Telemedicine’s Partner: The Symbiotic Growth of Medical Supply Delivery Services

Medical Supply Delivery Service Industry Overview

The global Medical Supply Delivery Service Market was valued at USD 62.1 billion in 2022 and is projected to expand at a compound annual growth rate (CAGR) of 7.5% from 2023 to 2030. This growth is primarily driven by an increasing volume of surgical procedures and the rising reliance on medical courier services to ensure timely delivery of essential supplies to healthcare facilities. Key factors fueling the demand for these services include the imperative for swift and secure transportation of samples and specimens for testing, the decreasing cost of logistics, and a growing emphasis on enhancing the overall healthcare system. Furthermore, the persistent rise in road accidents, which often necessitate immediate blood transfusions due to blood loss, is also contributing to market expansion.

The market is significantly bolstered by the growth of healthcare logistics and the escalating demand for faster, more cost-effective delivery of samples and specimens for diagnostic and testing purposes. The introduction of drone delivery services represents a transformative development, enabling healthcare facilities to transport medical items with unprecedented speed and predictability. This innovation translates into greater operational savings and improved patient care. Moreover, the emergence of compact indoor drones capable of delivering medications directly from the pharmacy to a patient’s bedside, thereby minimizing human interaction and fostering more rapid and less error-prone medication administration, is further propelling market growth.

Detailed Segmentation:

  • Application Insights

The medical supplies segment held the largest revenue share in 2022. The increasing number of surgical procedures, coupled with benefits offered by medical device delivery services for faster, cost-effective, and contactless delivery of products, is expected to drive the adoption of medical supply delivery services. There has been an increase in the number of organ transplant procedures due to factors such as rising alcohol consumption, unhealthy eating habits, increasing prevalence of chronic diseases, and a rapid increase in the success rate of organ transplants over recent years, which has served to drive market expansion.

  • Mode of Services Insights

Based on the service mode, the market is segmented into courier and drone deliveries. In 2022, courier delivery accounted for the larger market share due to various national and multinational courier companies providing real-time tracking and a cost-effective way to transport medical supplies to hospitals and medical laboratories. For instance, TVS SCS Rico’s same-day medical courier services provide urgent deliveries around the clock through experienced couriers, ensuring compliance with standard operating procedures while delivering products to end-users. Companies offer effective delivery of samples using trained couriers and route optimization.

  • End-use Insights

In 2022, pharmacies accounted for the largest revenue share of 24.4% in the market, due to the increasing benefits offered by these services to fulfill unmet needs of consumers by doorstep delivery of medical supplies that help them avoid long pharmacy lines, as well as the COVID-19 pandemic and human interaction. Increasing investments, collaborations, partnerships, mergers & acquisitions, and government initiatives are boosting the adoption of these services.

  • Regional Insights

Asia Pacific accounted for the largest share of over 40.2% in 2022, due to factors such as improving healthcare infrastructure, growing geriatric population, rising prevalence of chronic diseases, technological advancements, improving medical tourism industry, infrastructure investments, higher labor costs amid workforce shortages, evolving care models, and the expansion of healthcare systems in developing economies. Moreover, the adoption & implementation of aerial drone technology is increasing in developing economies, creating new markets in countries such as China and India, through partnerships with several private operators, governments, and humanitarian organizations.

Gather more insights about the market drivers, restraints, and growth of the Medical Supply Delivery Service Market

Key Companies & Market Share Insights

Companies are focusing on expanding their geographical reach and introducing newer, innovative solutions through various strategies, including partnerships, product launches, and collaborations, to support end-users in faster delivery of medical supplies, deliver value-based care, and maintain a competitive edge in the market. For instance, in June 2023, Unimed, a provider of pharmaceutical and medical services, declared its merger with Marine Pharma (Singapore), a medical supplier. This merger aims to offer pharmaceutical and medical services and solutions to the marine industry.

In another example, in April 2023, PharmaLex Group announced its merger with Cpharm to expand its pharmacovigilance services. In February 2023, Garuda Aerospace (Chennai) collaborated with Narayana Health to facilitate the transportation of biomedical supplies with its product “Sanjeevani” drones. The drone service will be helpful in the delivery of critical and emergency medical supplies, such as reports & samples, in case of heavy traffic and other obstacles.

Another instance of notable industry development came in February 2021, when DHL Express and SmartLynx Malta partnered to focus on DHL’s European air fleet expansion plans by including two new Airbus A321-200 cargo planes belonging to SmartLynx Malta. This partnership is expected to streamline DHL’s CO2 emission reduction goals.

Key Medical Supply Delivery Service Companies:

  • DHL International GmbH
  • United Parcel Service of America, Inc.
  • Agility
  • ModivCare Solutions, LLC
  • FedEx
  • CEVA Logistics
  • Wings Logistics
  • International SOS
  • Matternet
  • Zipline
  • Flirtey
  • Swoop Aero

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