Drug Discovery Services Market By Type (Medicinal Chemistry Services, Biology Services, Pharmacokinetics and Drug Metabolism), By Drug Type (Small Molecules, Biologics), By Therapeutic Area (Oncology, Neurological Disorder, Respiratory Disease, Diabetes, Cardiovascular Disease), By Regions (North America, Europe, Asia Pacific, Rest of the World) – Global Forecast up to 2025

Global Drug Discovery Services Market By Type (Medicinal Chemistry

Services, Biology Services, Pharmacokinetics and Drug Metabolism), By

Drug Type (Small Molecules, Biologics), By Therapeutic Area (Oncology,

Neurological Disorder, Respiratory Disease, Diabetes, Cardiovascular

Disease), By Regions (North America, Europe, Asia Pacific, Rest of the

World) – Global Forecast up to 2025

This market research report includes a detailed segmentation of the global drug

discovery services market by type (medicinal chemistry services, biology services,

and pharmacokinetics and drug metabolism), by drug type (small molecules and

biologics), by therapeutic area (oncology, neurological disorder, respiratory disease,

diabetes, cardiovascular disease, and others), and by regions (North America,

Europe, Asia Pacific, and Rest of the World).

Overview of the Global Drug Discovery Services Market Research:

IHR Insights’s market research report predicts that the global drug discovery services

market will grow at a CAGR of 11.7% during the forecast period 2019–2025. Drug

discovery refers to the process of identifying potential new medicines, and it

involves a wide range of scientific disciplines, including biology, chemistry, and

pharmacology. The process of drug discovery involves various methods such as

identification of target molecule, candidate drug identification, characterization,

screening, and assays for therapeutic efficacy. Once a candidate compound has

shown its therapeutic value in these tests, it will begin the process of drug

development prior to clinical trials. In recent years, there is a lot of interest in

biologics-based drug discovery. Biologics drug discovery includes developing new

novel antibodies, recombinant proteins, hormones, vaccines, cell therapy, and gene

therapy for treating cancer, neurological disorders, cardiovascular disorders, and

many others.

The upsurge in the externalization of R&D activities, rising expenditure on R&D,

expiration of patents boosting the demand for drug discovery, and introduction of

advanced technologies are few of the factors driving the growth of the drug

discovery services market.

Increasing patient base for various chronic & lifestyle diseases and growing

advancements in innovative technologies will enhance the revenue of the drug

discovery services market in the next five years.

•Adventofinnovativetechnology•ExpirationofpatentsbooststhedemandfordrugdiscoveryOpportunities

Risk•Highcostfordiscoveryanddevelopmentofdrugs•Strictregulationsgoverningdrugdiscovery&developmentandanimalusage

Drivers•UpsurgeintheoutsourcingofR&Dactivities•IncreasingexpenditureonR&D

Market dynamics

Discoveryanddevelopmentservicesinrarediseasesandorphandrugsareexpectedtoincreaseaspharmaceuticalcompaniesarefocusingmoreonthesecomplexareastolaunchnewproductsandservices.CAGR of 11.7%: 2019–2025

CAGR >15%

The industry generates the majority of the revenue from the key players operating

in this field; few of them include Charles River Laboratories, Evotec SE, GVK

Biosciences, Albany Molecular Research Inc., Domainex Ltd., Genscript Biotech

Corporation, Syngene International Ltd., Eurofins Scientific SE, and Laboratory

Corporation of America Holdings.

According to the IHR Insights analysis, North America accounted for the

largest share of the global drug discovery services market in 2018 and will retain a

high position during the forecast period. North America is followed by Europe, with

a share of more than 25% of the global market in 2018.

By Type:

 Medicinal Chemistry Services

 Biology Services

 Pharmacokinetics and Drug Metabolism

In 2018, the medicinal chemistry services segment accounted for the largest share

and is expected to grow at a high-double-digit CAGR during the forecast period.

Increasing tendency of pharma companies to externalize discovery and

development services, increasing number of drug discovery and development

activities, and growing R&D expenditure are the key factors driving the growth of

the medicinal chemistry services segment. The biology services segment is

projected to grow at a high CAGR during the forecast period 2019–2025.

By Drug Type:

 Small Molecules

 Biologics

The small molecules segment occupied a significant share in 2018, and biologics is

expected to grow at a high CAGR during the forecast period 2019–2025. The

increasing use of small molecules drugs to treat chronic disease is leading to

increased demand for these drugs.

By Therapeutic Area:

 Neurological Disorder

 Diabetes

 Oncology

 Respiratory Disease

 Cardiovascular Disease

 Others

Based on therapeutic areas, oncology dominated the market in 2018 and is

expected to maintain its position throughout the forecast period. The high demand

for cancer therapies due to the increasing number of cancer cases across the globe

makes the segment a dominant shareholder in the coming years.

By Regions:

 North America

 Europe

 Asia Pacific

 Rest of the World

Based on geography, North America dominated the market in 2018 with a market

share of over 40% and is expected to maintain this position throughout the forecast

period. Increasing demand for personalized medicine, well-established healthcare

sector, rising incidence of chronic disease, availability of advanced technologies,

high healthcare expenditure, and rising growth of the biopharmaceutical market are

few of the factors that make North America a dominant shareholder in the global

drug discovery services market. Asia Pacific is projected to grow at the fastest rate

during the forecast period 2019–2025.

Global Drug Discovery Services Market Research Competitive Analysis: The

market is growing at a steady rate with a CAGR of 11.7% during the forecast period

2019–2025. The increasing burden of disease and the need for new therapeutic

drugs have led to an increase in collaboration between companies for drug

discovery services. For instance, in September 2019, German-based Evotec entered

into a multi-year drug discovery collaboration agreement with Japanese pharma

company Takeda Pharmaceutical Company Limited. According to the collaboration

terms, Evotec will leverage its technology platform to establish five drug discovery

programs in the field of oncology, neuroscience, gastroenterology, and rare

diseases, which Takeda will advance into clinical development.

East Midlands’ life sciences researchers and GSK entered into a strategic research

collaboration for lung disease in February 2018, and the partnership is expected to

accelerate discovery and development of innovative treatments