The pharma, biotech, and MedTech industries all rely on Contract Research Organizations (CROs) to assist in the development, testing, and marketing of cutting-edge drugs and medical equipment. As a growing industry, CRO businesses are becoming more competitive and increasing their full-service capabilities and international reach. Smaller and mid-sized CROs are concentrating on specific markets and providing a more personalized service to their sponsors.
With the CRO industry’s expansions, consolidations, and innovations continuing, it can be challenging to remain abreast of changes and understand what each company offers. For those seeking information about which company will be right to support their own organization, this list provides an overview of CROs to watch. They are listed in no particular order below, but they include both industry giants in terms of market share and revenue, as well as up-and-comers who are steadily expanding their presence through strategic alliances and novel service offerings.
PPD
Pharmaceutical Product Development (PPD) is a prominent CRO with offices in 48 countries throughout the world. Many pharma and biotech companies throughout the world consider them a premium CRO provider. PPD was named a top supplier in May 2019 by biotech industry professionals for their capabilities, compatibility, and knowledge in aiding clinical research programs.
MedPace
MedPace is a mid-sized CRO that specializes in global clinical research for pharmaceuticals and devices. Unlike many of the major CROs, MedPace has chosen to reinvest in its own personnel rather than spend time and money on acquisitions. As a result, they have grown organically rather than through acquisitions of other well-established CROs. They emphasize an office-based atmosphere, which is intriguing in the rapidly developing CRO industry, which is primarily home-based.
Clintec
Clintec was a Scottish women-owned independent CRO that specialized in oncology and rare disease clinical research before being acquired by IQVIA. The company is medium-sized, but it operates in 50 countries throughout the world, including numerous rising areas like Sub-Saharan Africa. Clintec has grown at a rate of 55 percent each year since 2017, making it one of the UK’s fastest-growing CROs.
PRA Health Sciences
PRA is an American CRO that was founded in 1982 but recently became public after being acquired by Kohlberg Kravis Roberts in 2014. Since becoming public, PRA has increased its attention to foreign markets, with a particular emphasis on Singapore, China, and other regional sectors. BioPharm Asia rated the company the top CRO in Asia in 2018, and its global coverage increased to 85 countries in the same year.
KCR
KCR is a small CRO that has spent the last few years establishing itself throughout Europe, especially Germany and the United Kingdom. Last year, KCR established operations in the United States and began actively bidding for contracts. The pride they take in a human approach, with the conviction that there is a human behind every number, is having an increasing impact on the industry. KCR’s services are strongly linked to patient data and recruitment, and it will be interesting to observe how quickly they improve in this area.
ICON
This top-tier CRO reported $2.4 billion in revenue in 2018 – up 7.9% from 2017 – and has made a number of acquisitions in recent years, including ICHOM, Genomics England, and MolecularMD in early 2019. To further increase service offerings and clinical research opportunities in the genomic science and oncology industries, Icon teamed with Genomics England on the UK’s 100,000 Genomes Project and IBM Watson for oncology research support in 2016. ICON, on the other hand, is currently on the radar thanks to its acquisition of MAPI Group, a French late-stage CRO that has significantly boosted their real-world evidence (RWE) footing.
IQVIA
Following the merger of Quintiles and information and technology group IMS in 2017, the company changed its name to IQVIA, which now provides end-to-end clinical and commercial services to its clients. With $10.4 billion in sales in 2018, it is currently the world’s largest CRO. Following a series of smaller, specialized firm acquisitions, the company is growing stronger and stronger, and is now genuinely at the forefront of the CRO world. This is especially true in the realm of real-world evidence and data. IQVIA’s offerings are now unrivaled by other prominent CROs; however, it will be interesting to see how they navigate rising market drivers like digital health.
PSI
PSI is a rapidly expanding CRO with expertise in cancer, hematology, infectious illnesses, and multiple sclerosis. The company has a close-knit culture and the CEO/Founder developed the company’s guiding philosophy: to build a CRO that he would want to work with. PSI began as a European-based CRO, but swiftly expanded to the United States, where it has been operating for the past 14 years. However, the company has expanded its operations throughout the Asia-Pacific area since 2017, building offices in Australia and South Korea in 2017 and, most recently, India and Hong Kong.
Parexel
Parexel, the industry behemoth, brought in $2.4 billion in sales in 2018 as it pursued cost-cutting initiatives and growth into lower-cost emerging markets. Simultaneously, agreements with Eli Lilly and SHYFT are being formed to develop clinical research in China and to produce superior real-world data investigations. Pamplona, a private equity group, purchased Parexel in 2017, bolstering their profit margin as well as the quality of their market-leading services to biotechnology companies all over the world.
Covance
Covance, which was acquired by LabCorp in early 2015 and had annual revenues of more than $2.5 billion prior to the transaction, currently has full-year revenue of $11.3 billion in 2018. Following the acquisition of top 10 CRO Chiltern in 2017, Covance’s future looks even brighter. Chiltern is a specialist oncology organization that will provide cancer patients with novel treatments, faster. The acquisition has cemented Covance’s position as a market leader in oncology, allowing the company to engage with a diverse group of oncology clients.
While this list includes some of today’s industry leaders, be vigilant as companies form and grow in this evolving climate—change is inevitable and new leaders are emerging every day!