Personalized Cancer Medicine Market Expected to Reach $507.2 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Personalized Cancer Medicine Market," The personalized cancer medicine market size was valued at $179.99 billion in 2022, and is estimated to reach $507.2 billion by 2032, growing at a CAGR of 10.9% from 2023 to 2032. 

Personalized medicine enables the personalized treatment of each patient by utilizing medications that are most likely to be effective for their specific condition. This approach not only saves patients from unnecessary expenses and potential side effects of ineffective medications, however, also promotes the adoption of personalized medicines in the healthcare sector. Consequently, the use of personalized medicine in cancer diagnosis and treatment experiences a surge, contributing to the growth of the market.

Furthermore, personalized cancer medicine market trends such as the increase in prevalence of cancer is such as lung cancer, breast cancer, and others and the rise in number of diagnosis carried out drive the growth of the market. For instance, according to National Breast Cancer Coalition, in 2022, there were an estimated 287,850 new cases of invasive breast cancer diagnosed in women in the U.S. with an incidence rate of 1 in 8 women (12.9%). Thus, the increase in demand for personalized medicines for treating cancer fuels market growth.

In addition, the geriatric population is at a higher risk of developing cancer compared to younger populations. According to the National Cancer Institute's report in 2021, more than 1,000 per 100,000 people in the age group of 60 years and older are at risk of cancer. This is due to the fact that cancer is more likely to develop with age due to factors such as cellular damage, genetic mutations, and a weakened immune system. Thus, as the global population continues to age, the prevalence of cancer is expected to increase, which further drives the growth of the personalized cancer medicine market size. 

Moreover, there is a tremendous increase in the R&D activities in the field of precision oncology. Researchers develop new personalized technologies, which offer efficient diagnosis and treatment in case of complex conditions of cancer. For instance, in June 2022, GE Healthcare showcased its innovative molecular imaging solutions at Society of Nuclear Medicine & Molecular Imaging (SNMMI) in Annual Meeting 2022, which included Discovery MI Gen 2 premium digital PET/CT system, Lutetium-177 PSMA-617 and others, thus expanding its personalized medicines portfolio. Thus, the surge in initiatives by the key market players are anticipated to drive the growth during personalized cancer medicine market analysis.

However, the high cost of personalized cancer medicines and limited reimbursement policies pose significant challenges to the growth of the market. The expenses associated with advanced genomic profiling, targeted therapies, and companion diagnostics make these treatments financially burdensome. In addition, unclear, or limited reimbursement policies create barriers to widespread adoption, limiting patient access to personalized cancer medicines.

Moreover, the presence of favorable reimbursement policies is a significant driver of growth in the personalized cancer medicine market. According to the Federal Joint Committee (G-BA), in accordance with Section 91 SGB V, in April 2023, T-cell therapy was included as a reimbursable treatment option for certain types of cancer. 

Thus, such policies helped to increase patient access to T-cell therapy and contributed to the growth of the market. Furthermore, the technological advancements, rise in R&D activates, and surge in approvals by regulatory agencies offer lucrative opportunities for the key manufactures and market growth during personalized cancer medicine market forecast.

On the basis of product, the market is segmented into personalized medicine diagnostics and personalized medicine therapeutics. The personalized medicine diagnostics segment was the largest personalized cancer medicine market share in 2022 and is anticipated to grow at the fastest rate during the forecast period, owing to advancements in genomic technologies, growing collaborations between diagnostic companies, pharmaceutical companies, and academic institutions, regulatory support, and the increasing demand for personalized treatment approaches. 

These diagnostics are essential in identifying the most effective treatment options for individual patients, leading to improved outcomes and personalized care in the field of medicine. By end user, the market is bifurcated into hospitals & clinics and others. The hospitals & clinics segment was the largest revenue contributor to the market in 2022. This is attributed to the rise in number of patients receiving personalized treatment in hospitals, as they own advanced genomic and proteomic technologies that are needed to analyze patient data and identify disease biomarkers.

On the other hand, others segment is projected to register the highest CAGR during the forecast period owing to contribution of CROs, research institutes, bio and health informatics companies, pharma & biotech companies, and diagnostic tool companies in advancements in personalized cancer medicine. Their collective efforts contribute to the development of new therapies, precision diagnostics, and research insights that improve patient outcomes and propel the growth of the market.

Region wise, North America accounted for the largest personalized cancer medicine market share in terms of revenue in 2022.  This growth is attributed to a rise in prevalence of cancer cases, growth in investment by private and public agencies and well-established research & commercialization base. In addition, the increase in the geriatric population in North America has led to a higher prevalence of cancer, leading to increased demand for ideal therapeutics. Moreover, the healthcare system has made significant investments in improving healthcare infrastructure and facilities, which has enabled better access to healthcare services and treatments for patients with cancer. 

However, Asia-Pacific is expected to witness highest growth during the forecast period, owing to rising incidence of relapse cancer, increase in healthcare expenditure, growth in awareness about the importance of early detection and treatment of cancer and rise in adoption of precision medicine arena is expected to boost the market growth. 

Key findings of the study 
• On the basis of product, the personalized medicine diagnostics segment dominated the personalized cancer medicine industry in terms of revenue in 2022.
• On the basis of end user, the hospitals & clinics segment dominated the market in terms of revenue in 2022. However, the others segment is anticipated to grow at the highest CAGR during the forecast period.
• Region-wise, North America generated the largest revenue in the personalized cancer medicine industry in 2022. However, Asia-Pacific is anticipated to grow at the highest CAGR during the forecast period.