Skin Replacement and Substitutes Market Overview
The global skin replacement and substitutes market generated $838.0 million revenue in 2018. The market is expected to grow with a CAGR of 6.3% during the forecast period, mainly on account of increasing cases of burns, rising inclination of consumers to spend on appearance, and increasing incidence of skin diseases, across the globe.
On the basis of product, the skin replacement and substitutes market is classified into acellular, cellular, and others. Among these, the acellular category is expected to dominate the market, throughout the forecast period. This can be attributed to the fact that it serves to a wide range of demographics. It is also suitable for skin replacement of the pediatric population, and caters to superficial as well as excised wounds. This category is expected to foster at a CAGR of 6.8% during the forecast period, with a contribution of 75.9% market share by 2024.
Based on class, the skin replacement and substitutes market is categorized into class III, class II, and class I products. The class III skin replacement and substitute products led the market in 2018, with 43.1% share. This can be attributed to the fact that class III substitutes include those materials that can replace both dermal and epidermal layers of the skin; therefore, can be utilized for a wide range of applications in burns, ulcers, and other kind of wounds.
On the basis of application, the skin replacement and substitutes market is classified into burns, ulcers, cosmetic surgery, and others. Amongst various applications, the burns category is expected to generate the largest revenue in the market, with a contribution of 42.6% share by 2024. Full-thickness burn injuries tend to destroy both the epidermis and dermis layers of the skin, which in turn, produce irretrievable skin loss, as completely destroyed dermis do not have the capacity of regeneration. This condition can be resolved only through skin substitutes and replacement procedure.
The skin replacement and substitutes market is categorized into wound care clinics and hospitals, beauty and cosmetics industry, and others, on the basis of end user. Wound care clinics and hospitals, as an end-user category, are expected to lead the market throughout the forecast period. This end-user category caters the needs of patients who are specifically affected by wounds or burns. The market in this category is expected to generate 66.9% revenue by 2024.
Geographically, North America is the largest market for skin replacement and substitutes products. The region is projected to generate 56.8% revenue in the market by 2024, majorly due to the availability of large number of wound care clinics and hospitals. Some of the other factors driving the North American skin replacement and substitutes market are technological advancements in healthcare industry, increasing healthcare expenditure, and rising personal spending. Globally, the market is expected to witness the fastest growth in the APAC region, mainly on account of the increasing cases of burns and improving healthcare systems.
Skin Replacement and Substitutes Market Dynamics
Globally, there is a rise in cases of burns. According to statistics published in 2018 by the World Health Organization (WHO), an estimated 180,000 deaths every year are caused by burns across the globe, with a majority of these cases occurring in low- and middle-income countries. Also, burns are one of the leading causes of disability-adjusted life years (DALY), in low- and middle-income countries. In India, over 1,000,000 people are moderately or severely burnt every year. These statistics suggest that the demand for skin replacement and substitutes is likely to increase in the coming years, as these products enable quick healing of burns.
Besides, increasing exposure of skin to harmful ultra-violet waves, infrared waves, and X-rays, is increasing the incidence of skin diseases across the globe. According to a report by the American Academy of Dermatology, published in 2017, one in three Americans have consulted a dermatologist for one or more skin conditions. These statistics indicate a high demand of skin substitutes and replacement products to be generated in the coming years.
Skin Replacement and Substitutes Market Competitive Landscape
In recent years, major players in the skin replacement and substitutes market have taken several strategic measures, such as product launches, acquisitions, and product approvals, to sustain and improve their position in the industry. For instance, in March 2019, Smith and Nephew plc announced to acquire Osiris Therapeutics Inc. for $19.00 per share in cash, representing a total equity value of approximately $660.0 million. The acquisition is the part of the company’s strategic plan to enhance its portfolio in the field of skin replacement and substitutes. This helps Smith and Nephew plc to deliver regenerative medicine products, including skin, bone graft, and articular cartilage substitutes.
In January 2019, AVITA Medical Limited announced the launch of the RECELL autologous cell harvesting device (RECELL System) in the U.S. market for the treatment of acute thermal burns in patients aged 18 years and older.
Acelity L.P. Inc., MiMedx Group Inc., Organogenesis Inc., Vericel Corporation, FUJIFILM Cellular Dynamics Inc., Smith & Nephew plc, Integra LifeSciences Holdings Corporation, AlloSource, and MatTek Corporation are some eminent players in the global skin replacement and substitutes market.