Equipment and diagnostics

This sector has seen dramatic change in the sophistication and complexity of many of the products developed in recent years. Sales are often of high-value and the decision for the customers is a major one, not just because of the cost, but also in some cases because they are making a long-term commitment, which carries a degree of risk if they make the wrong decision.

For suppliers, the customer's decision-making process has become more complex with more people involved, from medical staff and other end users, to senior hospital management and procurement specialists.

In some cases a failure to win a contract may mean the supplier is locked out of the account for several years. In such circumstances competition is fierce and the temptation to win business through price concessions increases, especially where suppliers encounter professional buyers who see winning price reductions as a key part of their role.

Many suppliers of equipment also provide medical supplies and disposables. Some of the challenges faced when selling are common to both fields but others are quite different.

Medical supplies and disposables

To win business for new products demands the ability to influence a growing range of people from nursing staff through clinicians, to hospital management and procurement. Each of these groups has their own set of needs and priorities and to influence them all requires time, persistence and skill. Product differentiation is often slight and short lived as rival suppliers quickly produce similar products.

Changes in procurement have increased the number of invitations to tender sent to suppliers. Being successful in tendering for business can mean orders are bigger than before, but a failure to win a contract can mean no business at all.