Neurodegenerative Drugs Market Expected to Reach $74,809.38 million by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Neurodegenerative Drugs Market," The neurodegenerative drugs market size was valued at $36,277.20 million in 2021 and is estimated to reach $74,809.38 million by 2031, growing at a CAGR of 7.5% from 2022 to 2031. The neurodegenerative drugs market analysis from 2021 to 2031 to identify the prevailing neurodegenerative drugs market opportunity. Increase in prevalence of neurodegenerative diseases such as Alzheimer’s disease, multiple sclerosis, & Parkinson’s disease and rise in clinical trials for treatment of neurodegenerative diseases are the major drivers of this market. For instance, according to World Health Organization (WHO) in September 2020, more than 55 million people live with dementia worldwide, and nearly 10 million new cases are reported every year. In addition, as per Center for Disease Control and Prevention (CDC), in 2020, it was estimated that approximately 5.8 million American’s were living with Alzheimer’s disease, and this is projected to reach nearly 14 million by 2060. Thus, surge in the number of cases of Alzheimer’s disease has resulted in the growth in demand for its treatment, which is subsequently driving the growth of the neurodegenerative drugs market size. 

Furthermore, innovative drugs for the treatment of neurodegenerative diseases, key strategies adopted by key players, and increase in awareness regarding treatment of neurodegenerative diseases fuels the growth of the neurodegenerative drugs market share. For instance, in March 2022, AbbVie Inc. announced that it has completed the acquisition of Syndesi Therapeutics SA, which is expected to help to expand AbbVie's neuroscience portfolio. This acquisition gives AbbVie access to Syndesi's portfolio of novel modulators of the synaptic vesicle protein 2A (SV2A). In addition, due to rise in demand for effective treatments for neurodegenerative diseases, pharmaceutical companies are investing more on R&D activities to create new drugs and improve existing ones, which fosters the market growth.  

Moreover, rise in awareness of early diagnosis & treatment for neurological diseases and increase in acceptability of neurodegenerative drugs by medical practitioners contribute toward the growth of the neurodegenerative drugs market share. However, side effects of drugs and high cost of therapeutics restrain the market growth. Conversely, the expansion of R&D pipeline, ongoing medicine approvals, and strong growth potential in unexplored new markets are expected to provide numerous opportunities for market growth during the forecast period. Furthermore, the Lancet Commission 2020 report on dementia prevention, intervention, and care recommends addressing the physical and mental health care, and management of neuropsychiatric symptoms. Thus, rise in initiatives taken by private organizations for the management of neurodegenerative disease drives the growth of the neurodegenerative drugs market trends. 

Many patients with neurodegenerative diseases have experienced delays in diagnosis and treatment due to the pandemic. This is due to the fact that many healthcare resources have been redirected toward managing COVID-19 cases, and many patients have been hesitant to seek care due to concerns about exposure to the virus. As a result, many companies experienced a decline in the sales of their medications in 2021. For instance, decrease in sales of NUPLAZID product,   reduction in patient hospital visits, and reduction in care facilities which negatively impacted the market growth. Thus, decline in sales of neurodegenerative drugs during pandemic hampered the market growth. 

Depending on drug class, the market is classified into dopamine agonists, decarboxylase inhibitors, cholinesterase inhibitors, immunomodulators and others. Others segment exhibited largest share in 2021. This is attributed to rise in number of clinical studies lead to introduction of novel products in market. In addition, presence of NMDA receptor antagonist memantine (Namenda), which has been approved in the U.S. and Europe as a treatment for Alzheimer's disease supports the segment growth. However, decarboxylase inhibitors segment is expected to witness highest CAGR during the neurodegenerative drugs market forecast period. This is attributed to surge in high adoption of this inhibitor by population as it improves motor symptoms of Parkinson’s disease. In addition, developments associated with decarboxylase inhibitors and high potency of drugs drive growth of decarboxylase inhibitors segment. 

Depending on indication, the market is categorized into Parkinson's disease, Alzheimer's disease, multiple sclerosis, spinal muscular dystrophy, and others. The multiple sclerosis segment exhibited largest share in 2021. This is attributed to rise in geriatric population along with surge in prevalence of multiple sclerosis, leading to an increase in the demand for drugs that treat this disease. In addition, rise in awareness about these diseases, along with early diagnostic tools and protocols are expected to fuel the segment growth.  However, Parkinson’s disease is expected to witness highest CAGR during the forecast period owing to increase in prevalence of Parkinson’s disease, rise in pipeline products and surge in demand for Parkinson’s disease drugs.

Depending on distribution channel, the neurodegenerative drugs industry is segregated into hospital pharmacies, drug store & retail pharmacies, and online providers. The drug stores & retail pharmacies segment dominated the market in 2021, owing to as they provide advice on its offerings of over-the-counter drugs. However, online providers segment is expected to witness highest CAGR during the forecast period, owing to increase in trend of online shopping and discount provided by those channels. 

Region wise, North America was the largest shareholder in the global neurodegenerative drugs industry in 2021, owing to presence of large patient population, strong presence of key players, ease of drug availability, favorable reimbursement policies in healthcare system, higher number of research, development, & innovation activities, and higher adoption of advanced therapeutics. In addition, the surge in the proportion of new drug launches and product approvals by the U.S. FDA is expected to drive the market growth in the region during the forecast period. For instance, in June 2021, Biogen received an approval from the U.S. FDA for aducanumab to treat Alzheimer’s disease and this drug is marketed under the name Adulhem. 

However, Asia-Pacific is anticipated to register the highest CAGR during the forecast period, owing to increase in health awareness, development in healthcare infrastructure, and rise in number of hospitals equipped with advanced medical facilities for neurodegenerative diseases treatment. In addition, rise in government initiatives for the management of neurodegenerative disease drive the market growth in Asia-Pacific. 

Key Finding of The Study

• By drug class, the others segment held largest share in the global market in 2021.
• By indication, the multiple sclerosis segment dominated the market in 2021.
• By distribution channel, the drug stores & retail pharmacies segment dominated the market in 2021.
• Region wise, North America generated the largest revenue in 2021. However, Asia-Pacific is anticipated to grow at the highest CAGR during the forecast period.