Biopharmaceutical Third Party Logistics Market Size, Share & Trends Analysis Report By Supply Chain (Cold Chain, Non-cold Chain), By Service Type (Transportation, Warehousing And Storage)- Global Industry Analysis, Share, Growth, Regional Outlook and Forecasts, 2021-2027

The global Biopharmaceutical Third Party Logistics market gathered revenue around USD 94.1 Billion in 2020 and market is set to grow USD 140.2 Billion by the end of 2027 and is estimated to expand at a modest CAGR of 7.9% during the prediction period 2021 to 2027.

Growth Factors:

The rising trend of outsourcing logistics, the focus of pharmaceutical players on their distribution network owing to its strong sales numbers, and the rise in the number of biosimilar launches are some of the key factors driving the market.

Technological advancements are also one of the key factors driving the adoption of temperature management logistic services. Technologies, such as warehouse robotics, mobile cloud solutions, data mining, and real-time monitoring have changed the overall logistics industries to a great extent. These advanced vehicles are designed to automate and provide temperature control systems during transportation that help in reducing complexities, human error, and damage to products in transit. Thus, these monitoring solutions allow visibility that can converse breaches through automatic alerts by providing information to execute contingency plans.

Pharmaceutical products are often temperature-sensitive, which require monitoring up to the stage of delivery through a tracking device. For instance, Onset, a supplier of monitoring solutions and data loggers introduced the InTemp CX400 series mobile app for its pharmaceutical cold chain monitoring products. The app allows users to view temperature data from CX400 loggers and set alarms from their mobile devices to get notifications regarding temperature excursions. The company recently announced its availability for Android devices.

This research report purposes at stressing the most lucrative growth prospects. The aim of the research report is to provide an inclusive valuation of the Biopharmaceutical Third Party Logistics market and it encompasses thoughtful visions, actualities, industry-validated market findings, historic data, and prognoses by means of appropriate set of assumptions and practice. Global Biopharmaceutical Third Party Logistics market report aids in comprehending market structure and dynamics by recognizing and scrutinizing the market sectors and predicted the global market outlook.

Report Coverage

Report Scope Details
Market Size USD 140.2 Billion by 2027
Growth Rate CAGR of 7.9% From 2021 to 2027
Base Year 2020
Forecast Period 2021 to 2027
Historic Data 2017 to 2020
Report coverage Growth Factors, Revenue Status, Competitive Landscape,  and Future Trends
Segments Covered Supply chain, service type and Region
Regional Scope North America, Europe, Asia Pacific, Latin America, Middle East & Africa (MEA)
Companies Mentioned DHL International GmbH.; SF Express; United Parcel Service of America, Inc.; AmerisourceBergen Corporation; DB Schenker; Kuehne and Nagel; Kerry logistics network limited; Agility

COVID-19 Impact Assessment on Market Landscape

The report comprises the scrutiny of COVID-19 lock-down impact on the income of market leaders, disrupters and followers. Since lock down was instigated differently in diverse regions and nations, influence of same is also dissimilar across various industry verticals. The research report offers present short-term and long-term influence on the market to assist market participants across value chain makers to formulate the framework for short term and long-lasting tactics for recovery and by region.

Biopharmaceutical Third Party Logistics market Report empowers readers with all-inclusive market intelligence and offers a granular outline of the market they are operational in. Further this research study delivers exceptional combination of tangible perceptions and qualitative scrutiny to aid companies accomplishes sustainable growth. This report employs industry-leading research practices and tools to assemble all-inclusive market studies, intermingled with pertinent data. Additionally, this report also emphases on the competitive examination of crucial players by analyzing their product portfolio, pricing, gross margins, financial position, growth approaches, and regional occurrence.

Segments covered analysis

By Supply Chain analysis:

In 2020, the non-cold chain logistics segment dominated the market for biopharmaceutical third-party logistics (3PL) and contributed to the largest revenue share of 80.2%. This is owing to an increase in pharmaceutical sales through distributors. 3PL services provide greater scalability, higher visibility, reduce overall operating costs, and help develop a stronger logistics network with higher returns and lower risks. Therefore, 3PL has become an integral part of the business strategy of pharmaceutical companies. The other factor that has propelled the non-cold chain segment is the growing number of SKUs per distributors that do not require temperature control transportation, unlike biologics.

The cold chain is projected to be the fastest-growing supply chain segment with a CAGR of 8.6% in the market for biopharmaceutical third-party logistics (3PL) over the forecast period. This is majorly owing to the rising demand for a new class of drugs, called biologics that have shown tremendous growth over the past few years.

By Service Type analysis:

In 2020, the warehousing and storage segment dominated the market for biopharmaceutical third-party logistics (3PL) and held the largest revenue share of 43.6%. This is attributed to a large demand for 3PL services from the pharmaceutical and healthcare industry. To reduce the operating costs and the company’s overheads, the life sciences companies are opting for third party logistic services. With a surge in demand, the service providers have enhanced their offerings with many value-added services, such as warehousing and packaging. Moreover, to minimize the hassle and to reduce the turnaround time, the providers have installed barcode scanners and robots for picking and aligning the products from distant locations.

The other segment is projected to expand at a lucrative CAGR of 6.2% in the market for biopharmaceutical third-party logistics (3PL) over the forecast period. Packaging, custom and duty management, procurement services, and a few other values added services are included in this segment

Regional analysis:

North America dominated the biopharmaceutical third-party logistics (3PL) market and accounted for the largest revenue share of 41.2% in 2020. This is majorly attributed to the dominance of the region in the biologics and pharmaceutical drugs market and an increase in exports and imports for biopharmaceuticals. Furthermore, owing to high healthcare expenditure, the adoption of advanced technologies is quite high in the region. Thus, for the improvement of warehousing and transportation, North America based pharmaceutical companies are relying more on 3PL services providers, which is driving the regional growth. Additionally, the presence of major players is also responsible for the growth of the market for biopharmaceutical third-party logistics (3PL) in the region.

In Asia Pacific, the market for biopharmaceutical third-party logistics (3PL) witnessed the second largest revenue of USD 15.2 billion in 2020 and is also expected to witness the fastest CAGR of 7.1% over the forecast period. Growing demand for medicines among the aging population, adoption of technologically advanced services, and growing economic conditions in emerging countries such as China and India are among the few factors responsible for its fastest growth rate.

Competitive Rivalry

Foremost players in the market are attentive on adopting corporation strategies to enhance their market share. Some of the prominent tactics undertaken by leading market participants in order to sustain the fierce market completion include collaborations, acquisitions, substantial spending in R&D and the improvement of new-fangled products or reforms among others.

Major manufacturers & their revenues, percentage splits, market shares, growth rates and breakdowns of the product markets are determined through secondary sources and verified through the primary sources.

  • Company Overview
  • Company Market Share/Positioning Analysis
  • Product Offerings
  • Financial Performance
  • Recent Initiatives
  • Key Strategies Adopted by Players
  • Vendor Landscape
  • List of Suppliers
  • List of Buyers

Some of the prominent players in the Biopharmaceutical Third Party Logistics Market include: DHL International GmbH.; SF Express; United Parcel Service of America, Inc.; AmerisourceBergen Corporation; DB Schenker; Kuehne and Nagel; Kerry logistics network limited; Agility

Segments Covered in the Report

This research report offers market revenue, sales volume, production assessment and prognoses by classifying it on the basis of various aspects. Further, this research study investigates market size, production, consumption and its development trends at global, regional, and country level for the period of 2017 to 2027 and covers subsequent region in its scope:

  • Supply Chain Outlook (Revenue, USD Billion, 2016 - 2028)
    • Cold Chain
    • Non-cold Chain
  • Service Type Outlook (Revenue, USD Billion, 2016 - 2028)
    • Transportation
      • Air Freight
      • Sea Freight
      • Overland
    • Warehousing and Storage
    • Others

By Geography

North America

  • U.S.
  • Canada

Europe

  • Germany
  • France
  • United Kingdom
  • Rest of Europe

Asia Pacific

  • China
  • Japan
  • India
  • Southeast Asia
  • Rest of Asia Pacific

Latin America

  • Brazil
  • Rest of Latin America

Middle East & Africa (MEA)

  • GCC
  • North Africa
  • South Africa
  • Rest of Middle East & Africa

Highlights of the Report:

  • Market Penetration: Comprehensive information on the product portfolios of the top players in the market.
  • Product Development/Innovation: Detailed insights on the upcoming technologies, R&D activities, and product launches in the market
  • Competitive Assessment: In-depth assessment of the market strategies, geographic and business segments of the leading players in the market
  • Market Development: Comprehensive information about emerging markets. This report analyzes the market for various segments across geographies
  • Market Diversification: Exhaustive information about new products, untapped geographies, recent developments, and investments in the market

Research Methodology

In the study, a unique research methodology is utilized to conduct extensive research on the growth of the Biopharmaceutical Third Party Logistics market, and reach conclusions on the future growth parameters of the market. This research methodology is a combination of primary and secondary research, which helps analysts ensure the accuracy and reliability of the conclusions.

Secondary resources referred to by analysts during the production of the Biopharmaceutical Third Party Logistics market study are as follows - statistics from government organizations, trade journals, white papers, and internal and external proprietary databases. Analysts have also interviewed senior managers, product portfolio managers, CEOs, VPs, marketing/product managers, and market intelligence managers, all of whom have contributed to the development of this report as a primary resource.

Comprehensive information acquired from primary and secondary resources acts as a validation from companies in the market, and makes the projections on the growth prospects of the Biopharmaceutical Third Party Logistics markets more accurate and reliable.

Secondary Research

It involves company databases such as Hoover's: This assists us recognize financial information, structure of the market participants and industry competitive landscape.

The secondary research sources referred in the process are as follows:

  • Governmental bodies, and organizations creating economic policies
  • National and international social welfare institutions
  • Company websites, financial reports and SEC filings, broker and investor reports
  • Related patent and regulatory databases
  • Statistical databases and market reports
  • Corporate Presentations, news, press release, and specification sheet of Manufacturers

Primary Research

Primary research includes face-to face interviews, online surveys, and telephonic interviews.

  • Means of primary research: Email interactions, telephonic discussions and Questionnaire based research etc.
  • In order to validate our research findings and analysis we conduct primary interviews of key industry participants. Insights from primary respondents help in validating the secondary research findings. It also develops Research Team’s expertise and market understanding.

Industry participants involved in this research study include:

  • CEOs, VPs, market intelligence managers
  • Procuring and national sales managers technical personnel, distributors and resellers
  • Research analysts and key opinion leaders from various domains

Key Points Covered in Biopharmaceutical Third Party Logistics Market Study:

  • Growth of Biopharmaceutical Third Party Logistics in 2021
  • Market Estimates and Forecasts (2017-2027)
  •  Brand Share and Market Share Analysis
  •  Key Drivers and Restraints Shaping Market Growth
  •  Segment-wise, Country-wise, and Region-wise Analysis
  •  Competition Mapping and Benchmarking
  •  Recommendation on Key Winning Strategies
  •  COVID-19 Impact on Demand for Biopharmaceutical Third Party Logistics and How to Navigate
  •  Key Product Innovations and Regulatory Climate
  •  Biopharmaceutical Third Party Logistics Consumption Analysis
  •  Biopharmaceutical Third Party Logistics Production Analysis
  •  Biopharmaceutical Third Party Logistics and Management