Orthopedic Power Tools Market Size, Share & COVID-19 Impact Analysis, By Product Type (Instruments (Surgical Drills, Saws, and Others), and Accessories), By Technology (Electric Powered Device, Pneumatic Powered Device, and Battery Powered Device), By Usage (Reusable and Disposable), By End-User (Hospitals & ASCs and Specialty Clinics), and Regional Forecast 2021-2028

The global orthopedic power tools market size was USD 1.43 billion in 2020 and is projected to grow from USD 1.54 billion in 2021 to USD 2.05 billion in 2028 at a CAGR of 4.1% in the 2021-2028 period. Based on our analysis, the global market exhibited a huge decline of 9.2% in 2020 as compared to the average year-on-year growth during 2017-2019. The global impact of COVID-19 has been unprecedented and staggering, with orthopedic power tools witnessing a negative demand shock across all regions amid the pandemic. The sudden rise in CAGR is attributable to this market’s demand and growth, returning to pre-pandemic levels once the pandemic is over.

The increasing incidence of road accidents, trauma, and rising prevalence of degenerative joint diseases among the geriatric population is presenting a large patient pool requiring treatment. According to the Centers for Disease Control and Prevention (CDC), an estimated 24.5 million emergency department visits were recorded in the U.S. for unintentional injuries in 2019. Falls and motor vehicle traffic-related injuries accounted for the majority share of these admissions in the country. This is leading to an increasing number of patients undergoing surgical procedures, leading to rising demand for surgical tools and devices, including orthopedic surgical power tools.

Currently, major market players, such as Zimmer Biomet, Stryker, and emerging players, such as Joimax GmbH, De Soutter Medical, are constantly focusing on introducing innovative power tools in the market to cater to the growing demand. Constant focus on R&D to innovate product portfolio and bridge the gap between unmet needs of healthcare providers and patients are leading to the introduction of new devices in the market.

• For example, in June 2021, Joimax GmbH introduced the Shrill Shaver system with the aim to remove soft tissue and bone on the spine during surgery. This new system is equipped with a handle and blade detection system to adjust them with the predetermined parameter and is intended to be used in the treatment of stenosis.

This, along with other macro and micro-economic factors, including improving healthcare and hospital infrastructure, and realigning reimbursement policies by healthcare agencies, is leading to the growing demand for new devices.

COVID-19 Impact

Postponement of Surgeries amid COVID-19 to Hamper Market Growth

The COVID-19 pandemic had a negative impact on the global market. Several major players, including Conmed Corporation and Johnson & Johnson Services Inc., reported a huge decline in the revenue due to COVID -19 impact.

• For instance, Conmed Corporation reported a decline of 19.1%, whereas Johnson & Johnson Services Inc. reported a decline of 12.2% of its orthopedic segment in 2020 as compared to 2019.

Nationwide lockdowns, travel restrictions and other containment measures implied by various national bodies resulted in a decline in patient visits to hospitals and other healthcare settings for non-COVID-related conditions. Also, postponement of elective surgeries by healthcare facilities, citing the sudden rise in COVID-19 patients, led to a further decline in inpatient and outpatient visits for orthopedic procedures globally.

• For instance, according to the American Medical Association, in October 2020, there was a 27.0% decline in the number of surgeries performed in Wake Forest Baptist Health hospital in the U.S.


• Also, according to the Indian Journal of Orthopedics, the pandemic resulted in around 44.0% decline in the number of surgeries globally in 2020, as compared to 2019. The primary decline in the number of procedures was observed for joint replacement and fractures.

Thus, the decline in the number of elective surgeries in 2020 due to the pandemic resulted in the lower adoption of power tools. However, by the end of 2020, many countries lifted their restrictions and stay home orders, which is expected to normalize the orthopedic power tools market growth by the end of 2021.

LATEST TRENDS

Increasing Demand for Disposable Devices to Stimulate Growth

Currently, a shift from reusable to disposable devices is being observed among surgeons in developed and emerging countries. Reusable devices are often associated with comparatively higher costs of maintenance of the devices, including routine inspections and sterilization. This leads to overall higher costs of ownership for reusable devices. However, these costs are eliminated in case of disposable devices.

Disposable devices have gained popularity recently especially from small and mid-sized healthcare settings, owing to overall lower costs of ownership. This is further complemented by the reduction in cross-contamination and hospital acquired infections by the use of disposable devices, which leads to further cost reduction to these healthcare facilities. Overall distinct benefits offered by disposable devices and introduction of innovative devices by market players including drills, among others are driving the adoption of these devices in the global market.

DRIVING FACTORS

Increasing Prevalence of Various Orthopedic Diseases to Propel Market Growth

There is a gradual increase in the prevalence of disorders including osteoarthritis, osteoporosis, and among others. For example, according to the Centre for Disease Control and Prevention, approximately 23.0% of the adults in the U.S. are suffering from arthritis. Also, there has been a marked increase in the number of trauma cases including road accidents, especially in emerging countries. According to a report published by National Centre for Biotechnology Information there were around 1.3 million road traffic injuries globally in 2020. Around 90.0% of these injuries occurred in the low and middle income countries.

These factors together are presenting a large patient pool requiring treatment and undergoing surgeries. This increase in the number of surgical procedures performed globally is driving the demand for various power tools including drills, saws, and others.

Technological Advancement in Powered Instruments to Fuel Adoption Rate

Majority of the manufacturers are currently focusing on the increasing investment in R&D for introducing innovative devices in the market.

• For instance, in May 2021, Arbutus Medical introduced SteriTrak surgical drill in the U.S. and Canada markets with an aim to perform an effective skeletal traction process especially in trauma centers.

Thus, introduction of disposable and battery operated devices has been instrumental in eliminating the ergonomic and clinical limitations that were presented by the other power tools. Battery operated devices have eliminated the difficulties faced by surgeons due to the power cables and other cords that were associated with electrical devices. Disposables have eliminated the need for sterilization of these devices, resulting in overall cost reduction for healthcare facilities. These distinct benefits offered by innovative devices are fueling the demand in the global market.

RESTRAINING FACTORS

High Procurement Cost of Devices to Limit Market Growth

The increasing number of surgeries is the one of major factors to propel the demand for these instruments. However, high acquisition and maintenance costs of these devices, especially reusable devices, are limiting the adoption of these instruments among surgeons.

• For example, according to an article by the National Center for Biotechnological Information, it was reported that the procurement cost of a single reusable battery drill is in the range of USD 6,000 to USD 6,700.

According to various research publication and articles, considerable number of incidents of breakage of drill bits and saw blades during surgical procedures in healthcare settings. For instance, according to a report by the National Center for Biotechnological Information, drill bits are the most common types of accessories reporting breakage during surgical procedures. In the U.S. approximately 1,000 incidents of retained pieces of drill bits and other accessories were reported during a surgery.

Hence, the majority of surgeons are shifting their preference toward hardware powered instruments. These instruments are cost effective and more durable as compared to drills and saws during surgeries.

SEGMENTATION

By Product Type Analysis

Accessories Dominated Market in Terms of Share in 2020

Among product type, the accessories segment accounted for the highest market share in 2020 as compared to instruments. According to published articles and interviews with key opinion leaders, it was estimated that a reusable drill bit or saw blade can be used for approximately 8-10 surgeries. Also, according to a report by Proliance Orthopedic, an estimated 602,582 hip replacements procedures were performed from 2012 to 2018 in North America. Thus, the high replacement rate coupled with increasing number of surgeries is attributed for the dominance of this segment. On the other hand, the instruments segment is expected to register a moderate CAGR during the forecast period owing to high cost and lower replacement rate.

By Technology Analysis

Battery Powered Device to Capture Highest Market Share during Forecast Period

Based on technology, the battery powered devices segment held a dominant share of the market in 2020. Battery powered devices are offered in cordless design which led to elimination of power cables as in case of electrically powered tools. This has led to the increasing preference of healthcare providers and surgeons toward these devices.

Also, according to reports and research articles, battery powered devices are associated with less bacterial contamination as opposed to pneumatic powered devices during a surgery. Since pneumatic powered devices use a compressed air source for the power supply during a surgery, the chances for recurrence of bacterial contamination are more for this device.

The electric powered device segment is expected to grow with a significant CAGR during the forecast period due to presence of certain features including light weight, low maintenance cost and continuous power supply.

By Usage Analysis

Disposable Segment to Grow at a Highest CAGR during Forecast Periods

Based on usage, the disposable segment is expected to grow at a highest CAGR during the forecast period. The reusable segment is associated with recurring maintenance costs, which are not applicable for disposable instruments. Thus, the lower cost of ownership coupled with reduced risk of cross-contamination as compared to reusable devices are some of the key factors attributed for the increasing adoption of these devices.

On the other hand, the reusable segment dominated the global market in 2020. The dominance is attributed to precise outcomes during a surgery, availability of a number of accessories such as drill bits, saw blades, batteries, for these devices and high preference among surgeons.

By End-User Analysis

Hospitals & ASCs Segment to Dominate over Other Segment in 2020

Based on the end-user, the hospitals & ASCs segment accounted for the highest market share in 2020. The increasing number of hospitals and ambulatory surgery centers, especially in the emerging countries, including India, China, Japan, and others, along with a higher number of surgical procedures performed in these settings is contributing to the growth of this segment.

• For instance, according to Statista, the number of hospitals in China increased from 20,000 to around 34,000 during the 2009-2019 period. Also, according to The Chinese Medical Association, the number of total hip arthroplasty in China increased from 168,040 to 577,153 in the 2011-2019 period.

The specialty clinics segment is expected to witness a higher CAGR during the forecast period due to the presence of trained healthcare professionals and emergence of private clinics and group practices especially in emerging countries including India and Brazil among others.

REGIONAL INSIGHTS

The market sizes in North America stood at USD 0.71 billion in 2020. The increasing number of surgeries performed in the U.S. and Canada is leading to the higher demand for power tools among surgeons. This coupled with the presence of adequate reimbursement policies and advanced healthcare infrastructure is further propelling the adoption of power tools in the region.

• For instance, according to Orthopedic & Neurosurgical Care & Research, approximately 1 million knee and hip replacement surgeries were performed in 2020 in the U.S., and it is projected to reach 3.5 million by 2030.

Europe accounted for the second largest proportion in the market. This is primarily attributed to the presence of adequate reimbursement policies for major surgeries and increasing number of surgical procedures in countries such as Germany, the U.K., and France, among others. According to OASES Health Horizons Ltd., the average cost of a hip replacement surgery is ranged in between USD 10,000-USD 14,000 and the cost covered by HSE is approximately up to 11,000 per hip replacement surgery.

Asia Pacific is expected to grow at a higher CAGR during the forecast period owing to upsurge in medical tourism and increasing number of patients with orthopedic disorders. This is leading to the increased demand for treatment options. Also, the key market players operating in this region are constantly introducing advanced surgical devices to cater the increasing demand. This is fueling the demand and adoption of powered devices for surgeries, further propelling the market growth of this region.

Latin America and the Middle East & Africa held for a comparatively lower share in the global market. However, increasing investment by the government for development of healthcare infrastructure and introduction of cost-effective devices are expected to drive the growth of the market in these regions during the forecast period.

KEY INDUSTRY PLAYERS

Strong Product Portfolio by Key Players Led to Market Dominance

The market is dominated by a few established players such as Stryker, Conmed Corporation, Zimmer Biomet, Johnson & Johnson Services Inc. (depuy synthes), and B. Braun Melsungen AG. Emphasis on introducing advanced instruments, along with a focus on inorganic growth strategies, are some of the key reasons responsible for the dominance of these companies. For instance, in March 2018, Stryker introduced the F1 Small Bone Power System for the surgical procedures of the extremities.

On the other hand, emerging players, including NSK/NAKANISHI INC., Kaiser Medical Technology, and others, are constantly focusing on the expansion of their production capacity and widening the product portfolio with an aim to cater the rising demand for power tools in developed and emerging countries. For instance, in March 2018, NSK introduced a new factory, “A1” with an aim to cater to the growing demand for various medical products, including drills, by increasing the production capacity. The other key players operating in the market are De Soutter Medical, AlloTech Co. LTD, Medtronic, and others.

LIST OF KEY COMPANIES PROFILED:

• Stryker (Kalamazoo, U.S.)


• Conmed Corporation (Largo, U.S.)


• Zimmer Biomet (Warsaw, U.S.)


• Johnson & Johnson Services, Inc. (New Brunswick, U.S.)


• B. Braun Melsungen AG (Melsungen, Germany)


• De Soutter Medical (Buckinghamshire, U.K.)


• AlloTech Co. LTD (Namyangju-si, South Korea)


• Kaiser Medical Technology (Chippenham, England)


• Medtronic (Dublin, Ireland)


• NSK/NAKANISHI (Kanuma, Japan)

KEY INDUSTRY DEVELOPMENTS:

• November 2020 – Stryker announced the acquisition of Wright Medical Group N.V., intending to widen its product portfolio in its trauma and extremity business.

• May 2021 –Arbutus Medical introduced SteriTrak surgical drill in the U.S. and Canada markets with an aim to perform an effective skeletal traction process, especially in the trauma centers.

REPORT COVERAGE

The orthopedic power tools market report provides a detailed analysis of the industry and focuses on key aspects such as leading companies, products, and end-users. Besides this, it offers insights into the market trends and highlights key industry developments. In addition to the aforementioned factors, the market report encompasses several factors that have contributed to the growth of the advanced market over recent years.

Report Scope and Segmentation:

ATTRIBUTE	DETAILS
Study Period	2017-2028
Base Year	2020
Estimated Year	2021
Forecast Period	2021-2028
Historical Period	2017-2019
Unit	Value (USD billion)
Segmentation	Product Type, Technology, Usage, End-user, and Region
By Product Type	Instruments Surgical Drills Saws Others Accessories
By Technology	Electric Powered Device Pneumatic Powered Device Battery Powered Device
By Usage	Reusable Disposable
By End-user	Hospitals & ASCs Specialty Clinics
By Geography	North America (By Product Type, By Technology, By Usage, By End-user, and By Country) U.S. (By Technology) Canada (By Technology) Europe (By Product Type, By Technology, By Usage, By End-user, and By Country/Sub-region) U.K. (By Technology) Germany (By Technology) France (By Technology) Italy (By Technology) Spain (By Technology) Scandinavia (By Technology) Rest of Europe (By Technology) Asia Pacific (By Product Type, By Technology, By Usage, By End-user, and By Country/Sub-region) Japan (By Technology) China (By Technology) India (By Technology) Australia (By Technology) Southeast Asia (By Technology) Rest of Asia- Pacific (By Technology) Latin America (By Product Type, By Technology, By Usage, By End-user, and By Country/Sub-region) Brazil (By Technology) Mexico (By Technology) Rest of Latin America (By Technology) Middle East & Africa (By Product Type, By Technology, By Usage, By End-user, and By Country/Sub-region) South Africa (By Technology) GCC (By Technology) Rest of Middle East & Africa (By Technology)