Europe Health Economics and Outcome Research (HEOR) Services Market Analysis and Forecast by Size, Share, Growth, Trends 2031

The Europe health economics and outcome research (HEOR) services market size is expected to reach US$ 1,127.97 million by 2031 from US$ 496.49 million in 2024. The market is estimated to record a CAGR of 12.4% from 2024 to 2031.

Executive Summary and Europe Health Economics and Outcome Research (HEOR) Services Market Analysis:

The European HEOR services market includes the consolidated markets for Germany, the UK, France, Spain, Italy, and the rest of Europe. The research-driven pharmaceutical sector can significantly contribute to reviving Europe's growth and guaranteeing future competitiveness in a progressing global economy. According to the European Federation of Pharmaceutical Industries and Associations, in 2023, the research-based pharmaceutical sector allocated ~50,000 Euros (US$ 55,182) million for research and development in Europe. The growth factors, such as growing investments in the healthcare industry, rising support for HEOR services by the governments, and increasing numbers of players in the healthcare industry drive the market growth in Europe.

Europe Health Economics and Outcome Research (HEOR) Services Market: Strategic Insights

Europe Health Economics and Outcome Research (HEOR) Services Market Segmentation Analysis:

Key segments that contributed to the derivation of the Europe health economics and outcome research (HEOR) services market analysis are service, service provider, and end user.

• Based on service, the Europe health economics and outcome research (HEOR) services market is segmented into economic modelling or evaluation, real world data analysis and information system, market access solutions and reimbursement, clinical outcome, and others. The economic modelling or evaluation segment held the largest share of the market in 2024.

• By service provider, the Europe health economics and outcome research (HEOR) services market is bifurcated into contract research organizations and consultancy. The contract research organizations segment held a larger share of the market in 2024.

• By end user, the Europe health economics and outcome research (HEOR) services market is segmented into biotechnology and pharmaceutical companies, healthcare payers, government organizations, and healthcare providers. The biotechnology and pharmaceutical companies segment held the largest share of the market in 2024.

Europe Health Economics and Outcome Research (HEOR) Services Market Players Density: Understanding Its Impact on Business Dynamics

The Europe Health Economics and Outcome Research (HEOR) Services Market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.

Europe Health Economics and Outcome Research (HEOR) Services Market Outlook

Precision medicine is an emerging segment in the healthcare industry. Research and development have shown promising results in the betterment of people and health improvement. However, despite various developments and improvements, there is a lack of evidence, thresholds, and reimbursement scenarios. Various researchers, payers, healthcare service providers, and market players are working to deploy new insights into personalized or precision medicine applications in early drug development and their consequences for health technology assessment. These provide ample growth opportunities for HEOR service providers to enhance their services for strategy and consulting, real-world evidence, modeling and microsimulation, and evidence synthesis associated with precision medicine. In addition, the HEOR guidelines and frameworks can clarify the outcomes and their impacts caused by regulatory and reimbursement policies for precision medicine applications. Moreover, they are expected to guide research investments to improve the appropriate use of precision medicine.

The HEOR services market is expected to have vital growth opportunities in North America and Europe. These two regions are incorporating precision medicine into hospital settings. For instance, Europe has initiated the 1+ Million Genomes initiative, aiming to sequence one million genomes by 2022 and use the potential of genomics to improve disease prevention and enable more personalized treatments. Thus, the emergence of precision medicine is expected to provide vital growth opportunities for the market during the forecast period.

Europe Health Economics and Outcome Research (HEOR) Services Market Country Insights

Based on country, the Europe health economics and outcome research (HEOR) services market comprises Germany, the UK, France, Italy, Spain, and the Rest of Europe. Germany held the largest share in 2024.

The HEOR service in Germany is fragmented. The country has several research centers that are well-established centers for health economics outcomes and are working under the Hamburg Center for Health Economics (HCHE), such as the University Medical Center Hamburg-Eppendorf. The Federal Ministry of Education and Research supports the HCHE of the country. The HCHE offers education and training to students for the essential challenges and particularities of the healthcare system of Germany and other healthcare systems worldwide. The growing education and training for the HEOR are likely to create more job opportunities for people and are expected to influence indirect market growth.

One important development in HEOR is the growing use of real-world evidence in healthcare decision-making in Germany. RWE is being utilized more and more to supplement randomized controlled studies and research as it offers important insights into the efficacy and cost-effectiveness of healthcare interventions in real-world settings.

Europe Health Economics and Outcome Research (HEOR) Services Market Company Profiles

Some of the key players operating in the market include PharmaLex GmbH; ICON Plc; IQVIA Holdings Inc; Syneos Health Inc; Optum Inc; Certara Inc.; ExlService Holdings, Inc.; Avalon Health Economics LLC; Axtria, Inc.; and McKesson Corp, among others. These players are adopting various strategies such as expansion, product innovation, and mergers and acquisitions to provide innovative products to their consumers and increase their market share.

Europe Health Economics and Outcome Research (HEOR) Services Market Research Methodology:

The following methodology has been followed for the collection and analysis of data presented in this report:

Secondary Research

The research process begins with comprehensive secondary research, utilizing both internal and external sources to gather qualitative and quantitative data for each market. Commonly referenced secondary research sources include, but are not limited to:

• Company websites, annual reports, financial statements, broker analyses, and investor presentations.

• Industry trade journals and other relevant publications.

• Government documents, statistical databases, and market reports.

• News articles, press releases, and webcasts specific to companies operating in the market.

Note:

All financial data included in the Company Profiles section has been standardized to USD. For companies reporting in other currencies, figures have been converted to USD using the relevant exchange rates for the corresponding year.

Primary Research

The Insight Partners' conducts a significant number of primary interviews each year with industry stakeholders and experts to validate its data analysis and gain valuable insights. These research interviews are designed to:

• Validate and refine findings from secondary research.

• Enhance the expertise and market understanding of the analysis team.

• Gain insights into market size, trends, growth patterns, competitive dynamics, and future prospects.

Primary research is conducted via email interactions and telephone interviews, encompassing various markets, categories, segments, and sub-segments across different regions. Participants typically include:

• Industry stakeholders: Vice Presidents, business development managers, market intelligence managers, and national sales managers

• External experts: Valuation specialists, research analysts, and key opinion leaders with industry-specific expertise