Rise in R&D investment and significant increase in cancer incidence across the globe have boosted the growth of the global healthcare CRO services market.
According to the report, the global healthcare CRO services market was pegged at $38.99 billion in 2018, and is projected to garner $66.03 billion by 2026, growing at a CAGR of 6.9% from 2019 to 2026.
CRO is an organization or a group that provides services including clinical trials and early phase development of drugs or a medical device other organizations or companies on a contract basis. These organizations provide support to the pharmaceutical and biotechnology industries in the form of outsourced pharmaceutical research services. These organizations or companies contract CROs for conducting clinical trials to explicit the need of hiring permanent staff. Further, contracting with CROS effectively reduces the time it takes to conduct a trial in-house leading to significant cost savings. Several companies prefer such organizations to conduct research on behalf of them for cost savings.
The clinical research services segment dominated the market
Based on service type, the clinical research services segment held the largest share in 2018, accounting for more than two-fifths of the global healthcare CRO services market. Moreover, the segment is expected to reach 7.3% from 2019 to 2026, owing to remarkable rise in clinical trials and development of various drugs and novel molecules for the treatment of several diseases.
North America held the lion’s share
Based on geography, the market across North America held the largest share in 2018, contributing to nearly half of the total revenue, owing to rise in biotechnology and pharmaceutical research by industry giants in the region. However, the global healthcare CRO services market across Asia-Pacific is anticipated to manifest the fastest CAGR of 7.4% during the study period, due to rise in demand for healthcare CRO services.
Major market players
- PRA Health Sciences
- Charles River
Key Findings of the Study:
- By service type, the clinical research services segment accounted for the highest healthcare CRO services market share of 40% in 2018 and is anticipated to grow at the fastest rate during the forecast period.
- By region, North America was the major shareholder and accounted for the highest share of 48% in 2018.
- By therapeutic area, the oncology segment is expected to grow at a CAGR of 7.3% during the forecast period.
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