Household medical devices has not been widely used in our country, but in developed countries, it has become commonplace. Global market size increased from 179 dollars in 2010 to 229 dollars in 2014, the compound annual growth rate was 6.7%, which was higher than 2.12% of the overall growth rate of the medical device industry and 3.81% of the drug market at the same period. In 2010 Chinese household medical market size was 13.765 billion yuan, and 37.642 billion yuan in 2014. In resent 5 years, compound annual growth rate was 29.8%, higher than 7.26% of the pharmaceutical industry and 11.70% of the medical device industry at the same period. Therefore household device industry was in a period of vigorous development.

Due to the increasing aging, the number of patients with chronic diseases in China continues to rise. At the same time, the annual rate of spending growth of Chinese residents is greater than 15%. The improvement of consumption level, the changes in consumption structure and the progress of consumer’ awareness will stimulate the increase in the penetration of household medical devices.

    For the path of medical system construction in developed areas, family health care, rehabilitation, prevention has become an important part of the health care system. Chinese medical system is now in the transition period from the second phase to the third phase, and in future the family prevention, health care and rehabilitation will become the mainstream.

    Chinese household medical device industry will benefit from the construction and improvement of the medical system. Blood glucose monitoring system, massage equipment, blood pressure monitor and hearing aids, are four major categories of the household medical devices. Blood glucose monitoring system benefits from the rigid demand of 100 million patients with diabetes, and the industry growth rate reaches 20%, but the current relative penetration rate is only 20%, far less than 90% of the developed countries, so there’s large rising space in the theory. The development potential of massage apparatus and blood pressure monitor ranks the second. Because of the lack of fitting and awareness of professional services, and it is difficult to solve in the short time, the current development of domestic hearing aid is limited.

    Specifically, the market size of the blood glucose monitoring system is expected to reach 10.27 billion yuan in 2020. Chinese leading enterprises and international giants cooperation prospects can be expected. Based on the current level of domestic consumption and health insurance coverage, it is expected that the penetration rate of blood glucose monitoring system in 2020 will reach 55%, and the market size will be about 10.27 billion yuan. The production of blood glucose test strips of blood glucose monitoring system in has a strong scale effect, sales and corporate gross profit margin is positively correlated, and there’s significant advantages in the business with high scale level. Difference of domestic blood glucose monitoring products with similar prices is not large, the core competitiveness in the OTC side of the various manufacturers is mainly reflected in the layout of the channel. From Bayer’s sales of blood sugar business, we can see that American strong Medicare bargaining power leads to downward pressure on prices of glucose test strips, making Chinese enterprises expected to share part of the market share in the lower end of the field through the cooperation with the international giants.

    The market size of massage devices is expected to reach 24.17 billion yuan in 2020. With the increase in demand for massage care, the penetration rate of massage devices in the Chinese market is expected to reach 25% in 2020, and the corresponding market size is 24.17 billion yuan. In the trend of domestic demand being greater than the export, the domestic market layout strength and brand construction are the vanes of building a successful enterprise.

    The market size of blood pressure monitors is expected to reach 24.17 billion yuan in 2020. The industry is highly competitive and differentiated advantages highlights. Brand influence of OMRON currently ranks first with 60% of the market share, which relies on advanced business and R&D capabilities, through the product, service, personnel differentiation layout to achieve a leap in Chinese business. Differentiation is an important advantage of this fully competitive industry. In the field of hearing aids, there are no listed companies involved in, only the subsidiary company of Hainan Haiyao produces the cochlear, so medical device companies have advantages to intervene.

    Because economy develops, residents' income level improves and consumption concept changes, it is expected that the Chinese market size of hearing aid industry will reach 5 billion yuan in 2020, and the overall popularity will become possible. But compared with foreign and Sino foreign joint ventures, domestic enterprises don’t have the ability to compete. The majority of patients will choose to follow the doctor's recommendations and suggestions, thus the companies need the advantages of hospital channels to involve in this area.