Market share fell nearly 12%, why domestic brands in this field of image market share “lost”?

In this round of equipment update, many first-line hospitals took this opportunity to replace the old oral X-ray machine equipment with oral CBCT, and a large number of county medical communities began to purchase new oral CBCT to enhance their own oral disease diagnosis and treatment capabilities.

01
The overall and county-level market growth rates have both exceeded 100%
The enthusiasm for procurement in Jiangsu, Zhejiang and other places is high

From the overall situation of the oral CBCT procurement market, with the strong financial support brought about by the equipment renewal policy, there has been a significant growth in both the overall market size of the country and the market size of county hospitals.
According to Joinchain estimates, the overall market size of oral CBCT in the third quarter of 2024 ushered in a big outbreak, increasing by 120.41% compared with the second quarter. The market size of county-level hospitals also increased significantly in the third quarter, increasing by 125.64% over the second quarter and 9.19% over the same period last year.

From the perspective of the scale distribution of oral CBCT procurement in China, the purchase intention of Jiangsu, Zhejiang, Guangdong and other developed regions is relatively strong. Zhejiang Province also plans to purchase a large number of oral CBCT in this round of equipment update, with a total of 5 equipment update procurement intention projects to purchase oral CBCT, ranking first in the number of projects.

02
Domestic brand market share drops to 65.41%
Adequate procurement budget benefits high-performance products

In the change of brand localization rate, it can be found that the market share of oral CBCT domestic brands fell from 77.38% in Q2 to 65.41% in Q3, a drop of 11.97%.

Subdivided into the domestic oral CBCT procurement situation of different types of hospitals in Q3 2024, although domestic brands still have a large market share in county-level hospitals and non-county-level hospitals, they have declined to different degrees compared with Q2.

In the investigation of some oral CBCT procurement projects that disclosed specific purchase unit prices, it was found that most purchasing units had sufficient procurement budgets, and the procurement target was high-performance oral CBCT.

For example, in the purchase intention of medical equipment of Zhejiang County Medical Community, four sets of oral CBCT were planned to be purchased, with an average maximum price of 600,000-800,000 yuan, and detailed technical parameter requirements were listed. Ningbo Yinzhou District Health Bureau planed to purchase one set of oral CBCT with a unit price of 1.1 million; Xiangya Hospital of Central South University intended to purchase a dental CBCT with a budget of 2.25 million yuan. The ample budget allows the purchasing unit to have more choices, and product performance becomes the primary concern.

From the perspective of the brand market competition pattern in the third quarter of 2024, the market competition has intensified, and the market concentration of TOP5 brands has reached 66.18%. Among them, the domestic brand LARGEV firmly holds the top position in the oral CBCT market, with a market share of nearly 22%, an increase of 4.67%. The market share of several import brands represented by CEFLA and PLANMECA increased to varying degrees, and the market share of CEFLA increased by 4.46% year-on-year.

In summary, considering that a large number of hospitals currently prioritize the purchase of various mainstream medical imaging equipment in the first round, the procurement scale of oral CBCT is still expected to further increase in the future. At the same time, a sufficient procurement budget will benefit products with higher performance, when “price” is no longer the top priority factor, the market competition between domestic brands and imported brands is bound to be further intensified.

China is encouraging China end uses for more domestic products in latest years. Thus, more and more overseas manufacturers are planning localization in China. BradyKnows localization team has extensive experiences in facility establishment, audit, supplier evaluation, manufacturing, registration, and marketing in China. Pls feel free to let us know any questions on China entry via info@bradyknowsmedical.com
Source：Joinchain
Translated & edited：Bradyknown