Global pharma output is poised to grow at around 5% in 2024, after witness a drop in 2023. 2021 and 2022 were block buster years with growth rates exceeding 10%. There are new trends shaping the market with continued dominance of small molecules and focus on speciality drugs. Leaner budgets mean costs optimization across manufacturing, leading to outsourced manufacturing as well as addressing challenges related to compliance and environmental sustainability.
Market Mix – Small molecule drugs continue to dominate the industry, accounting for more than 50% of global sales. Adoption of biologics is on the rise. Speciality drug market is set to expand significantly, considering the need for targeted therapies.
Leaner business models – Industry is expected to operate on leaner budgets, with focus on Speciality drugs, biologics and emerging markets. Outsourcing of Drug development and manufacturing is expected to grow to manage costs.
Personalized Medicine – the demand for personalized medicine, based on genetic profiles is expected to grow with advancements in manufacturing techniques like additive engineering, big data & analytics.
Environmental Sustainability – Regulatory bodies will demand strict accountability and adherence with sustainability goals. This will require investments in renewable energy infra and green solutions.;
The foreseeable impact of these business trends on technology will be as follows –
AI for Drug Discovery
Pharma companies will continue investing in AI-based tools, Research data pieplines and data analytics to accelerate drug discovery and development. AI driven use cases like In Silico Screening, Indication Selection, Heterogeneity of Treatment Effect, Scientific literature extraction will be prominent.
Clinical Trials Digitization
Pharma companies will invest on Clinical trials Digitization through Digital Control Towers and other digital tools like EHR2EDC, Protocol Builders, Remote Data Monitoring, Wearables to support decentralized trials and improve patient engagement. Tech enabled Diversity, Inclusivity & Accessibility for clinical trials participation will be very significant.
Adoption of Emerging technologies
The Industry will explore and embrace some of the emerging technologies like XR (Extended Reality), 3D Printing, Nanotechnology, others to bring efficiencies and cost reductions.
Regulatory Tech
Digitization and automation powered Regulatory technology can bring the compliance required across regulatory activities. Regulatory Information Systems capturing the data & workflows associated submission, registrations, licenses, approval, regulatory intelligence, artworks and document management will be prioritized.
Supply chain Digitization
The true convergence of IT and OT will completely transform manufacturing operations. Industrial IoT, Digital Twins, MES, AI powered analytics will improve visibility of operations and OEE.
Marketing Tech
Digital content (visual kits, videos, websites, podcasts) which is personalized to patients & HCP’s and distributed across preferred marketing channels will revolutionise sales & marketing activities. Classical and Gen AI driven Digital Sales Rep, Personalized Marketing and MLR automation will be of focus.
Conclusion
The Pharma & Life Sciences industry is set for significant transformation in 2024, driven by technological advancements and evolving business models. Key trends include the rise of AI in drug discovery, the growth of personalized medicine, and the increasing importance of environmental sustainability. Companies will also focus on digitizing clinical trials, adopting emerging technologies, and enhancing regulatory compliance through automation. These changes promise to improve efficiency, reduce costs, and better meet patient needs, positioning the industry for a dynamic and innovative future.