As the global diagnostic imaging sector continues to grow, so too does Philips’ role in the imaging market. With the emergence of new markets and higher demand for diagnostic imaging equipment in countries that are further behind in terms of healthcare advancements, there are major opportunities for the Dutch giant to gain a greater market share.
Philips has established that 23% of its sales are made up of growth geographies. Growth geographies are most countries with a few exceptions that include the US. According to Philips, some of the factors that they look at include growth in the middle classes, economic booms, population growth on a global scale, and most importantly, increase in chronic disease.
Philips’ numbers as far as healthcare is concerned are very impressive. Last year alone imaging equipment orders jumped over 13%, a strong indicator of an upward trend that will only increase over the next 10 years. One interesting strategy Philips is using centers on projections for world population by the year 2050. Philips uses this kind of projection to estimate how healthcare demand will increase over the next three decades.
While Philips increases its market share around the world, it’s fair to note that other companies lesser known are attempting to make inroads as well. Markets such as Brazil and India are becoming more and more attractive to lesser known manufacturers. With the multi-billion dollar increase in the diagnostic imaging sector it’s fair to assume that Philips will stay at cutting edge of manufacturing and sales in the diagnostic imaging market for many years to come.
Robert Nicholas Serros Jr.
President & CEO