The global clinical trial supply and logistics market is projected to grow at a CAGR of 8.91% during the forecast period to reach US$29.176 billion by 2026, from US$16.050 billion in 2019. In the medical industry, the phase of research that requires a trial of the end product to measure the safety of the drug is known as a clinical trial. Each clinical trial requires distinguished and clean equipment to derive results. Clinical trial and logistic service providers aim at providing support and equipment for clinical trials to the research institute to yield fruitful results. The service providers also manage the trial sits and contacting the patients on which the drug can be tested. The prime reason driving the growth of the market is rising cases of diseases and problems and the need to develop drugs to cure the infected patient. Further, robust growth in the industry through the launch of new channels to deliver the services is predicted to open up new opportunities in the market. However, the high initial cost and requirement of a skilled workforce limit the scope of new entrants. The players in the industry offer similar products face threat and hence is highly competitive.
Rising drug research is projected to increase the demand in the market.
One of the prime reasons supporting the market growth during the forecasted period is the surging investment in drug research and the rise in drug research projects globally. While the initial drug research is funded by the nation’s government, the later stage, precisely, the clinical trial and following stage research is funded by pharmaceutical companies or through a venture capitalist. Increasing complicities of diseases accompanied by rising diseases instance and surging investment in the drug development industry is projected to support the market growth during the forecasted period.
In India, R&D spending by pharmaceutical companies has been increasing significantly. The spending increased from 7% of sales in 2015 to 8.6% of sales in 2019. Furthermore, considerable growth in sales of the Indian pharmaceutical industry is expected to further increase the market.
Lack of substitutes is an advantage for the players in the market.
The vendors in the global clinical trial supply and logistics market are enjoying a significantly high power attributable to the lack of substitutes in the landscape. Although some drug development companies may choose to keep this part of the overall drug research and development process in-house, very low cost-efficiency and very high risks associated with the unavailability of the right supplies in the right quantity and quality where and when required have, for long, kept them at bay. The increasing focus of drug development companies towards reducing costs and minimizing risks has nearly driven them out of this market. As a result of the lack of substitutes in the market, the suppliers hold an upper position.
The North America and Europe clinical trial and logistics supply market is projected to dominate the market.
Based on geography, the global clinical trial and the logistic market are segmented into North America, South America, Europe, the Middle East and Africa, and the Asia Pacific region. It is expected that the North America and Europe clinical trial and the logistic market will dominate the global industry owing to the larger concentration of pharmaceutical research industries. The Asia Pacific market is forecasted to grow at a significant rate.
The coronavirus pandemic shrank the market for clinical trial and logistics owing to the concentration of developing a drug for the covid virus, which significantly trimmed the investment in drug development of other diseases. However, increased investment in the pharmaceutical industry supported the market.
|Market size value in 2019||US$16.050 billion|
|Market size value in 2026||US$29.176 billion|
|Growth Rate||CAGR of 8.91% from 2019 to 2026|
|Forecast Unit (Value)||USD Billion|
|Segments covered||Component, End-User Industry, And Geography|
|Regions covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies covered||DHL International GmbH, Marken, Parexel International Corporation, Movianto, Catalent Inc., Thermo Fisher Scientific Inc., Almac Group, FedEx, PCI Pharma Service, Sharp|
|Customization scope||Free report customization with purchase|
Key Market Segments
Frequently Asked Questions (FAQs)
Q1. What are the growth prospects for the clinical trial supply and logistics market?
A1. The clinical trial supply and logistics market is projected to grow at a CAGR of 8.91% over the forecast period.
Q2. What will be the clinical trial supply and logistics market size by 2026?
A2. The global clinical trial supply and logistics market is projected to reach a total market size of US$29.176 billion in 2026.
Q3. What is the size of the global clinical trial supply and logistics market?
A3. Clinical Trial Supply And Logistics Market was valued at US$16.050 billion in 2019.
Q4. Which region holds the maximum market share of the clinical trial supply and logistics market?
A4. North America and Europe are expected to hold a significant share of the clinical trial supply and logistics market owing to the larger concentration of pharmaceutical research industries.
Q5. What factors are anticipated to drive the clinical trial supply and logistics market growth?
A5. The prime reason driving the growth of the clinical trial supply and logistics market is rising cases of diseases and problems and the need to develop drugs to cure the infected patient.