Annual Report 2010/11 - Sonova

THE HEARING INSTRUMENT MARKET –
CONTINUOUS GROWTH
According to estimates, more than 9.5 million hearing
instruments were sold worldwide last year. Europe, the
Middle East and Africa (EMEA) account for roughly 45%
of the global market, while around 35% of products are
sold in the USA and 20% in the rapidly developing Asia/
Pacific region. Sonova is well established in the target
markets of North America and Europe and is pursuing
a clear growth strategy in the emerging markets.
SALES BY SEGMENTS 2010/11
in %
Hearing instruments
Hearing implants
The market for hearing instruments has been growing continuously
for years – a trend that is expected to continue.
Unit sales in the hearing instrument segment grew by an
estimated 4–5% last year. Sonova estimates the long-term
average growth in unit sales worldwide to be 4–7% per year.
HEARING INSTRUMENTS PENETRATION RATE
Penetration rate in %:
100
75
50
25
4
96
HEARING INSTRUMENTS
One key growth driver is demographic development: as
a result of population growth, longer life expectancy, an
increase in average age, and exposure to noise pollution at
work and in leisure time, an increasing number of people
need a hearing instrument. In addition, an above-average
increase in demand for hearing instruments is expected
among the baby boomer generation in the coming years.
The number of replacement purchases increases the older
a person becomes, while more and more young people are
being diagnosed with hearing loss. In the future, people
will wear hearing instruments over a much longer period of
their lives and will require a larger number of systems.
Further potential lies in the relatively low penetration rate:
only 20% of people in the industrialized countries who
would benefit from a hearing instrument currently wear one.
Penetration generally depends to a large extent on the
degree of hearing loss: 70% of people with severe to profound
hearing loss who can barely manage in everyday
life without the assistance of technology wear a hearing
system. The penetration rate is just under 50% for people
with moderate hearing loss and only 10% for people with
mild hearing loss.
Emerging markets, including South America and Asia Pacific,
increasingly become a growth driver as well. With the
average income steadily rising in these regions, a continuously
growing penetration rate can be expected in these
markets in the coming years.
0
10%
Hearing loss degree: mild moderate
severe
to profound
Penetration rate of people in the industrial countries
50%
70%
17