04 October, 2019
RALEIGH, North Carolina, October 4, 2019 - The current global HEOR services market is growing at a steady pace, with Top pharma as well as the mid-size and specialty pharma companies outsourcing at least 75 percent of the HEOR work, according to Beroe Inc, a procurement intelligence firm. Mandatory HTA submissions, the requirement and the growing impact of real-world evidence in P&R are the key drivers behind the outsourcing of HEOR services.
Europe and North America hold the major market share in the HEOR services market, of 45% and 40% respectively as the availability of experienced market researchers and outcome research-based specialists with proven track records are high within the pharma sector. Countries, such as Russia and India, have demanded that pharmaceutical and biotechnology companies lower their product prices to government-mandated thresholds.
Beroe, which is based in North Carolina, further stated that procurement experts can access this report on its recently launched market intelligence platform Beroe LiVE: live.beroeinc.com
Mandatory HTA submission in many countries, requirements for real-world evidence and outcome data for reimbursement are factors that are driving the growth of the HEOR services market at a global level, along with an increasing demand for showcasing the value of the drug. Lack of standardization of HTA requirements and the Pharma industry being in nascent stages of contracting in their non-core areas pose a challenge to the HEOR services market.
With greater number of regulatory agencies laying stress on value and patient outcome, patient engagement will bring in the wave disruptive innovations, which pharma have limited experience. HEOR services market is expected to be at the forefront of the adoption of disruptive technologies, like big data from EHR and EMR, big-data analytics, predictive analytics, bioinformatics, disease modeling, a next-Gen formulary with patient-driven treatments, and m-health devices. Cost-cutting within pharma is leading to increased outsourcing of these services without increasing the headcount.
The research methodology adopted for the report included:
The global HEOR spending by pharma is approximately $75,000–1.4 million for a developing molecule, and $150,000–$1.1 million for a branded product. There is a high level of consolidation in the HEOR market and is becoming very lucrative with diverse regulations globally. This has attracted a lot of non-core participants, like the private equity firms and data analytics company, which are acquiring niche HEOR players and providing end-to-end service.
The report also includes:
Beroe is the world's leading provider of procurement intelligence and supplier compliance solutions. We provide critical market information and analysis that enables companies to make smart sourcing decisions—leading to lower costs, greater profits and reduced risk. Beroe has been providing these services for more than 13 years and currently works with more than 10,000 companies worldwide, including 400 of the Fortune 500 companies.
To learn more about Beroe Inc., please visit: http://www.beroeinc.com