Pneumonia Therapeutics Market Analysis By Product (Drugs, Branded, Quinolones, Aminopenicillins, Macrolides, B-lactamase Inhibitors, Cephalosporins, Tetracyclines, Glycopeptides, Generics, Vaccines, Oxygen Therapy) And Segment Forecasts, 2018 - 2025

Industry Insights

The global pneumonia therapeutics market size was estimated at USD 11.9 billion in 2016 and is anticipated to grow at a CAGR of 8.0% throughout the forecast period. Increasing incidence of pneumococcal disease is a high impact rendering driver. Over the years, there has been a significant upsurge in number of community-acquired and ventilator-associated bacterial pneumonia. According to World Health Organization, the annual incidence is approximately 150.7 million cases, of which 7% to 13% require intensive treatment.

In addition, growing prevalence of community-acquired pneumonia, especially in younger individuals, is also a key factor contributing to market growth. As per WHO, 95% of all pneumococcal episodes occur in children in developing countries. This high prevalence exemplifies unmet clinical needs, which impels the demand further.

U.S. pneumonia therapeutics market by product, 2014 - 2025 (USD Million)

The market is also predominantly driven by increasing number of ongoing clinical trials for development of vaccines and drug molecules. Currently, pipeline products consist of 19 molecules that exhibit promising clinical efficacy. For example, Merck & Co., Inc. has a product MK-1986that is in phase III of clinical trials. It has potent in vitro activity and exhibits a high potential to be used in the treatment of ventilator-associated and hospital-acquired pneumonia.

Moreover, consistent increase in funding opportunities in research for development of new products is anticipated to broaden the scope for growth over the coming years. For instance, Bill & Melinda Gates Foundation is one of the funding bodies that aims at addressing the problem of neonatal pneumococcal disease and promotes development of new vaccines.

Furthermore, the development of resistant strains and the growing resultant need for newer antibiotics is also promoting research investments. The Medicines Company received an initial funding of USD 32 million from Biomedical Advanced Research and Development Authority and will receive an additional USD 100 million during the term of 5 years to create a portfolio of next-generation antibiotics that are expected to help combat drug-resistant infections.

Product Insights

In 2016, vaccines captured a dominant share of over 53.0% in the product segment. The substantial share registered by this segment is a result of high demand for vaccines. The unprecedented demand can be attributed to the high cost of drug therapy per year coupled with insufficient insurance coverage.

Increase in number of resistant strains and high rate of mortality & morbidity associated with pneumococcal infection have led to increased preference for prevention therapy. The high preventive rates of these vaccines, 5-year immunization schedule, and increasing support for vaccination by various regulatory agencies are expected to provide lucrative growth opportunities.

The drugs segment is anticipated to witness a steady growth throughout the forecast period. This steady growth can be attributed to the advent of generic drugs in the market. Recent patent expiries of branded drugs and cost-effectiveness of generics as well as increasing pressure of regulatory bodies on doctors in emerging economies to prescribe generics are widening growth prospects.

Oxygen therapy is anticipated to exhibit moderate growth rate over the forecast period. This can be attributed to the rising number of randomized controlled trials for determining the effectiveness of oxygen therapy in intensive care units. In addition, the high clinical urgency to adopt systems for efficient management, vital in reducing complications, consequentially drives the demand for oxygen therapy to counter pneumococcal disease.

Regional Insights

In 2016, North America accounted for the largest share of over 37.0% amongst all regions. This can be attributed to rising geriatric population and increasing multidrug resistance in adults & children that reiterates the need for development of advanced generation therapeutics. Consequentially, global market players are investing more on R&D and focusing on new product development activities.

Also, various government initiatives aimed at prevention and treatment of pneumonia are responsible for creating a positive impact across North America. For instance, the Integrated Global Action Plan for Pneumonia and Diarrhea by UNICEF and WHO is aimed at minimizing preventable child deaths due to diarrhea and pneumonia. This initiative is focused on interventions & services that raise awareness and increase access to treatment & preventive measures.

Global pneumonia therapeutics market share by region, 2016 (%)

Asia Pacific is expected to show exponential growth with a CAGR of 9.8% throughout the forecast period. This growth can be attributed to increase in prevalence of pneumococcal disease, unmet patient needs, increased cases of antimicrobial resistance, and rise in disorders leading to weakened immune system.

Recognizing pneumococcal disease as a serious cause of mortality & morbidity in developing nations and considering supportive immunization programs as a national health priority are factors expected to positively affect the market. Introduction of vaccination programs to curb the high prevalence of this disease in emerging economies is anticipated to broaden the growth prospects further. For instance, pneumococcal vaccines have been included in the Universal Immunization Program by the Government of India.

Competitive Insights

The competitive environment is marked by key players extensively deploying sustainability strategies. Pfizer Inc.; GlaxoSmithKline plc; and Merck & Co., Inc. are some of the most notable companies. These companies are involved in new product development initiatives, mergers & acquisitions, and geographical expansion.

For instance, Merck & Co., Inc. is involved in the development of pneumococcal vaccine V114 that is presently under investigation in phase II trials. Similarly, an investigational drug by GlaxoSmithKline plc (GSK2140944)is under phase II trials for use in treatment of community-acquired bacterial pneumonia.

Report Scope

Segments covered in the report

This report forecasts revenue growth at global, regional & country levels and provides an analysis on the industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study; Grand View Research has segmented the global pneumonia therapeutics market on the basis of product and region: 

• Product Outlook (Revenue, USD Million, 2014 - 2025)

  • Drugs

    • Branded

      • Quinolones

      • Aminopenicillins

      • Macrolides

      • B-lactamase inhibitors

      • Cephalosporins

      • Tetracyclines

      • Glycopeptide antibiotics

      • Carbapenems

      • Others

    • Generics

      • Quinolones

      • Macrolides

      • Others

  • Vaccines

  • Oxygen Therapy

• Regional Outlook (Revenue, USD Million, 2014 - 2025)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • UK

  • Asia Pacific

    • Japan

    • China

    • India

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa

    • South Africa