CRO/ CDMO Sub-Sectors Overview

---

CRO/ CDMO companies support their clients in outsourced services. While CRO's typically help mainstream pharmaceutical companies with the first two stages of medication production (drug discovery and drug development), CDMO’s often help them with the second and third stages – drug development and drug manufacturing.

The industry began to emerge in 1970s due to capacity issues in-house​ at the pharmaceutical companies

The late 1980s early 1990s witnessed arrival of blockbuster therapeutics and small biotech sector​

The combination of the two factors and increasing cost of drug development  changed the relationship dynamics of sponsor and service providers​

In 2018, value of CRO service market was estimated at $47 Bn, growing 7-9% CAGR through 2024 while CDMO was estimated at $98 Bn growing at 6-8% CAGR through the same period

Pharmaceutical ​Companies

Biotechnology​ Companies

Biopharmaceutical Companies

Medical Devices Companies ​

Sovereign Governments and their relevant agencies

Higher Education entities involved in therapeutic research

Access to capabilities not found in-house​

Shift from fixed cost to variable cost model 

Improved global reach and access to patients​

Higher quality and more efficient execution​

Reduction in oversight required​

Lower capital requirements​

Accelerated development timelines & speed to market​

Access to process innovation not found internally​

Access to capacity