Industry Analysis & Industry Trends
The Toxicology Laboratories industry has experienced steady growth over the past five years as demand for employee drug testing, the industry's largest product segment, rose in line with increased employment during the economic recovery. Underpinning growth in employee toxicology testing is the trend of increasing illicit drug use in the United States, the economic costs of which have been substantial. To avoid productivity losses, most businesses have required drug tests of workers, at least upon initial employment, which has driven steady revenue growth for the industry. This growth is anticipated to continue over the next five years.... purchase to read more
Industry Report - Industry Analysis Chapter
The Toxicology Laboratories industry has benefited from rising demand for employee drug screening services over the past five years. Further exacerbating demand for industry services, many physicians have demanded toxicology tests for their patients. In particular, medical guidelines have encouraged doctors to monitor Medicaid beneficiaries for drug use, which may include testing for medical noncompliance and prescription medication abuse. According to the Wall Street Journal's analysis of 2012 billing data for pain doctors, Medicare payments for drug testing has exceeded revenue from treating patients for many pain doctors.
As a result, there has been robust demand for drug tests from some physicians, bolstering industry revenue... purchase to read more