Doctor-approved: The shifting landscape in drug production has facilitated rapid industry growth

The Contract Pharmaceutical Research Services industry provides a breadth of research and development (R&D) services to manufacturers in pharmaceutical industries. Over the past five years, brand-name drug producers have experienced increasing threats from generic brands due to patent expirations. Additionally, increased regulation and emergent health economics and outcomes research have pressured pharmaceutical companies to control costs and increase research efficiency. As a result, drug manufacturers are increasingly outsourcing R&D functions to industry operators, increasing industry revenue. The industry is also poised for continued growth during the five-year period to 2023...purchase to read more.

Industry Statistics & Market Size
Revenue
$13bn
Annual Growth 13-18
6.6%
Forecast Growth 18-23
Profit
Employment
37,733
Businesses
2,921
Market Share of Companies

Industry Threats & Opportunities

  • The changing landscape of drug development has spurred the industry’s burgeoning growth
  • Niche operators that offer highly specialized services have claimed strong market positions
  • Strategic parternships offer value to industry operators
  • Industry Report - Industry Investment Chapter

    The industry exhibits low to moderate capital intensity. In 2018, for every dollar spent on labor, industry operators are expected to spend $0.14 on capital expenditure, decreasing from $0.13 in 2013. The industry's capital spending is typically focused on laboratory equipment purchases, including analytical balances, centrifuges, freezers and refrigeration systems, reaction calorimeters and titrators. Industry operators are increasingly investing in analytics software programs and cloud platforms to enhance their data organization and management. CROs continue to rely heavily on a highly skilled labor pool, employing healthcare and pharmaceutical professionals that often have advanced degrees in the life sciences and extensive clinical research training. In ...purchase to read more.

    Additional Insights for the Contract Pharmaceutical Research Services Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Contract Pharmaceutical Research Services Industry are

  • Access to highly skilled workforce
  • Having a good reputation
  • Ability to quickly adopt new technology
  • IBISWorld analysts also discuss how external factors such as Research and development expenditure and Demand from brand name pharmaceutical manufacturing in the Contract Pharmaceutical Research Services industry impact industry performance..

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    What's in this report

    What is the Contract Pharmaceutical Research Services Industry?

    The industry provides a range of research and development services to pharmaceutical manufacturers, including laboratory testing, preclinical and clinical trials, commercialization and post-market surveillance.

    Industry Products
  • Central lab
  • Phase I
  • Preclinical
  • Phase II-IV
  • Industry Activities
  • Conduct laboratory testing and biostatistical analysis
  • Conduct preclinical trials
  • Conduct early-stage and late-stage clinical trials
  • Provide consulting services related to regulation
  • Provide pharmacovigilance
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Research and development expenditure
  • Demand from brand name pharmaceutical manufacturing
  • Regulation for the Brand Name Pharmaceutical Manufacturing industry
  • Total health expenditure
  • Demand from generic pharmaceutical manufacturing

  • Current Performance
  • Key trends in downstream pharmaceutical industries drive demand
  • An increasingly globalized industry
  • Chart: Revenue Growth

  • Industry Outlook
  • Intensifying competition
  • Keeping pace with a changing marketplace
  • Table: Contract Pharmaceutical Research Services Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Contract Pharmaceutical Research Services Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Brand Name Pharmaceutical Manufacturing
  • Generic Pharmaceutical Manufacturing

  • Key Selling Industries
  • Chemical Wholesaling
  • Commercial Leasing
  • Computer & Packaged Software Wholesaling
  • Computer Stores
  • Laboratory Supply Wholesaling
  • Medical Supplies Wholesaling
  • Office Supply Stores

  • Products & Services
  • Phase II-IV
  • Preclinical
  • Phase I
  • Central lab
  • Other
  • Chart: Contract Pharmaceutical Research Services Industry Products and Services Segmentation

  • Demand Determinants
  • R&D
  • Outsourcing

  • Major Markets
  • Brand-name pharmaceutical manufacturers
  • Generic pharmaceutical manufacturers
  • Chart: Major Market Segmentation for the Contract Pharmaceutical Research Services Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesOther
  • Chart: Cost Structure Benchmarking – Sector vs Contract Pharmaceutical Research Services

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Contract Pharmaceutical Research Services Industry

  • Industry Globalization
    IQVIA,
  • Table: IQVIA - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Contract Pharmaceutical Research Services Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Contract Pharmaceutical Research Services Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Research and development expenditure (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Biosimilar
  • A drug derived from living organisms and marketed after the patent expiration of similar therapies; also known as flow-on biologics or biogenerics.
  • Cro
  • Abbreviation for contract research organization.
  • Patent Cliff
  • A phenomenon wherein revenue for brand name pharmaceuticals drop as the patents for high-profile drugs expire.
  • Pharmacovigilance
  • Activities related to the detection, assessment and prevention of adverse drug effects to promote drug safety.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Contract Pharmaceutical Research Services Industry Research Report offers insight into the market at the national level. Our analysis highlights macro trends in the overall sector and the micro trends faced by companies that do business in the Contract Pharmaceutical Research Services industry. Our five-year outlook forecasts explain how the market is set to change and the product segments that will drive growth.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Contract Pharmaceutical Research Services:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Contract Pharmaceutical Research Services market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Contract Pharmaceutical Research Services, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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