Diabetes Therapies Market Definition
The diabetes therapies market consists of sales of drugs for treating diabetes. Diabetes mellitus, commonly known as diabetes, is a metabolic disorder which impairs the body`s ability to process blood glucose/blood sugar.
Diabetes Therapies Market Size
The global diabetes therapies market reached a value of nearly $50.7 billion in 2018, having grown at a compound annual growth rate (CAGR) of more than 5% since 2014.
Growth in the diabetes therapies market in the historic period resulted from emerging markets growth and ageing population. Factors that negatively affected growth in the historic period were lack of awareness and high investment costs.
Going forward, faster government initiatives, changing lifestyles and developments in drug discovery procedures will drive growth. Factors that could hinder the growth of this market in the future include government regulations, patent expiration of drugs, and trade protectionism.
Diabetes Therapies Market Drivers
The Key drivers of the diabetes therapies market include:
Ageing Population – The increased size of the geriatric population globally contributed to the growth of the diabetes therapies market during the historic period. The incidence of diabetes, particularly type 2 diabetes, rises with increasing age. During 2013-2017, globally the number of people over the age of 65 grew from below 450 million to 601 million - an increase of 33%, according to estimates based on US Population Reference Bureau data. This rise in the geriatric population increased the number of diabetic patients and drove the market during the historic period.
Diabetes Therapies Market Restraints
The key restraints on the diabetes therapies market include:
Patent Expiration of Drugs – Growth in the diabetes therapies market is likely to be affected by expiration of drug patents during the forecast period. Pharmaceutical companies invest heavily in the drug development process. Once a drug candidate (a compound such as a small molecule or an antibody with strong therapeutic potential and favorable medicine-like properties which justifies further development) is developed and approved by the regulatory authorities, companies patent their inventions to protect their intellectual property. During the patency period, the company holding the patent holds exclusivity for manufacturing and distribution. After patency expiry, generic versions of the drugs are manufactured by other companies. The prices of the generics are low in comparison to the original brand of the drug. This negatively impacts the growth of the overall market in value. For instance, the patent for Sanofi-Aventis’ anti-diabetic drug Apidra is set to expire in 2018. The sales of this drug accounted for revenues worth €367 million ($406.1 million) in 2016 and €377 million ($425.3 million) in 2017, for Sanofi-Aventis.
Diabetes Therapies Market Trends
Major trends influencing the diabetes therapies market include:
Innovations - Novel techniques relating to diabetes therapies research and development include gene editing, identification of microbial strain for treatment of diabetes area included. This advancement has created new treatments for treating diabetes.
For example, in December 2016, researchers at Lund University Diabetes Centre in Sweden, worked on CRISPR, a genome modification tool. This resulted into turning off of one of the genes which was responsible for causing diabetes. This effectively decreased beta cell death and increased insulin production in the pancreas.
In March 2018, a research group in China identified a group of Short chain fatty acids (SCFA) producing gut microbiota. It was observed that they can alleviate the symptoms of type 2 diabetes in patients consuming a diet high in fiber. This aids in blood sugar level reduction and body weight in patients under study.
Insulin maker, Novo Nordisk has developed a diabetes pill and it is expected to be launched in 2020. This pill belongs to a blockbuster class of drugs, glucagon like peptide-1 (GLP-1s) that stimulate insulin production. The new drug is expected to generate about $5 billion in annual sales.
Increased Mergers and Acquisitions - Leading metabolic disorders drugs manufacturers are acquiring smaller companies to strengthen their market position. These acquisitions help drug manufacturing companies to develop their portfolio of drugs that can be used for the treatment of diabetes and related metabolic diseases.
For instance, in August 2018, Novo Nordisk acquired Ziylo which is a University of Bristol spin-out company in the UK. Novo Nordisk has full rights to Ziylo’s glucose binding molecule platform to develop glucose responsive insulins. This development is a key strategic area for Novo Nordisk and should result in more effective insulin therapy.
In August 2015, Novo Nordisk acquired Calibrium LLC and MB2 LLC, two US-based biopharmaceutical research companies. Through these acquisitions, Novo Nordisk is expanding its obesity and diabetes product line by integrating Calibrium LLC and MB2 LLC companies.
Opportunities In The Diabetes Therapies Market
Opportunities – The top opportunities in the global diabetes therapies market will arise in the injectables segment which will gain $12.8 billion of global annual sales by 2023. The diabetes therapies market size will gain the most in China. Diabetes therapies market-trend-based strategies include developing new drugs for Type 2 diabetes-associated comorbidities, collaborating with research organizations to discover novel ways to treat diabetes, acquiring smaller companies to strengthen their market position and undertaking R & D into novel techniques such as genome modification tools. Player-adopted strategies in the diabetes therapies industry include expansion through mergers and acquisitions and development of new products.
Diabetes Therapies Market Segmentation
The Diabetes Therapies market is segmented by type and by geography.
The diabetes therapies market can be segmented by type into
Retirement communities had the highest growth rate of nearly 5.3% during the historic period. Major factors for this growth include increasing access to injectables in developing and some underdeveloped countries.
By Geography- The diabetes therapies market is segmented into
North America is the largest market for diabetes therapies, accounting for almost 39% of the global market. It was followed by Asia-Pacific, Western Europe and then the other regions. Going forward, Asia-Pacific and Africa will be the fastest growing regions in this market.
- o North America
- o Western Europe
- o Asia Pacific
- o Eastern Europe
- o South America
- o Middle East
- o Africa
Diabetes Therapies Competitive Landscape
Major Competitors are:
Other Competitors Include:
- • Novo Nordisk A/S
- • Eli Lilly and Company
- • Sanofi S.A.
- • Merck & Company, Inc.
- • C.H. Boehringer Sohn AG & Ko. KG
- • AstraZeneca plc
- • Johnson & Johnson
- • Takeda Pharmaceutical Company Ltd.
- • Sun Pharmaceutical Industries Limited
- • Biocon Limited