Drug Price Trends for SPS

Average Pharmacy Cost for SPS

These are average pharmacy acquisition costs (net of discounts) from a US national survey

Drug Name	NDC	Price/Unit ($)	Unit	Date
SPS 15 GM/60 ML SUSPENSION	46287-0006-60	0.40164	ML	2025-02-19
SPS 15 GM/60 ML SUSPENSION	46287-0006-01	0.43768	ML	2025-02-19
SPS 15 GM/60 ML SUSPENSION	46287-0006-01	0.43865	ML	2025-01-22
SPS 15 GM/60 ML SUSPENSION	46287-0006-60	0.40933	ML	2025-01-22
SPS 15 GM/60 ML SUSPENSION	46287-0006-60	0.41011	ML	2024-12-18

Market Analysis and Price Projections for Customized Peptide Synthesis

Introduction to Customized Peptide Synthesis

Customized peptide synthesis is a specialized field within the broader pharmaceutical and biotechnology industries, involving the design and production of peptides tailored to specific applications. These peptides are crucial in various medical and research contexts, including drug development, diagnostic tools, and therapeutic agents.

Market Size and Growth

The customized peptide synthesis market has been experiencing significant growth. As of 2018, the market revenue stood at $268.8 million, and it is predicted to advance at a Compound Annual Growth Rate (CAGR) of 6.4% between 2019 and 2024[1].

Key Drivers of Market Growth

Several factors are driving the growth of the customized peptide synthesis market:

Increasing Incidence of Diseases

The rising incidence of cancer and infectious diseases has led to an increased demand for peptides in research and therapeutic applications[1].

Research Activities in Synthetic Biology

Surging research activities in synthetic biology are fueling the need for customized peptides, as these molecules play a critical role in various biological processes and applications[1].

Investments in Protein-Based Research

Soaring investments in protein-based research are another significant driver, as peptides are essential components in the development of new drugs and therapies[1].

Technological Advancements

Rapid technological advancements, particularly in solid-phase peptide synthesis (SPPS), are enhancing the efficiency and speed of peptide production. SPPS is expected to dominate the market, holding more than 50% of the market share by 2024 due to its higher throughput screening and efficiency[1].

Market Segmentation

Product Segment

The reagents category held a significant 69.5% market share in 2018. Peptide synthesizers, under the equipment category, are also expected to exhibit rapid growth with a CAGR of 5.8% from 2019 to 2024[1].

Application Segment

The commercial category is predicted to hold a 62.0% market share in 2024, driven by increasing technological advancements in peptide synthesis[1].

End User Segment

Pharmaceutical and biotechnology companies are the largest end-users, holding a 56.1% share in 2018. This is due to the extensive research and large-scale production of peptides by these companies[1].

Geographical Segment

North America led the market in 2018 with a revenue contribution of 33.8%, driven by the surging usage of peptides for disease research, monoclonal antibody production, and drug discovery, along with significant government funding for peptide research[1].

Key Players and Innovations

Several key manufacturers are driving the customized peptide synthesis market forward:

• GenScript Biotech Corporation
• Bachem AG
• Thermo Fisher Scientific Inc.
• AAPPTec LLC
• Advanced ChemTech
• AnaSpec Inc.
• New England Peptide Inc. (NEP)
  • NEP utilizes its PepTrend system for designing and synthesizing custom peptides[1].

Technological Advancements

Technologies such as SPPS, solution-phase peptide synthesis (SPS), hybrid, and recombinant technologies are being used to synthesize peptides. SPPS, in particular, is favored for its higher throughput and efficiency[1].

Impact of Research and Development

The increasing participation of private and public research organizations in synthetic biology research is fueling the expansion of the market. This has led to a sharp rise in investments in research and development (R&D) activities for advanced bio-based products to address global health challenges such as chronic diseases[1].

Price Projections and Spending Trends

While the customized peptide synthesis market is growing, the overall pharmaceutical landscape is also experiencing significant changes in spending trends.

Prescription Drug Spending

Overall prescription drug spending is expected to rise by 10.0% to 12.0% in 2024, with clinics and hospitals anticipating an 11.0% to 13.0% increase. This growth is driven by factors such as new drug approvals, increased utilization, and price changes[5].

Cost Containment Measures

Efforts to contain costs, such as those outlined in the Inflation Reduction Act, are expected to reduce out-of-pocket drug spending. For instance, CMS expects Medicare retail prescription drug spending to peak in 2023 and then decline through 2027 as provisions take effect[2].

Future Outlook

The customized peptide synthesis market is poised for continued growth, driven by technological advancements, increasing research activities, and the expanding need for peptides in various therapeutic and diagnostic applications.

"Several firms are developing highly advanced platforms for peptide synthesis, thereby propelling the customized peptide synthesis market growth."[1]

Key Takeaways

• The customized peptide synthesis market is expected to grow at a CAGR of 6.4% between 2019 and 2024.
• Technological advancements, particularly in SPPS, are driving market growth.
• Pharmaceutical and biotechnology companies are the largest end-users.
• North America leads the market due to significant research and government funding.
• Key players are innovating with advanced platforms for peptide synthesis.

FAQs

1. What is the projected CAGR for the customized peptide synthesis market between 2019 and 2024?

   • The market is predicted to advance at a CAGR of 6.4% between 2019 and 2024[1].

2. Which technology is expected to dominate the customized peptide synthesis market?

   • Solid-phase peptide synthesis (SPPS) is expected to dominate the market, holding more than 50% of the market share by 2024[1].

3. Which region leads the customized peptide synthesis market?

   • North America leads the market, with a revenue contribution of 33.8% in 2018[1].

4. What are the major drivers of the customized peptide synthesis market?

   • The increasing incidence of diseases, surging research activities in synthetic biology, soaring investments in protein-based research, and rapid technological advancements are major drivers[1].

5. Which companies are key players in the customized peptide synthesis market?

   • Key players include GenScript Biotech Corporation, Bachem AG, Thermo Fisher Scientific Inc., AAPPTec LLC, and New England Peptide Inc., among others[1].

Sources

1. PSMarketResearch - Customized Peptide Synthesis Market Outlook, 2024
2. Health System Tracker - Recent and Forecasted Trends in Prescription Drug Spending
3. Roots Analysis - Pharmacy Market Size, Share, Trends, Industry Analysis [2035]
4. NHS Specialist Pharmacy Service - SPS Horizon Scanning
5. PubMed - National trends in prescription drug expenditures and projections for 2024