Contract Research Organization Services (CROs) Market Overview and Introduction

Contract research organizations (CRO) are companies that provide their research services & capabilities of manufacturing to pharmaceutical, biotechnology, and medical device industries on contract basis. A CRO may provide services such as clinical research services, early-phase development services, laboratory services, and consulting services.

The global contract research organization services (CROs) market is mainly driven by increasing number of clinical trials, growing R&D expenditure, and increased outsourcing of R&D activities. Moreover, growth in the biosimilars and biologics market also played a pivotal role in contributing to market growth globally. However, clinical trial failures and stringent & varying government regulations are likely to restrain market growth to a certain extent.

The global contract research organization services (CROs) market can be segmented into type, therapeutic area, end users, and regions.

Contract Research Organization Services (CROs) Market by Type

Based on type, the market is segmented into clinical research services, early-phase development services, laboratory services, and consulting services. The clinical research services segment is expected to dominate the contract research organization services (CROs) market during the forecast period. The segment growth can be attributed to the increasing development of new drugs and growing collaboration among the key players outsourcing clinical trials. Furthermore, early access to the effective treatment to the patients during clinical trials is expected to boost the growth of the segment.

Contract Research Organization Services (CROs) Market by Therapeutic Area

Based on therapeutic area, the market can be segmented into oncology, central nervous system (CNS) disorders, immunological disorders, cardiovascular diseases, infectious diseases, diabetes, and others. The oncology segment is expected to dominate the contract research organization services (CROs) market during the forecast period owing to rising prevalence of cancer globally, increasing number of clinical trials and rising demand for effective cancer therapy.

Contract Research Organization Services (CROs) Market by End User

Based on end user, the market can be segmented into pharmaceutical & biopharmaceutical companies, medical device companies and academic institutes. The pharmaceutical & biopharmaceutical companies segment is expected to dominate the contract research organization services (CROs) market during the forecast period. Many pharmaceutical companies are outsourcing early phase development services and clinical & laboratory testing services in order to avoid high capital expenditure, reduce the duration to validate the process and product and also to boost profit margin which is expected to be the factor boosting the growth of segment.

Contract Research Organization Services (CROs) Market by Region

Based on region, the global contract research organization services (CROs) market can be segmented into North America, Europe, Asia Pacific, and the Rest of the World (ROW). North America dominated the contract research organization services (CROs) market, followed by Europe. The growth in North America can be attributed to the high number of ongoing R&D activities, existence of multinational pharmaceutical & biotechnology companies that are actively participating in drug discovery processes and rapid growth in its biosimilars and biologics market.

Contract Research Organization Services (CROs) Market Prominent Players

Some of the prominent players in the contract research organization services (CROs) market include IQVIA, Covance Inc., Parexel International Corporation., PRA Health Sciences., PPD, Inc., ICON plc, Syneos Health., Charles River, Medpace, Inc. and WuXi AppTec among others.