Changes in patient attitudes solidifies ASCs in healthcare delivery
December 2021 – Repertoire Magazine
The market for ambulatory surgery centers (ASCs) is steadily expanding. It’s projected to grow with a compound annual growth rate (CAGR) of 7.5% from 2019 to 2029.1 Heightened public health awareness has significantly boosted the outpatient tally for ASCs, and the demand for minimally invasive surgeries that lead to early discharge and quick recovery for patients has driven ASC expansion through these efficiencies.
Additionally, the COVID-19 pandemic reinforced the importance of ASCs. Patients had restricted admittance to hospitals during the onset of the pandemic to mitigate the spread of COVID-19 and many procedures were referred to ASCs, opening opportunities for wider acknowledgement as an elemental part of healthcare delivery.
“Patient behavior was another dynamic accelerated by COVID-19,” said Mike LaCasse, Vice President, U.S. Specialty Channels for Medtronic. “Some patients are realizing that ASCs provide a fast and convenient clinical service in a safe environment closer to home.”
Surgical technological advancements and patient affordable reimbursement programs are other driving forces behind ASC growth. “ASCs offer a lower cost to serve while delivering the same clinical outcomes,” LaCasse said. “ASCs are a vehicle to achieve year over year savings as payers and providers search for ways to reduce cost.”
Increased ASC momentum in cardiology and other procedures is being seen in specific states like Arizona, Florida, New Jersey and Tennessee, according to LaCasse, ASCs are seeking cost effective solutions without comprising the standard of care.
“Suppliers need to better understand this business model and adjust their commercial model,” LaCasse explained. “This includes offering operational services and solutions that help the ASC owner run their business more effectively and efficiently, including maximizing space and caseload and assisting in capital financing and planning.”
Physicians are the primary decision-maker or have direct influence on the decision at more than 70% of ASCs for medical devices or equipment, compared to less than 45% of hospitals.2 “It’s the physician equity owner’s capital and financing funding the business in many cases,” LaCasse said.
Price sensitivity and financial flexibility are the key drivers in product choices in some cases. But in others, product preference still tips the scales. “The motivations may be different, but they all share the need for speed,” LaCasse said. “Decisions are made fast.”
The ability to react quickly and have a sense of urgency is the mindset suppliers need to be successful in ASCs. “Unlike hospitals, there are very few committees, and the product trials are short,” LaCasse emphasized.
Medtronic can bring in on site resources and clinical speakers, host virtual events or direct perspective patients to tailored websites all based on the patient condition and associated Medtronic therapy. “These options are all geared toward patient education and removing barriers to care,” LaCasse said. “Our programs are well-developed and being used with patients considering bariatric surgery.”
These Medtronic programs go beyond unique and outcomes-driven therapies to also include customer solutions. Medtronic is “engineering the extraordinary” through its ASC strategy, resources and solutions, creating a model that meets the future of ASCs.
“We are already partnering with distributors to gain scale,” LaCasse explained. “ASCs cannot be regularly serviced by an in-person traditional sales rep due to the pure number of ASC facilities. So, we have incentive programs in place tied to specific products and geographies in the United States where we rely on distributor reps to co-sell our products. They have the administrative relationships, and we support the clinical requirements of those relationships.”
To learn more, go to: Medtronic.com/asc.
1 Research And Markets: Ambulatory surgery centers (ASCs) market size, market share, application analysis, regional outlook, growth trends, key players, competitive strategies and forecasts, 2019 to 2029
2 Bain & Company: Ambulatory surgery center growth accelerates: Is medtech ready?