Drug Discovery Services Market Research Report – Forecast to 2027

Drug Discovery Services Market Research Report: By Drug Type (Small Molecule Drug, Biologics), by Type (DMPK, Pharmaceutical Services, Others), by Therapeutic Area (Oncology, Others), by Process, by Technology, and by End-User – Global Forecast Till 2027

ID: MRFR/Pharma/4414-HCR | February 2021 | Region: Global | 100 pages

Drug Discovery Services Market

Drug Discovery Services Market has expected to grow upto USD 35.4 billion at a 10.8% CAGR for the forecast period

Segmentation

By Drug Type Small Molecule Drug Biologics
By Type DMPK Pharmaceutical Services Others
By Therapeutic Area Oncology Others

Key Players

  • Advinus Therapeutics
  • Abbott Laboratories Inc.
  • Albany Molecular Research Inc. (AMRI)
  • Agilent Technologies Ubiquigent
  • Aurigene
  • AstraZeneca PLC
  • Charles River Laboratories International

Drivers

  • increasing awareness about chronic diseases
  • increasing funding
  • increasing government assistance
  • unmet medical needs
  • increasing patient pool
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Drug Discovery Services Market Overview


The Drug Discovery Services Market has expected to grow at a 10.8% CAGR for the forecast period of 2017 to 2023. Drug discovery services are popular across the world, which is a process of new drug designing. Different methods have been used for drug discovery. The most common drug discovery methods are random screening, molecular designing, molecular manipulation, drug metabolites, and uncertainty. Drug discovery services are developed to reduce drug discovery timelines and minimize the costs of drug delivery.


The demand for the Drug Discovery Services Market increases with increasing technological advancements, growing demand for cancer treatment, and healthcare expenditure. Various biologic drugs like Abbott & Eisai's Humira, Genentech's Rituxan, and J&J's Remicade are predicted to lose their patent protection in the future, which can bring more opportunities for the Market.


According to the Market Outlook report, the global market has segmented into drug type, technology, types of services, process, therapeutic area, and end-user, boosting the growth of the global Drug Discovery Services Market. Moreover, the global market is thriving in its growth due to the continuous support of the intended audiences like Academic Institutes and Universities, Pharmaceutical Companies, Diagnostic Laboratories, Research and Development (R&D) Companies, and Government Research Institutes. Therefore, the global market has more growth opportunities for the key players in the upcoming years.


COVID-19 Impact Analysis


During the COVID-19 pandemic, public health challenges have emerged on a large scale. This has also affected the growth of the global Drug Discovery Services Market for a certain period. But later period, it has more growth opportunities. 


According to the Market Outlook report, many pharmaceutical and biotechnology companies must adopt the Drug Discovery Services to combat this pandemic challenges.


Market Overview 



  • Major Drivers of the Market


The Drug Discovery Services Market Growth is enhancing by several factors such as enhancing regulatory framework, increasing funding and reimbursement, increasing awareness about chronic diseases, increasing government assistance, unmet medical needs, increasing patient pool, and patent expiration of blockbuster drugs. 


The World Health Organization (WHO) report has mentioned that cancer is the major reason for increasing mortality worldwide. In 2015, cancer killed nearly 8.8 million people. The common cancers are breast cancer, lung cancer, colorectal cancer, liver cancer, and stomach cancer. In the low- and middle-income countries, nearly 25% of cancer cases are because of cancer-causing infections.



  • Opportunities of the global market


In the development of biologics, various companies are investing on a large scale. In the present scenario, more drug candidates in the discovery stage are related to biologics like monoclonal antibodies, proteins, and peptides. For instance, it can bring more growth opportunities for the Drug Discovery Services Market.


The unmet medical needs, increasing government assistance, and increasing patient pool are brought more growth opportunities for the manufacturers and key players of the Market.



  • Market Restraints


Although the Drug Discovery Services Market Trends has many growth opportunities but has some of the major market restraints that might hamper the growth of the global market, these major market restraints are the strict FDA regulations and the investment of huge capital with low profit margins.


Moreover, the flawed healthcare system in low and middle-income countries is another market restraint for the Market.



  • Market Growth challenges


The global Drug Discovery Services Market might face challenges due to the high financial costs, insufficiencies in the clinical research workforce, difficulties in retaining participants and recruitment, regulatory and administrative barriers, and drug sponsor-imposed barriers.


The Market Forecast report has mentioned that the global market might experience challenges due to the disconnection between medical care and clinical research.



  • Cumulative growth Analysis


The North American region is leading the global Drug Discovery Services Market. The European region holds the second position in generating the higher Market Value for the forecast period. The European region is getting financial support for the research and development by the government, which is thriving the growth of this regional market. 


The previous year's report has achieved its goal, and further, it has been estimated to meet the higher Market Value by the forecast period. 


Market segment Overview


By Types of Services: Based on the types of services segments, the Market has been segmented into pharmaceutical services, Drug Metabolism and Pharmacokinetics (DMPK) services, biological services, and medicinal chemistry.


The Medicinal Chemistry segment contributes the largest Market Share for the forecast period.



  • By Drug Type:


The Drug Discovery Services Market is segmented into biologics and small molecule drugs based on the Drug type segment. 


Various intended audiences prefer these two drug types according to their preferred quality.



  • By Technology:


Based on the technology segment, the Drug Discovery Services Market has been segmented into biochips, high throughput screening, combinatorial chemistry, metabolomics, pharmacogenomics and pharmacogenetics, spectroscopy, nanotechnology, and others.


The technological advancement in the Market is growing the demand for drug discovery services worldwide. 



  • By Process:


The Drug Discovery Services Market has been divided into target validation, target selection, lead optimization, hit-to-lead identification, and candidate validation based on the process segment.


These processes are enhancing the growth of the Market.



  • By Therapeutic Area:


The Drug Discovery Services Market has been segmented into cardiovascular diseases-oncology, neurology, diabetes, respiratory diseases, and others based on the therapeutic area segment.


Out of all, the oncology segment is estimated to generate the largest Market Share for the forecast period. 



  • By End-users:


The Drug Discovery Services Market has been divided into pharmaceutical companies, hospitals and clinics, research institutes, biotechnology companies, and others based on the end-user segment.


These end-users contribute efficiently to the global market by generating the significant Market Size for the forecast period.


Regional Analysis


Based on regional segment, the global Drug Discovery Services Market has been classified into various regions such as Europe, America, Asia-Pacific, and the Middle East & Africa.


Among these, the American regional market dominates the Market due to the high healthcare expenditure in the region and the growing prevalence of chronic diseases. The Center for Disease Control and Prevention (CDC) report has mentioned that at least one type of cardiovascular disease has been found among nearly 92.1 million adults. According to the 2015 report, the United States has around 15.1% of adults, i.e., 36.5 million adults are smoking cigarettes. For this, nearly 480,000 deaths cases are coming every year. Likely, the United States is spending nearly 86%, i.e., USD 2.7 trillion of the healthcare cost for people's chronic and mental health conditions. Therefore, this region is estimated to generate a higher Market Size for the forecast period. 


Competitive Landscape Analysis


The global Drug Discovery Services Market Trends has more growth opportunities, and the global key players are making huge efforts to the market growth. These key players are:



  • Advinus Therapeutics, 

  • Abbott Laboratories Inc., 

  • Albany Molecular Research Inc. (AMRI), 

  • Agilent Technologies Ubiquigent, 

  • Aurigene, 

  • AstraZeneca PLC, 

  • Charles River Laboratories International, 

  • Bayer AG,

  • F. Hoffmann-La Roche Ltd,

  • Jubilant Biosys, 

  • Lonza,

  • SRI International, 

  • Syngene International Ltd.,

  • Piramal Enterprises, 

  • Thermo Fisher Scientific,

  • Eli Lilly and Company, 

  • Chem Bridge Corporation, 

  • Covance,

  • Evotec, 

  • Domainex,

  • Gen Script, 

  • GlaxoSmithKline LLC,

  • Merck, 

  • Pharmaceutical Product Development, LLC (PPD),

  • Promega Corporation, 

  • Selcia Limited, 

  • Shimadzu Corp.,

  • GE Healthcare, 

  • GVK Biosciences,

  • WuXi App Tec

  • Viva Biotech.


These key players are contributing effectively to enhance the Drug Discovery Services Market Growth for the assessment period. 


Recent Developments



  • In 2020, Covance and Medable had a partnership to adopt the decentralized trial technology on a fast mode.


Report Overview


The Drug Discovery Services Market Analysis report has highlighted the deep insight of the drug discovery services involving secondary and primary research methods. The primary research has conducted interviews with the important key players, dealers, and others to get their perspectives towards the global market. Similarly, secondary research methods have been involved in gathering information related to the drug discovery services industry. 


Moreover, the Drug Discovery Services Market Analysis report has focused on the market values, market size, and market share to develop the growth of the global market for the forecast period. Further, the global market has explained the market dynamics, market segments, regional analysis, recent developments, and competitive analysis to give an overview of the market's performance. 


Segmental Table:


By Types of services:



  • pharmaceutical services, 

  • Drug Metabolism and Pharmacokinetics (DMPK) services, 

  • biological services, 

  • medicinal chemistry


By Drug Type:



  • biologics drug 

  • small molecule drug


By Technology:



  • biochips, 

  • high throughput screening, 

  • combinatorial chemistry, 

  • metabolomics, 

  • pharmacogenomics and pharmacogenetics, 

  • spectroscopy, 

  • nanotechnology, 

  • others


By Process:



  • target validation, 

  • target selection, 

  • lead optimization, 

  • hit-to-lead identification, 

  • candidate validation


By Therapeutic Area:



  • cardiovascular diseases, 

  • oncology, 

  • neurology, 

  • diabetes, 

  • respiratory diseases, 

  • others


By End-users:



  • pharmaceutical companies, 

  • hospitals and clinics, 

  • research institutes, 

  • biotechnology companies, 

  • others



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Frequently Asked Questions (FAQ) :

Strict FDA Regulations are The Major Restraint On The Drug Discovery Services Market.

Drug Discovery Services Market is expected to exhibit a strong 10.8% CAGR over the forecast period from 2020 to 2027.

Growing pharmaceutical industry is the major driver for the drug discovery services market.

Americas dominate the global Drug Discovery Services Market.

Leading players in the Drug Discovery Services Market include GenScript, GSK, and AstraZeneca, among others