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The global precision medicine market size is forecasted to increase by USD 54.07 billion at a CAGR of 11.32% between 2022 and 2027.
The market is experiencing robust growth driven by various factors. The escalating prevalence of chronic diseases, such as cancer and cardiovascular disorders, is fostering the adoption of precision medicine approaches for tailored treatments. Moreover, the rising demand for personalized medicine, which offers targeted therapies based on individual patient characteristics, is significantly propelling market expansion. Advancements in genomics and proteomics technologies are further revolutionizing the sector, enabling more accurate diagnostics and treatment strategies. This market research and growth report also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
Study Period | 2023-2027 |
Base Year For Estimation |
2022 |
CAGR | 11.32% |
Forecast period |
2023-2027 |
Fastest Growing Region |
North America at 44% |
Largest Segment |
Application |
Precision Medicine Initiative (PMI) aims to revolutionize healthcare by leveraging genetic variability, environmental factors, and behavioral insights to tailor treatment approaches. This personalized approach holds significant promise in understanding illness susceptibility and optimizing diagnosis and progression tracking for conditions like CNS Disorders such as Alzheimer's disease, epilepsy, and multiple sclerosis. Technological advancements and initiatives like the National Cancer Institute (NIC) further propel the market forward, despite challenges such as high costs and the need for companion diagnostics.
This market report extensively covers market segmentation by application (oncology, CNS, respiratory, immunology, and others), technology (bioinformatics, gene sequencing, drug discovery, precision molecular diagnostic, and big data analytics), and geography (North America, Europe, Asia, and Rest of World (ROW)). The application segment of the market encompasses a range of key areas where personalized treatment approaches are being applied to address various healthcare challenges. Companion diagnostics and personalized therapeutics are at the forefront of precision medicine, allowing for tailored treatment plans based on individual patient characteristics.
This includes the utilization of genetic information, such as single nucleotide polymorphisms (SNPs), and advancements in genome sequencing technologies. The prevalence of cancer underscores the urgent need for precision medicine solutions, with targeted gene therapy emerging as a promising approach to combat this disease. Initiatives led by organizations like the National Cancer Institute (NCI) drive research on the human genome, paving the way for innovative treatments. Despite the high cost associated with precision medicine, positive results and advancements in genetics are driving its adoption. However, challenges such as reimbursement policies need to be addressed to ensure widespread access and commercialization of these innovative therapies.
The market share growth by the oncology segment will be significant during the forecast period. Precision medicine allows doctors to develop personalized treatment plans tailored to specific genetic mutations. They can identify specific molecular pathways involved in the development and progression of cancer.
The oncology segment was valued at USD 20.18 billion in 2017 and continued to grow until 2021. Precision medicine has various applications in oncology. These drugs are more effective and have fewer side effects when compared to traditional chemotherapy. They inhibit the growth and spread of cancer while minimizing damage to healthy tissues. It is also used in immunotherapy, which uses a patient's own immune system to treat cancer. In addition, precision medicine is used to identify patients who are at higher risk of developing certain types of cancer. Thus, increasing its use in oncology will drive the growth of this segment during the forecast period.
The market is driven by the Precision Medicine Initiative (PMI) and advancements in genetic testing and diagnostics. Leveraging environmental, genetic, and behavioral variability insights, it tailors treatments for individual patients, especially for cancer and chronic diseases like Alzheimer's, epilepsy, and multiple sclerosis. Research on the human genome and targeted gene therapy pave the way for personalized therapeutics, diagnosing chromosomal abnormalities, and predicting illness susceptibility. Despite high costs, positive results drive commercialization, supported by reimbursement policies. With ongoing technological advancements and initiatives like the National Cancer Institute (NIC), precision medicine continues to revolutionize healthcare worldwide. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
The growing prevalence of chronic diseases is notably driving the market growth. Some of the common chronic diseases include diabetes, cardiovascular disease, cancer, respiratory diseases, and neurological disorders. The prevalence of chronic diseases is rising across the world, which is driving the demand. The aging population is also driving the prevalence of chronic diseases. For instance, according to the World Health Organization (WHO), the number of people aged 60 years and above will double to 2.1 billion by 2050 globally. Changes in lifestyle, such as lack of physical activity, poor diet, and tobacco use, also increase the prevalence of chronic diseases.
Precision medicine offers a personalized treatment approach that can be tailored to the genetic and biological characteristics of individual patients. This helps healthcare providers identify genetic and protein-based biomarkers associated with specific diseases, which can lead to the development of targeted therapies that are more effective and have fewer side effects. It can also help identify individuals who are at high risk of developing certain diseases, thereby enabling early intervention and prevention. Therefore, the growing prevalence of chronic diseases is expected to drive the growth of the global market during the forecast period.
The growing use of artificial intelligence (AI) and machine learning (ML) is a key trend shaping the market. With the use of these technologies, vast amounts of patient data can be analyzed in a short time to develop targeted and personalized treatments. AI and ML are being used in several areas of precision medicine based on individual genetic and molecular profiles.
The integration of AI/ML algorithms with precision medicine helps clinicians, doctors, and researchers solve challenging issues in personalized healthcare. AI and ML can also help identify potential drug targets and predict the efficacy of new drugs, thereby speeding up the drug discovery process. These technologies can also help identify patients that are most likely to benefit from a particular treatment, thereby improving the efficiency and success of clinical trials. They can find patterns and correlations that might not be visible to human researchers, leading to accurate diagnoses and more effective treatments. Thus, the growing use of AI and ML in the industry is expected to support the growth of the global market during the forecast period.
Data privacy and security issues associated with precision medicine may impede market growth. It depends on the collection and analysis of large amounts of patient data, such as genetic and molecular information, medical history, and lifestyle factors. However, this data is vulnerable to cyberattacks and data breaches. Therefore, researchers and healthcare providers should implement strong security measures to protect patient data.
It is important to ensure that the use of patient data is in compliance with data protection regulations. Researchers and healthcare providers should obtain informed consent from patients before collecting and using their data. This can be achieved by working to establish standards and guidelines for data collection, storage, and sharing. Thus, data privacy and security issues associated with precision medicine are expected to inhibit the growth of the global market during the forecast period.
The report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Market Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Amgen Inc. - The company offers precision and personalized medicines for various treatments.
The report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
North America is estimated to contribute 44% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
The growth of the market in North America is attributed to factors such as high healthcare spending, advanced healthcare infrastructure, and a strong focus on R&D. Advances in technology, the increasing demand for personalized medicine, and the rising prevalence of chronic diseases will further drive market growth during the forecast period. In the US, the growth of the market will be driven by increased R&D spending and better healthcare infrastructure. Breast cancer is the most common type of cancer among women in the US and the second leading cause of death. The geriatric female population is more prone to develop breast cancer. These factors are expected to drive the growth of the market in the US during the forecast period. The rising incidence of cancer is also driving the growth of the market in other countries such as Canada.
The market is driven by the Precision Medicine Initiative (PMI), aiming to address environmental variability, genetic variability, and behavioral variability affecting illness susceptibility and progression. With a focus on conditions like Alzheimer's disease, epilepsy, and multiple sclerosis, advancements in technology and genetic testing enable personalized treatment strategies. Chromosomal abnormalities and CNS disorders are targeted through companion diagnostics and targeted gene therapy, leveraging genetic testing and genome sequencing. Despite high costs, positive results and reimbursement policies facilitate commercialization, promoting the prevalence of personalized therapeutics. The National Cancer Institute (NIC) plays a crucial role in the research on the human genome, fostering innovations in single nucleotide polymorphism analysis and personalized treatment drugs.
The market is propelled by technological advancements, revolutionizing diagnosis and progression tracking. It focuses on Personalized treatment drugs tailored to individual genetic profiles to address conditions like cancer. The prevalence of cancer underscores the urgency for precision medicine, especially in fetus diagnosis to assess the risk of passing genetics. Institutions like the Cleveland Clinic lead in advancing precision medicine despite its high costs. Genetic factors, including genes and proteins, are analyzed using microarrays/biochips, guiding prescription medicine strategies. However, the high cost of precision medicine remains a challenge, prompting continuous innovation and investment in this transformative healthcare approach.
The market is driven by advancements in genetic technology and computational techniques, offering personalized treatment choices based on clinical characteristics. It addresses the risk of passing genetic problems through gene therapy clinical trials, and optimizing medical treatments. With a focus on individualized care, precision medicine employs sophisticated calculation methodologies to tailor treatment procedures. This innovative approach presents vast market opportunities, as recognized by organizations like the WHO (World Health Organization). By harnessing the power of genetics and leveraging clinical data, precision medicine transforms healthcare, offering targeted therapies that revolutionize patient outcomes and disease management strategies.
The market report forecasts market growth by revenue at global, regional, & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
Market Scope |
|
Report Coverage |
Details |
Page number |
171 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 11.32% |
Market growth 2023-2027 |
USD 54.07 billion |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
9.99 |
Regional analysis |
North America, Europe, Asia, and Rest of World (ROW) |
Performing market contribution |
North America at 44% |
Key countries |
US, Germany, UK, China, and Japan |
Competitive landscape |
Leading companies, market positioning of companies, competitive strategies, and industry risks |
Key companies profiled |
AbbVie Inc., Amgen Inc., AstraZeneca Plc, Biocrates Life Sciences AG, Bristol Myers Squibb Co., Catalent Inc., Eli Lilly and Co., F. Hoffmann La Roche Ltd., Gilead Sciences Inc., IQVIA Holdings Inc., Johnson and Johnson Services Inc., Lonza Group Ltd., Merck and Co. Inc., Novartis AG, Parexel International Corp., Pfizer Inc., QIAGEN NV, Sanofi SA, Takeda Pharmaceutical Co. Ltd., and Thermo Fisher Scientific Inc. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Market Segmentation by Technology
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
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