Market Trends of Pharmacogenomics Industry
Drug Discovery Segment is Expected to Occupy a Significant Share in the Pharmacogenomics Market During the Forecast Period
- Drug discovery is a process that aims to identify a compound that helps treat and cure diseases therapeutically. Typically, a drug discovery effort addresses a biological target that plays a role in developing the disease or starts from a molecule with enjoyable biological activities. In clinical studies, pharmacogenetic testing can group people according to their genotype, reflecting how well they metabolize drugs. The clinical trials that result in adverse drug reactions are avoided. This can also reduce the attrition of drug compounds.
- Factors such as the rising incidence of cancer and other chronic diseases, increasing R&D activities for developing potential new drugs for these diseases, and increased demand for precision medicine are expected to enhance the segment's growth during the forecast period. For instance, in January 2024, according to the American Cancer Society, it was estimated that there would be more than 2 million cancer cases diagnosed in the United States in 2024, an increase from the previous years' reported cancer cases of 1.9 million. Thus, the growing number of cancer cases is expected to contribute to the segment’s growth.
- However, pharmacogenomics improves the drug's efficacy and reduces the chances of adverse effects, thus boosting its adoption in clinical trials. For instance, in October 2023, according to an article published in Frontiers in Pharmacology, pharmacogenomics studies are practical in determining reactions associated with genetic causes and help understand the impact of multiple mutations in the genome to evaluate an individual's response to drugs. Additionally, as of June 2023’s database results, there was an increase in clinical trials, particularly in the areas of oncology (28.43%) and mental health (10.66%), in which the most identified genes were CYP2D6 (mental health and pain), CYP2C9 (hematology), CYP2C19 (cardiology and mental health), and ABCB1 and CYP3A5 (transplantation and cardiology). This boosted the adoption of pharmacogenomics in clinical trials.
- The increasing investment in drug discovery processes and development activities will further increase the adoption of pharmacogenomics technology, which is anticipated to have a significant and positive impact on the drug discovery segment in the pharmacogenomics market. For instance, according to the 2023 annual report of Eli Lilly and Company, its research and development expenditure increased by 30%, which accounted for USD 9,313.4 million in 2023, and it has increased over the years owing to the high investment in the new drug discovery and development activities.
- Therefore, owing to increasing investment in drug discovery processes and development activities and the rising incidence of cancer and other chronic diseases, the drug discovery segment is expected to hold a significant share of the pharmacogenomics market during the forecast period.
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North America is Anticipated to Hold a Significant Market Share in the Pharmacogenomics Market During the Forecast Period
- North America is expected to register a significant share in the pharmacogenomics market during the forecast period owing to factors such as high investment in personalized medicine and drug discovery and development activities, robust healthcare infrastructure, and the high prevalence of several chronic diseases. For instance, according to the data published by the Canadian Cancer Society in November 2023, an estimated 239,100 Canadians were expected to be diagnosed with cancer in 2023, and around 45% of the individuals in Canada will be diagnosed with cancer in their lifetime. These factors are expected to drive demand for advanced and effective therapeutics where pharmacogenomics can play a crucial role. Thus, the market studied is expected to grow in North America.
- The large number of research institutes involved in research and development activities for developing novel therapeutics contributes to the market’s growth in the region. For instance, in August 2023, the University of Montana granted USD 8 million to the L.S.Skaggs for health innovation and innovative research programs comprising precision medicine and pharmacogenomics to address healthcare challenges.
- Further, the launch of new products and services in the country is expected to fuel growth in the pharmacogenomics market as it will increase the adoption of pharmacogenomics products and services in the region. For instance, in July 2023, Maryland Community Health System expanded pharmacogenomics testing for all its employees with no out-of-pocket costs and insured patients in particular programs. This will improve the patients' affordability and accessibility to pharmacogenomics testing. Additionally, in February 2023, the University of Florida College of Pharmacy pharmacists launched a new health service, MyRx, to provide virtual consultation to patients, help them understand the pharmacogenetic testing results, and improve drug therapeutics. Thus, such new innovative product launches are expected to be adopted and contribute to the region's market growth.
- Therefore, owing to factors such as high investment in personalized medicine and drug discovery and development activities, and the high prevalence of several chronic diseases, North America is expected to register a significant market share in the pharmacogenomics market, and the United States is expected to be at the forefront of it during the forecast period.
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