Boom Time in Low-End Mobility Aids Market Due to Reduced Reimbursements.

PALO ALTO, Calif. -- As reimbursements shrink in mobility aids markets, manufacturers are compelled to develop less expensive products and reduce services to stay afloat. While new power wheelchair codes are awaited, bariatric medical equipment in all segments is witnessing a boom.

New analysis from Frost & Sullivan (http://www.healthcare.frost.com), North American Mobility Aids Markets, reveal that the patient lift, wheelchair, and scooter markets combined earned revenue of $1.74 billion in 2003. It is estimated to reach $1.78 billion in 2010.

If you are interested in a virtual brochure, which provides manufacturers, end-users and other industry participants an overview of the latest analysis of the North American Mobility Aids Markets - then send an email to Danielle White - Corporate Communications at [e-mail] with the following information: your full name, company name, title, telephone number, fax number, and email. Upon receipt of the above information, an overview will be sent to you via e-mail.

Due to a recent detection of fraud in billing, power wheelchairs are under intense scrutiny from the Centers for Medicare & Medicaid Services (CMS). This has resulted in stricter reimbursement guidelines not only for power wheelchairs but for all mobility aids.

"As a result of stricter reimbursement guidelines, patients are compelled to pay out of their own pockets, and therefore, are often unable to afford premium mobility aids," says Frost & Sullivan Research Analyst Sheila Ewing. "Hence, manufacturers of mobility aids must find innovative ways to increase their revenue and remain competitive."

With the fall in sale of high-margin products, manufacturers of mobility aids are striving to provide innovative features on the existing low-end devices. This is anticipated to prove more affordable for customers who are only required to bear the extra cost of customization.

Customized chairs are in great demand among patients with spinal cord injuries. These chair have received a boost due to the increasing number of traditional and emerging sports for differently-abled athletes.

Customization is vital if manufacturers are to stand out in a market that has little product differentiation. Branding a product as a 'commodity item' is likely to ease the barriers to the entry of new participants, escalating competition.

The entry of foreign companies also challenges the domestic mobility aids manufacturers. These importers control costs by achieving economies of scale through mass production in regions such as Asia. However, their products often lack in quality, durability, and comfort.

"Many imports lack additional features and a reinforced structure similar to that available in North American products," notes Ewing.

The problem of imports will become a key issue in the emerging bariatric products. Since the number of obese people is increasing at an alarming rate, there is likely to be greater product innovation and more intense competition in this market sector.

Domestic manufacturers will have to lay special emphasis on performance, maneuverability, and solid construction to outdo imports in this market. They can also gain an edge over competitors by providing extended warranties, repair and replacement parts.

North American Mobility Aids Markets, a part of the Medical Devices subscription, provides an overview and outlook for the market. This study has been segmented into patient lifts, standard manual wheelchairs, ultra lightweight manual wheelchairs, pediatric manual wheelchairs, bariatric manual wheelchairs, power wheelchairs, and scooters. This research includes detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews are available to the press.

Frost & Sullivan, a global growth consulting company, has been supporting clients' expansion for more than four decades. Our market expertise covers a broad spectrum of industries, while our portfolio of advisory competencies includes custom strategic consulting, market intelligence, and management training. Our mission is to forge partnerships with our clients' management teams to deliver market insights and to create value and drive growth through innovative approaches. Frost & Sullivan's network of consultants, industry experts, corporate trainers, and support staff spans the globe with offices in every major country.

North American Mobility Aids Markets

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Keywords in this release: mobility aids, North America, patient lifts, standard manual wheelchairs, ultra lightweight manual wheelchairs, pediatric manual wheelchairs, bariatric manual wheelchairs, power wheelchairs, scooters, Centers for Medicare & Medicaid Services, CMS, research, information, market, trends, technology, service, forecast