Michele Nichols, President of Launch Team, Inc. and Amy Castronova, President of Novatek Communications, are teaming up again this fall to bring you the latest in product launch, technical documentation, and marketing in medical devices and industrial manufacturing. In a series of blog posts, we’ll share industry and economic trends, emerging regulatory and business challenges, and best practices for overcoming those barriers to new product launch and adoption.
The global medical device market is projecting moderate growth, dampened somewhat by European market turbulence and the strengthening US dollar. The real challenge these US companies face, though, is a highly fragmented market—over 80% of the companies in the US are under 50 employees—with a regulatory burden and fast-changing product.
Small companies struggle to achieve profit margin and meet the regulatory and market demands. Every point matters. Because the medical device product lifecycle averages only 1-2 years, the product launch, documentation, training and marketing required must be nimble, effective and efficient. Missteps and missed opportunities have a direct impact on revenue and margin.
For that reason, many of these companies choose to outsource. It offers an ability to scale, provides access to the best practices and resources used by market leaders, and drives out overhead.
The US accounts for 38% of the global device market. As the US dollar strengthens, causing US goods to cost 20-25% more overseas, and the European economic growth remains lackluster, these smaller businesses may turn their limited resources state-side, working to improve direct sales within the US.
While global market growth rates slow and margin pressures increase, we are seeing companies react:
- Reorganization of direct US sales teams
- Increasing emphasis on regional events like MedTech
- Investment in mobile sales training, to eliminate barriers and recognize increased field time
- A shift to inbound marketing, attracting rather than hunting leads through educational content
What strategies will you employ to sustain your growth? Check out the other articles and resources in this series to better equip your sales team with the leads and knowledge they’ll need to thrive.