Personal Healthcare Devices - Wearables & Sensors Procurement Intelligence Report, 2024 - 2030 (Revenue Forecast, Supplier Ranking & Matrix, Emerging Technologies, Pricing Models, Cost Structure, Engagement & Operating Model, Competitive Landscape)

Personal Healthcare Devices - Wearables & Sensors Category Overview

The demand for procurement of personal healthcare devices - wearables & sensors is being driven by the increasing adoption of remote patient monitoring solutions and the implementation of technology such as IoT and AI into wearable devices. The market is anticipated to grow at a CAGR of 11.2% from 2024 to 2030. Wearable fitness technology has made a significant space for itself in the healthcare industry, such that smartwatches and FitBits are considered the mainstream of the industry. Some of the healthcare wearables include blood pressure monitors, glucose meters, ECG monitors, and fitness trackers. The demand for these wearables is rising as consumers showcase interest in keeping track of their health and vital signs. In addition, factors such as advancements in technology enabling more accurate health monitoring on-the-go, and increased focus on preventive healthcare are driving the growth of the market.

Wearable gadgets equipped with health sensors are transforming the fitness and wellness industry, granting people the ability to manage their health and overall well-being. These gadgets, in addition to having sleek aesthetics, provide thorough fitness tracking and individualized guidance. The incorporation of artificial intelligence (AI) algorithms also facilitates proactive self-management. Some wearable technologies support remote patient monitoring, which can be beneficial for patients who are unable to visit healthcare facilities regularly. Remote patient monitoring helps to improve patient outcomes, reduce hospital readmission, and lower healthcare costs. Companies such as VinCense offer a remote patient monitoring platform for chronic disease management that helps patients monitor their health and share data with healthcare providers remotely. The platform uses machine learning technology to analyze patient’s data and identify potential risks. It then generates notifications and alerts to healthcare providers, enabling them to intervene effectively and quickly.

The rapid progress in wearable medical technology has opened doors to cutting-edge devices with improved monitoring, diagnostic, and treatment features. This ranges from smartwatches monitoring vital signs to implantable devices delivering real-time health information. With AI integration, wearable devices provide tailored suggestions and predictive insights for timely risk identification. This enhances overall wellness and addresses specific conditions like heart attacks, diabetes, and strokes. AI-powered algorithms enhance healthcare wearables, providing precise diagnoses, recommendations, and monitoring. Wearables utilize machine learning algorithms to monitor vital signs and medical assessments with high accuracy, reducing the need for human intervention and minimizing potential errors. For instance,

• In January 2024, Cloud DX announced a substantial agreement with a health technology company to create a wrist-worn wearable device with the ability to monitor ECG and vital signs. Cloud DX specializes in providing remote patient monitoring tools and virtual care in North America. This groundbreaking device, built on a patented platform, is designed to track various vital signs and provide tailored daily suggestions, enhancing the client's wellness offerings significantly.

• In October 2023, Fitbit announced a new program, Fitbit Labs that will use AI to generate deeper health insights. Fitbit Labs will focus on providing personalized insights using generative AI. The proposed system aims to identify the reasons behind the user's fatigue during their running sessions. It achieves this by performing a comparison of the current day's run with the previous day's run of the same distance. Through this comparison, it analyzes the changes in crucial metrics, such as pace, which could potentially shed light on the causes of the user's exhaustion.

This industry is highly fragmented in nature. The digital health sector exhibits significant fragmentation, with numerous small and medium-sized enterprises engaged in diverse segments, including wearable devices, telemedicine, electronic health records (EHRs), and mobile health applications. The medical wearables device industry in India is highly fragmented, with companies concentrating on producing affordable, mass-produced devices, leading to intense competition. To enhance profitability, industry participants prioritize innovation and begin tackling the healthcare challenges faced by patients needing medical devices.

Suppliers in the market also include components suppliers used in devices such as sensors, batteries, and microchips. These suppliers have moderate bargaining power due to their specialized nature. However, the overall impact is mitigated by the availability of multiple suppliers and standardization in the industry. Suppliers holding essential patents for key technologies may exert some influence over device manufacturers, especially if alternatives are limited.

Material costs, labor, equipment, research and development, and software are some of the expenses incurred in manufacturing personal wearable and sensor healthcare devices. Other costs include rent and facilities, packaging and shipping, and software update costs. Wearable healthcare devices need chips, sensors, batteries, and other accessories that must be replaced periodically. These accessories costs, when combined with the device lifecycle, usually account for a high cost of ownership. ‘Manufacturing equipment’ for producing wearable health monitoring devices can cost between USD 100,000 to USD 1 million. The average cost of research and development of monitoring devices can range from USD 1 million to USD 10 million in the U.S.

Under sourcing and procurement intelligence, buyers such as healthcare providers rely heavily on wearable devices to offer personalized care as per patients’ requirements. Typically, these healthcare providers fully outsource the manufacturing of these devices to specialized manufacturers. Clients evaluate suppliers based on the type of devices they provide, whether advanced technology is being used in the device, the kinds of diseases tracked and related security concerning patient data. Some other considerations include round-the-clock support for device technicalities, price comparison of different suppliers with similar features and customization options. Chinese factories are experiencing sharply reduced orders due to the surge in wearables manufacturing in India as per the latest Economic Times report in 2023. Many device companies prefer local contract manufacturers such as Dixon Technologies and Optiemus Electronics in India. They are witnessing huge demand for manufacturing wearable devices in India. However, China remains one of the leading manufacturing destinations for wearables. Hence, procurement of personal healthcare devices is best done in countries like China and India, where the use of wearables is on the rise, making them ideal destinations for sourcing.

Personal Healthcare Devices - Wearables & Sensors Procurement Intelligence Report Scope