The global preclinical CRO market size was exhibited at USD 5.33 billion in 2022 and is projected to hit around USD 10.60 billion by 2032, growing at a CAGR of 7.11% during the forecast period 2023 to 2032.
Key Pointers:
Preclinical CRO Market Report Scope
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Report Coverage |
Details |
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Market Size in 2023 |
USD 5.71 Billion |
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Market Size by 2032 |
USD 10.60 Billion |
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Growth Rate From 2023 to 2032 |
CAGR of 7.11% |
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Base Year |
2022 |
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Forecast Period |
2023 to 2032 |
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Segments Covered |
Service, Model type, End-use |
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Regional Scope |
North America; Europe; Asia Pacific; Central and South America; the Middle East and Africa |
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Key Companies Profiled |
SGS SA (SGS); Charles River Laboratories International, Inc.; Eurofins Scientific; PRA Health Sciences, Inc.; Wuxi AppTec; Medpace, Inc.; Pharmaceutical Product Development (PPD), LLC; Intertek Group Plc (IGP); Crown Bioscience and Laboratory Corporation of America, Inc. |
Increased R&D budget for drug development is leading to rising demand for preclinical contract research organization (CRO) services, thus boosting the market growth during the forecast period. The surge in the number of preclinical trials involving large molecules and the growing need to curb R&D expense is expected to contribute to the growing demand for quality preclinical CRO. The ongoing COVID-19 pandemic initially disrupted preclinical research projects, especially during the first quarter of 2020. Nevertheless, lifesaving drugs are developing and are brought to market swiftly.
Over the years, there has been a significant change in the process of drug approval by the Food and Drug Administration (FDA). Recently, the 21st Century Cures bill was passed in the U.S., which fastened the approval process for the launch of breakthrough drugs and medical devices. These changes in approval processes are expected to drive innovation and are also anticipated to increase demand for preclinical services, thereby contributing to market growth.
With regards to the COVID-19 vaccine itself, preclinical studies have been performed at an exponential speed, indicative of the overwhelming role of CROs. Increasing spending on CRO services is expected to boost the market growth significantly during the forecast period. The growing demand for drugs for COVID-19 is further contributing to the market growth. Different organizations across the globe had made significant funding for developing therapeutics and medical devices for COVID-19. For instance, in April 2021, the WHO in the R&D Blueprint of COVID-19 reported that over USD 1,618.5 million was funded for COVID-19 vaccine research. Such initiatives are likely to profit from the market growth.
Service Insights
The toxicology testing segment accounted for the largest revenue share of 26.48% of the global preclinical CRO market in 2022, owing to a rise in outsourcing of noncore preclinical CRO studies and high adoption of toxicology tests. Toxicology is one of the key services, which is being outsourced to CROs owing to the improved capabilities of CROs to conduct toxicology tests. The growing rate of outsourcing noncore preclinical studies to the CROs and the growing capabilities of CROs to offer additional value-added services is expected to propel the growth of this segment during the forecast period.
The bioanalysis and DMPK studies segment is expected to register the fastest CAGR of 8.6% during the forecast period. The segment is expected to witness lucrative growth on account of a rise in the demand for pharmacokinetic services to support toxicology tests for IND-enabling studies. In addition, bioanalysis and DMPK studies are vital in the entire drug development process. They are performed in every stage of the drug development process and are not confined to the preclinical phase. These factors are further contributing to the segment growth.
Model Type Insights
The Patient Derived Organoid (PDO) Model segment held the largest share of 81.47% in 2022. The growing impact of the patient-derived organoid (PDO) model is due to the use of direct derived cells and tissues from the patient. This helps in personalized healthcare and the specimens can be cryopreserved. For these reasons, they are becoming an essential part of preclinical studies as they help in quicker diagnosis and prognosis of malignancy.
The Patient derived xenograft model market has been analyzed to grow steadily during the forecast period. This is attributed to the growing number of CROs maintaining an in-house inventory of immunodeficient mice with patient-derived xenografts (PDXs). Furthermore, this type of analysis allows for researchers to co-relate the laboratory research with humans, owing to the maintenance of the original genetic makeup of the tumor cells. Also, the responses observed in clinical trials among patients have been found to correlate with the responses in these patient-derived xenografts, which in turn allows for a better safety profile and thus expedites the approval of New Drug Investigation (NDA).
End-use Insights
The biopharmaceutical companies segment is expected to hold the largest market share of 81.49% in 2022. The increasing trend of outsourcing end-to-end services among biopharmaceutical companies, especially amongst the small- and mid-size companies that lack sufficient expertise in the preclinical phase of drug development, is expected to boost the demand for preclinical CRO services in the future.
The government and academic institutes segment is estimated to register the fastest growth of 8.3% during the forecast period. Academia and government bodies play a crucial role in the preclinical phase of discovery and development. In addition, an increasing number of academic organizations and government bodies outsourcing preclinical services to CROs will boost the segment growth. Academic institutes are one of the major sources of revenue for big CROs, such as Charles River Laboratories and LabCorp.
Regional Insights
North America accounts for the largest share of 48.64% in 2022 owing to the presence of established CROs specializing in early drug discovery, such as Charles River Laboratories and LabCorp. The U.S. is the biggest market for preclinical trial outsourcing, as several biopharmaceutical companies prefer outsourcing their preclinical trials to CROs based in the U.S., to seek benefit from the Investigational New Drug (IND) application, approved by the FDA.
Asia Pacific is also anticipated to grow with the fastest rate of 10.11% during the forecast period. The changing business model of MNC outsourcing and the rising cost of R&D is expected to increase preclinical outsourcing in the Asia Pacific, owing to the cost efficiency offered by CROs in countries such as India and China. Established companies located in Western Europe and the U.S. pursue analytical services, site research development, and clinical activities in the Asia Pacific region in order to reduce the cost associated with research.
Some of the prominent players in the Preclinical CRO Market include:
Segments Covered in the Report
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2032. For this study, Nova one advisor, Inc. has segmented the global Preclinical CRO market.
By Service
By Model Type
By End-use
By Region
Chapter 1 Methodology and Scope
1.1 Market Segmentation & Scope
1.1.1 Regional Scope
1.1.2 Estimates And Forecast Timeline
1.2 Research Methodology
1.3 Information Procurement
1.3.1 Purchased Database
1.3.2 Nova one advisor’s Internal Database
1.3.3 Secondary Sources
1.3.4 Primary Research
1.3.5 Details Of Primary Research
1.4 Information Or Data Analysis
1.4.1 Data Analysis Models
1.5 Market Formulation & Validation
1.6 Model Details
1.6.1 Commodity Flow Analysis (Model 1)
1.6.2 Volume Price Analysis (Model 2)
1.7 List of Secondary Sources
1.8 List of Primary Sources
1.9 List of Abbreviations
1.10 Objectives
1.10.1 Objective - 1
1.10.2 Objective - 2
1.10.3 Objective - 3
1.10.4 Objective - 4
Chapter 2 Executive Summary
2.1 Market Outlook
Chapter 3 Preclinical CRO Market: Variables, Trends, & Scope
3.1 Segment Outlook
3.2 Penetration & Growth Prospect Mapping
3.3 Market Dynamics
3.3.1 Market Driver Analysis
3.4 Rising R&D offshoring
3.4.1.1 Rising outsourcing trend
3.4.1.2 Life sciences companies focusing on their core competencieS
3.4.2 Market Restraint Analysis
3.4.2.1 Monitoring issues and lack of standardization
3.5 Preclinical CRO Market Analysis Tools
3.5.1 Porter’s Five Forces Analysis
3.5.2 Industry Analysis Porter’s
3.5.2.1 Competitor rivalry (High)
3.5.2.2 Bargaining power of buyers(high)
3.5.2.3 Bargaining power of suppliers(Low)
3.5.2.4 Threat of substitutes (low)
3.5.2.5 Threat of new entrants (Low)
3.5.3 PESTEL Analysis
3.5.3.1 PESTLE Analysis
3.5.3.1.1 Political And LegaL
3.5.3.1.1.1 Strengths
3.5.3.1.1.2 Weaknesses
3.5.3.1.1.3 Opportunities
3.5.3.1.1.4 Threats
3.5.3.1.2 Economic
3.5.3.1.2.1 Strengths
3.5.3.1.2.2 Weaknesses
3.5.3.1.2.3 Opportunities
3.5.3.1.2.4 Threats
3.5.3.1.3 Social and Environmental
3.5.3.1.3.1 Strengths
3.5.3.1.3.2 Weaknesses
3.5.3.1.3.3 Opportunities
3.5.3.1.3.4 Threats
3.6 COVID-19 Impact Analysis
Chapter 4 Preclinical CRO Market: Service Segment Analysis
4.1 Definitions & Scope
4.2 Preclinical CRO: Market Service Share Analysis, 2023 & 2032
4.3 Bioanalysis and DMPK Studies
4.3.1 Bioanalysis and DMPK studies market, 2020 - 2032
4.3.2 In-vitro ADME
4.3.2.1 In-vitro Adme Market, 2020 - 2032
4.3.3 In-Vivo Pk
4.3.3.1 In-Vivo Pk Market, 2020 - 2032
4.4 Toxicology Testing
4.4.1 Toxicology Testing Market, 2020 - 2032
4.4.2 Glp
4.4.2.1 Glp Market, 2020 - 2032
4.4.3 Non-Glp
4.4.3.1 Non-Glp Market, 2020 - 2032
4.5 Compound Management
4.5.1 Compound Management Companies market, 2020 - 2032
4.5.2 Process R&D
4.5.2.1 Process r&D Market, 2020 - 2032
4.5.3 Custom Synthesis
4.5.3.1 Custom Synthesis Market, 2020 - 2032
4.5.4 Others
4.5.4.1 Others Market, 2020 - 2032
4.6 Chemistry
4.6.1 Chemistry Testing Market, 2020 - 2032
4.6.2 Medicinal Chemistry
4.6.2.1 Medicinal Chemistry Market, 2020 - 2032
4.6.3 Computation Chemistry
4.6.3.1 Computation Chemistry Market, 2020 - 2032
4.7 Safety Pharmacology
4.7.1 Safety Pharmacology market, 2020 - 2032
4.8 Others
4.8.1 Others market, 2020 - 2032
Chapter 5 Preclinical CRO Market: Model Type Segment Analysis
5.1 Definition & Scope
5.2 Preclinical CRO: Market Model Type Share Analysis, 2023 & 2032
5.3 Patient Derived Organoid (PDOs) Models
5.3.1 Patient Derived Organoid (PDOs) Models market, 2020 - 2032
5.4 Patient Derived Xenograft (PDX) Models
5.4.1 Patient Derived Xenograft (PDX) Models market, 2020 - 2032
Chapter 6 Preclinical CRO Market: End-use Segment Analysis
6.1 Definitions & Scope
6.2 Preclinical CRO: Market End-use Share Analysis, 2023 & 2032
6.3 Biopharmaceutical Companies
6.3.1 Biopharmaceutical companies market, 2020 - 2032
6.4 Government and Academic Institutes
6.4.1 Government and Academic Institutes market, 2020 - 2032
6.5 Medical Device Companies
6.5.1 Medical Device Companies market, 2020 - 2032
Chapter 7 Preclinical CRO Market: Regional Analysis
7.1 Preclinical CRO: Market Share Analysis, 2023 & 2032
7.2 North America
7.2.1 North America Preclinical CRO market, 2020 - 2032
7.2.2 U.S.
7.2.2.1 U.S. Preclinical CRO market, 2020 - 2032
7.2.3 Canada
7.2.3.1 Canada preclinical CRO market, 2020 - 2032
7.3 Europe
7.3.1 Europe preclinical CRO market, 2020 - 2032
7.3.2 UK
7.3.2.1 UK preclinical CRO market, 2020 - 2032
7.3.3 Germany
7.3.3.1 Germany Preclinical CRO market, 2020 - 2032
7.3.4 France
7.3.4.1 France preclinical CRO market, 2020 - 2032
7.3.5 Italy
7.3.5.1 Italy preclinical CRO market, 2020 - 2032
7.3.6 Spain
7.3.6.1 Spain preclinical CRO market, 2020 - 2032
7.4 Asia Pacific
7.4.1 Asia Pacific Preclinical CRO Market, 2020 - 2032
7.4.2 Japan
7.4.2.1 Japan Preclinical CRO Market, 2020 - 2032
7.4.3 China
7.4.3.1 China Preclinical CRO Market, 2020 - 2032
7.4.4 India
7.4.4.1 India Preclinical CRO Market, 2020 - 2032
7.4.5 Australia
7.4.5.1 Australia Preclinical CRO Market, 2020 - 2032
7.4.6 South Korea
7.4.6.1 South Korea Preclinical CRO Market, 2020 - 2032
7.5 Latin America
7.5.1 Latin America Preclinical CRO Market, 2020 - 2032
7.5.2 Brazil
7.5.2.1 Brazil Preclinical CRO Market, 2020 - 2032
7.5.3 Mexico
7.5.3.1 Mexico Preclinical CRO Market, 2020 - 2032
7.5.4 Argentina
7.5.4.1 Argentina Preclinical CRO Market, 2020 - 2032
7.6 MEA
7.6.1 MEA Preclinical CRO Market, 2020 - 2032
7.6.2 South Africa
7.6.2.1 South Africa Preclinical CRO market, 2020 - 2032
7.6.3 Saudi Arabia
7.6.3.1 Saudi Arabia Preclinical CRO market, 2020 - 2032
Chapter 8 Company Profiles
8.1 Company Profiles
8.1.1 WuXi AppTec, Inc. (WAI)
8.1.1.1 Company overview
8.1.1.2 Financial performance
8.1.1.3 Service benchmarking
8.1.1.4 Strategic initiatives
8.1.2 LABCORP
8.1.2.1 Company overview
8.1.2.2 Financial performance
8.1.2.3 Service benchmarking
8.1.2.4 Strategic initiatives
8.1.3 Eurofins scientific se
8.1.3.1 Company overview
8.1.3.2 Financial performance
8.1.3.3 Service benchmarking
8.1.3.4 Strategic initiatives
8.1.4 Medpace holdings inc.
8.1.4.1 Company overview
8.1.4.2 Financial performance
8.1.4.3 Service benchmarking
8.1.5 Charles River Laboratories International, Inc.
8.1.5.1 Company overview
8.1.5.2 Financial performance
8.1.5.3 Service benchmarking
8.1.5.4 Strategic initiatives
8.1.6 Intertek group plc (igp)
8.1.6.1 Company overview
8.1.6.2 Financial performance
8.1.6.3 Service benchmarking
8.1.6.4 Strategic initiatives
8.1.7 SGA SA
8.1.7.1 Company overview
8.1.7.2 Financial performance
8.1.7.3 Service benchmarking
8.1.7.4 Strategic initiatives
8.1.8 PPD (THERMO FISHER SCIENTIFIC, INC.)
8.1.8.1 Company overview
8.1.8.2 Financial performance
8.1.8.3 Service benchmarking
8.1.8.4 Strategic initiatives
8.1.9 PRA Health Sciences, INC. (ICON plc)
8.1.9.1 Company overview
8.1.9.2 Financial performance
8.1.9.3 Service benchmarking
8.1.9.4 Strategic Initiatives
8.1.10 CROwn bioscience
8.1.10.1 Company overview
8.1.10.2 Financial performance
8.1.10.3 Service benchmarking
8.1.10.4 Strategic initiatives
Cross-segment Market Size and Analysis for
Mentioned Segments
Additional Company Profiles (Upto 5 With No Cost)
Additional Countries (Apart From Mentioned Countries)
Country/Region-specific Report
Go To Market Strategy
Region Specific Market DynamicsRegion Level Market Share Import Export AnalysisProduction AnalysisOthers