assisted living in europe technology and market trends 2010
TRANSCRIPT
Will Assisted Living Provide the Answer to the Challenge of Caring for the
Growing Elderly Population in Europe?
Somsainathan C KResearch Analyst – Patient Monitoring
Healthcare EMEAHealthcare EMEA30 November 2010
Somsainathan .C.K.
Functional Expertise
� More than a year of experience in research and consulting with healthcare. Expertise in market analysis and
reasoning, gained by working with various clients and doing exploratory research on different topics.
� Particular expertise in:
- Market Analysis on various patient monitoring devices
- Generating research services, including Market Sizing, Competition Analysis, Product benchmarking and
Geographic Analysis
- Consulting for clients on market entry strategies and market mapping methodology
- Best Practices and Research on Awards
Industry Expertise
� Experience in covering a broad range of product segments in the patient monitoring domain, leveraging long-
standing working relationships market participants and exploring disruptive market trends and features.
- Remote Patient Monitoring
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- Ventilation and Airway Management Devices
- Neurophysiological Monitoring
- Data Management Systems
What I bring to the Team
� Efficient delivery of business solutions and market analysis
� Experience in competition and product analytics
� Pragmatic management of information
� Management of relationships with market participants
Career Highlights
� Started professional career with Frost & Sullivan in 2007
� 2 years of experience in e-marketing and market analysis for various industry segments prior to moving into
mainstream research for Healthcare
Education
� Bachelors of Commerce, University of Madras, Chennai – India
� Postgraduate Diploma in Business Administration (PGDBA) Symbiosis
Somsainathan.C.KResearch Analyst
Frost & SullivanChennaiIndia
Agenda
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Introduction to Assisted Living Technologies (ALTs)
Market Overview
Will ALTs Provide the Answer - Elder Care in Europe?
Market Dynamics
Market Impact of Top Growth Trends
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5
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Market Dynamics
Geographic Analysis
Opportunity Analysis
Future Outlook
Major Market Participants
Conclusion10
Introduction to Assisted Living Market in Europe
Geographic Scope
Telecare Telehealth
Smart Homes
Assisted living technologies
Telecare Telehealth
Smart Homes
Assisted living technologies
Assisted Living concept, technologies and
devices intersect three core domain of
technologies and services, that is, telecare,
telehealth and smart homes. It has no lucid
description or definition and has been
perceived differently in different countries.
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Geographic Scope
> The United Kingdom
> Germany
> France
> Spain
> Italy
> Scandinavia
> Benelux
Market Segmentation
Assisted Living in Institutions
Assisted Living in Residences
Market Overview
The market generated $154.9 million in 2009
Germany is the biggest market with 32.9% market
share in 2009
Key Market Trends
• Technology Trends – Usage of broadband communication,
wi-fi, networking capacity and efficient integration of
devices allow multimedia communications between homes
and community centres. However, there is a difference in
the usage of such technologies among various age groups
of end users and it varies from country to country. Hence a
unified approach in the usage of technology might not be
successful in this region.
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CAGR: 22.6% between 2010 and 2015
AAL (Ambient Assisted Living) is boosting the market
activities
• Demographic –
Increasing elderly
population is posing a
challenge for the policy
makers in terms of social-
security. The demands and
consumer behavior of the
elderly are likely to change.
• Economic - Economies of
Europe are struggling to
match the demand for social
care with the supply of funds.
Most of these economies are
emerging from the brunt of
the recessionary phase and
are looking for affordable
alternatives technologies that
allow optimum usage of
limited resources.
Market Impact of Top Growth Trends
Projected
High Impact
Medium GrowthImpact
High Growth Impact
Reduction in Costs
Digital Communication
Shift in Demand
Buoyancy in investments
Ambient Assisted
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ProjectedImpact on the
European Assisted Living Technologies
Market
Low Impact
Low High
Low GrowthImpact
Certainty
InteroperabilityDiversification
Demand
Dependence on Govt. Support
Low awareness
Assisted Living
Will Assisted Living Technologies (ALTs) Provide the Answer?
Low
Easy Adoption and Usage Practice
Buoyancy in Investments
High Attention to Technology
Cost –Effective
Solution to Mitigate the Challenges
Dependence on
Government Support
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Low Receptiveness
Low Awareness Ambient
Assisted Living
Assisted Living Technology
Assisted Living Technologies is the right answer for the growing elderly population in Europe.Most European economies are just stepping out of the after math of recession and allocatingthe required funds for formal care will prove to be a costly affair. Governments areincreasingly willing to invest into such technologies that help in achieving enhanced socialcare for the elderly and disabled as this will help in reducing healthcare and social care costsfor the old. The above mentioned factors are the reasons for assisted living technologies’accelerated growth in Europe.
Market Dynamics
Market DriversMarket Drivers
Rising Elderly Population
Low Market Penetration
Standardisation of Healthcare
Systems
Demand for Managed and Personalised
Care
Market Dynamics
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Market Restraints
Low Awareness
Levels
Low Profit Margins
Unclear Reimbursement
Models
Market Dynamics
Increasing Price
Competition
Geographic Analysis
1.5%
14.7%
4.1%
3.0%
27.8%
The United Kingdom
Organisation
Telefónica I+D
Organisations from various European countries who are active in research areas of
assisted living
Total Assisted Living Technologies Market: Per cent of Revenues by Geographic Region (Europe), 2009
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3.0%
16.0%
32.9%
Germany
France
Spain
Italy
Scandinavia
Benelux
Note: All figures are rounded; the base year is 2009. Source: Frost & Sullivan
Scandinavia includes Denmark, Norway and SwedenBenelux includes Belgium, Netherlands and Luxembourg
INGEMA
TEKES
Royal Institute of Technology
Budapest University of Technology
Fraunhofer Society
Empirica AG
Vienna University of Technology
SIEMENS AG
Opportunity Analysis
$154.9 million (2009)
InteroperabilityR&D
Developments
Diversification
Capitalising on the
current opportunities
will help market
participants to tap
the market potential
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Assisted Living Market
Digital Communication
Competitive Costs
Shift in Demands
$ 525.56 million (2015)
Future Outlook
Future Outlook
Capital Costs
Interoperability
SpecialistSoftware
Increased developments in the product and improving acceptance will lead to
reduction in capital costs.
Improved technologies will lead to interoperability of systems using open platform software, that will provide access to systems globally.
Market is witnessing an effective increase in usage of specialist software that will help in enhancing the usage practices.
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Software
Customisation
Differentiation
Digital Technology
Funding
help in enhancing the usage practices.
Demand for personalised systems is leading to increased customisation of products to suit individual needs.
Long term success largely relies on product differentiation in a market dealing in homogenous products. Product differentiation will given high importance.
Accelerated rate of adoption of technology into healthcare is enhancing the use of digital communication technology in assisted living.
Funding from governments and other institutions will soon be restructured to make the assisted living technologies market more organised.
Major Vendors in Assisted Living Technology in Europe
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Conclusion – Key Take-Away
Competitive
Factors
EX
TE
RN
AL IN
TE
RN
AL
� Increased competition among
device manufacturers leading
to enhanced features and
developments in products
� Increased R&D investments
made by various European
Governments influencing
� Deep understanding of market
demand
� Product customisation to suit
the needs of end-users
� Stronger customer relationship
� Constant up gradation in
software and features will lead
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market participants to
capitalise on market growth.
software and features will lead
to better usage of equipment
Vital changes in the
assisted living technologiesmarket
Increasing receptiveness towards technology
Improvements in the regulatory scenario
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For Additional Information
Somsainathan. C.K
Research Analyst
Healthcare – Europe
Sumit SharmaDirector Healthcare - Europe+44 207 343 [email protected]
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Katja FeickCorporate Communications Manager,
EuropeDirect: +49 (0) 69 7703343