The global Compounding Chemotherapy Market is estimated to be valued at US$ 10.20 Bn in 2023 and is expected to exhibit a CAGR of 5.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Compounding chemotherapy involves customized preparations of chemotherapy drugs at various strengths and dosages as per patient's need and prescription. This is done to cater to specific requirements such as pediatric patients requiring lower drug quantities or adults requiring altered dosages and formulations. Compounded chemotherapy drugs offer flexibility in drug administration and overcome issues associated with commercially available treatments in terms of taste, smell, size of pills/capsules and other excipients. They help reduce wastage of unused drugs and cater to situations where a particular drug or dosage is unavailable commercially. This enhances treatment compliance.
Market Key Trends:
One of the key trends in the compounding chemotherapy market is the increasing demand for customized medications. Conventional chemotherapies come with fixed dosages that may not suit every patient's needs. Compounded chemotherapy drugs allow for tailored dosages, formulations, delivery methods and combinations as per the physician's guidance and the patient's condition. They offer an improved treatment experience over one-size-fits-all drugs. This demand for individualized care is a major factor propelling the market growth. Another significant trend is the rising prevalence of pediatric cancers that require special dosage forms that are easier for children to administer. According to the American Cancer Society, over 15,000 children and adolescents in the U.S. are diagnosed with cancer each year. The need for modified drug formulations drives the adoption of compounding services.
Porter’s Analysis
Threat of new entrants: The compounding chemotherapy market requires high initial investments and regulatory compliances which acts as a barrier for new entrants. Bargaining power of buyers: Individual buyers have low bargaining power due to availability of limited product options whereas group purchasing organizations have moderate power.
Bargaining power of suppliers: The bargaining power of raw material suppliers is moderate due to availability of alternatives in the market.
Threat of new substitutes: There exists minimal threat from substitutes due to lack of alternatives offering similar benefits of customized chemotherapy medications.
Competitive rivalry: The competitive rivalry in the market is high owing to presence of numerous global and regional players.
Key Takeaways
The Global Compounding Chemotherapy Market Demand is expected to witness high growth, exhibiting CAGR of 5.3% over the forecast period, due to increasing prevalence of cancer worldwide.
The North American region currently dominates the compounding chemotherapy market owing to high awareness levels, supportive reimbursement policies, and presence of key players in the region. Asia Pacific is anticipated to exhibit fastest growth rate over the coming years primarily due to increasing healthcare expenditure and improving access to cancer care in the region.
Key players operating in the compounding chemotherapy market are B. Braun Melsungen AG, Fagron NV, PharMEDium Services, LLC (AmerisourceBergen Corporation), Baxter International Inc., Fresenius Kabi AG, Advanced Pharma, Inc., McGuff Compounding Pharmacy Services, Inc., Central Admixture Pharmacy Services, Inc. (CAPS), Institutional Pharmacy Solutions, LLC, Wedgewood Pharmacy, Medisca Inc., Dougherty's Holdings, Inc., PharMEDium Services, LLC (AmerisourceBergen Corporation), PharMEDium Services, LLC, (AmerisourceBergen Corporation), BioScrip, Inc.
