The impact of purchasing co-operatives

The proportion of hospital turnover linked to purchasing co-operatives will rise from the present 45% to 90% in 2010, according to the study Future Relevance and Consequences of Hospital Purchasing Cooperatives for Medical Technology Suppliers in Germany, commissioned by the German medical technology association BVMed from the consultancy firm Simon Kucher & Partners. ‘The bundling together of hospitals’ purchasing power is resulting in continuous pressure on prices, which presents new challenges for the sales and marketing activities of medical devices manufacturers,’ BVMed reports. ‘Between 2002 and 2005 the net prices of medical devices in hospitals fell by an average 10%.’ Drawing attention to the ‘responsibility for prices’ of the entire medical technology sector, the consultants said competition should concentrate on the product and service elements and not on prices. Companies, they predicted, would be influenced in the future by ‘large, commercially experienced and authoritative purchasing co-operatives and competition-oriented individual houses’. www.bvmed.de/publikationen/Studien /?language=2 7 Management Experts discuss accreditation, certification, quality and performance measures EUROPEAN HOSPITAL