Injectors

Injectors Global Market Outlook:

MARKET OVERVIEW

Global market size: $6.7 Billion (2021)

Expected to grow at a CAGR of 5-7 percent to $16.2 billion by 2026

• With reference to article by Ji Lin et al. published in Population Health Metrics Journal 2018, the anticipated number and percent of adults diagnosed with diabetes would increase from 22.3 million (9.1 percent) in 2014 to 39.7 million (13.9 percent) in 2030 and to 60.6 million (17.9 percent) in 2060

• The number of people with diabetes aged ≥65 years are expected to increase from 9.2 million in 2014 to 21.0 million in 2030 and to 35.2 million in 2060

• With increasing prevalence of chronic diseases, the demand for self-injection device, which is used for treatment or recovery from such diseases, is expected to increase

Porter's Analysis on Injectors

Supplier Power

• The supplier market for injectors has established players with global presence. The market is value based, as the devices are expensive

• Moreover, generic players are entering the market to reduce the monopoly

• Hence, the supplier power varies from medium to high

Barriers to New Entrants

• Huge medical, R&D expertise, capital requirements make it difficult for new entrants

• Huge competition and majority of the companies profits depend on volume of sales

• Meeting global regulatory requirements, a key challenge for medium to complex medical

• Need to have a good distribution network to offer better products and after-sales services

• Presence of established players in the market

Intensity of Rivalry

• Existing competition is strong among the top players viz., Ypsomed, BD, etc.

• Continuous innovation in the market, coupled with a huge demand for injectors, leaves the intensity of the rivalry as high among suppliers

Threat of Substitutes

• Traditional injections, prefilled syringes, another type of injectors, are economical alternatives to self-injecting devices

• However, increase in inclination toward homecare self-injecting devices for chronic patients and increasing advances to increase patient compliance threat of substitute remain low to medium

Buyer Power

• Bargaining power for medical device clients is medium to low, as suppliers are constantly innovating to provide better patient compliance features

Injectors Cost Structure Analysis

• Technological advancements for the administration of large volume and high-viscosity drugs drive the demand for autoinjectors in the market, hence raw materials and components contribute to the major portion of manufacturing, since the critical components are important, which needs to work each time of usage without fail

• Raw Materials & Components Cost: 1.8 mg of sodium chloride costs ~28 percent; 0.5 mg of sodium metabisulfites costs ~1 percent, and 0.3 mg epinephrine costs ~72 percent to manufacture per pack of lifesaving Epipen. Critical components, such as outer sleeve, syringe casing, contribute to higher price in manufacturing per pack Epipen

• Labor and Technology Cost: Adoption of the latest technology drives the spend on R&D to develop new products will also lead to an increase in the cost of the products. Assembling an Epipen requires well-trained labor with technical knowledge

• Packaging & Labeling: One box of secondary package with label costs approximately 20 percent and the instruction manual costs ~4 percent