Analysis of Healthcare Contract Research Outsourcing market covering 30 + countries including analysis of US, Canada, UK, Germany, France, Nordics, GCC countries, Japan, Korea and many more
The global healthcare contract research outsourcing market is anticipated to rise at a CAGR of 6.6% from 2021 to 2028. In 2020, revenue from healthcare contract research outsourcing was US$ 38.4 Bn, which is expected to reach US$ 63.09 Bn by the end of 2028.
Healthcare Contract Research Outsourcing Market Size (2020)
US$ 38.4 Bn
Projected Year Value (2028)
US$ 63.09 Bn
Global Market Growth Rate (2021-2028)
North America Market Share (2028)
Key Companies Profiled
As per Fact.MR, a market research and competitive intelligence provider, the global market for healthcare contract research outsourcing (CRO) was valued at US$ 40.34 Bn in 2021.
Demand for contract research outsourcing in the healthcare sector is expected to rise due to increasing pressure on drug developers related to clinical data management, regulatory affairs outsourcing, and demanding safety standards.
Not only drug production, but also clinical trials, are outsourced by healthcare and pharmaceutical corporations. Preclinical outsourcing to developed countries is becoming more common as clinical trials become increasingly privatized.
Rising complexity of regulatory procedures and increased involvement of healthcare providers in drug approval and reimbursement are likely to drive the worldwide healthcare contract research outsourcing market.
The competence of CROs in therapeutic areas, as well as regional filing methods, helps the market growth. A regulatory filing assistance is provided by a variety of contract research groups at various phases of medication development.
All of these factors are expected to drive the market at 6.6% CAGR from 2021 to 2028.
Know thy Competitors
Competitive landscape highlights only certain players
Complete list available upon request
Precision medicine is a relatively new idea in healthcare that is gaining traction due to a shift in medicine's focus from reaction to prevention. Precision medicine is becoming more crucial for focused therapy due to the high expenses of trial-and-error medicine.
Majority of CROs are focusing on precision medicine in order to reduce the overall costs of drug development failure and the time it takes. CROs give support and direction for precision medicine trials at every level.
Because developing a comprehensive infrastructure with the most up-to-date facilities is costly, many small businesses are outsourcing R&D to preclinical CRO services to save large costs and save time and resources required to finish the procedure, which includes everything from drug conception through FDA marketing approval.
Lack of awareness in the field of healthcare CRO and differences in regulatory rules and licensing processes in many countries are hampering the market growth.
Implementation of sophisticated technology is hampered by a lack of skilled employees. Although research outsourcing can save money, it can also risk quality and efficacy. Because the outsourced research job involves clinical trials outsourcing, medical affairs outsourcing, medical writing outsourcing, and regulatory affairs outsourcing, it is critical to ensure that the product is of sufficient quality.
Outsourced research operations are still not being handled at the required standards, and some parts of the sector are wary of outsourcing.
More Insights, Lesser Cost (-50% off)
Insights on import/export production,
pricing analysis, and more – Only @ Fact.MR
North America is expected to account for is expected to account 43.10% share of the healthcare contract research outsourcing market by 2028 due to the large demand for preclinical CRO services and solutions. The region is also a hub of advanced healthcare infrastructure.
Increasing government support for R&D activities through grants and funds to research institutes and corporations is driving the market growth in North America.
The United States dominates the healthcare contract research outsourcing business due to the high-quality standards of the pharmaceutical industry. The market revenue growth is also aided by the existence of well-established enterprises and easy access to specialized technologies.
Additionally, the rapid growth of its biosimilar and biologics markets, as well as an increase in clinical trial activities, will propel the healthcare contract research outsourcing industry forward.
The market in China is expected to rise at a high rate due to the high prevalence of chronic diseases, the availability of diverse populations, the ease with which patients can be recruited and retained, and the implementation of laws that adhere to established norms.
The market is expected to increase over the coming years due to expenditures on facilities and resources in functional services such as central laboratories, imaging, and clinical supplies.
Don't Need a Global Report?
Save 40% on Country & Region specific reports
The clinical trial services segment is expected to dominate the global market over the forecast period. Outsourcing clinical trial services to CROs is expected to add to the segment's big market share in the near future by lowering R&D costs and shortening drug development timelines.
Emergence of novel treatments and advanced technologies, rapid deployment of advanced technologies, and rising need for new medicines evaluation are driving the demand for clinical trial services.
Technological advancements in clinical trial services and rising demand for contract research organizations to conduct clinical trials will drive market growth over the coming years.
Pharmaceutical companies are concentrating on producing technology that is both more efficient and safe. Increasing investments in research and development are projected to help the pharmaceutical companies segment grow their revenue during the forecast period. Pharmaceutical businesses are rapidly outsourcing R&D to CROs in order to save money on in-house research infrastructure.
Due to increased demand for creative products and patent expiration, small pharmaceutical companies are also looking for breakthroughs in product development through CRO solutions.
Rising complexity of drug development, the need for shorter drug development timelines, cost-effectiveness, and the benefit of gaining therapeutic expertise associated with outsourcing services have favored outsourcing services to CROs, resulting in a significant share of pharmaceutical companies in the global healthcare contract research outsourcing market.
The COVID-19 pandemic severely impacted the growth of the healthcare contract research outsourcing market. The market for healthcare contract research outsourcing was harmed by factors such as a lack of patients and the temporary closure of clinical trial operating locations.
The COVID-19 pandemic wreaked havoc on the healthcare industry as a whole, affecting every major scientific, medical, and technical area.
Now, to make the most efficient and effective use of their development skills globally, healthcare corporations frequently outsource drug development responsibilities to contract research groups. The healthcare contract research outsourcing industry is expected to be transformed by the increasing adoption of machine learning-based platforms, artificial intelligence, and creative trial designs over the coming years.
Key companies outsource complicated R&D tasks that must be monitored regularly. Healthcare CROs function and manage the procedures of bringing new goods to market according to timelines set by customers.
Healthcare contract research outsourcing service providers are now developing alliances to broaden their market reach by providing services and solutions over a broad market sector and enhancing client-contractor relationships.
- Premium Report Details -
- Let's Connect -
- Quick Contact -
- Get Started -
Get insights that lead to new growth opportunitiesBuy Now
Get A Special pricing for start-ups and universitiesEnquiry Before Buying
- Humble, Yet Honored -
- Related Reports -
The global healthcare contract research outsourcing market totaled a valuation of US$ 38.4 Bn in 2020.
The global market for healthcare contract research outsourcing is estimated to expand at a CAGR of 6.6% from 2021 to 2028.
Syneos Health, PAREXEL International, ICON plc, Charles River, and IQVIA are key providers of healthcare contract research outsourcing solutions.
The U.S., U.K, Germany, Japan, and China are expected to drive most demand for healthcare CRO services.
North America accounts for 43.1% share of the global healthcare contract research outsourcing market.
Increasing prevalence of chronic diseases and rising research & development of novel drug products are driving market growth.
Need An Exclusive Report For Your Unique Requirement?