PUBLISHER: The Insight Partners | PRODUCT CODE: 1873979
PUBLISHER: The Insight Partners | PRODUCT CODE: 1873979
The size of the Addictions Therapeutics Market was estimated at US$ 9.14 billion in 2024 and is projected to reach US$ 14.49 billion by 2031, reflecting a CAGR of 7.3% through 2031 - 2031. The ongoing introduction of various therapeutics is anticipated to be a significant trend in the Addictions Therapeutics Market.
Analysis of the Addictions Therapeutics Market
Leaders, regulatory bodies, and NGOs are actively seeking innovative methods to raise awareness and combat the escalating issue of substance addiction. For example, the Council on Chemical Abuse engages in numerous state and national initiatives aimed at increasing awareness about substance misuse, recovery, and prevention.
The United Nations Office on Drugs and Crime (UNODC) spearheads a global campaign to highlight the significant societal challenges posed by illicit drugs, particularly among youth. The UNODC conducts various awareness initiatives worldwide and encourages individuals, the private sector, non-profit organizations, and member states to implement outreach programs against drug trafficking and abuse.
Additionally, in August 2023, a campaign was initiated in India to deter adolescents from vaping. This campaign aimed to propose effective solutions and enlisted expert assistance to develop impactful messaging about the harmful effects of vaping. It also sought to inform the public about the vaping ban in India and other nations, explaining the rationale behind such regulations.
Such awareness initiatives and governmental actions aimed at combating drug abuse and promoting treatments for various addictions are likely to drive market growth during the forecast period.
Overview of the Addictions Therapeutics Market
The global addictions therapeutics market is categorized by region into North America, Europe, Asia Pacific, Middle East & Africa, and South & Central America. North America commands the largest market share, while the Asia Pacific region is the fastest-growing area. The growth in North America is primarily attributed to the entry of new market players, numerous product launches, and an increasing number of individuals with one or more substance addictions. Furthermore, the Asia Pacific region is experiencing rapid growth in addiction therapeutics, with China, India, and Japan being key contributors due to high narcotic consumption, extensive development of generic drugs for addiction treatment, and the rise of local companies. Additionally, investments in research and development (R&D) by multinational pharmaceutical firms are also propelling market growth.
Strategic Insights
Drivers and Opportunities in the Addictions Therapeutics Market
Increasing Collaborations Among Organizations to Boost Market Growth
Numerous organizations within the addictions therapeutics market are forming partnerships that enhance market growth. For instance, in September 2023, Click Therapeutics partnered with Indivior to develop and commercialize prescription digital therapeutics aimed at treating substance use disorders, beginning with Opioid Use Disorder (OUD). This collaboration will utilize a mobile application named CT-102, designed to fill significant gaps in OUD treatment, such as providing access to high-quality, personalized psychosocial support.
Similarly, in January 2023, Pear Therapeutics expanded its collaboration with outpatient addiction treatment clinics. Spero Health is now able to utilize Pear's reSET and reSET-O prescription digital therapeutics across 99 locations in five states, up from just 14 clinics in Kentucky. Thus, the increasing partnerships among organizations are driving the growth of the addictions therapeutics market.
Growing Demand for R&D from Contract Organizations - A Market Opportunity
In recent years, the pharmaceutical sector has seen a surge in outsourcing services, driven by factors such as the rising demand for pain medications, increased complexity of active pharmaceutical ingredients (APIs), and the need to lower development costs. Major pharmaceutical companies are outsourcing R&D activities to accelerate drug development while also reducing their costs.
Many pharmaceutical companies, including those producing addiction therapeutics, depend on contract research organizations (CROs) to lower the high fixed costs associated with in-house development and manufacturing. The growing complexity in developing new molecular entities (NMEs) has created a demand for specialized capabilities that companies prefer to outsource rather than manage internally. With an increase in drug approvals (the FDA approved 55 NMEs in 2023), there is a heightened demand for robust clinical development and outsourcing. Various biotechnology firms are leveraging CROs to enhance their drug candidate pipelines. The cost reductions in drug manufacturing through outsourcing are expected to present significant growth opportunities for market players, enabling them to maximize profit margins and remain competitive in the evolving addictions therapeutics market.
Segmentation Analysis of the Addictions Therapeutics Market
Key segments contributing to the analysis of the addictions therapeutics market include treatment type, drug type, treatment center, and distribution channel.
Geographical Analysis of the Addictions Therapeutics Market
The geographical scope of the addictions therapeutics market report is primarily divided into five regions: North America, Asia Pacific, Europe, Middle East & Africa, and South America/South & Central America.
North America is the leading market for addiction therapeutics, with the US holding the largest market share, followed by Canada. The growth in North America is characterized by the entry of new market players, various product launches, and an increasing number of individuals with substance addictions. Market participants in the US are raising funds for addiction treatment. For example, in July 2023, Affect Therapeutics, a company innovating addiction treatment through digital technology, announced it raised US$16 million in a Series A funding round led by ARTIS Ventures, a TechBio-focused investment firm. The funds will be utilized to expand the company's programs nationally and enhance the Affect app through engineering advancements.
Scope of the Addictions Therapeutics Market Report
Recent Developments and News in the Addictions Therapeutics Market
The addictions therapeutics market is assessed by collecting both qualitative and quantitative data through primary and secondary research, which includes significant corporate publications, association data, and databases. Below are some recent developments in the addictions therapeutics market:
Coverage and Deliverables of the Addictions Therapeutics Market Report
The report titled "Addictions Therapeutics Market Size and Forecast (2022-2030)" provides a comprehensive analysis of the market, covering the following areas: