Global Product Design and Development Services Market By Service (Research, Strategy, & Concept Generation, Concept & Requirements Development, Detailed Design & Process Development, Design Verification, Process Validation, Manufacturing Transfer & Design Validation, and Production & Commercial Support), By Application (Diagnostic Equipment, Therapeutic Equipment, Surgical Instruments, Clinical Laboratory Equipment, Biological Storage, Consumables, and Other Applications), By End-Use (Medical Device Companies, Pharmaceutical Companies, Biotechnology Companies, and Contract Research Organizations), By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2022-2032

Product Design and Development Services Market Overview

In 2021, the global product design and services market was valued at US$ 8,450 million. It is expected to grow at a compound annual rate (CAGR), of 11.9% between 2023 and 2032.

The growth is driven by new standards and regulations, cost reduction, innovation, and increasing healthcare demand. Medical devices are often developed using strict regulations and cutting-edge technology, which adds complexity to the manufacturing process.

Global Product Design and Development Services Market Scope:

Service analysis

The market leader in product design and development services was the research, strategy, and concept generation segment. It accounted for 39.9% of the total revenue in 2021. It is expected to keep its position throughout the forecast period. This could be due to the extensive research that is required at this stage. It involves identifying user needs, researching competitive landscapes, and technological assessment.

Over the forecast period, the process validation and manufacturing transfer segments are expected to experience the fastest growth rate at 13.3%. This could be due to strict regulations regarding the validation of medical devices. The Quality System Regulations (QSR) require that the process be validated to ensure high levels of assurance if the process output cannot be verified through testing and inspection.

Application analysis

With a 27.9% revenue share in 2021, the surgical instruments segment was the dominant market. This segment is expected to continue its dominance over the forecast period. This is due to the complex nature of the segment, which requires careful design and development. They must be able to perform surgery without causing any damage to patients.

Advanced biomedical technology is required for the design and development of surgical instruments. The surgical instrument market is highly technology-oriented and price-sensitive. As such, it is important to adjust and control the development of surgical instruments for quality, safety, feasibility, cost, and quality.

Consumables and accessories are expected to see the fastest CAGR at 13.5% during the forecast period. This segment covers all medical equipment and devices that aid people in daily life. Mobility aids include wheelchairs and walkers, canes, crutches, scooters, and incontinence pads. The growing demand for home healthcare devices is mainly due to changes in geography and improvements in the healthcare system. Devices that aid in daily living are becoming more important due to the increasing number of physically and geriatric disabled. This is driving demand for product design and services.

End-Use analysis

In 2021, the medical device industry segment was responsible for 55.2% of all revenue. This can be attributed to the growing demand for high-quality medical products. For product development and maintenance, it is crucial to implement new and innovative technologies. Medical device development companies are at the forefront of such innovation by adopting the most recent technology trends like miniaturization, portability, and enhanced reliability. Overall, the outlook for design services looks good.

There is also a growing trend toward smaller and more portable products, which require advanced manufacturing technologies, components, and automation techniques. All medical products, including life-support devices, therapeutic devices, and drug delivery systems, are shrinking in size and gaining more features and performance. These products are increasingly designed with the patient in mind. They include features that are similar to those found in consumer products, such as wireless connectivity and portability, user interface, ruggedness, and industrial design.

Кеу Маrkеt Ѕеgmеntѕ

By Service

• Research, Strategy, & Concept Generation
• Concept & Requirements Development
• Detailed Design & Process Development
• Design Verification
• Process Validation, Manufacturing Transfer & Design Validation
• Production & Commercial Support

By Application

• Diagnostic Equipment
• Therapeutic Equipment
• Surgical Instruments
• Clinical Laboratory Equipment
• Biological Storage
• Consumables
• Other Applications

By End-Use

• Medical Device Companies
• Pharmaceutical Companies
• Biotechnology Companies
• Contract Research Organizations

Market Dynamics:

Designing and developing a medical device can be a complicated process. There are many factors that must be considered, including end-user requirements, specifications, regulations, and application requirements. There is more to designing, developing, and introducing a product on the market than simply coming up with an idea, building it, and then selling it to the masses.

Medical technology is constantly evolving and becoming interconnected. The manufacturers of medical equipment are moving away from a transaction-based model to create value for patients, providers, and payers. They are providing innovative and cost-effective medical instruments and tools that speak volumes about their product quality. You might be able to create customized procedure trays according to the needs of your surgeons.

Due to growing geriatric populations, increased health care costs, and health concerns, the medical device manufacturing industry will continue to expand. Manufacturers are launching new product development projects quickly, particularly in emerging markets like India and China. Manufacturers will need a solid execution strategy in order to meet the needs and concerns of patients. This will likely increase demand and boost the market for product design and development services.

Product development has been disrupted by the COVID-19 pandemic. The COVID-19 pandemic has caused a shift in product development practices. This includes restrictions such as working from home, uncertain demand, and no travel to customers or suppliers’ virtual private networks. There are also collaboration software tools. Travel restrictions have made it more difficult to order and ship material, which has, in turn, made moving prototypes more challenging and required more creative ways to interact with customers and suppliers.

The COVID-19 market for product design & services has evolved a few strategies that can help market recovery and future growth, such as strategic alliances, accessing post-COVID risk within the product development sector, compared to competitors, and understanding the long-term market needs, and planning network expansion.

Regional Analysis

The Asia Pacific was the dominant market, accounting for 41.1% of the total revenue in 2021. Due to the increased opportunities in these regions, the revenue of key players in the Asia Pacific region and Latin America is seeing a significant increase in their revenues. Due to lower labor costs, these countries are attracting Original Equipment Manufacturers (OEMs), who outsource the production of medical devices to these regions.

North America surpassed the Asia Pacific by 25.1% market share in 2021 due to the strong presence in North America of Contract Manufacturing Organizations, (CMOs), that offer product design- and development services. Companies based in the region are also expanding their services through mergers and acquisitions. The rapid growth in medical device manufacturing to meet the region’s high demand for quality healthcare is also expected to play a major role in the expansion of the regional market for product design/development services.

Key Regions and Countries covered іn thе rероrt:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Spain
  • Rest of Europe
• APAC
  • China
  • Japan
  • Korea
  • India
  • Rest of Asia-Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• MEA
  • GCC
  • South Africa
  • Israel
  • Rest of MEA

Market Share & Key Players Analysis:

They are involved in providing services and equipment that can reduce costs for recipients. Participation in mergers and acquisitions is a key strategy to increase penetration. Planet Innovation (PI), which manufactures regulated medical equipment, acquired North American operations from BIT Analytical Tools GmbH in November 2021. The acquisition will allow PI to increase its US manufacturing capabilities to better serve its expanding US customer base.

Маrkеt Кеу Рlауеrѕ:

• Ximedica
• DeviceLAb
• Jabil, Inc.
• Flex Ltd
• Plexus Corp
• Nordson Medical
• Celestica, Inc.
• Starfish Medical
• Planet Innovation
• Donatelle
• Cambridge Design Partnership
• Aran Biomedical
• Other Key Players

For the Product Design and Development Services Market research study, the following years have been considered to estimate the market size: