North America Healthcare Contract Research Organizations (CRO) Services Market Analysis by 2027

The North America Healthcare contract research organizations (CRO) services market is expected to reach US$ 40,863.26 million by 2027 from US$ 19,498.79 million in 2019; it is estimated to grow at a CAGR of 9.9% from 2020 to 2027.

The growth of the North America healthcare contract research organizations (CRO) services market is mainly attributed as growing number of clinical trials and increasing expenditure in R&D and outsourcing activities in the country. However, the stringent regulations for approval of drugs is the major factor hindering the market growth in North America.

Contract research organization (CRO) provides support services to the pharmaceutical, biotechnology, and medical device companies throughout the development of the product. Pharmaceutical& biotechnology companies and the medical device industry require various testing services such as preclinical services, clinical research services, analytical testing services, bio analytical testing services, and regulatory services. CROs are specifically designed to perform these testing services to reduce the in-house cost and time of the companies, required to conduct the extensive range of testing services to comply with the national and international regulatory standards.

Pharmaceutical and biotech companies focus on R&D activities to innovate new molecules and therapeutic platforms to deal with chronic diseases and rare ailments; also, they extensively invest in R&D activities to develop various therapeutic applications with strong medical and commercial potential. In addition, R&D spending by biopharmaceutical companies has increased over the years. For instance, according to a study published by Pharmaceutical Research and Manufacturers of America (PhRMA), the R&D expenditure of biopharmaceutical companies grew from US$ 49.6 billion in 2012 to US$ 79.6 billion in 2018. Such massive investments in R&Ds are likely to drive the contract research organization services market during the forecast period.

Contract research organizations assist the sponsor companies in terms of research, development, and commercialization of new therapeutic products, especially in pharmaceutical, biopharmaceutical, and medical device industries. Many companies are also coming forward to establish strategic partnership with contract research organizations. For instance, in January 2020, Aragen Bioscience, Inc, a subsidiary of GVK BIO, one of the significant players in pre-clinical CRO, entered into a strategic collaboration with Serum Institute of India Pvt. Ltd. to accelerate the R&D of multiple stable cell lines under Serum’s HIV program. Further, in April 2020, ICON plc. signed a three-year strategic agreement with Pfizer Inc. to provide expertise in planning and management, as well as execution of clinical trials. Such collaborations and partnerships indicate the preference of pharmaceutical companies to prefer contract research organizations to conduct research activities, which will eventually fuel the market growth.

North America is witnessing the growing number of COVID-19 cases. Due to the outbreak of COVID-19 pandemic there is an increased need for therapeutic or vaccine for this highly contagious viral disease. Hence, more COVID-19 clinical trials are being planned and initiated, whereas, the large number of clinical trials in US for non- COVID-19 indications are being delayed. Therefore, it is likely to affect the healthcare contract research organizations (CRO) services market owing to the above mention points.

Mexico Healthcare Contract Research Organizations (CRO) Services Market, Revenue and Forecast to 2027 (US$ Mn)

NORTH AMERICA HEALTHCARE CONTRACT RESEARCH ORGANIZATIONS (CRO) SERVICES MARKET SEGMENTATION

By Service Type

• Early Phase Development
• Laboratory Services
• Consulting Services
• Clinical Research Services

By Therapeutic Application

• Oncology
• Infectious Diseases
• Respiratory Diseases
• Cardiovascular Diseases
• Neurological Disorders
• Others

By End-User

• Medical Device Companies
• Pharmaceutical and Biopharmaceutical Companies
• Others (Academic Institutes)

By Country

• US
• Canada
• Mexico

Company Profiles

• Charles River Laboratories, Inc.
• IQVIA INC
• Laboratory Corporation of America Holdings (Covance)
• Parexel International Corporation
• PRA Health Sciences
• Syneos Health
• Medpace
• PPD Inc

North America Healthcare Contract Research Organizations (CRO) Services Report Scope