Press Releases

Global Market For Biologics To Reach Nearly $252 Billion In 2017

December 27, 2012

 

Wellesley, Mass. – According to a new technical market research report, BIOLOGIC THERAPEUTIC DRUGS: TECHNOLOGIES AND GLOBAL MARKETS (BIO079B), from BCC Research (www.bccresearch.com), the market for biologics was valued at $150 billion in 2011 and should reach $163 billion in 2012. Total market value is expected to reach $252 billion in 2017 after increasing at a five-year compound annual growth rate of 9%.

The market for biologics can be broken down by the three product types: monoclonal antibodies (mAbs), therapeutic proteins, and vaccines.

The monoclonal antibodies segment should reach nearly $51.5 billion in 2012 and $89.9 billion in 2017, a CAGR of 11.8%.

Therapeutic proteins are expected to have a value of $78.8 billion in 2012 and nearly $113.4 billion in 2017, a CAGR of 7.5%.

As a segment, vaccines are expected to be valued at nearly $33 billion in 2012 and nearly $49 billion in 2017, a CAGR of 8%.

Because small molecules are typically orally available, they can be prescribed by a primary-care physician and self-administered at home. This means that predominantly small-molecule-focused drug companies need large sales forces to address the large number of primary-care physicians, with obvious consequences for structure and costs. Further, because small molecules can be synthesized by high-throughput chemical processes or large-volume fermentation, the cost of goods of these products is likely to be exceedingly low.

By contrast, biologics (also termed biopharmaceuticals) are generally administered intravenously and, therefore, require assistance from medical personnel, with a few obvious exceptions; for example, self-administered insulin. Biopharma drug sales forces tend to be focused on the hospital sector and can be considerably smaller in size.

Concurrently, biologic therapies can be far more expensive to manufacture and require longer processing times. As a result, the margins for biologics are often much lower. In many cases, however, pricing has been matched with the investment required to research, develop, and manufacture these large-molecule products.

This report will help its readers:

  • Investigate one of the most important market drivers: specific product reviews of those programs expected to dominate the biopharmaceutical marketplace in the coming years
  • Analyze a changing market dynamic, emerging players and technologies, strategies for accessing emerging markets, and specific disease segments and geographies in order to allocate resources and make effective decisions. 

This report will be valuable to many industry participants, including the following:

  • Established companies in the industry shall benefit from the contents, including corporate strategy, sales and marketing, business development, and research and development (R&D)
  • Emerging biopharma and biotechnology players in the segment must understand specific opportunities for out-licensing, originating from the elements of differentiation of their therapeutic drug as compared to leading, competitive, and emerging therapies. As well, market forecasts can support investment, provided a thorough and detailed substantiation is provided for the market forecast, as is found in this study
  • Investment firms evaluating candidates for venture capital or hedged investments will gain insights as to the opportunity and risks that are being encountered in the industry in a product- and company-specific analysis
  • Equity analysts are provided detailed forecasts for the next five years, substantiated by quantitative analysis that can support further analysis to product and company forecasts over the short and long run.

SUMMARY FIGURE
GLOBAL BIOLOGICS MARKET FORECAST BY TYPE OF PRODUCT, 2009-2017
($ MILLIONS)
GLOBAL BIOLOGICS MARKET FORECAST BY TYPE  OF PRODUCT, 2009-2017
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Source: BCC Research

Biologic Therapeutic Drugs: Technologies and Global Markets( BIO079B )
Publish Date: Jan 2013    

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