Cost-savings or value capture: IVD industry at a crossroads
This article was originally published in Clinica
Executive Summary
The in vitro diagnostic (IVD) industry is rooted in the hospital-based clinical lab. Historically, hospitals viewed their labs as cost centres rather than profit centres. Therefore, to sell more products to these clients, the IVD industry has focused on selling its customers greater efficiencies and cost savings. This has meant broader test panels on automated platforms which require less space and technical expertise to operate. This model has been quite successful for some time and, to date, the majority of IVD sales are still for relatively inexpensive routine chemistry and immunoassay test products performed in high volumes by hospital labs.