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Global Market for Contract Research Organization (CRO) Services

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    Report

  • 109 Pages
  • December 2021
  • Region: Global
  • BCC Research
  • ID: 4704012

Report Scope

The Global CRO market is identified in this report, along with all major global CRO companies. The total CRO market is broken out globally and by geographic region. All major therapeutic areas covered by CROs in the clinical trial process are detailed. The service areas provided by CROs are extensively covered, as well. The phases of the clinical trial process and the role provided by CROs are detailed in this report, as well. The current report will provide a detailed examination of CRO services, analyzing market trends for CRO services with data from 2020, estimates from 2021 and projections of CAGR through 2026 (forecast period 2021-2026).


This report provides a detailed analysis of the top CROs and evolving roles in the clinical trial process. Faced with the rapid development of new therapies, pharmaceutical companies increasingly turn to CROs. CRO expertise within specific therapeutic areas and experience with new and adaptive study design protocols can reduce costs and study duration. With typical clinical trials costing nearly $2.5 billion and spanning over a decade, from initial testing to Phase IV and post-market approval, a thriving market exists to lower these costs and timelines. CROs are expected to continue to play an increasing role in many facets of the clinical trial process. Oncology, neurology, cardiovascular, metabolism-diabetes, vaccines and other rapidly growing therapeutic areas that have a significant number of drugs in the clinical trial process are detailed in this report.


Strong demand for CROs leads to heightened market valuations and to a plethora of blockbuster mergers and acquisitions (M&As). M&As led to a few powerful companies with expertise across many areas of the clinical trial process. Niche players are still playing a critical role. Emerging trends and changing dynamics within the CRO industry are analyzed, in detail, in this report.


Report Includes

  • 35 tables
  • An updated review of the global markets for in vitro toxicity testing and technologies under development
  • Analyses of the global market trends, with data from 2019 to 2020, estimates for 2021, and projections of compound annual growth rates (CAGRs) through 2026
  • Technology Assessment of the key drivers, restraints and opportunities that will shape the market for in vitro toxicity testing over the next five years (2021 to 2026)
  • Evaluation and forecast the overall market size, and corresponding market share analysis by testing method, component, application, technology, end-user industry, and geographic region
  • Highlights of the impact of COVID-19 on the progress of this market
  • Review of key technology developments, latest market trends, and other influential factors such as validation and testing strategies for pharmaceuticals, cosmetics, and chemicals
  • Insight into recent industry structure, current competitive scenario, R&D activities, and regulatory and legislative issues currently focused on in vitro toxicology
  • Descriptive company profiles of the leading market players including Charles River Laboratories, Evotec, Frontage Labs, ICON PLC, Medpace, PPD Inc., and Syneos Health

Table of Contents

Chapter 1 Introduction
  • Trends in the Global Market for CRO Services
  • Study Goals and Objectives
  • What's New in the Report?
  • Reasons for Doing This Study
  • Scope of Report
  • Information Sources
  • Methodology
  • Geographic Breakdown
  • Analyst's Credentials
  • Publisher Custom Research
  • Related Publisher Research Reports


Chapter 2 Summary and Highlights
Chapter 3 Market Dynamics
  • Market Drivers
  • Rising R&D Investment
  • Market Restraints
  • Lack of Skilled Professionals
  • Challenges in CRO Outsourcing
  • Market Opportunities
  • Inorganic Strategies
  • Emerging Markets


Chapter 4 Impact of COVID-19
  • Overview of COVID-19 Crisis
  • Impact of COVID-19 on the Market for CROs
  • Clinical Trial Delays
  • Current Outlook


Chapter 5 Overview: Clinical Trial Process and CRO Functional Services
  • Clinical Trial Process and Stages
  • Pre-discovery Stage
  • Drug Discovery
  • Preclinical
  • Clinical Stage
  • Phase I
  • Phase II
  • Phase III
  • Post-marketing Surveillance and Phase IV Studies
  • Regulatory Environment
  • FDA Regulation and Impact
  • Regulations on Sponsor Activities
  • The Declaration of Helsinki
  • CDISC Standards
  • Current Market Trends
  • Existing Drugs for New Indications
  • Increased Competition


Chapter 6 Global Market Overview
  • Global Clinical Trials in Asia-Pacific


Chapter 7 Emerging Trends
  • Increasing Complexity of Clinical Trials
  • Small Molecule vs. Biologics
  • Biosimilars
  • Adaptive Design Clinical Trials
  • Risk-Based Monitoring
  • Real-World Evidence


Chapter 8 Market Breakdown by Region
  • Overview
  • North America
  • Europe
  • Asia-Pacific
  • Rest of the World


Chapter 9 Competitive Landscape
  • Functional Service Provider Relationships
  • Offshoring
  • Therapeutic Areas in Drug Development
  • Immuno-oncology
  • Current Pharma/CRO Contracts
  • Largest Therapeutic Areas Rely on Key CRO Expertise


Chapter 10 Mergers and Acquisitions
Chapter 11 Company Profiles
  • Top 11 CROs
  • Charles River Laboratories
  • Evotec
  • Frontage Labs
  • Icon Plc
  • Iqvia
  • Laboratory Corp. Of America Holdings
  • Medpace
  • Parexel
  • Ppd Inc.
  • Syneos Health
  • Wuxi Apptec
  • Other Cros
  • Eps International Holdings Co. Ltd.
  • Eurofins Scientific
  • PSI
  • SGS Sa


Chapter 12 Appendix: Abbreviations and Acronyms
List of Tables
Summary Table: Global Market for CRO Services Throughout The Clinical Trial Process, by Functional Service, Through 2026
Table 1: R&D Investment in the Global Market for CRO Services, 2019 and 2020
Table 2: Leading CROs in India
Table 3: Notable Delayed and Cancelled Clinical Trials
Table 4: Likelihood of Approval, by Major Disease Area and Phase
Table 5: Clinical Phase Description
Table 6: New Drug Approvals in the Global Biopharmaceuticals Market, 2006-2021
Table 7: Approved Drugs Repurposed for Infectious Diseases
Table 8: Global Market for CRO Services, by Functional Service, Through 2026
Table 9: R&D Pipelines
Table 10: Global Small Molecule and Biologic FDA Drug Approvals, 2010-2020
Table 11: FDA-Approved Small Molecule and Biologic Drugs, Through 2022
Table 12: Global Market for CRO Services, by Region, Through 2026
Table 13: North American Market for CRO Services, by Functional Service, Through 2026
Table 14: European Market for CRO Services, by Functional Service, Through 2026
Table 15: Asia-Pacific Clinical Trial Regulations
Table 16: Asia-Pacific Market for CRO Services, by Functional Service, Through 2026
Table 17: Rest of the World Market for CRO Services, by Functional Service, Through 2026
Table 18: Key Players in Therapeutic Areas
Table 19: Pharma and CRO Partnership Alliances
Table 20: Recent M&As in CROs and Pharma Outsourcing Sector
Table 21: Deals in CRO Sector: Improving Capital Markets Leading to More IPOs
Table 22: Service Offerings, Major CROs
Table 23: Charles River Laboratories: Revenues, 2018-2020
Table 24: Evotec: Revenues, 2018-2020
Table 25: Frontage Labs: Revenue, 2018-2020
Table 26: ICON PLC: Revenue, 2018-2020
Table 27: IQVIA: Revenues, 2018-2020
Table 28: Labcorp: Revenue, 2018-2020
Table 29: Medpace: Revenues, 2018-2020
Table 30: PPD Inc.: Revenue, 2018-2020
Table 31: Syneos Health: Revenue, 2018-2020
Table 32: WuXi AppTec: Revenue, 2018-2020
Table 33: Eurofins Scientific: Revenue, 2018-2020
Table 34: SGS SA: Revenue, 2018-2020
Table 35: Abbreviations Used in This Report


List of Figures
Summary Figure: Global Market for CRO Services Throughout The Clinical Trial Process, by Functional Service, 2019-2026
Figure 1: Likelihood of Approval, by Disease Area
Figure 2: Phase II Transition Success Rates, by Disease Area
Figure 3: Phase III Transition Success Rates, by Disease Area
Figure 4: Phase IV Transition Success Rates, by Disease Area
Figure 5: Drug Approval Timeline
Figure 6: Size and Growth of the Global Market for CRO Services, 2019-2026
Figure 7: Pharma R&D Spending, 2016-2026
Figure 8: Global Prescription Drug Sales, 2016-2026
Figure 9: Global Market Shares of CRO Services, by Functional Service, 2020
Figure 10: Global Market Shares of CRO Services throughout the Clinical Trial Process, by Phase, 2020
Figure 11: Global Market for CRO Services, by Region, 2020-2026
Figure 12: Global Market Shares of CRO Services, by Region, 2020
Figure 13: Initiation of Clinical Trials in North America, by Year and Phase, 2014-2019
Figure 14: North American Market for CRO Services, 2020-2026
Figure 15: Initiation of Clinical Trials in Europe, by Year and Phase, 2014-2019
Figure 16: European Market for CRO Services, 2020-2026
Figure 17: Initiation of Clinical Trials in Asia-Pacific, by Year and Phase, 2014-2019
Figure 18: Asia-Pacific Market for CRO Services, 2020-2026
Figure 19: Initiation of Clinical Trials in Rest of the World, by Year and Phase, 2014-2019
Figure 20: Rest of the World Market for CRO Services, 2020-2026
Figure 21: Global Market Shares of CRO Services, by Company, 2020
Figure 22: Leading CRO Market Shares of Preclinical Trials, by Company, 2020
Figure 23: Leading CRO Market Shares of Clinical Trials, by Company, 2020
Figure 24: Global Therapeutic Clinical Pipeline, by Therapeutic Area, 2020
Figure 25: Expanding Value, Outsourcing Deals Involving CROs, 2007-2017
Figure 26: Charles River Laboratories: Revenue Share, by Segment, 2020
Figure 27: Evotec: Revenue Share, by Segment, 2020
Figure 28: Frontage Labs: Revenue Share, by Segment, 2020
Figure 29: IQVIA: Revenue Share, by Segment, 2020
Figure 30: Labcorp: Revenue Share, by Segment, 2020
Figure 31: PPD Inc.: Revenue Share, by Segment, 2020
Figure 32: Syneos Health: Revenue Share, by Segment, 2020
Figure 33: WuXi AppTec: Revenue Share, by Segment, 2020
Figure 34: Eurofins Scientific: Revenue Share, by Segment, 2020
Figure 35: SGS SA: Revenue Share, by Segment, 2020

Executive Summary

The CRO market continues to exhibit stellar growth, largely attributed to increased demand for services in clinical trials between Phases II and IV, which account for approximately 60% of total CRO revenue. All segments, including preclinical and post-approval, continue to grow solidly. Outlook for the industry remains extremely positive, with the proliferation of therapies for orphan drugs and precision-based medicines, clinical trials are becoming increasingly complex and are driving demand for sophisticated outsourcing partners with expertise in combination products, risk-based monitoring, disease registries, real world evidence and medical affairs. Expanding service offerings and capabilities remain a predominant strategy among CROs.


CROs obtain the lion’s share of revenue from actual clinical trials, which accounted for nearly $35 billion in CRO revenue last year. Discovery, preclinical and central lab services all represent strong areas of growth, despite accounting for a smaller share of revenue.


The geographic distribution of clinical trials is slowly shifting from developed nations to emerging countries; the rising cost of clinical trials and difficulty in patient recruitment has led biopharma companies to shift toward regions such as Central and Eastern Europe, Asia-Pacific and Latin America for quicker patient recruitment and cost savings. The greater disease variation among developing countries also offers more diverse population samples, particularly for rare disease studies.


Based on indication, the oncology segment is the largest and one of the most rapidly growing within the CRO space, with nearly $40 billion spent in 2016 on preclinical and clinical oncology trials. Pain management remains one of the faster growing and more lucrative disease areas, with new treatments for chronic and acute pain and rising investigational studies for Non-Steroidal Anti-Inflammatory Drug (NSAID) and analgesic molecules driving this segment.


The dominant players in the industry are IQVIA Inc., Labcorp, PPD Inc., Syneos Health, Charles River Laboratories International Inc. and ICON plc. Mergers and acquisitions among these and other larger companies in this space continue at an unprecedented pace, high valuations and an increasing need to become complete service providers are driving this trend.


Key drivers impacting the CRO market growth include globalization of clinical trials, development of new treatments, evolution of technology and greater penetration of CROs into the clinical trial process. The demand for biogenetics, particularly biosimilars, will be a clear driver, going forward.


Current pharma R&D spending is driven by precision-based medicines and immunotherapies for smaller populations, genetic therapies for oncology, rare disease treatment and generally more demanding and complex protocols for drug development.


The clinical trial environment continues to be tied to exorbitant costs as complex therapies requiring larger and more diverse samples extend the time required and geographies involved in conducting a typical study. In an effort to contain these costs and shorten development timelines, pharma and biopharma firms are increasingly outsourcing services to CROs.


Companies Mentioned

  • Charles River Laboratories
  • Evotec
  • Frontage Labs
  • Icon Plc
  • Iqvia
  • Laboratory Corp. Of America Holdings
  • Medpace
  • Parexel
  • Ppd Inc.
  • Syneos Health
  • Wuxi Apptec
  • Other Cros
  • Eps International Holdings Co. Ltd.
  • Eurofins Scientific
  • PSI
  • SGS Sa