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Growing Incidence of Acute
Renal Failure Fuels Growth in the European Renal Therapy Market
Increased Prevalence of
Diabetes Emerges as a Major Driver in the End Stage Renal Disease (ESRD) Therapy
Market.
With diabetes being the leading
cause of ESRD, the constant increase in the European diabetic population is
ensuring the growth of the European renal replacement therapy market. Up to 40.0
per cent of new cases of ESRD are a direct result of diabetes and patients with
type 1 diabetes are 12 times more likely to develop this condition when compared
to those with type 2. Further, of those suffering from type 1 diabetes, 20.0 per
cent are at a risk of suffering from complete kidney failure, and a significant
50.0 per cent are expected to develop early signs of diabetic nephropathy or
kidney disease.
While these figures indicate an
increase in patients suffering from renal conditions, improvements in patient
awareness levels has meant that patients are opting for better quality products
and even options such as dialysing on a daily basis.
"As consumers are beginning to
expect more technological advances at equivalent or even lesser prices,
companies should invest in end user analysis and interact with dialysis
specialists to acquire an understanding for the possible deliverables expected
from their customers," "Further, research and development (R&D) efforts should
be aimed at improving treatment quality at a minimum increase in costs."
Among the key challenges for
participants in the European renal replacement therapy market is the high
customer buyer power that is leading to a steep fall in prices. Across many
European countries, purchasing decisions are not necessarily made at hospitals.
Instead, purchasing groups or consortiums are formed to ensure a greater
leverage in negotiating with replacement therapy companies and suppliers.
Also, restricted healthcare
budgets and complicated reimbursement procedures pose significant threats to the
growth of the European renal replacement therapy market. With the introduction
of disease related groups (DRGs) in many European countries, reimbursement is
now dictated by the nature of the disease rather than by the type of therapy
chosen. This is preventing many healthcare providers from recommending certain
renal replacement therapies, as the cost would be more than the amount
reimbursed.
While prices have bottomed out
giving little scope for any further decrease, in addressing the static price
levels, companies need to offer additional service offerings such as guaranteed
'up-time' for dialysis machines, longer length warrantees and increased levels
of customer service support.
Within Europe, there are a
larger number of patients with acute renal failure (ARF), and this number is
growing at a rate higher than that of end stage renal disease, (ESRD) patients.
In 2004 the number of ARF patients receiving renal replacement therapy was
124,000 and contributed to revenues of $132.5 million. This figure is forecast
to touch $226.2 million by 2011 and revenues in the ESDR therapy market could
reach $2.81 billion in 2011 up from 2004 figures of $1.87 billion.
In regard to the growth
prospects among various product sectors, the alternative site haemodialysis and
acute renal failure therapy product sectors display a higher growth potential.
Although the market for conventional haemodialysis products, used for patients
with end stage renal disease is approaching maturity, there still exist
significant growth possibilities for companies willing to develop novel
treatment methods.
"While Germany is presently the
biggest market in Europe, it also has the highest ESDR patients per million
population (pmp) and as such will show the least growth in terms of patient
numbers," says Staniforth. "Similarly Spain, France and Italy have a high EDSR
pmp and the United Kingdom, with its increased funding for dialysis care and low
EDSR patients pmp, is a highly profitable market that promises a healthy
growth."
( Contact For More Detials :
Radhika Menon Theodore, Corporate Communications, at
rmtheodore@frost.com with the
following information: your full name, company name, title, telephone number,
fax number and e-mail address. )
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