Summary - A new market study, titled “Global LMS Market Size, Status and Forecast 2020-2026” has been featured on WiseGuyReports.
The pharmaceutical/biotechnology services outsourcing market is estimated to represent a global market of USD 50.8 billion by 2019 with growth rate of 7.8%.
Driving factors such as increasing approval of new therapeutics coupled with strategic mergers & acquisitions of key players to expand their presence in pharma & biotech industries are expected to remain on the top spot for the growth of LMS industry globally. For example, in December 2019, as per the article published by the Regulatory Affairs Professional Society, the number of new molecular entity published by the U.S. FDA (around 46) in 2019, was the highest compared to the new drugs approved till 2016.
On contrary, the drug development cost is increasing at a significant rate. According to the estimates of Pharmaceutical Research and Manufacturers of America (PhRMA), the total drug development related R&D spending in 2014 amounted to USD 51.2 billion. Thus, outsourcing process helps a company to save hefty amount, which is spent on R&D; hence, increasing demand for consulting services. On the flip side, raising issues on data security and growing concerns over third-party performance restrain the industry growth to some extent.
Service segment is bifurcated into Product design, Product testing, Consulting, Auditing and Assessment, Regulatory Affairs, Product maintenance, Training, and others. Of these, consulting service holds the highest share throughout the study period. In 2019, this segment has captured around 18.5% share and is likely to show robust growth during the forecast period. Consulting services such as remediation, quality management systems, and regulatory compliances are covered under this segment. On another side, regulatory affairs outsourcing is considered to grow with the highest growth rate over the forecast period. Associated benefits such as cost-effectiveness, reduce documentation, and pro-active risk management helps this segment to capture significant revenue share during the future period.
COVID-19 Impact and Recovery Analysis
The published research on pharmaceutical/biotechnology services outsourcing market provides a bird’s eye view of the current COVID-19 outbreak. Further, the study also considers the post-COVID-19 impact and offers a clear assessment of the projected industry fluctuations. The different factors that are likely to impact the overall market dynamics, including top performer segments, marginal growth segments and top loser segments and more are discussed in detail in this research report.
In terms of region, developed regions such as North America and Europe accounted for the highest share. In 2019, these regions have captured over 75% revenue share collectively. However, Asia Pacific region is anticipated to show double-digit growth rates (11.2% from 2019-2021-2026) in during the future period. This region is considered to grow with the highest CAGR as it is well positioned to become a preferred destination for pharmaceutical studies. Furthermore, factors such as speedy recruitment, large patient pool, cost-effectiveness, and presence of high-quality infrastructure support the regional growth over the forecast period.
Key Vendor Takeaway
Companies such as Quantic Group, Parexel International, Lachman Associates, Concept Heidelberg, and GMP Pharmaceuticals are profiled in detail. Bolstered by a revival in the pharmaceutical industry, market profit of these players is expected to increase at a significant rate over the future period. Since the industry is fragmented in nature, with no one player accounting for significant revenue share, service-based competition is very high.
Key players are actively engaged in accelerating their pace of change by reducing service cost, focusing on core-competency, and reducing documentary burden. For instance, in July 2016, Quality context Ltd. collaborated with Clarity Compliance Solutions to offer computer system validation services to assure a specific process will consistently produce a product that meets quality attributes and predetermined specifications.
The market size and forecast for each segment has been provided for the period 2016 to 2026, considering 2019 as the base year. The report also provides the compounded annual growth rate (% CAGR) for the forecast period 2021 to 2026 for every reported segment.
The years considered for the study are:
Historical Year – 2016 to 2018
Base Year – 2019
Estimated Year – 2020
Projected Year – 2026
The proposed reports analyse and evaluates the COVID-19 impact, and anticipated change on the future market scenario on this industry, by taking into the account the economic, political, technological, and social, parameters.
SCOPE OF THE REPORT
The scope of this report covers the market by its major segments, which include as follows:
MARKET, BY SERVICE
Auditing and Assessment
MARKET, BY REGION
Rest of Europe
Rest of APAC
Rest of the World
Middle East and Africa
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