US Markets for Orthopedic Biomaterials 2011

Introduction:

Through 2015, the market for orthopedic biomaterials in the US will exhibit solid growth. The market is comprised of a number of different segments, including bone graft substitutes (BGS), hyaluronic acid (HA) viscosupplementation, knee cartilage repair, machined bone interbody devices (IBDs), and cell concentration systems. Over half of the revenues in this market are contributed by the BGS market, which will experience revenue expansion through 2015 due to the growing awareness of BGS in niche applications, such as extremity surgery, and the introduction and subsequent adoption of new, premium-priced products. HA viscosupplementation will also contribute solid growth to the orthopedic biomaterial market due to the rising number of single-injection products available at a premium price per injection. Knee cartilage repair, which includes both grafts and devices, will not experience as strong revenue growth until 2014 when another tissue bank is expected to emerge in the osteochondral allograft segment, which will boost the supply of osteochondral allograft tissue in the US. Both the cell concentration system and machined bone IBD markets will recognize more modest revenue growth due mostly to the expanding elderly demographic. Cell concentration systems will be limited by the high price of bone marrow aspirate concentration systems and the inconclusive clinical results surrounding its use in orthopedic applications.

Questions Answered in This Report:

• BGS revenues will experience slowed growth into 2010 with recovery beginning in 2011. What materials are contributing to this dip in growth? What applications will be the most affected?
• Emerging applications, such as extremity surgery, will help fuel BGS revenue growth through 2015. What materials are being used most frequently in extremity surgery? Which applications will grow the fastest? Why are niche applications growing so quickly?
• Premium-priced single-injection HA viscosupplementation products will be increasingly adopted over the forecast period. Will both 3- and 5-injection products be equally impacted? What is the expected impact of the introduction of other single-injection products, such as Zimmer's Gel-200 and DePuy Mitek's MONOVISC? Will Smith & Nephew's Durolane enter the market before 2015?
• Knee cartilage repair revenues will see a significant jump in 2014. What segments are contributing to this jump in growth? How will the other segments be impacted?
• Cell concentration systems will grow modestly through 2015. Why is revenue growth not as substantial as historically indicated by MRG? Which segments will lead growth? What applications will lead growth?

Scope:

Regions covered: US

Procedure segmentation: Our analysis uses the following breakdown of procedures and/or units:

• Bone graft procedures
• By application (thoracolumbar and cervical fusion, interbody and posterolateral fusion, trauma surgery, large-joint reconstruction and revision, craniomaxillofacial surgery, and extremity surgery)
• By material (autografts, nonproprietary allografts, demineralized bone matrices, growth factors, first-generation synthetics, second-generation synthetics, and orthopedic stem cell products)
• HA viscosupplementation treatments
• By number of injections (1, 3, and 5)
• By application (knee, shoulder, hip, and other)
• By site (sports medicine clinic, rheumatology clinic, primary care clinic, and other)
• Machined bone IBD fusions
• By approach (anterior lumbar interbody fusion, posterior lumbar interbody fusion, transforaminal lumbar interbody fusion, lateral lumbar interbody fusion, and cervical fusion)
• Cell concentration system procedures
• By type (platelet concentration systems, bone marrow aspirate systems, bone marrow aspirate concentration systems)
• By application (thoracolumbar and cervical fusion, extremity surgery, soft tissue repair, and other orthopedic surgery)
• Knee cartilage repairs
• By type (debridement, microfracture/debridement, osteochondral flap repair, osteochondral allograft procedure, osteochondral autograft procedure, and autologous chondrocyte implantation)

Market segmentation: Our analysis uses the following breakdown of the market:

• BGS
• By application (thoracolumbar and cervical fusion, interbody and posterolateral fusion, trauma surgery, large-joint reconstruction and revision, craniomaxillofacial surgery, and extremity surgery)
• By material (nonproprietary allografts, demineralized bone matrices, growth factors, first-generation synthetics, second-generation synthetics, and orthopedic stem cell products)
• HA viscosupplementation
• Machined bone IBDs
• By approach (anterior lumbar interbody fusion, posterior lumbar interbody fusion, transforaminal lumbar interbody fusion, lateral lumbar interbody fusion, and cervical fusion)
• Cell concentration systems
• By type (platelet concentration system disposable kits and applicators, bone marrow aspirate systems, bone marrow aspirate concentration systems)
• Knee cartilage repair
• Grafts (autologous chondrocyte implantation and osteochondral allografts)
• Devices (osteochondral flap repair devices and osteochondral autografts)

Market forecast features: Based on primary research with industry professionals, we use our proprietary forecasting model to provide an in-depth examination of current and future trends in procedure volumes, unit sales, average selling prices, and market values over a 7-year period (2009–2015).

Competitive analysis: We provide a detailed analysis of the competitive landscape in the market, as well as market shares shown for the base year (2010) and qualitative discussions of the leading competitors in each market segment. The BGS and HA viscosupplementation markets also contain market shares for 2009. Machined bone IBD market shares pertain to 2009 only.