Neuromodulation is the process of involving an implantable medical device to modulate and alter neural activities for therapeutic purposes. The implantable devices used for neuromodulation are referred to as neurostimulation devices or neurostimulators. These devices function either by stimulating nerve impulses or by inhibiting pain signals at target sites such as the central nervous system, autonomic nervous system, peripheral nervous system and the deep nuclei of the brain. Some of the applications of neurostimulators include pain, epilepsy disease and movement disorder management. Growing global base of geriatric population triggering the incidence rates of target diseases especially Parkinson’s and Alzheimer’s and the presence of high unmet medical needs in disease segments with limited treatment options such as epilepsy and migraine are some of the most significant growth drivers for the neurostimulation devices market. Moreover, the introduction of technological advancements such as Medtronic’s MRI safety enabled neurostimulators and the transdermal neuromodulation technology (introduced by Neurowave Medical Technologies) and the growing demand for minimally invasive medical procedures are also expected to augment neurostimulation devices market growth. The future of the market will be fuelled by the presence of abundant untapped growth opportunities in rapidly growing Asian and Latin America economies and by the growing medical devices outsourcing market. Manufacturing neurostimulators entail expensive manufacturing and marketing processes. Therefore, these manufacturers are now adhering to outsourcing in an attempt to curb costs or to maximize profit margins. Medical devices outsourcing organizations such as Accellent Inc. provide comprehensive and cost effective solutions pertaining to the design, development and manufacturing of neurostimulation devices, programming interfaces and other accessories.
Spinal cord stimulation devices dominated the neurostimulation devices market in 2012, with share of over 60%. These devices were the first kind to be commercialized and therefore, hold a competitive edge over the rest of the devices in terms of market penetration rates. Moreover, the introduction of technologically advanced products such as MRI safety and Bluetooth enabled devices. The cost effectiveness exhibited by these devices in terms of quality adjusted life years (QALY) will also drive the growth of this market.
Deep brain stimulation devices followed the spinal cord stimulation devices market in terms of market share. These devices are based on a nascent technology and so are currently undergoing an experimental phase. These devices are FDA approved when it comes to treating Parkinson’s and dystonia and many other applications such as those for treating OCD (obsessive compulsive disorder), Alzheimer’s, Tourette Syndrome, refractory epilepsy, cluster headache, trigeminal neuralgia and movement disorders by multiple sclerosis are awaiting FDA approval. Research work for enabling all these applications are in progress and will fuel the future growth of the market, once successfully approved by the FDA/other regulatory bodies and accepted by the practitioners. However, the sacral stimulation devices market is expected to grow at the fastest rate during the forecast period majorly owing to drivers such as the presence of high global prevalence rates of urinary and fecal incontinence and the presence of high efficacy exhibiting devices such as Medtronic’s InterStim Therapy System. The global sacral stimulation devices market is expected to grow at a CAGR of over 19.0% from 2013 to 2020.
Pain management is identified as the largest application segment of the neurostimulation devices market. High global prevalence of chronic pain disorders and the growing adoption rates of neurostimulation devices for pain management on account of their high therapeutic value are some of the drivers of this market. The global neurostimulation devices market for pain management was valued at USD 1,996.6 million in 2012. Moreover, the neurostimulation devices market for Parkinson’s disease is expected to grow at a healthy rate during the forecast period majorly on account of the growing global base of geriatric population and the low availability of treatment options for this disease. Its market is expected to grow at a CAGR of 14.1% from 2013 to 2020.
North America is expected to dominate the overall neurostimulation devices market throughout the forecast period. Presence of high healthcare expenditures and patient awareness levels in developed countries such as the U.S. is one of factors accounting for its high market share. Furthermore, the presence of sophisticated healthcare infrastructure and industry friendly organizations such as the North American Neuromodulation Society and the American Tinnitus Association will propel the future growth of this market. The North America neurostimulation devices market was valued at USD 1,959.0 million in 2012. Europe followed North America in terms of market share in 2012 at over 17.0%. Some of the drivers of the European neurostimulation devices market include the relatively easy and faster CE device approval process, presence of a large base of population over 60 years in Western European countries and rapid economic development witnessed in Eastern European countries such as Poland and Russia. However, Asia Pacific is identified as the fastest growing region of the neurostimulation devices market. Large presence of unmet medical needs in countries such as India and China and the constantly improving healthcare infrastructure and patient awareness levels in these countries accounted for its lucrative growth. The Asia Pacific neuromodulation market is expected to grow at a CAGR of 17.6% from 2013 to 2020.
The neurostimulation devices market is oligopolistic in nature with a few market players dominating the market. Four major players who dominated the market in 2012 include
Medtronic Inc., St. Jude Medical, Cyberonics and Boston Scientific Corporation. Medtronic Inc. on account of an extensive FDA approved product portfolio (e.g. Enterra Therapy System and InterStim Therapy System) led the market in terms of revenue share in 2012. Its market share was valued at over 55% in 2012. St. Jude Medical followed Medtronic in terms of market share and held a market share of 14.0% in 2012. Its market share declined from over 15.0% in 2011 owing to the recall of its Brio in 2012. Brio experienced technical faults in terms of bodily fluids seeping into the device.