The research is based on a survey of 312 global decision-makers from pharma and biopharma firms, and reveals that of all parameters used in CMO agreements and selection, volume commitments ranks as the most important, followed by manufacturing capacity and site transfer capabilities. Survey respondents also indicated that overall quality, clean regulatory track record, and confidentiality/security were the primary factors considered when selecting a CMO.
"While packaging, logistics and clinical trial supply are the most prevalent services currently being outsourced, organizations are particularly keen to leverage CMOs' capabilities of outsourcing drug delivery technology services in the near future," said Frost & Sullivan customer research global director Tonya Fowler. "Thirty-seven percent of respondents also stated they were likely to partner with a CMO that functioned as an external consultant, mainly in cases where they required manufacturing consulting."
Based on the report, pharma and biopharma companies have shown a preference for CMOs operating in their region and those with improving geographic reach and expertise. However, they are unlikely to outsource R&D due to competitive intelligence concerns and CMOs' inability to hire key staff. The report goes on to state that, of the top 15 CMOs, Baxter Biopharma Solutions, Boehringer Ingelheim, and Pfizer CentreSouce have been identified as charging the highest premiums but also offering the most comprehensive range of services.
"It is important for CMOs to keep all these preferences and perceptions in mind to formulate robust strategies to effectively compete in the market and increase the level of satisfaction and loyalty among customers," added Ms. Fowler.