Global Market Size, Forecast, and Trend Highlights Over 2025-2037
Healthcare Contract Sales Organizations Market size was over USD 16.2 billion in 2024 and is estimated to reach USD 43.1 billion by the end of 2037, expanding at a CAGR of 8.5% during the forecast timeline, i.e., 2025-2037. In 2025, the industry size of healthcare contract sales organizations is evaluated at USD 17.5 billion.
The demand for outsourcing services is growing, as they offer specialized and cost-effective solutions for seamless marketing. This is direct evidence of enlarging cash flow in the healthcare contract sales organizations (CSO) market. Their competitive behavior in developing more innovative therapeutics and tools through rigorous R&D initiatives is also feeding the surge in this sector. According to the International Federation of Pharmaceutical Manufacturers & Association (IFPMA), over 9,000 new compound development projects were pursued worldwide in 2022. It further mentioned the global number of already launched medicines to be 53 in 2020. Various disciplines of the medical industry are expanding significantly, which needs proactive in-house trading teams to widespread their offerings.
Disease-wise drugs under development across the globe in 2021
|
Disease Category |
Drug Development Count |
|
Cancer |
3,148 |
|
Immunology |
1,677 |
|
Neurology |
1,668 |
|
Infectious Disease |
1,488 |
Source: IFPMA 2022
These figures showcase the future prosperity of the CSO market. The continuous effort to expand the pipeline in pharmaceutical and biotechnology practices becomes challenging for individual companies to maintain proper navigation in merchandising. This is dragging the focus on encompassing adequate force to manage such non-core functions. As per the NLM study, published in June 2024, the payer’s pricing of R&D for each new drug ranged from USD 314.0 million to USD 4.4 billion. This signifies the rising cost of R&D, which is pushing these companies to eliminate additional costs on promotional expenses. Here, contract sales organizations (CSOs) are offering better resolutions to serve the purpose of preventing budget overflow.
Healthcare Contract Sales Organizations Sector: Growth Drivers and Challenges
Growth Drivers
- Rising trend of globalization and competency: The tendency of healthcare pioneers to globalize their portfolio is driving demand in the healthcare contract sales organizations (CSO) market. As more companies empower their core capacity of research and manufacturing, the need for contractual deals, taking responsibility for ensuring sufficient supply while maintaining regional compliance, is increasing. This is further testified by the emphasized worldwide trade of several associated products. According to OEC data, the export value of pharmaceutical products reached USD 854.0 billion globally in 2023. Similarly, in another report, OEC stated that the worldwide trade of medical instruments attained USD 167.0 billion in the same year, exhibiting a growth of 7.8% from 2022.
Export-import statistics for medical instruments (2023)
|
Country |
Export Value (USD, billion) |
Import Value (USD, billion) |
|
The U.S. |
34.8 |
37.7 |
|
Germany |
18.4 |
13.1 |
|
Netherlands |
9.3 |
14.1 |
|
China |
12.3 |
10.6 |
Source: 2023 OEC Data
- Improved management through technological advances: The integration of cloud and AI capabilities is enhancing the performance of offerings from the healthcare contract sales organizations market, enabling convenience and optimized management and attracting more customers. The ability of tech-based solutions to reach a wider consumer base is further revolutionizing the approach to sales strategies and efficiency. For instance, in April 2024, IQVIA extended its global partnership with Salesforce to escalate the construction of a next-generation customer engagement platform, Life Sciences Cloud. These tools are built to track the ever-changing consumer behavior, assisting product manufacturers to cope with the current scenario.
Challenges
- Resistance to eliminating in-house teams: The healthcare contract sales organizations market often faces competition from the existing personal sales teams in larger organizations. The reluctance is a result of their faith and stringent preference to retain control over market shares and revenues internally. These further limit the scope of captivating large-scale and -paying customers, shrinking the consumer base. Moreover, the long-term reliance on in-house professionals makes them a crucial part of the company, which prevents owners from allocating alternatives.
- Limitations in hiring skilled professionals: Finding capable talent with deep knowledge of the continuously changing dynamics may become a hurdle for expansion in the healthcare contract sales organizations market. Employees with quick adaptation and complete understanding are necessary for a CSO to deliver maximum benefit, which helps in acquiring customers’ trust. Thus, the shortage of skilled sales Personnel may impact the overall quality and efficacy of the available services. Moreover, the lack of training for recently introduced advanced solutions also affects market exposure.
Healthcare Contract Sales Organizations Market: Key Insights
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
17.5% |
|
Base Year Market Size (2024) |
USD 5 billion |
|
Forecast Year Market Size (2037) |
USD 40.6 billion |
|
Regional Scope |
|
Healthcare Contract Sales Organizations Segmentation
Service (Personal Promotion, Non-Personal Promotion)
Personal promotion segment is expected to capture healthcare contract sales organizations market share of around 62.8% by the end of 2037. This segment’s proprietorship is driven by the benefits of spreading awareness about the product or service through direct interaction. This approach of selling commodities has been proven to be the most efficient way of building a good relationship with consumers and healthcare professionals. Thus, adoption in this segment is significantly high. Moreover, its growth is highly influenced by technological revolutions such as AI. For instance, in March 2022, Icertis introduced a CLM solution, Icertis Contract Intelligence (ICI) for Healthcare Payers and Medical Technology companies. Such innovations streamline operations by digitalizing contract management.
End use (Pharmaceutical Companies, Biopharmaceutical Companies, Medical Device Companies)
In terms of end use, the pharmaceutical companies segment is poised to dominate the healthcare contract sales organizations market throughout the assessed period. The marketing techniques of this field are tailored to help companies get bigger clients by featuring networking activities and ensuring referrals. The evidence of this segment’s prosperity lies in the leadership of the pharma industry in healthcare-associated global business categories. According to the 2023 OEC dataset, pharmaceutical products were positioned as the 6th most traded commodity in the world, representing 3.7% of the total global merchandise. Additionally, the enlargement of the pharmaceutical contract manufacturing and research services industry, predicted to reach USD 632.9 billion by 2037, is indicating the strong presence of this sub-type.
Our in-depth analysis of the global CSO market includes the following segments:
|
Service |
|
|
End use |
|
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Customize this ReportHealthcare Contract Sales Organizations Industry - Regional Synopsis
North America Market Analysis
North America healthcare contract sales organizations market is expected to account for revenue share of around 42.4% by 2037. The region’s leadership is led by ongoing clinical discoveries and the presence of prominent players such as IQVIA and M3. The widespread pharmacy chains across the region have notably contributed to the inflation in availability of generic and OTC products. North America is estimated to be the largest shareholder, acquiring 40.0%, in the global pharmacy industry by 2037, according to Research Nester. This is further fostering a great networking base for CSOs, making this region a gateway for commencing their operations globally. For instance, in 2023 IQVIA witnessed a 2.2% increment in contract sales & medical solutions (CSMS) revenue, accounting for USD 186.0 million.
Increased medicinal consumption and improved drug availability in the U.S. are fostering greater opportunities for the healthcare contract sales organizations market. The remarkable spending on medicinal products is also indicating its progress. According to NLM, the pharmaceutical expenses in the U.S. accounted for USD 722.5 billion in 2023, marking an increment of 13.6% from 2022. This figure consisted of the total expenditure on drugs in nonfederal hospitals and clinics were USD 37.1 billion and USD 135.7 billion respectively. In addition, continuous drug developments and accelerated regulatory approvals are heavily contributing to this sector’s expansion.
Following the government's efforts to increase the accessibility of medical essentials in Canada, the healthcare contract sales organizations market is creating a reliable consumer base. For instance, in December 2023, the government of Canada extended the existing annual federal support of USD 34.2 million by investing USD 89.5 million in building the Canadian Drug Agency (CDA). This initiative aimed at establishing a sustainable drug system with consistent standards and sufficient healthcare data. Such focus on fostering domestic pharma and biopharma R&D networks is captivating the interest of many global medicine developers. In this regard, in January 2025, AstraZeneca made an investment of USD 570.0 million to extend its presence in Canada, creating a profitable trading scenario for CSOs.
APAC Market Statistics
Asia Pacific is expected to register the fastest CAGR in the healthcare contract sales organizations (CSO) market during the assessed timeframe. With the growing and aging population, the urgency in healthcare services, medicines, and medical devices is inflating. This garners a lucrative opportunity for CSOs to build a stable network of supply for their pharma partners. Additionally, the region’s strong manufacturing capabilities have already penetrated the trend of contractual production. APAC is predicted to capture the largest share of 42.9% in the pharmaceutical contract manufacturing and research services industry by 2037. This is a positive sign for investors in this landscape.
China, with its strong emphasis on medical instruments and precision medicine, is settling a prosperous future for its leadership in the healthcare contract sales organizations market during the assessed timeframe. As per OEC, China was positioned as the 4th largest exporter of medical instruments worldwide. According to another report from the International Trade Administration, the medical device industry is poised to achieve USD 48.8 billion by 2026, exhibiting a CAGR of 8.3%. It further mentioned the 2021 import value of this industry to be USD 5.6 billion. The figures signify the prominent presence of this country in this market.
India is presenting lucrative opportunities to global leaders in the healthcare contract sales organizations market. With greater scopes of investment, the pharma and biotech industry of this country is a direct indication of business flow. The pharma industry of India is projected to reach USD 130.0 billion by 2030 and USD 450.0 billion by 2047. It is further estimated to garner 9.0-11.0% revenue growth by 2025, as per IBEF data. Moreover, the nation is gaining traction in this field with continuous government support and initiatives.
Companies Dominating the Healthcare Contract Sales Organizations Landscape
- Ashfield Healthcare Communications
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
- Publicis Health
- IQVIA
- Syneos Health
- M3 USA
- QuintilesIMS
- C3i Solutions
- InVentiv Health
- PDI, Inc.
- Alphanumeric Systems, Inc.
- Teleperformance Group
- AmerisourceBergen Corporation
- Advanced Health Media (AHM)
- Xerox Corporation
- TrialCard
- Siemens Healthineers
- Celadon Pharmaceuticals Plc
The incorporation of AI to enable elite management and comprehension of the services and products of the healthcare contract sales organizations (CSO) market is the current trend among key players. Their efforts to implement digitalization in every clinical practice are highlighted through rigorous trials and strategic partnerships. For instance, in June 2020, M3 signed a license agreement with VUNO Inc. to penetrate AI capabilities in the medical industry of Japan. The partnership was intended to levitate the reach of M3’s sales contract portfolio through its AI-powered medical device platform while supporting VUNO’s expansion with its extensive distribution channels across the country. Such key players are:
In the News
- In December 2024, Siemens Healthineers acquired the equipment sales and services division of Varian from IEC Medical Systems. The company intended to strengthen the expansion of its diagnostic, laboratory, oncology, and precision medicine pipeline globally through this investment in Egypt.
- In October 2024, Celadon Pharmaceuticals signed a five-year-long sales contract with a healthcare startup in the UK. The agreement concluded the order quantity up to USD 10.9 million over the mentioned tenure, which is expected to make the company’s accumulative output USD 42.4 million.
Author Credits: Radhika Pawar
- Report ID: 7218
- Published Date: Feb 25, 2025
- Report Format: PDF, PPT
