The global Pharmacovigilance Market is estimated to be valued at USD 8.5 Bn in 2022 and is expected to exhibit a CAGR of 8.5% over the forecast period 2023-2032, as highlighted in a new report published by Coherent Market Insights.
A) Market Overview:
Pharmacovigilance is the science and activities related to the detection, assessment, understanding, and prevention of adverse effects or any other drug-related problems. It plays a crucial role in ensuring patient safety by monitoring the safety profile of drugs throughout their lifecycle. The growing concern for drug safety, coupled with stringent regulatory requirements, has led to an increased demand for pharmacovigilance services. These services help pharmaceutical companies in identifying, assessing, and mitigating the risks associated with the use of drugs.
B) Market Key Trends:
One key trend in the Pharmacovigilance Market is the increasing focus on drug safety monitoring. With the rise in drug consumption and the introduction of new drugs in the market, there is a growing need for robust pharmacovigilance systems to monitor the safety profile of these drugs. Pharmaceutical companies are investing heavily in pharmacovigilance services to ensure early detection and reporting of adverse drug reactions. This trend is driven by the increasing number of adverse drug events reported globally and the need to address them effectively.
For example, in 2021, the U.S. FDA launched the Sentinel Initiative, a national electronic system for monitoring the safety of FDA-regulated medical products. This initiative aims to actively monitor the safety of drugs and other medical products in real-time.
C) Porter’s Analysis:
– Threat of new entrants: The pharmacovigilance market has a high barrier to entry due to regulatory requirements and the need for extensive expertise in drug safety. This limits the threat of new entrants in the market.
– Bargaining power of buyers: Buyers in the pharmacovigilance market, such as pharmaceutical companies, have a moderate bargaining power due to the presence of several service providers. However, they rely on these service providers for their drug safety monitoring requirements, giving the service providers some bargaining power.
– Bargaining power of suppliers: Suppliers in the pharmacovigilance market, such as technology providers and data management companies, have a moderate bargaining power due to the availability of alternative suppliers. Service providers can switch suppliers if they find better offerings elsewhere.
– Threat of new substitutes: The threat of new substitutes in the pharmacovigilance market is low. The services provided by pharmacovigilance companies are essential for pharmaceutical companies to meet regulatory requirements and ensure patient safety.
– Competitive rivalry: The pharmacovigilance market is highly competitive, with several established players and new entrants entering the market. Key players in the market are focusing on expanding their service offerings, collaborations, and acquisitions to gain a competitive edge.
D) Key Takeaways:
– The global pharmacovigilance market is expected to witness high growth, exhibiting a CAGR of 8.5% over the forecast period, due to increasing focus on drug safety monitoring. The rising number of adverse drug events and stringent regulatory requirements are driving the demand for pharmacovigilance services.
– North America is expected to dominate the pharmacovigilance market, followed by Europe, due to the presence of a well-established healthcare infrastructure, strict regulatory framework, and high adoption of advanced technologies.
– Key players operating in the global pharmacovigilance market are Accenture Plc, Bristol-Myers Squibb, Clinquest Group B.V., Cognizant Technology Solutions, Covance, Inc., GlaxoSmithKline, ICON, Plc, iGATE Corporation, Arriello, iMEDGlobal Corporation, Diamond Pharma Services, Infosys, Ergomed plc, inVentiv Health Inc., APCER Life Sciences, ArisGlobal, and Johnson and Johnson. These players are focusing on strategic collaborations, acquisitions, and product innovations to strengthen their market presence.