market? The Chinese FDA is more demanding than ever when it comes to obtaining regulatory approval for foreign companies. Have you considered your distribution or joint venture partner for China?
To succeed in China, a great local partner can help you work through domestic issues and challenges, helping you navigate regulatory and distribution opportunities. Reimbursement paths and distribution challenges vary by geographic region. Have you thought through which regions to address first?
The size of the Tier One cities alone are equivalent to approximately 50% of the U.S. market. Do you understand some of the medical device regulations regarding pricing? Are your products a good fit for the market?
India remains one of the world’s largest market opportunities. While its regulatory burdens are minimal compared to other parts of the world, complexities due to infrastructure, distribution, demand for low-cost products, and continuously changing political dynamics can make it frustrating. However, if you educate yourself on the local issues, it’s possible to succeed and thrive in India as these customers are looking for great products at the right value.
While pockets of instability remain, have you noticed the growing stability of the majority of Latin American medtech markets? Have you put together a regulatory and distribution strategy for these countries?
Latin America is often overlooked. However, when targeting the right countries, it can represent one of the easier paths to international expansion, especially for
U.S. companies. Is your team prepared for success in key countries in this region?
Have you considered where to start in this region? While Africa needs detailed analysis for success, do you know that major medical original equipment manufacturers (OEMs) often use Middle East markets as a point for rapid international expansion?
Africa (outside of South Africa) can be difficult for foreign companies to navigate. However, with a little research and focused targeting, you will find that some of the key Middle East countries are hungry for good technology. Therefore, this region is also great for rapid international expansion, especially for EU-based companies.
As a winning medtech organization selling medical devices to the market, all of these global issues and opportunities directly impact your organization. If you are a medtech OEM supplier, these issues impact your customers and these topics are relevant as the best suppliers help their customers win.
So, what is your medtech mindset? This is a worldwide marketplace where you have to be prepared for the opportunities in the various regions and you must prepare your team to have the right global mindset tied to SMART goals in 2018.
We will continue to address the medtech mindset for success in future columns. In the meantime, we wish you a great start to the new year and welcome your feedback or questions.
The MedTech MindSet, a monthly column in Today’s Medical Developments magazine, discusses opportunities in the medical industry.
About the authors: Florence Joffroy-Black is a long-time medtech M&A and marketing expert with significant experience in the medtech industry and is now the chief executive officer of MedWorld Advisors. She can be reached at firstname.lastname@example.org (mailto:email@example.com). Dave Sheppard is a former medical OEM manufacturer Fortune 500 executive and is now a principal at MedWorld Advisors. He can be reached at firstname.lastname@example.org (mailto:email@example.com).