The medical device rental industry has been rapidly evolving, driven by advancements in technology, changing consumer expectations, and the growing demand for flexible healthcare solutions. As healthcare providers seek ways to reduce capital expenditures, renting devices rather than purchasing them has become increasingly popular.
Healthcare providers worldwide aim to improve infrastructure while minimizing capital expenditure. The global medical equipment rental market was valued at $55.2 billion in 2022 and is projected to grow at a 5.9% CAGR through 2030, with North America leading the way.
This blog will explore the latest trends in this dynamic industry and how businesses can leverage technology to stay ahead of the curve.
1. Surge in Demand for Home Healthcare Devices
With the aging population and rise of chronic illnesses, there’s been a significant shift toward home healthcare. A recent study shows that the global medical equipment rental market is expected to reach $66.8 billion by 2027, with much of this growth fueled by the demand for home-based devices such as respiratory equipment, mobility aids, and dialysis machines.
Healthcare providers are opting to rent instead of buying expensive medical equipment, especially for short-term use. However, this trend brings new challenges, such as tracking inventory, managing maintenance schedules, and ensuring device availability.
2. Telehealth Integration with Rental Devices
Telemedicine has experienced unprecedented growth, and it’s now merging with the medical device rental industry. Devices are now being rented along with built-in telehealth functionality, allowing physicians to remotely monitor patients’ conditions in real-time. This integration enhances the patient experience and improves overall care coordination.
To capitalize on this trend, rental companies need to ensure their inventory systems are capable of managing not only device rentals but also the software integration necessary for telehealth.
3. Increasing Focus on Equipment Maintenance & Compliance
Regulatory requirements surrounding medical devices, such as the FDA’s guidelines, have placed a greater emphasis on ensuring rented devices are properly maintained and compliant with health standards. Rental companies must implement systems that automate maintenance schedules and compliance checks to ensure their devices meet these stringent requirements. Failure to do so can lead to serious legal and financial repercussions.
4. Subscription-Based Models Gaining Traction
Similar to SaaS (Software as a Service) models, the medical device rental industry is leaning toward subscription-based offerings. These models allow healthcare providers to pay a monthly fee for access to the equipment, bundling rental costs, maintenance, and software updates into one package. This approach offers healthcare facilities predictable costs and easier budgeting.
Implementing flexible ERP systems to manage these recurring billing cycles, track equipment usage, and automate invoicing is key to staying competitive.
5. Sustainability and Circular Economy Principles
Environmental sustainability is becoming increasingly important in the healthcare sector. Many companies are embracing the principles of the circular economy by refurbishing and reusing medical equipment. Renting devices that can be repurposed or recycled at the end of their life cycle reduces waste and cuts costs.
Tech systems that support lifecycle management, inventory tracking, and end-of-life device handling will become essential for rental businesses embracing sustainable practices.
Is Your Tech Ready to Keep Up?
As the medical device rental industry continues to evolve, the key to staying competitive lies in adopting the right technology. Whether it’s implementing an ERP system to manage inventory and maintenance, or integrating telehealth functionalities, staying on top of these trends will help your business thrive in 2024 and beyond.
Contact us for a free consultation if you are looking to future-proof your medical device rental business using technology.
