Pharma firms 'set for success in niche areas'

Pharma firms that are able to focus their efforts into niche areas of the market could find they are better able to meet with success in the years to come.

According to Datamonitor, a provider of industry-centric insight, a greater number of pharma firms are facing reduced growth due to rising competition from generic formulations.

For those insulated to some extent from this impact, the future is brighter, but for others growth in 2015 could reach just 1.3 per cent.

Datamonitor argues that it is the niche areas and bioanalytical innovation that holds a potential revenue stream for the companies able to move into those segments.

Simon King, pharmaceutical company analyst for Datamonitor, says success is likely to align with firms able to source revenue "from a high biologics focus or the targeting of niche indications and areas of high unmet need".

Previous recent research from the organisation showed the US is the market most susceptible to degradation in earnings once exclusive licences expire and generic competitor products can be created for a particular drug.