The global contract research organization services market is projected to reach USD 56.34 Billion by 2023 from USD 39.13 Billion in 2018, at a CAGR of 7.6%.
Market growth can be attributed to the growing R&D expenditure, increased outsourcing of R&D activities, and increasing number of clinical trials.
The report analyzes the global CRO services market, by type, therapeutica area, end user, and region. Based on type, clinical research services accounted for the largest share of global CRO services market in 2017. This can be attributed to rapid growth in the geriatric population and the subsequent increase in the prevalence of chronic diseases, increasing development of new drugs, and growing acceptance of evidence-based medicine for various therapeutic areas.
Based on therapeutic area, oncology accounted for the largest share of the global CRO services market in 2017. The large share of this segment can be attributed to the increasing number of clinical trials and rising prevalence of cancer worldwide.
The global CRO services market, by end user, is segmented into pharmaceutical and biopharmaceutical companies, medical device companies, and academic institutes. In 2017, the pharmaceutical and biopharmaceutical companies segment accounted for the largest share of the contract research organization services market. The large share of this segment can be attributed to the increased outsourcing of early phase development services and clinical and laboratory testing services by pharmaceutical companies to boost profit margins, avoid high capital expenditure, and reduce the time duration to validate the process and product.
Geographically, the global CRO services market has been segmented into five major regional segments North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa. In 2017, North America accounted for the largest share of the CRO services market in 2017, followed by Europe and Asia Pacific. North America's leading position in contract research organization services market is primarily attributed to the high-quality standards in the pharmaceutical industry, rapid growth in its biosimilars and biologics market, and increase in clinical trial activity.
The global pharmaceutical, biotechnology, and medical device R&D outsourcing industry is constantly evolving. Highly skilled professionals have to keep pace with the continuing changes in pharmaceutical and medical device R&D technologies and methodologies.
CROs face challenges in attracting and retaining highly skilled professionals as they compete with pharmaceutical, biotechnology, medical device, and academic and research institutions for qualified and experienced scientists. To compete effectively, companies have to offer higher compensations and other benefits; this may affect the finances and results of operations of players, especially small-scale analytical testing providers. This shortage of skilled professionals may hamper the adoption of new technologies and methodologies, and inhibit the growth of the CRO services market in the coming years.
IQVIA dominates the CRO services market, led by its strong performance in the biopharmaceutical services industry with wide geographical coverage. The company's foothold in the market is primarily attributed to various factors such as strong technical and service capabilities, good client relationships, diversified service offerings, and its ability to expand the penetration of its offerings to a broad range.
The company has registered significant growth in the biopharmaceutical services industry, and has a presence in all major markets, including the US, Japan, Germany, France, Spain, and Italy, in addition to Brazil, Russia, India, and China (BRIC countries). To increase its geographic presence and customer base, the company focused on expansion as a key growth strategy. Over the past three years, the company has made three major expansions. Moreover, IQVIA also focused on mergers and acquisitions to enhance and strengthen its position in the global contract research organization services market.
Key Topics Covered:
1 Introduction 1.1 Objectives of the Study 1.2 Market Definition 1.3 Market Scope 1.4 Currency 1.5 Limitations 1.6 Stakeholders
2 Research Methodology 2.1 Research Data 2.2 Market Size Estimation 2.3 Market Breakdown and Data Triangulation 2.4 Market Share Estimation 2.5 Assumptions for the Study
3 Executive Summary
4 Premium Insights 4.1 CRO Services Market Overview 4.2 Asia Pacific: CRO Services Market, By Type and Country 4.3 CRO Services Market: Geographic Growth Opportunities 4.4 CRO Services Market: Geographic Mix 4.5 CRO Services Market: Developing vs Developed Countries
5 Market Overview 5.1 Introduction 5.2 Market Dynamics 5.2.1 Drivers 126.96.36.199 Growing R&D Expenditure 188.8.131.52 Increased Outsourcing of R&D Activities 184.108.40.206 Increasing Number of Clinical Trials 5.2.2 Opportunities 220.127.116.11 Growth in the Biosimilars and Biologics Markets 18.104.22.168 Rising Demand for Specialized Testing Services 22.214.171.124 Emerging Asian Markets 5.2.3 Challenges 126.96.36.199 Intense Competition in the CRO Services Market 188.8.131.52 Shortage of Skilled Professionals 5.3 Industry Trends 5.3.1 Growing Consolidation in the CRO Industry 5.3.2 Increasing Outsourcing of Clinical Trials to Emerging Markets 5.3.3 Adoption of New Technologies
6 CRO Services Market, By Type 6.1 Introduction 6.2 Clinical Research Services 6.2.1 Phase I Clinical Research Services 6.2.2 Phase Ii Clinical Research Services 6.2.3 Phase Iii Clinical Research Services 6.2.4 Phase Iv Clinical Research Services 6.3 Early-Phase Development Services 6.3.1 Discovery Studies 6.3.2 Chemistry, Manufacturing, & Control (CMC) 6.3.3 Preclinical Services 184.108.40.206 Pharmacokinetics/Pharmacodynamics (PK/PD) 220.127.116.11 Toxicology Testing Services 18.104.22.168 Other Preclinical Services 6.4 Laboratory Services 6.4.1 Bioanalytical Testing Services 6.4.2 Analytical Testing Services 22.214.171.124 Physical Characterization 126.96.36.199 Raw Material Testing 188.8.131.52 Batch-Release Testing 184.108.40.206 Stability Testing 220.127.116.11 Other Analytical Testing Services 6.5 Consulting Services
7 Global CRO Services Market, By Therapeutic Area 7.1 Introduction 7.2 Oncology 7.3 Infectious Diseases 7.4 Central Nervous System (CNS) Disorders 7.5 Immunological Disorders 7.6 Cardiovascular Diseases 7.7 Respiratory Disorders 7.8 Diabetes 7.9 Other Therapeutic Areas
8 CRO Services Market, By End User 8.1 Introduction 8.2 Pharmaceutical & Biopharmaceutical Companies 8.3 Medical Device Companies 8.4 Academic Institutes
9 CRO Services Market, By Region 9.1 Introduction 9.2 North America 9.2.1 US 9.2.2 Canada 9.3 Europe 9.3.1 Germany 9.3.2 UK 9.3.3 France 9.3.4 Italy 9.3.5 Spain 9.3.6 Rest of Europe 9.4 Asia Pacific 9.4.1 China 9.4.2 Japan 9.4.3 India 9.4.4 Rest of Asia Pacific 9.5 Latin America 9.6 Middle East & Africa