Global Healthcare Contract Research Outsourcing Market, By Services Type (Clinical Trials (Drug Discovery, Preclinical, Phase I, Phase II, Phase III, Phase IV)), Regulatory Services, Medical Writing, Clinical Data Management, and Others), By End User (CROs, Clinical Trial Laboratories, and AMCs), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East and Africa) is estimated to be valued at US$ 130.3 Bn in 2023 and is expected to exhibit a CAGR of 15.1% during the forecast period (2023-2030), as highlighted in a new report published by Coherent Market Insights.
The increasing investment initiatives by Contracs Research Organizations (CROs) can drive the growth of the global healthcare contract research outsourcing market over the forecast period. For instance, on May 10, 2023, Henko Partners, a Spain-based private equity firm, invested in PopsiCube, a clinical and digital CRO, and Mission Tec, a clinical research organization specializing in clinical research nurse services and investigator site support, to build a new Europe-based CRO.
Global Healthcare Contract Research Outsourcing Market - Impact of Coronavirus (COVID-19) Pandemic
The World Health Organization (WHO) designated the illness caused by the Severe Acute Respiratory Syndrome Coronavirus 2 (SARS-CoV-2), which first appeared in Wuhan (province of Hubei, China) in the last months of 2019 as "coronavirus disease 2019" or COVID-19. This virus spread quickly and had a serious negative impact on the economies, social behaviors, and healthcare of every country in the world.
COVID-19 affected the economy in three main ways: by directly affecting production and demand, by creating disruptions in distribution channels, and through its financial impact on firms and financial markets. Due to the lockdown, several countries, such as India, China, Brazil, and others, faced problems with regard to the transportation of drugs from one place to another.
However, COVID-19 had a positive impact on the global healthcare contract research outsourcing market. This is because of the increasing number of COVID- 19 cases that were reported during the COVID period and the lack of government resources to tackle shortages. Service providers, CROs, witnessed an increase in inquiries and orders, mostly pandemic vaccine- or therapeutics-related. Many suppliers of both equipment and services increased their activities in response to this increase, and to the projected demand. For instance, in May 2020, Pfizer Inc, a U.S-based biopharmaceutical company, shifted its medicine production to outside contractors to prepare for large-scale production of an experimental vaccine to prevent COVID-19. These contractors included medical and pharmaceutical companies like Catalent Inc and Lonza Group AGand Thermo Fisher Scientific.
Global Healthcare Contract Research Outsourcing Market: Key Developments
In August 2020, Viva Biotech, a contract research biotech company that offers preclinical drug discovery services, and Zhejiang LangHua Pharmaceutical Co., LTD, a manufacturer for APIs and intermediates of quinolone, cardiovascular, anti-depressive, and anti-HIV products, entered a strategic acquisition agreement, enabling the upgrade of the service chain of the innovative drug industry wherein Viva Biotech acquired Zhejiang LangHua Pharmaceutical Co., LTD.
In January 2020, LabCorp, a life sciences company, launched its focused and coordinated suite of cell and gene therapy development solutionsto reduce time and risk for sponsors at each phase and across the full continuum of their therapy development needs.
Browse 37 Market Data Tables and 29 Figures spread through 145 Pages and in-depth TOC on “Global Healthcare Contract Research Outsourcing Market”- Forecast to 2030, Healthcare Contract Research Outsourcing Market, By Service Type (Clinical Trials (Drug Discovery, Preclinical, Phase I, Phase II, Phase III, Phase IV)), Regulatory Services, Medical Writing, Clinical Data Management, and Others), By End User (CROs, Clinical Trial Laboratories, and AMCs), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East and Africa)
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Key Takeaways of the Global Healthcare Contract Research Outsourcing Market:
- The global healthcare contract research outsourcing market is expected to exhibit a CAGR of 15.1% during the forecast period. The increasing mergers and acquisitions between biopharmaceutical and pharmaceutical companies for medical services is expected to drive the growth of the global healthcare contract research outsourcing market over the forecast period. For instance, on June 12, 2023, Veristat, LLC, a global Clinical Research Organization (CRO), acquired Scinopsis, a France-based medical writing consultancy with a track record of delivering regulatory and medical communication documents to the biopharmaceutical industry.
- Among services type, the clinical trials segment is expected to grow in the global healthcare contract research outsourcing market over the forecast period due to increased clinical trial service providers in the region. For instance, on April 25, 2023, Veristat, LLC, a global Clinical Research Organization (CRO), delivered a full range of clinical trial services to HIPRA, S.A. - a biotech pharmaceutical company focused on the prevention for animal and human health, with a product base of vaccines and a diagnostic service, which lead to the market authorization of BIMERVAX, a bivalent recombinant protein vaccine against COVID-19.
- Among region, North America is expected to be the dominant region in the global healthcare contract research outsourcing market, owing to the increasing mergers and acquisitions in this region. For instance, in January 2020, Calian Group Ltd, a company that provides project services and consulting in the management of health care professionals and health programs, acquired Allphase Clinical Research Services Inc., a full-service Contract Research Organization (CRO), providing clinical development management and strategy services for pharmaceutical and medical device companies, and Alio Health Services Inc., a company that specializes in the design and implementation of comprehensive patient support programs.
- The major players operating in the global healthcare contract research outsourcing market include IQVIA Inc., Covance Inc (a subsidiary of Labcorp), Pharmaceutical Product Development Inc (a subsidiary of Thermo Fisher Scientific Inc), Parexel International (MA) Corporation, Charles River Laboratories, ICON plc, Medidata, Inventiv Health, Inc. (a subsidiary of Syneos Health), Medpace, and Piramal Enterprises Ltd.
