The Global Oncology Precision Medicine Market is estimated to be valued at USD 141.11 billion in 2024 and is expected to reach USD 257.21 billion by 2031, growing at a compound annual growth rate (CAGR) of 8.8% from 2024 to 2031. Precision oncology focuses on therapies and diagnostics tailored for each patient's specific genes, environment, and lifestyle. The approach analyzes a patient's genetic makeup and matches them with available targeted therapies.

The market is expected to witness significant growth due to rising prevalence of cancer worldwide and increasing application of personalized medicine in oncology. Furthermore, advancements in genomics and availability of companion diagnostic tests are helping doctors provide customized treatment plans based on a deep understanding of an individual patient's tumor biology. Continuous research into understanding cancer at molecular level will further drive adoption of precision oncology practices.

Market Driver - Increasing prevalence of cancer globally

The prevalence of cancer is rising rapidly across the world. Several years ago, cancer was considered as the disease of developed nations but now it has emerged as a major public health issue worldwide. Factors like growing life expectancy, changing lifestyle and dietary habits have led to a steady increase in new cancer cases year-on-year. While cancer mortality rates have declined or remained stable in many high-income countries due to better diagnostics and therapeutics, the burden on developing nations is immense. According to WHO, cancer incidence is expected to rise by at least 70% over the next couple of decades globally. This alarming rise is set to overwhelm the healthcare systems and resources unless we find new ways to accurately diagnose and effectively treat cancer patients. Precision oncology aims to address this pressing challenge by tailoring treatment to an individual patient's tumor. It leverages powerful molecular testing techniques to analyze the unique genetic mutations and biomarkers present in each cancer case. Based on this detailed molecular profiling, physicians are able to select targeted drugs, immunotherapies or other therapies that work best against that specific cancer. This brings higher efficacy and better outcomes compared to conventional one-size-fits-all treatment approaches. As global cancer cases grow exponentially in the coming years especially in developing nations grappling with limited resources, precision oncology delivers hope by enabling right treatment at right time for each patient. Its widespread adoption can help control the spiraling costs of cancer care and improve people's lives significantly. Thus, the sharply rising cancer incidence poses both a clinical and economic challenge which precision medicine is well-positioned to meet.

Growing demand for personalized medicine in oncology

Patients as well as medical community are increasingly recognizing the importance of personalized cancer care. Conventional treatment strategies often fail to consider the underlying tumor biology which varies widely among cancer patients. This leads to therapy inconsistency, drug resistance and high rates of treatment failure or relapse. Precision medicine addresses this shortcoming by mapping the molecular fingerprints of each cancer in great detail. It aids physicians to select optimal therapeutic combinations tailored to a patient's unique disease characteristics. This significantly boosts outcomes while sparing patients from toxicities of inappropriate treatments. Several recent clinical successes of precision oncology have created heightened patient expectations. Cancer survivors want the same opportunity for personalized care that genomic insights can potentially provide for others in future.

At the same time, oncologists acknowledge the clinical utility of precision tools in guiding therapy decisions. Comprehensive genomic profiling helps identify actionable mutations amd develops evidence-based treatment plans. It also reveals potential drug targets and resistance mechanisms upfront to plan responsive measures. As more biomarker-driven trials establish strong correlations between genomic alterations and drug responses, precision medicine is gaining prominence as the new standard of care. Payors recognize its value too in the form of higher response rates, extended survival benefits and potential for cost-effectiveness. With these advantages, demand for molecular tumor analysis and matched targeted therapies in cancer management is accelerating across stakeholder groups. Researchers as well as biopharma companies continuously work on improving precision technologies and therapeutic options to meet this growing need.

Market Challenge - High cost of precision medicines

One of the major challenges faced by the global oncology precision medicine market is the high cost associated with precision medicines. Developing precision medicines requires extensive research and clinical trials to understand the molecular mechanisms of cancers and how targeted therapies can affect the specific mutations. This research and development process is highly expensive for pharmaceutical companies to undertake. Once developed, the precision medicines also demand a high price from patients and payers to recover the investments made by drug makers. The cost of newly developed gene therapies and personalized medicines often runs in hundreds of thousands of dollars per treatment course. This not only puts significant financial burden on patients but also challenges the sustainability of healthcare systems. The affordability issues potentially limit the uptake and widespread adoption of precision therapies especially in low and middle-income countries. Pharmaceutical companies and regulatory bodies need to collaborate to make these life-saving treatments more affordable and accessible to all cancer patients globally.

Market Opportunities-Technological Advancements in Genomic Profiling

The growing technological advancements in genomic profiling and molecular diagnostic techniques present significant opportunities for the global oncology precision medicine market to grow. Earlier genomic profiling required tumor biopsy samples but new non-invasive or liquid biopsy techniques are allowing early cancer detection by analyzing circulating tumor DNA from simple blood draws. This has improved the accessibility of genomic testing. Continued reductions in genome sequencing costs coupled with AI and big data analysis is helping develop comprehensive cancer genome databases. Precision oncology companies can leverage such genomic insights and clinical trial data to identify additional target mutations and biomarker signatures. More accurate genomic profiling helps deliver the right treatment to the right patient group. The increasing integration of genomic data into cancer care pathways will accelerate the paradigm shift towards personalized care approaches. This presents lucrative prospects for precision medicine manufacturers.

Lung cancer is generally classified into four main stages - stage I to stage IV - based on the size and spread of the primary tumor and lymph node involvement. The treatment options vary depending on the stage.

For stage I non-small cell lung cancer (NSCC), surgery to remove the cancer is usually the primary treatment option. For patients who cannot undergo surgery, sterotactic ablative radiotherapy (SABR), also called stereotactic body radiation therapy (SBRT), is increasingly used. SABR delivers very precise, high doses of radiation directly to the tumor in just 1 to 5 sessions.

For stage II and IIIA NSCLC, the standard first-line treatment is usually a combination of chemotherapy and radiation therapy. Platinum-based doublet chemotherapy using drugs like cisplatin or carboplatin with gemcitabine, paclitaxel or pemetrexed is commonly used. Concurrent chemoradiation instead of chemotherapy alone after surgery is also now a standard treatment for stage II-IIIA completely resected NSCLC.

For stage IIIB advanced or metastatic NSCLC, platinum-doublet chemotherapy remains a standard first-line treatment. Some common regimens used are carboplatin or cisplatin with pemetrexed, gemcitabine, paclitaxel or docetaxel. For patients with EGFR mutations or ALK translocations, first-line EGFR TKIs like gefitinib, erlotinib or ALK inhibitors like crizotinib respectively, provide improved outcomes over chemotherapy.

For stage IV NSCLC, palliative chemotherapy, radiation therapy, targeted therapy or immunotherapy are all standard treatment options based on the molecular profile of the tumor.

- Collaborations and partnerships: Leading players have forged numerous collaborations to develop and commercialize personalized medicines. For example, in 2015, Roche partnered with Foundation Medicine to develop companion diagnostics for Roche's portfolio of cancer medicines. This allowed Roche to offer targeted therapies along with companion diagnostics to identify patients most likely to benefit. Such partnerships have helped companies expand their product offerings and market reach.

- Focus on biomarker development: Players have invested heavily in identifying and validating new biomarkers that can help stratify cancer patients and guide treatment decisions. For example, between 2010-2015, AstraZeneca invested over $6 billion in oncology R&D, a major portion of which went into biomarker research. biomarker-driven trials have helped drugs like Tagrisso and Imfinzi gain approvals in specific biomarker-defined patient populations, leading to more targeted use.

- Acquisitions of complementary technologies: Companies have made strategic acquisitions to bolster their precision oncology portfolios. For instance, in 2021, Biocartis acquired Qualitative Diagnostics to strengthen its molecular testing capabilities. Earlier, in 2018, Roche acquired Foundation Medicine for $2.4 billion to enhance its companion diagnostic business. Such acquisitions have enabled players to offer more comprehensive precision medicine solutions.

- Clinical trial innovation: Players conduct innovative basket, umbrella and other novel trial designs to accelerate drug development and matching of targeted therapies to biomarker-defined groups. For example, between 2011-2015, Merck's KEYNOTE trials evaluated pembrolizumab in 50 tumor types and identified new approvals in head & neck cancer. Novel trials have helped expedite precision therapies to market.

By Type of Cancer - Rising Prevalence of Risk Factors Drives Bladder Cancer Segment Growth

In terms of By Type of Cancer, Bladder Cancer contributes the highest share of the market owing to the rising prevalence of associated risk factors. Bladder cancer occurs when abnormal cells grow uncontrollably in the urinary bladder. Some of the major risk factors that are driving higher incidence of bladder cancer include increasing tobacco consumption, occupational chemical exposure, aging population and history of bladder infections.

Tobacco usage is the primary risk factor for bladder cancer with smoking accounting for over 50% of new cases. Countries with higher smoking rates consequently report greater bladder cancer burden. With limited progress on reducing smoking rates globally, bladder cancer cases linked to tobacco are projected to rise substantially.

Moreover, prolonged exposure to occupational or environmental chemicals like aromatic amines, polycyclic aromatic hydrocarbons are known bladder carcinogens. Workers involved in rubber, leather, textile and paint industries have elevated risk. Rapid industrialization and lack of stringent safety standards in emerging markets have augmented chemical exposure over the years.

An aging population structure is another prominent driver. Bladder cancer risk multiplies with advancing age and median age at diagnosis is 73 years. With life expectancy increasing worldwide, prevalence demographics have shifted towards geriatric groups who are more susceptible.

History of urinary tract infections or stones is also associated with higher odds of bladder cancer. Growing prevalence of diabetes and obesity, both of which predispose to urinary issues, have indirectly contributed to the bladder cancer segment growth.

Given the infiltrative nature of disease, advanced bladder tumors often require multiple treatment lines including chemotherapy, immunotherapy and surgery. Rising patient volumes therefore translate to increased demand for precision medicine solutions tailored for bladder cancer subtypes and stages. This has been a major factor propelling the bladder cancer segment.

By routes of administration - Oral Route Dominates Due to Ease of Administration

Among routes of administration, the oral segment holds the largest share in the global oncology precision medicine market. This is mainly attributed to enhanced patient acceptability for oral drugs relative to intravenous alternatives.

Oral therapy offers less invasive dosing without the need for hospital visits or skilled health professionals. It allows for self-administration at home, improving compliance and convenience significantly. This assumes greater importance in aging populations and developing countries with limited healthcare infrastructure.

Moreover, oral drugs are more cost effective in the long run versus frequent infusions requiring hospital resources. Out of pocket costs for patients are lower with oral medicine leading to better accessibility and affordability.

From the perspective of pharmaceutical firms as well, oral formulations present higher profit margins and preferential reimbursement policies compared to injectable drugs. Manufacturing, distribution and storage are also less complex for oral pills. This makes investments in oral precision oncology solutions commercially attractive.

The oral route is well-suited for chronic therapies like targeted therapies and immunotherapies which form the cornerstone of precision cancer treatment. Sustained availability of drug in the body from oral dosing matches the goals of these regimens better than intermittent intravenous deliveries.

Given these patient, healthcare system and industry related benefits, a majority of new precision medicine product launches are increasingly via the oral route fuelling its market dominance over time. Emergence of novel formulations improving oral bioavailability further reinforces oral administration.

By molecule type - Inexpensiveness Drives Small Molecules Adoption

Among molecule types, small molecules account for the highest share in the global oncology precision medicine sector owing to their relative cost-effectiveness compared to biologics.

Being synthesized chemically, small molecule targeted therapies enjoy lower production costs without expensive bioprocessing requirements. This allows for more competitive pricing and greater affordability for stretched healthcare budgets worldwide.

Lower list prices in turn translate to wider insurance coverage and larger patient populations gaining access to precision cancer care. The inherent economics of small molecules positively impact their volume driven adoption across both developed and developing markets.

Additionally, most small molecules are orally bioavailable which links well to the preponderance of convenient oral administration highlighted earlier. This doubles their practical advantages over injectable biologics from both cost and dosing compliance viewpoints.

Generic versions of leading small molecules will also emerge earlier than complex biologics once initial patents expire, creating opportunities for more affordable biosimilars/generics. Such subsequent price decreases facilitate the continued dominance of small molecule targeted therapies.

Unlike injectable antibodies or other biologics requiring cold chain logistics, small molecule pills can be easily stored and transported globally. This expands addressable volumes for pharmaceutical companies by improving geographical reach.

• The oncology precision medicine market is rapidly evolving as one of the most promising areas in the healthcare industry. The shift from traditional one-size-fits-all approaches to more personalized treatment plans has been facilitated by advances in genomic data analysis, which allows for targeted therapies that are more effective and have fewer side effects. Precision medicine in oncology, particularly, holds significant potential due to the increasing understanding of cancer's molecular underpinnings. This has led to a surge in the development and commercialization of targeted therapies, with over 145 personalized medicines currently available and more than 100 in early development stages. The market is poised to expand further due to the growing demand for more effective treatments, the rising prevalence of cancer, and continued innovation in this field. The North American region is currently the largest market, but Asia-Pacific is expected to experience the highest growth rate due to expanding clinical trials and governmental initiatives.

The major players operating in the Global Oncology Precision Medicine Market include Amgen, BioNTech, Gilead Sciences, Merck & Co., Illumina, Foundation Medicine, Guardant Health, Caris Life Sciences, Exact Sciences, Myriad Genetics, Thermo Fisher Scientific, Invitae, Genomic Health, Syapse and Tempus.

• On February 2024, Exscientia plc has initiated the EXCYTE-2 observational clinical study in acute myeloid leukemia (AML) to explore the relationship between ex vivo drug response (EVDR) and actual patient clinical outcomes. The study will collect blood and bone marrow samples from first-line AML patients, with potential expansion to second-line patients, addressing areas of high unmet medical need. Samples will be processed using Exscientia’s deep learning, single-cell precision medicine platform, with analysis performed remotely by partner laboratories using Exscientia’s cloud-based AI.
• In June 2022, GE Healthcare is advancing precision medicine in oncology through new technology collaborations, showcased at #ASCO22. The company's innovative diagnostic and treatment technologies aim to improve cancer detection, clinical and operational efficiency, and patient outcomes. Catherine Estrampes, President & CEO of GE Healthcare U.S. and Canada, emphasized the need for solutions that integrate patient data from EMRs, imaging, biomarkers, and molecular profiling to support informed care decisions
• In September 2023 - Exscientia entered a licensing agreement with Merck for AI-powered precision drug design for neuroinflammatory and oncological disorders.
• In August 2023 - IDEAYA Biosciences announced the FDA's IND clearance for GSK101 (IDE705), focusing on cancer patients with specific mutations.
• In April 2023 - Tango Therapeutics received USFDA clearance for TNG260, targeting STK11-mutant cancers.

• By Type of Cancer
  • Bladder Cancer
  • Blood / Hematologic Cancer
  • Breast Cancer
  • Cervical Cancer
  • Gastrointestinal Cancer
  • Head and Neck Squamous Cell Cancer
  • Lung Cancer
  • Skin Cancer
  • Others
• By Route of Administration
  • Oral
  • Intravenous
  • Others
• By Type of Molecule
  • Small Molecules
  • Biologics
• By Drug Class
  • Kinase Inhibitors
  • Enzyme Inhibitors
  • Immune Checkpoint Inhibitors
  • Others