Clinical Trials Market size is set to surpass USD 81.6 billion by 2030, according to a new research report by Global Market Insights Inc.
Increase in number of clinical trials worldwide and surge in government funding for research trials will propel the market progression. Also, emphasis on developing new drugs to meet the unmet medicinal requirements in various therapeutic area is one of the key factors influencing the market revenue. Moreover, increasing R&D expenditure by several public and private players is the significantly boosting the number of medical research and development activities.
Growing demand for outsourcing clinical trials to CROs will spur the market statistics
Rising prevalence of the chronic disorders such as cancer and diabetes among others attract several industry players to invest in the R&D activities and outsource R&D activities to the contract research organisations (CRO). Also, with significantly lower rates of approval and high costs associated, the drug development process is extremely risky for biotech/pharmaceutical companies. Therefore, outsourcing the clinical trials program to various contract research organization (CRO) is identified to offer significant time and cost savings to the pharmaceutical company. This is predicted to surge the demand for the development of new drugs and further increase the demand for clinical research.
Lack of skilled professionals is anticipated to hamper the clinical trials market growth
Continuous changes in medical & pharmaceutical device R&D methodologies and technologies, require highly skilled professionals. Therefore, the dearth of skilled specialists offers challenges to embrace new techniques and technology. In spite of the rising demand for advanced product development in the biotechnology and pharmaceutical industries, the market has been undergoing a shortage of skilled professionals. For instance, according to the Labor Statistics, the U.S. market faced a higher unemployment rate and lack of experienced professionals in 2019. Similarly, the COVID-19 outbreak has considerably reduced the quality of development of new skills, causing rise in the crisis of trained professionals. Thus, these factors are anticipated to limit the development of the market over the forecast period.
Browse key industry insights spread across 150 pages with 208 market data tables & 16 figures & charts from the report, “Clinical Trials Market Analysis By Phases (Phase I, Phase II, Phase III, Phase IV), By Study Design (Interventional Study, Observational Study, Expanded Access Study), By Therapeutic Area (Autoimmune Disease, Oncology, Cardiology, Infectious Disease, Dermatology, Ophthalmology) Industry Analysis Report, Regional Outlook, Application Potential, Price Trends, Competitive Market Share & Forecast, 2022 - 2030” in detail along with the table of contents:
Presence of several drug molecules in phase II clinical trials will spur the business potential
Clinical trials market from phase II segment accounted for 16.8% revenue share in 2021 and is estimated to show significant CAGR during the forecast period. Phase II plays a significant role, particularly in oncology-related studies, as significant studies are registered in this phase. For instance, the Food and Drug Administration (FDA) estimates that, around 33% of the drugs are typically under Phase II trial as of December 2021. Thus, increasing number of clinical trials in phase II will foster the market trends.
Growing importance of observational studies will stimulate the industry outlook
Observational study segment is set to reach USD 15.9 billion by 2030. Observational studies are the studies where researchers observe the effect of a risk factor, diagnostic test, treatment, or other intervention. Additionally, observational studies help researchers know what happens in real life situations. These studies serve as a collection of data from standard practice. Also, observational research might also provide primary data to validate the performance of a clinical trial. Therefore, this study is the fundamental part of epidemiological research. Thus, growing importance of such study along with associated advantage is projected to fuel the demand for observational studies.
Growing cases of infectious diseases is likely to attract various market players to conduct clinical research activities
Clinical trials market from infectious disease segment accounted for USD 5.3 Billion in 2021 owing to growing prevalence of infectious diseases such as meningitis, influenza, and T.B. In addition, increasing investment in R&D for the infectious disease treatment is a contributing factor for the growth of the segment. Therefore, rising investment activities by market players coupled with several unique advances in HCV's (hepatitis C virus) clinical research will boost the market expansion.
Rising number of clinical trial application in the Europe will augment the industry scenario
Europe clinical trials market is anticipated to show robust CAGR of 5.1% during the forecast period. This is owing to increasing number of clinical studies in European region coupled with rising government support for clinical research. Similarly, European CRO Federation (EUCROF) association focuses on promoting high quality clinical research. The association is engaged in developing training and educational programs for clinical research in the European Union. Thus, increasing number of clinical studies in Europe will boost the regional market size.
Companies undertake inorganic growth strategies to strengthen their business portfolio and revenue
The eminent players operating in the clinical trials market include Laboratory Corporation of America Holdings, IQVIA, Pharmaceutical Product Development, ICON plc and PAREXEL International. The market players focus on strategies such as innovative service development & launches, mergers & acquisitions and expansion to garner more revenue and sustain market competition.
For instance, in February 2020, PAREXEL International acquired Model Answers, a consultancy firm. The company has considerable experience in developing pharmacodynamic (PD) and preclinical pharmacokinetic (PK) models for effectiveness and neutropenia, grading to first-in-human studies, then assisting Phase I through NDA submission. This acquisition was aimed at improving its service offerings and strengthen its market position.