Clinical Trials Market Trends

Clinical Trials Market Trends

High trial complexity, coupled with robust pipelines and stringent regulations for conducting trials are factors influencing the spending on clinical development services outsourcing. The complexity involves a greater number of trial procedures, access to specialized patient populations, regulatory challenges in emerging markets, and mandated documentation such as REACH legislation and other regulatory requirements that have diverted the companies towards outsourcing. This has resulted in significant outsourcing of clinical trials, thereby propelling the market growth.
 

• Research indicates that, on average, approximately 64% of clinical development services are outsourced, contrasting with only 38% to 40% conducted internally. More than 60% of sponsors have expanded outsourcing by forming strategic partnerships and utilizing functional outsourcing. This increasing preference for outsourcing is a significant driver of market growth, facilitating enhanced efficiency, access to specialized expertise, and streamlined operations in clinical trials.
   
• Additionally, leveraging contract research organization services enables manufacturers and sponsors to focus on production capacity and improve internal processes. The wide range of available services, from drug discovery to post-marketing surveillance, simplified operations for mid-sized and small-scale pharmaceutical and biotechnology firms, allowing them to outsource research and development activities and reduce infrastructure investments.
   
• For instance, in November 2023, Syneos Health expanded its clinical trial capabilities in China through a collaboration with GoBroad Healthcare Group. This collaborative agreement aimed to expand the opportunities in the China market.