The Market for Tissue and Organ Transplantation

Report Highlights

• Tissue and organ transplantation in the U.S. was a $17.3 billion market in 2002.
• This is expected to grow 18% to $20.5 billion by 2007 at an average annual rate (AAGR) of 3.5%.
• The fastest growing sector is small bowel transplantation.
• Kidney transplantation accounted for 59% of U.S. organ transplants in 2002.

INTRODUCTION

Human organ and tissue transplantation appear to have great unmet potential. More than half the health care expenditures in the U.S. are for treating the consequences of organ failure or tissue loss, an amount that exceeds $600 billion. In excess of 215,000 people die in the U.S. every year from diseases that are treatable with transplantation. For most people, however, transplantation is not an option, and the market totals only $10.5 billion. This is because transplantation is restricted by the supply of human tissue and organs, and by cultural resistance. Only a tiny fraction of the potential demand is satisfied. At the same time, transplantation outcomes are under renewed scrutiny as insurers try to control health care costs.

Despite challenges and hurdles, the transplantation has exciting fields of research that promise to overcome those obstacles. Hence, tremendous opportunities exist within the transplantation industry to meet growing market demand and to cut costs. Competitors also have great opportunities to provide equivalent outcomes at reduced costs. In detailing all of this, BCC projects product and application markets over the next five years, while at the same time looking at research, regulatory issues and industry structure. Therefore, it is an invaluable tool for presidents and CEOs, and strategic planners, as well as marketing directors, acquisition specialists and licensing strategists in the medical and health care industries.

SCOPE OF STUDY

This BCC report offers

• Analysis of product segments: solid organs, experimental xenografts and artificial organs, tissue and cell transplants, fetal cells, stem cells, altered cancer cells, immunosuppressive agents and tissue diagnostics
• Market segments with projections covering 2002 to 2007
• Industry structure, regulatory environment
• Profiles of leading companies.

METHODOLOGY

Information for this report was derived from a variety of sources, including interviews with product managers, marketing strategists, research executives, and others at leading companies in the tissue transplantation market and at companies poised to enter the market. Others consulted for information include transplant surgeons, directors of transplant programs or tissue typing laboratories, and other medical professionals who participate in processes involved in transplantation, or compete against it. Other information came from company annual reports and 10Ks, journal articles, prospectus assessments, government resources, and data from health care institutions.

INFORMATION SOURCES

Information to prepare this report was obtained from primary interviews with companies, industry analysts, health care personnel, HCFA and other government agencies, literature searches, annual reports, 10Ks, and product literature.

AUTHOR'S CREDENTIALS

Medical and science writer Peter Downs is a former staff writer for the Medical Journal and medical writer for CBS Health Watch. While with CBS Health Watch, he regularly covered transplantation topics.