Precision Medicine Market growth forecasted to transform from $29.1 billion in 2023 to $50.2 billion by 2028, driven by a CAGR of 11.5%. Growth in the precision medicine industry is Currently the focus on genomic research is growing continuously. Is mainly due to the realisation of the potential that genetic targeted therapies hold. This is facilitating increasing adoption of precision medicine. Additionally, genetic testing add companion diagnostics are also witnessing growth. These factors along with the increasing approvals for personalised medicines from prominent regulatory bodies are supporting the growth of this market.
Precision Medicine Market Dynamics
DRIVER: Growth in genetic testing and companion diagnostics
Precision medicine regimen is recommended only after a series of diagnostic tests to study the patient’s genes for individual variability, genetic mutations, variations. Additionally, therapeutics involves the administration of suitable therapy/drug regime to the patient based on genetic testing results. Genetic testing is observing growth due to factors such as availability of tests for cancer screening, pre-natal screening, and the availability of direct-to-consumer testing (DTC) as well. Moreover, genetic testing plays a crucial role in the development of companion diagnostics. Companion diagnostics (CDx) are medical tests that are designed to identify patients who are most likely to benefit from a specific therapeutic treatment. These tests allow selection individualized treatment supporting the growth of precision medicine adoption.
RESTRAINT: High costs of therapeutics
Precision medicine therapeutics are administered after a detailed analysis of the patient’s genetic makeup using diagnostic genetic tests. Therefore, the overall cost of the precision medicine regimen is substantially high. Thus, for individuals with financial problems or geographic regions where the healthcare infrastructure is not adequately built to support such treatments, precision medicine access is constrained. For instance, the price of TECARTUS CAR T-cell therapy from Novartis AG approved as a personalized medicine ranges between USD 300,000 to USD 400,000; the price of AMVUTTRA (vutrisiran) approved as personalized medicine ranges between USD 85,000 to USD 115,000 in the US (Source: US Department of Veteran Affairs). However, in the coming years, the charges of personalized medicines are expected to reduce owing to efforts by key players to offer therapies at lower price, increasing support by regulatory bodies as well as healthcare providers for increasing adoptiong among others, thereby leading to wider adoption.
OPPORTUNITY: Growing demand for cell and gene therapies
Recently, the innovations add demand for cell and gene therapies has been growing. This is due to the fact that's cell and gene therapies hold significant potential to address several areas In different indications for which yet an effective treatment is unavailable. These indications mainly include chronic diseases in specialties such as oncology, rare genetic disorders, genetic disorders, other rare diseases among others. This is as an area of opportunity by pharmaceutical and biotechnology companies to invest into development and commercialization of novel cell and gene therapies. Besides, cell and gene therapies give a targeted therapeutic effect. Due to this they have been largely approved as personalised medicine as well. In 2022, the FDA approved 5 cell and gene therapies as personalised medicines. Thus, growing demand for cell and gene tehrapies owing to the benefits that they offer significant opportunity area for precision medicine.
CHALLENGE: Challenges associated with adoption of precision medicine
The precision medicine therapeutics adoption is increasing. However, there are some factors Challenging the growth of this market. Reimbursement and financing policies is one of the challenges faced by this market especially in the developing regions such as the Asia Pacific Latin America, the Middle East and Africa. Reimbursement for these therapeutics is complex there are limited number of patients opting precision or personalised medicine. Besides, the cost of precision medicine regimen is high and the uncertainty of reimbursement can discourage patients from opting for precision medicine treatment.
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Hospitals and Clinics subsegment accounted is the fastest growing of the precision medicine market by product & service
Among the end user, the market is segmented hospitals and clinics and home care setting. In 2022, the hospitals and clinics segment accounted for the highest growth rate of the precision medicine market by end user. Growth in this market segment can be attributed to factors such as availability of better facilities and assistance in hospitals and clinics, accessibility to advanced diagnostic tests along with precise therapeutic regime among others.
Oncology is the fastest-growing segment of the precision medicine market by applications
Among the applications, the precision medicine market is segmented into drug discovery, clinical diagnostics, soil microbiome applications, industrial applications, ecological & environmental applications, veterinary applications, and other applications. In 2023, the drug discovery segment accounted for the fastest-growing share of the usage segment of precision medicine market. Growth in this market segment can be attributed to one of the major factors which is the growing number of research activities for development of new drugs.
Europe: The second-largest region in the precision medicine market.
The European market is the second-largest precision medicine market globally, mainly due to factors such as presence of key market players in the region. Europe is considered a major hub for precision medicine players and organizations. Moreover, greater awareness among people about newly emerging area of precision medicine, especially compared to developing regions.
Key Market Players:
The market for precision medicine is competitive, with key players strategizing to capture the market. Prominent players in the precision medicine market are F. Hoffmann-La Roche Ltd. (Switzerland), Novartis AG (Switzerland), Bristol Myers Squibb (US), Gilead Sciences, Inc. (US), AstraZeneca (UK), Pfizer Inc. (US), AbbVie Inc. (US), Eli Lilly and Company (US), , GlaxoSmithKline plc (UK), Sanofi (France), Johnson & Johnson (US), Merck KGaA (Germany), Amgen, Inc. (US), Takeda Pharmaceutical Company Limited (Japan) among others.
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Recent Developments:
- In February 2023, Roche received EC approval for expansion of the Hemlibra (emicizumab) European Union (EU) marketing authorization.
- In January 2022, AstraZeneca (UK) collaborated with Scorpion Therapeutics to develop and commercialize precision medicines against hard-to-target cancer proteins, with an aim to transform oncology treatment. The size of this deal accounted for USD 75 billion.
Precision Medicine Market Advantages:
- Personalized Treatment: Precision medicine tailors medical treatment and interventions to individual patients based on their genetic makeup, lifestyle, and specific health characteristics. This approach ensures that treatments are more effective, with fewer adverse effects, as they are customized to the patient's unique needs.
- Improved Diagnostic Accuracy: Precision medicine relies on advanced diagnostic tools and genomic sequencing to identify diseases and their underlying causes with unparalleled accuracy. This leads to earlier and more precise diagnoses, enabling timely and targeted interventions.
- Enhanced Drug Development: Pharmaceutical companies benefit from precision medicine by developing drugs that target specific genetic mutations or biomarkers associated with diseases. This approach streamlines drug development, reduces the likelihood of trial failures, and accelerates the availability of innovative treatments.
- Reduced Healthcare Costs: By avoiding trial-and-error approaches to treatment and focusing on therapies that are more likely to work for a given patient, precision medicine can potentially lower healthcare costs in the long run. Fewer unnecessary treatments, hospitalizations, and adverse reactions contribute to cost savings.
- Preventative Medicine: Precision medicine also emphasizes preventive strategies by identifying individuals at higher risk for certain diseases based on their genetic predispositions and lifestyle factors. This proactive approach allows for early interventions and lifestyle modifications to reduce disease risk.
- Data-Driven Insights: The collection and analysis of extensive patient data, including genomic and clinical information, enable researchers to uncover new insights into disease mechanisms and treatment responses. This data-driven approach accelerates medical research and innovation.
- Patient Empowerment: Precision medicine empowers patients by involving them in their healthcare decisions. Patients gain a better understanding of their health risks, treatment options, and potential outcomes, leading to more informed choices and improved overall healthcare experiences.
- Tailored Therapies for Rare Diseases: Precision medicine is particularly advantageous for rare and orphan diseases, where traditional treatment options may be limited. By identifying specific genetic abnormalities associated with these conditions, researchers can develop targeted therapies that offer hope to patients who previously had few treatment options.
- Global Health Impact: Precision medicine has the potential to address global health challenges by providing tailored solutions to diseases that affect diverse populations worldwide. It can facilitate the development of region-specific treatments and healthcare strategies.
- Long-Term Healthcare Sustainability: As precision medicine advances, it contributes to the sustainability of healthcare systems by focusing resources on treatments that are most likely to be effective, reducing unnecessary healthcare expenditures, and improving overall health outcomes.
In summary, the precision medicine market holds the promise of revolutionizing healthcare by providing individualized, data-driven, and effective treatment options, ultimately benefiting patients, healthcare providers, pharmaceutical companies, and society at large.
Content Source:
https://www.marketsandmarkets.com/PressReleases/precision-medicine.asp
https://www.marketsandmarkets.com/Market-Reports/precision-medicine-market-215185595.html
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