Healthcare Analytical Testing Services Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 11.61 Billion |
| Market Size (2029) | USD 19.27 Billion |
| CAGR (2024 - 2029) | 10.68 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Healthcare Analytical Testing Services Market Analysis
The Healthcare Analytical Testing Services Market size is estimated at USD 11.61 billion in 2024, and is expected to reach USD 19.27 billion by 2029, at a CAGR of 10.68% during the forecast period (2024-2029).
The rising trend of pharmaceutical and medical device companies outsourcing analytical testing services, an uptick in clinical trials necessitating such testing, and an intensified emphasis on biosimilars are some factors that drive the market growth.
The increase in clinical trials for developing new drugs is anticipated to boost the need for pharmaceutical analytical services and contribute to market growth. For instance, in February 2024, according to clinicaltrials.gov, there were 481,599 studies from locations comprising 50 states and 223 countries.
Moreover, the major factor contributing to the growth of the market studied is the increased necessity for specific types of tests in R&D activities and the increasing trend of outsourcing laboratory testing services. Due to the increasing trend of outsourcing laboratory testing services, companies are expanding their market share by offering various types of services and solutions. Additionally, major players are focusing on different strategies, such as mergers, acquisitions, and other developments. For instance, in October 2024, Synexa Life Sciences has acquired Alderley Analytical Ltd, marking a significant step in Synexa's 'buy and build' growth strategy. The services offered by Alderley Analytical enhance Synexa Life Sciences' existing expertise in biomarker and bioanalytical assays, which encompass DNA, RNA, protein, cell, and tissue analysis.
Therefore, owing to the aforementioned factors, such as the rise in clinical trials, strategic acqisition, the studied market is anticipated to grow over the forecast period. However, the complex regulatory framework for maintaining laboratories and challenges in developing proper analytical techniques will likely impede market growth.
Healthcare Analytical Testing Services Market Trends
Stability Testing Segment is Expected to Dominate the Healthcare Analytical Testing Services Market During the Forecast Period
Stability testing evaluates a drug's ability to maintain its properties throughout its shelf life. Conducting stability studies is crucial in developing new drugs, existing drugs, and formulations. Hence, the rising number of clinical trials and increasing focus to know the effectiveness of existing drugs are likely to drive the segment growth. By conducting stability testing during clinical trials or in marketed products, potential risks related to product degradation or changes can be identified early, allowing for appropriate modifications and ensuring patient safety. For instance, in March 2024, Valisure LLC, an independent testing laboratory, recently announced the discovery of high levels of benzene in various benzoyl peroxide acne products from major brands such as Proactiv, Clinique, Clearasil, and more through stability testing. The discovery has since raised concerns about the safety and regulation of acne products containing benzoyl peroxide. This fact highlighted the importance of stability testing to ensure product safety.
Further, factors such as government initiatives and guidelines promoting stability testing, coupled with its advantages, expansion of the services by the key players, and strategies adopted by market players, are poised to drive growth in this segment during the forecast period. For instance, in January 2024, an article in the Legal World reported that India's Union Health Ministry updated the Schedule M guidelines under the Drugs and Cosmetics Act of 1940. These revisions underscore the importance of stability testing for drug substances to ensure they meet quality and efficacy standards.
Additionally, key players' strategic initiatives, such as service expansion, approvals, and partnerships, are expected to fuel the segment's growth. For instance, In February 2024, SGS SA introduced a new stability studies service tailored for the biopharmaceuticals industry at its Birsfelden Lab in Switzerland.
Therefore, the aforementioned factors, such as government initiatives, market players' strategies, and the effectiveness of pharmaceutical product stability testing, are anticipated to drive the segment growth over the forecast period.
North America is Expected to Dominate the Healthcare Analytical Testing Services Market During the Forecast Period
North America is expected to dominate the bioanalytical testing services market, and this trend is expected to continue over the forecast period. This can be majorly attributed to the growing demand for bioanalytical services with a high volume of ongoing research activities and clinical trials, which is expected to fuel the market growth in the region.
Moreover, the increasing number of R&D activities, investments, and strategic initiatives taken by the market players in the region is also likely to drive the market. For instance, in March 2024, LGM Pharma revealed an investment of over USD 2 million in its standalone analytical testing services. This move coincided with the launch of new suppository manufacturing capabilities, expanding its contract development and manufacturing portfolio.
Moreover, the region's need for analytical services is growing due to increased clinical research activities and drug approvals. For instance, in January 2024, the United States Food and Drug Administration's Center for Drug and Evaluation approved 55 new drugs in 2023, which are indicated for treating various infectious diseases. The analytical testing ensures high-quality and safe drug development. Thus, the significant number of drug approvals and clinical trials in the region is anticipated to boost the market growth in the area during the forecast period.
Therefore, the increasing number of product approvals and investment by the companies to expand their services are expected to boost the demand for healthcare analytical testing services market growth in the North American region.
Healthcare Analytical Testing Services Industry Overview
The healthcare analytical testing services market is moderately competitive and consists of a few major players. Companies Charles River Laboratories, Eurofins Scientific, Laboratory Corporation of America Holdings, Intertek Group, and SGS SA, hold substantial market shares in the healthcare analytical testing services market
New product developments, acquisitions, collaborations, and regional expansions are some of the key strategic initiatives undertaken by major players to maintain stability in the market.
Healthcare Analytical Testing Services Market Leaders
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Charles River Laboratories
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Eurofins Scientific
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Laboratory Corporation of America Holdings
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Intertek Group
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SGS SA
*Disclaimer: Major Players sorted in no particular order
Healthcare Analytical Testing Services Market News
- October 2024: Almac Group announced a USD 11.61 million investment aimed at enhancing its global analytical services. The expansion includes establishing new laboratory space at its Craigavon headquarters and upgrading existing labs across all sites with specialized instruments and techniques.
- November 2023: GBA Group, a life sciences company, has secured a substantial stake in the Indian startup, Eureka Analytical Services, a provider of testing, inspection, and auditing services for food, agricultural commodities, feed, nutraceuticals, pharmaceuticals, and environment. This investment marks the entry of the GBA Group in India.
Healthcare Analytical Testing Services Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Rising Demand for Outsourcing Analytical Services
4.2.2 Increasing Focus on Personalized Medicines
4.3 Market Restraints
4.3.1 Complex Regulatory Framework for Maintaining Laboratories
4.4 Porter's Five Force Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION (Market Size by Value - USD)
5.1 By Type
5.1.1 Bioanalytical Testing Services
5.1.1.1 Pharmacokinetic & Toxicokinetic Testing
5.1.1.2 Biomarker Testing
5.1.1.3 Bioassay Testing
5.1.1.4 Others
5.1.2 Stability Testing
5.1.2.1 Drug Substance Stability Testing
5.1.2.2 Photostability Testing Services
5.1.2.3 Others
5.1.3 Batch-release Testing
5.1.3.1 Hardness Testing Services
5.1.3.2 Dissolution Testing Services
5.1.3.3 Others
5.1.4 Raw Material Testing Services
5.1.5 Microbial Testing
5.1.6 Others
5.2 By End User
5.2.1 Pharmaceutical and Biotecnology Companies
5.2.2 Medical Device Companies
5.2.3 Hospitals & Clinics
5.2.4 Others
5.3 Geography
5.3.1 North America
5.3.1.1 United States
5.3.1.2 Canada
5.3.1.3 Mexico
5.3.2 Europe
5.3.2.1 Germany
5.3.2.2 United Kingdom
5.3.2.3 France
5.3.2.4 Italy
5.3.2.5 Spain
5.3.2.6 Rest of Europe
5.3.3 Asia-Pacific
5.3.3.1 China
5.3.3.2 Japan
5.3.3.3 India
5.3.3.4 Australia
5.3.3.5 South Korea
5.3.3.6 Rest of Asia-Pacific
5.3.4 Middle East and Africa
5.3.4.1 GCC
5.3.4.2 South Africa
5.3.4.3 Rest of Middle East and Africa
5.3.5 South America
5.3.5.1 Brazil
5.3.5.2 Argentina
5.3.5.3 Rest of South America
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 Intertek Group plc
6.1.2 Eurofins Scientific
6.1.3 Laboratory Corporation of America Holdings
6.1.4 Charles River Laboratories
6.1.5 Parexel International Corporation
6.1.6 Toxikon, Inc.
6.1.7 Pace Analytical Services, LLC
6.1.8 SGS SA
6.1.9 Laboratory Testing Inc.
6.1.10 Frontage Laboratories Inc.
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Healthcare Analytical Testing Services Industry Segmentation
As per the scope of the report, healthcare analytical testing services refer to a range of laboratory and diagnostic services provided to the healthcare industry to assess the quality, safety, and efficacy of various healthcare products, methods and services.
The healthcare analytical testing services market is segmented as type into bioanalytical testing services, stability testing, batch-release testing, raw material testing services, microbial testing, and others. In term of end user, the market is segmented as pharmaceuticals & biotechnology companies, medical device companies, hospitals & clinics, and others. By geography the market is segmented into North America, Europe, Asia-Pacific, Middle East and Africa, and South America. The market report also covers the estimated market sizes and trends for 17 different countries across major regions, globally. The report offers the value (in USD) for the above segments.
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Healthcare Analytical Testing Services Market Research FAQs
How big is the Healthcare Analytical Testing Services Market?
The Healthcare Analytical Testing Services Market size is expected to reach USD 11.61 billion in 2024 and grow at a CAGR of 10.68% to reach USD 19.27 billion by 2029.
What is the current Healthcare Analytical Testing Services Market size?
In 2024, the Healthcare Analytical Testing Services Market size is expected to reach USD 11.61 billion.
Who are the key players in Healthcare Analytical Testing Services Market?
Charles River Laboratories, Eurofins Scientific, Laboratory Corporation of America Holdings, Intertek Group and SGS SA are the major companies operating in the Healthcare Analytical Testing Services Market.
Which is the fastest growing region in Healthcare Analytical Testing Services Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Healthcare Analytical Testing Services Market?
In 2024, the North America accounts for the largest market share in Healthcare Analytical Testing Services Market.
What years does this Healthcare Analytical Testing Services Market cover, and what was the market size in 2023?
In 2023, the Healthcare Analytical Testing Services Market size was estimated at USD 10.37 billion. The report covers the Healthcare Analytical Testing Services Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Healthcare Analytical Testing Services Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Healthcare Analytical Testing Services Industry Report
Statistics for the 2024 Healthcare Analytical Testing Services market share, size and revenue growth rate, created by Mordor Intelligenceā¢ Industry Reports. Healthcare Analytical Testing Services analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
